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Australia’s network is ready for renewable gas, as AGIG expands H2 investments

Renewable gas is not only a viable energy source that is lowering emissions, but also a major long-term opportunity to meet our net-zero targets, create a future-facing industry and provide Australian industry, business and homes with reliable, competitive and sustainable energy.

For decades, AGIG has provided the energy that is essential for millions of homes and businesses across Australia, delivered over 35,000 kilometers (km) of distribution networks and more than 4,300 km of transmission pipelines. Until now that network has delivered natural gas, and now we’re leading the switch to renewable gas with the support of our customers and stakeholders.

An IEEFA statement portraying industry investments in H2 readiness as being $19 MM, deliberately ignores AGIG’s investments in significant H2 projects in South Australia, Victoria and Queensland.

Getting H2 Ready isn’t a new initiative for us – we’ve been leading in this space for years as the owner and operator of Australia’s first megawatt-scale electrolyzer and the largest operating electrolyzer in the country, which is delivering blended H2 to thousands of homes today. AGIG has accomplished the following in the past year:

  • Expanded our H2 Park South Australia project, from an initial pilot of 700 homes to 4000 homes with further expansion plans underway
  • Signed an arrangement to supply a South Australian government trial of renewable H2-powered public buses
  • Achieved development approval for our H2 Park Gladstone project which puts Gladstone on track to become the first gas network in Australia where the entire gas distribution network will supply blended H2 gas, supplying homes, businesses and industry
  • Taken Final Investment Decision on H2 Park Murray Valley, a $53-MM project which will deliver H2 to industry and transport, and which will further expand the footprint of our H2-blended gas products to residential customers
  • Launched HyHome – Australia’s first home with appliances powered by 100% H2 energy, demonstrating the development of H2-compatible appliances and a key step forward in providing customer choice in the energy transition.

These and other projects represent substantial investment and are an undeniable vote of confidence in the future of H2 and other renewable gases for Australia.

Consumer risk as referred to by IEEFA, in fact lies in the reliability gaps that exist in the electricity network, as forecast by experts. Neither the generation nor the transmission needed is anywhere near ready and more challenges surface every day in achieving social license from communities, such as acquiring materials and labor, managing environmental impacts and exceeding cost and budget projections.

In contrast, AGIG’s gas distribution network is ready—already built, underground and the majority of which is ready to carry H2. Over the past decade we have invested billions of dollars on Australia’s national network, including over $1.5 B in our gas networks in Victoria alone, replacing cast-iron pipes with modern plastic pipes, making them a world-class asset capable of reliable, high-performance delivery of renewable gases for customers.