South Australia passes green hydrogen law, with support from anti-wind cross bench

South Australia’s landmark Hydrogen and Renewable Energy Bill – which will pave the way for multiple gigawatts of new wind and solar – has been passed into law after a remarkable shuffle of ideological positions on green energy from the crossbench.

The bill – which paves the way for the planned government-owned green hydrogen electrolyser and hydrogen-based power plant near Whyalla – looked like it might be held up for a review called for by the Greens and the state Liberal party.

But the attempts to delay the passage failed when the government won the support from One Nation, hardly the most enthusiastic of renewable energy supporters, and SA Best, the party founded by the strongly anti-wind independent former Senator Nick Xenophon

Energy minister Tom Koutsantonis said the bill will help the state tap into its abundant wind and solar resources, which already supply a world leading 71.5 per cent share of its electricity demand (annual average) and could increase significantly as the state looks to export green energy and green products such as iron.

Koutsantonis had tweeted a day earlier his frustration at the attempts by the Greens and Liberals, who also had an ambitious renewables plan for the state when in government, to delay the bill, and send it for review.

“Just extraordinary scenes in South Australia’s Legislative Council where the Greens and the Liberals have joined forces to vote to delay the Hydrogen Renewable Energy Act that will allow the largest expansion of renewable energy in South Australia’s history,” he tweeted.

The Bill ultimately passed with unanimous Legislative Council support, the Labor Government was disappointed that the Greens and the Liberal Opposition joined forces to seek to delay the passage of the legislation.

Koutsantonis says there is unprecedented global interest in investing in and developing South Australian hydrogen, and renewable energy requires a fresh legislative framework to maximise opportunities and streamline processes.

“This is a historic day for South Australia,” he said in a statement on Thursday.

“We’ve passed world-first legislation that is set to transform the state’s economy. Global policy makers will be closely watching what we managed to achieve today.

“It’s disappointing to see the Greens joining forces with the State Liberal Party to try and frustrate the passage of this important and landmark legislation.”

Koutsantonis says the new Act helps unlock the state’s pipeline of renewable energy projects, with a current estimated capital development investment of approximately $21 billion – which he expects to grow.

The Act streamlines the process for companies wanting to invest in large-scale hydrogen and renewable energy projects, bringing issues such as land access, environmental impacts and native title rights into a single regulatory process.

The Act also introduces the concept of release areas where developers and investors can compete to access some of the world’s best wind and solar resources on government-owned land, ensuring the most appropriate projects are selected that address the social, economic and environmental needs of the region and the state.