India and Australia join forces to chase green hydrogen

India and Australia will work together on a new Green Hydrogen Taskforce. The industry-driven taskforce, signed by the two PMs, will be a joint effort to accelerate both countries’ foray into green hydrogen.

“Investments like the taskforce will help power our industries in the future, and ensure that Australia and India meet our energy targets."

Prime Minister Anthony Albanese.

Australia is currently reviewing its green hydrogen strategy, a hold-over from the previous Liberal government. That strategy calls for a range of policy changes including developing hydrogen hubs, supporting pilots and trials, introducing clean hydrogen into gas networks and transportation, and developing an export industry.

Australia already has a similar collaboration on green hydrogen with Japan in the $150 million Australian Clean Hydrogen Trade Program. Japan is a willing buyer of Australian-made green hydrogen.

India however wants to be a key competitor to Australia, with goals to make 5 million tonnes of green hydrogen per year by 2030. Smart Energy Council CEO John Grimes says the taskforce is still a step towards cementing future energy systems with green hydrogen. “It must be green hydrogen, or it will have no export potential,” he said.

But is it worth the heavy cost?

Bloomberg NEF said the green hydrogen dream will require 812 gigawatts (GW) of wind and solar power, or 21 times more installed capacity than today. The financial cost of that is an estimated $592 billion between 2022 and 2050, or 2.5 times more than the investment needed to reach net zero alone.

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