East Australia plans hydrogen freight network

  • : Hydrogen, Oil products
  • 22/03/25

Australia's New South Wales (NSW), Queensland and Victoria governments have agreed to build a hydrogen refuelling network along the busiest road freight routes between the connecting three states.

NSW, Queensland and Victoria, which have the majority of the population and economic activity in east Australia, will collaborate on the development of the renewable hydrogen highway by 2026, focusing on the Hume, the Pacific and the Newell highways, said Victoria's minister for energy Lily D'Ambrosio.

Transport accounted for around 17pc of Australia's total greenhouse gas emissions in the 12 months to 30 September 2021.

The Victorian state government will invest A$10mn ($7.5mn) to build at least four renewable hydrogen refuelling stations between Sydney and Melbourne, in a step towards meeting Victoria's target to halve emissions by 2030. The funding will be matched by the NSW government, D'Ambrosio said.

The combined A$20mn funding will build the network and provide grants for Australia's first long-haul hydrogen fuel cell electric freight trucks.

"Renewable hydrogen will increasingly become a competitive zero emissions fuel option for our heavy transport sector,' said NSW treasurer and energy minister Matt Kean.

Road freight vehicles largely consume diesel, which is the largest consuming transport fuel in Australia and accounted for 56pc of total oil product sales in January.


Related news posts

Argus illuminates the markets by putting a lens on the areas that matter most to you. The market news and commentary we publish reveals vital insights that enable you to make stronger, well-informed decisions. Explore a selection of news stories related to this one.

24/05/17

Brazil's Rio Grande do Sul reallocates gas supply

Brazil's Rio Grande do Sul reallocates gas supply

Sao Paulo, 17 May (Argus) — Natural gas supply in Brazil's Rio Grande do Sul had to be redistributed because of the historic floods in the state, with diesel potentially making its way back as an power plant fuel to leave more gas available for LPG production. Gasbol, the natural gas transportation pipeline that supplies Brazil's south, does not have capacity to meet demand from the 201,000 b/d Alberto Pasqualini refinery (Refap), state-controlled Petrobras' Canoas thermal power plant and natural gas distributors in the region, according to Petrobras' then-chief executive Jean Paul Prates said earlier this week. The Santa Catarina state gas distributor has adjusted its own local network to meet peak demand in neighboring Rio Grande do Sul via the pipeline transportation network. The Canoas thermal plant is running at its minimum generation at 150GW, with 61pc coming from its gas turbine. The plant was brought on line to reinstate proper power supply after transmission lines in the south were affected by the floods. Petrobras plans to use a diesel engine to increase power generation. The current approved fuel cost (CVU) for diesel in the Canoas plant is of R1,115.29/MWh. Petrobras is also operating Refap at 59pc of its maximum installed capacity, at 119,506 b/d. Heavy showers in Rio Grande do Sul since 29 April brought unprecedented flooding to the state, causing a humanitarian crisis and infrastructure damage. The extreme weather has left 154 people dead, 98 missing and over 540,000 people displaced, according to the state's civil defense. By Rebecca Gompertz Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

