H2Kwinana Hydrogen Hub gets $70m government backing

A Western Australia based hydrogen hub has progressed one step further to becoming operational, with the Albanese government announcing $70 million in support as part of its Regional Hydrogen Hubs program.

bp's H2Kwinana Hydrogen Hub has reached Front-End Engineering Design (FEED) status, the stage after a feasibility study where basic engineering is developed.

The H2Kwinana Hydrogen Hub will include a 100 MW electrolyser, with the potential to expand to a total of 1.5 GW production in subsequent phases, according to bp. It will create 150 jobs.

Site works for H2Kwinana are already underway, with construction expected to be complete in mid-2027 and production t commence in 2025.

It is estimated that the hub could produce over 14,000 tonnes of green hydrogen per year for industrial use and heavy transport. This is equivalent to fuelling around 750 vehicles a year in Australia's heavy vehicle fleet, according to an announcement from the Ministry for Climate Change and Energy.

The project involves the installation of hydrogen storage, compression and truck loading facilities and upgrades to the existing on-site hydrogen pipeline system.

"Kwinana has been an industrial and economic powerhouse for decades, making it an ideal location for a hydrogen hub that can support decarbonisation of heavy industry and connect our renewable resources to the world," said climate change and energy minister Chris Bowen. "These projects are the next step towards using locally produced renewable hydrogen in Australia to reduce our industrial emissions and develop a renewable export future."

The Albanese government is investing over half a billion dollars in regional Hydrogen Hubs, including in the Pilbara, Kwinana, Gladstone, Townsville, the Hunter, Bell Bay and Port Bonython.

Kwinana is the site of a former oil refinery.

"We are repurposing existing process units, tanks, pipelines and utilities from the former refinery as the starting point for Kwinana Renewable Fuels and H2Kwinana," said bp vice president hydrogen, Australia and Asia Pacific Lucy Nation. "Both of these projects will allow us to supply ourselves and our customers with products that allow them to meet their own emissions targets while also contributing to Australia's decarbonisation targets."

Minster for resources Madeleine King noted: "Kwinana has long been the powerhouse of the Western Australian economy and this investment will ensure Kwinana remains the state's powerhouse into the future.

"WA's renewable hydrogen industry will diversify and decarbonise our economy and create jobs in Perth and in the regions."

The WA state government has invested nearly $180 million into the renewable hydrogen industry, said WA state hydrogen industry minster Bill Johnston.

"Facilities such as H2Kwinana will be vital in helping WA reach its emission goals into the future as well as support the decarbonisation of the industry sector," Johnston said.