Funding first hydrogen project in Australia

Following US President Joe Biden's recent commitment to cutting the United States' carbon emissions by 50-52% below 2005 levels by 2030, the Morrison Government, who are committed to a 26-28% cut by 2030, announced a further A$540 million would be allocated in its upcoming budget to hydrogen to support the establishment of five hydrogen hubs to be operational by 2022.

The A$540 million supplements the existing A$70 million funding for the industry, and further signals the government's growing support for the sector, but commercialising Australia's first hydrogen project will require significantly more in funding. This funding will mostly come from commercial banks and most likely through non-recourse funding which requires specific considerations to ensure that the funding is available.