Houston area refiners weather hurricane-force winds


24/05/17
24/05/17

Houston area refiners weather hurricane-force winds

Houston, 17 May (Argus) — Over 2mn b/d of US refining capacity faced destructive winds Thursday evening as a major storm blew through Houston, Texas, but the damage reported so far has been minimal. Wind speeds of up to 78 Mph were recorded in northeast Houston and the Houston Ship Channel — home to five refineries with a combined 1.5mn b/d of capacity — faced winds up to 74 Mph, according to the National Weather Service . Further South in Galveston Bay, where Valero and Marathon Petroleum refineries total 818,000 b/d of capacity, max wind speeds of 51 Mph were recorded. Chevron's 112,000 b/d Pasadena refinery on the Ship Channel just east of downtown Houston sustained minor damage during the storm and continues to supply customers, the company said. ExxonMobil's 564,000 b/d Baytown refinery on the Ship Channel and 369,000 b/d Beaumont, Texas, refinery further east faced no significant impact from the storm and the company continues to supply customers, a spokesperson told Argus . Neither Phillips 66's 265,000 b/d Sweeny refinery southwest of Houston nor its 264,000 b/d Lake Charles refinery 140 miles east in Louisiana were affected by the storm, a spokesperson said. There was no damage at Motiva's 626,000 b/d Port Arthur, Texas, refinery according to the company. Marathon Petroleum declined to comment on operations at its 593,000 b/d Galveston Bay refinery. Valero, LyondellBasell, Pemex, Total, Calcasieu and Citgo did not immediately respond to requests for comment on operations at their refineries in the Houston area, Port Arthur and Lake Charles. A roughly eight-mile portion of the Houston Ship Channel from the Sidney Sherman Bridge to Greens Bayou closed from 9pm ET 16 May to 1am ET today when two ships brokeaway from their moorings, and officials looked in a potential fuel oil spill, according to the US Coast Guard. The portion that closed provides access to Valero's 215,000 b/d Houston refinery, LyondellBasell's 264,000 b/d Houston refinery and Chevron's Pasadena refinery. By Nathan Risser Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

Clean hydrogen industry still upbeat but more realistic


24/05/17
24/05/17

Clean hydrogen industry still upbeat but more realistic

London, 17 May (Argus) — The clean hydrogen sector still lacks tangible progress and final investment decisions (FIDs) for projects remain far and few between, but it is reaching a moment of reckoning essential for market maturity, delegates at the World Hydrogen Summit in Rotterdam said. When asked whether they were more or less positive than a year ago, industry participants gave diverging answers, but there was widespread agreement that progress on clean hydrogen has been slower than expected. This has been "the year of doldrums", the Dutch port of Rotterdam's hydrogen supply chain programme manager Martijn Coopman said. Increasing material and financing costs, the unstable geopolitical situation and a lack of clarity on regulatory frameworks are just some of the challenges developers have faced. This is a "grim environment if you were expecting the Swiss army knife approach" to work, industry body the Australia Hydrogen Council's chief executive Fiona Simon said, alluding to the — misguided — expectation that hydrogen could be used across all sectors to help decarbonise. "We are coming to terms" on the real use and appropriate applications of hydrogen, Simon said, pointing to green steel production. "We are converging on the same concepts and same policies". The industry has reached the point where the wheat is separated from the chaff and it is becoming a lot clearer which projects will actually materialise.There is now a greater sense of "realism" underpinning discussions according to Dutch gas company Gasunie chief executive Willemien Terpstra. And this is why market participants are more optimistic than a year ago. Demanding as ever Still, delegates widely urged more policy action, especially on the demand side, which has been a recurrent theme. Spurring on demand will be key to get to more FIDs, Spanish utility Iberdrola's hydrogen development director Jorge Palomar Herrero, said. "We can have great intentions and great projects but without the demand, they are not going to happen". Even in Europe, which has pushed ahead with efforts to stimulate demand, these have not been enough to spur offtake, Herrero said. Demand-side incentives alone will likely not be enough and eventually there will have to be consumption obligations too, some said. Incentives may help to reduce project costs and kickstart production, but the amount of "carrots" needed is "phenomenal", so "sticks" will be key, the port of Rotterdam's Coopman said. Consumption mandates could help accelerate momentum in emerging markets and developing countries that have big ambitions for exports to future demand centres, the World Bank's private sector arm IFC energy chief investment officer Ignacio de Calonje said. Governments are now ready to act on these requests, according to industry body the Hydrogen Council's director for policy and partnerships Daria Nochevnik. "The penny has dropped," Nochevnik told Argus , noting that the need for demand-side action was the number one priority outcome of a ministerial-executive roundtable held in Rotterdam this week. Red and blue Governments must also remove red tape to speed things up, conference delegates said. European developers in particular are increasingly frustrated with paperwork involved in funding applications, according to German utility Uniper's vice-president for hydrogen business development Christian Stuckmann. Shortening lengthy permitting and funding processes is also high on governments' lists, Nochevnik noted. Some delegates renewed calls for a wider acceptance of "blue" low-carbon hydrogen made from natural gas with carbon capture and storage to address concerns that, if it is up to renewable hydrogen alone, things will start too late — or not at all. There appeared to be widespread consensus that this low-carbon hydrogen will have a key role to play, especially in a transitional period, as it can already deliver significant emissions reductions. But there is still a "stigma" in Europe, according to industrial gas firm Linde's vice-president for clean energy David Burns. This could hamper its adoption, which many delegates argued the world cannot afford. By Pamela Machado Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

