Federal government to contribute $70 million for Townsville hydrogen hub

The federal government has announced “up to $70 million” in funding to support development of the Townsville Region Hydrogen Hub in Queensland, with construction expected to be complete in 2026.

In a statement on Tuesday, energy minister Chris Bowen said that “with its port, expertise in exports and access to Queensland’s abundant solar resources” the city was “ideally placed” to export Australian renewable energy.

The hub is led by Edify Energy, along with partners including Siemens Energy, Queensland TAFE, James Cook University and Townsville Enterprise Limited.

The project is expected to initially produce 800 tonnes of green hydrogen per year for use by local industry and in zero-emissions transport, with this increasing to around 3,000 tonnes for domestic supply, “and ultimately in excess of 150,000 tonnes for export.” 

Construction will begin in 2025 and be complete the year after, and initial commercial operations are scheduled for 2027. 

According to Bowen, the hub will create 200 direct jobs “for local electricians, plumbers, fitters and concreters during construction, as well ongoing jobs in technical and engineering roles.”

Combined investment in the hub represented $137 million, according to the statement. Federal funding totals up to $70 million, with $20.7 million of this from the Australian Renewable Energy Agency (announced in January last year.)

The remaining funding in the $137 million will come from industry partners and the German Government.

The news follows federal funding of $70 million confirmed earlier this month towards development of Tasmania’s Bell Bay hydrogen hub.

Picture: credit NQH2

Further reading

Federal government announces $70 million for Bell Bay through Regional Hydrogen Hubs program

Kwinana hydrogen hub progresses to FEED

Federal government awards $140 million to two WA hydrogen hubs

Hydrogen projects strike gold in SA and Brisbane