Australia and Germany have signed a landmark agreement worth $660 million to advance their partnership in renewable hydrogen production and trade.
The deal aims to establish new green hydrogen supply chains between the two nations.
Australian Minister for Climate Change and Energy, Chris Bowen, and German State Secretary for Economic Affairs and Climate Action, Anja Hajduk, signed the Joint Declaration of Intent in Brisbane.
This agreement is set to be part of Germany’s H2Global auction mechanism, with both governments equally contributing to the funding.
The collaboration extends beyond hydrogen trade, as the two countries have agreed to elevate their existing Energy Partnership to an Energy and Climate Partnership.
This expanded cooperation will encompass various areas including climate action, energy efficiency, the transition to net-zero emissions, and energy security.
The H2Global funding window is expected to provide Australian producers with access to some of the world’s largest renewable hydrogen markets, particularly in Germany and other European countries.
According to the Federal Government, this initiative aligns with Australia’s “Future Made in Australia” strategy, positioning the country as a key player in the global green energy market.
The partnership between Australia and Germany has been further strengthened by the findings of the HySupply chain study, which concluded that hydrogen trade between the two nations is both economically feasible and highly desirable. This study, announced last year in Berlin, has paved the way for concrete actions to secure opportunities for industries in both countries.
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