Export-domestic energy integration via industrial H2 storage

Accelerating Australia's transition to a net-zero future

Industrial H2 storage

Storage of hydrogen for green ammonia production, green steelmaking, and sustainable fuel manufacturing.


Renewable Energy Growth

Renewable energy capacity

  • Australia's renewable capacity share (excl. hydropower) has grown rapidly from 4% in 2009 to nearly 40% today, among the highest in the G20.

Renewable energy target

  • Australia has an ambitious target of 82% renewable energy supply in its National Electricity Market by 2030.

Transition to Net Zero by 2050

Australia remains a fossil fuel-dominated economy.

  • Fossil fuels account for 90% of the total energy consumption in Australia.
  • Carbon emissions need to be cut by 16 megatons per year, eight times the current rate of only 2 megatons per year.

 

All-Electric Australia

Full electrification is a practical path to zero-carbon energy.

  • Residential, commercial, manufacturing, mining, construction, road transport, and rail transport can be directly electrified using electricity.
  • Aviation, shipping and industrial processes can be indirectly electrified through electrofuels.

Energy balancing challenges

Energy supply-demand balance

  • A key challenge is the mismatch between renewable energy supply and electricity demand, which are both variable and uncertain in nature.

Energy time-shifting

  • Energy storage is key to addressing the variability and uncertainty issues related to large-scale renewable energy integration.

Industrial H2 storage: Game changer

How does it work?

  • By integrating hydrogen storage, the industrial loads can be interruptible, dispatchable and responsive on timescales ranging from seconds to seasons.

Why is it important?

  • Industrial hydrogen storage can effectively correct the energy mismatches through large-scale energy time-shifting.

Competitive advantages

Ultra-low cost

  • Storage of hydrogen is one to two orders of magnitude cheaper than storage of electricity.

High storage efficiency

  • Compression of hydrogen consumes 8% of the energy, equiv. to a storage efficiency of 92%.

High energy density

  • The space requirement for hydrogen storage is only 1/4 of battery and 1/1000 of pumped hydro.  

Locations

Australia has significant potential to develop hydrogen storage in renewable export industries.

  • Industrial hydrogen storage can help integrate renewable energy export with domestic energy industries, accelerating Australia's transition to zero-carbon energy.

2019

COAG Energy Council published Australia's National Hydrogen Strategy.

2023

Review of the National Hydrogen Strategy

2030

Australia to be a global hydrogen leader by 2030.

1

Hunter Valley Hydrogen Hub

2

Port Bonython Hydrogen Hub

3

Kwinana Energy Hub

Summary

Industrial H2 storage is the storage of H2 for renewable energy export industries. 

Industrial H2 storage can help facilitate export-domestic energy integration, accelerating Australia’s transition to a net-zero future.

As Australia transitions to a renewable energy superpower, industrial H2 storage is emerging as a game changer for the future energy markets.


Contact: Bin.Lu@anu.edu.au