Establish international shipping routes for hydrogen

International trade is a key requirement for hydrogen to make an impact on the global clean energy transition. Australia is already one of the world’s largest exporters of liquefied natural gas (LNG) and existing natural gas expertise and infrastructure can be adapted to produce and export hydrogen. The first shipping routes need to be established to kick-start international hydrogen trade.

In January 2022, the Hydrogen Energy Supply Chain (HESC) Project achieved a world first by demonstrating that liquid hydrogen can be extracted from Latrobe Valley coal (and a biomass mix) and shipped to Kobe in Japan. This project highlighted the importance of understanding the carbon footprint of the hydrogen produced, considering the fuel source and associated carbon emissions from production and distribution.

As Australia aims to be a major exporter of hydrogen, the quality of hydrogen fuel being produced will be of high importance. This issue has started to be addressed by the Australian Government, with the carbon intensity of hydrogen produced in Australia (ie how clean it is) being verified using the Guarantee of Origin scheme.

References

_{Clean Energy Regulator (22 March 2023) Guarantee of Origin scheme, Australian Government.}

_{HESC, (2022) HESC Pilot Phase – About the Project, Hydrogen Energy Supply Chain.}