Japanese bank Mizuho boosts support for H2, ammonia


24/05/17
24/05/17

Japanese bank Mizuho boosts support for H2, ammonia

Tokyo, 17 May (Argus) — Japanese bank Mizuho Financial aims to provide ¥2 trillion ($12.8bn) in financial support for domestic and overseas cleaner fuel projects by 2030 to support Japan's plan to build a hydrogen supply chain. Private-sector Mizuho is offering financing to low-carbon hydrogen, ammonia and e-methane projects related to production, import, distribution and development of hydrogen carriers. Mizuho said it has in the past offered project financing for large-scale overseas low-carbon hydrogen and ammonia manufacturing projects, as well as transition loans. Japan is focusing on cleaner fuel use in the power sector and hard-to-abate industries, as part of its drive to reach net zero CO2 emissions by 2050. Japanese firms are getting involved in overseas hydrogen projects because domestic production is bound to be comparatively small and costly. They are looking to co-fire ammonia at coal-fired power generation plants to cut CO2 emissions and examining use of the fuel as a hydrogen carrier . Japanese companies have also partnered with several overseas firms on e-methane. Mizuho has to date offered $1bn for cleaner fuel projects. The bank has set a goal to accelerate the setting up of a clean fuel supply chain by addressing the financial challenge faced by projects requiring large investments. Mizuho has attempted to help Japan's decarbonisation push by tightening biomass and coal financing policies. Mizuho has also stopped investing in new coal-fired power projects, including existing plant expansions. The bank has a plan to reduce the ¥300bn credit available for coal-fired power development projects by half by the April 2030-March 2031 fiscal year and to zero by 2040-41. By Nanami Oki Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

Texas barge collision shuts GIWW section: Correction


24/05/16
24/05/16

Texas barge collision shuts GIWW section: Correction

Corrects volume of oil carried by barge in fourth paragraph. Houston, 16 May (Argus) — Authorities closed a six-mile section of the Gulf Intracoastal Waterway (GIWW) near Galveston, Texas, because of an oil spill caused by a barge collision with the Pelican Island causeway bridge. The section between mile markers 351.5 and 357.5 along the waterway closed, according to the US Coast Guard. A barge broke away from the Philip George tugboat and hit the bridge between Pelican Island and Galveston around 11am ET today. Concrete from the bridge fell onto the barge and triggered an oil leak. The barge can hold up to 30,000 bl oil, but it was unknown how full the barge was before the crash, Galveston County county judge Mark Henry said. It was unclear when the waterway would reopen. An environmental cleanup crew was on the scene along with the US Coast Guard and Texas Department of Transportation to assess the damage. Multiple state agencies have debated the replacement of the 64-year-old bridge for several years, Henry said. The rail line alongside the bridge collapsed. Marine traffic does not pass under the bridge. By Meghan Yoyotte Intracoastal Waterway at Galveston Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

Business intelligence reports

Get concise, trustworthy and unbiased analysis of the latest trends and developments in oil and energy markets. These reports are specially created for decision makers who don’t have time to track markets day-by-day, minute-by-minute.

Learn more