Cleaner and greener
Renewable gas is a key part of Australia’s low carbon future. At AGIG, we’re investing in the long-term interests of our customers and the environment.
Energy in Australia is changing
Gas is essential to our economy and modern lifestyles, providing nearly a quarter of Australia’s total energy supply. Our customers like gas and the benefits it brings – comfort, convenience and reliability. Environmental sustainability is also important to our customers. Although natural gas is currently cleaner than electricity delivered by the grid, there’s more we can do to help lower emissions, while also contributing to energy security and ensuring costs remain as low as possible.
The Australian energy sector is undergoing a period of change. Renewable and carbon neutral gases will help our customers and Australia achieve sustainability goals, whilst retaining access to the benefits of natural gas - reliable and affordable energy.
A low carbon future
The Australian Government has committed to meeting a carbon emissions reduction target of 26 to 28% below 2005 levels by 2030 and every Australian state and territory has a target of net-zero-carbon by 2050 or sooner.
While increased uptake of renewable electricity generation is important, it’s not the only solution. Australia needs to focus on large-scale decarbonisation of its entire energy ecosystem, including electricity, gas, industry, agriculture and transport if we’re to meet our emission targets.
At AGIG, we’re committed to sustainable gas delivery today, and tomorrow. In 2017 we worked with Australia’s five peak gas bodies to develop Gas Vision 2050 – a pathway to achieve near zero emissions in our gas sector. We are now delivering on this Vision by deploying low carbon gas projects.
The most common forms of renewable or carbon neutral fuels are hydrogen and biogas, also known as biomethane.
Biomethane can make use of landfill or agricultural and forestry waste to produce a net-zero emissions fuel.
Hydrogen is the most abundant element in the universe. When used, hydrogen produces only water and energy – no carbon. Hydrogen can be produced cleanly through:
• Splitting water into hydrogen and oxygen using renewable electricity through a process known as electrolysis
• Splitting natural gas into carbon and hydrogen through a process known as Steam Methane Reforming, and capturing the carbon dioxide
• Gasifying coal to produce hydrogen and carbon and capturing the carbon dioxide
By converting renewable electricity into hydrogen, we can store vast amounts of renewable energy for later use (such as when the sun is not shining or the wind is not blowing) and still have the superior reliability and heating performance that natural gas provides.
Hydrogen can be used in the same way as natural gas, heating homes and businesses, generating electricity and as a transport fuel. Our existing gas networks are already suitable to transport biomethane and blends of hydrogen with natural gas.
Our renewable gas projects
We are leading the way in renewable gas by investing in a range of innovative energy projects across Australia and across the gas value chain. Our projects include:
- Hydrogen Park South Australia – A 1.25MW electrolyser to produce renewable hydrogen for blending with natural gas (up to 5%) and supply to more than 700 existing homes. First production at site was achieved in late 2020, with first supply of blended gas via the networks and to industry via tube trailers expected by mid-2021.
- Hydrogen Park Gladstone – A 175kW electrolyser to produce renewable hydrogen for blending with natural gas (up to 10%) and supply to the entire network of Gladstone, including businesses. First production expected in 2022.
- The Australian Hydrogen Centre – A joint industry research centre delivering feasibility studies for 10% and 100% blending of renewable hydrogen into towns and cities in South Australia and Victoria , and to share important learnings on Hydrogen Park South Australia’s operations.
- DBP Feasibility Study – An 18 month study into the technical feasibility of introducing hydrogen into our Dampier to Bunbury natural gas Pipeline.
Our partnerships in renewable gas development
In addition to developing our own renewable gas projects across Australia, we are committed to working with governments, industry and research organisations to develop our Vision collaboratively. Our memberships and associations include:
- Future Fuels Cooperative Research Centre – an industry focussed Research, Development & Demonstration (RD&D) partnership enabling the decarbonisation of Australia’s energy networks.
- Australian Hydrogen Council – the peak body for the hydrogen industry, with members from across the hydrogen value chain.
- Bioenergy Australia – the peak body for the bioenergy industry in Australia, including federal and state government departments and energy organisations, universities, and industry bodies and associations.
- Australian Industry Energy Transition Initiative– a partnership leaders from industry and business to develop pathways and take action towards net zero emissions across critical supply chains of the Australian economy.