Woodside gets $10 million grant from state government for hydrogen refuelling station

Oil and gas giant Woodside Energy has received a $10 million grant towards the development of a renewable hydrogen production, storage and refuelling station in the Rockingham Industry Zone, south of Perth.

The state government grant will be matched by Woodside, which will build the facility with partners BGC and Centurion, and will feature a 2MW electrolyser it says will be powered by renewable energy sourced from the South West Interconnected System.

The hydrogen refueller facility will be built next to Woodside’s planned H2Perth project, a proposed domestic and export-scale hydrogen and ammonia production facility. It is expected to come on line in 2024.

Woodside says it will time hydrogen production to take place during periods of excess solar in the grid and stored onsite, although it says it will also use renewable energy certificates at time.

It is currently targeting initial hydrogen production of 235 kilograms per day, with a potential to scale up to a targeted 800 kilograms per day.

“The proposed refuelling facility would deliver on our commitment to make low cost, lower-carbon hydrogen based energy available to local customers, while also progressing export opportunities such as H2Perth,” said Woodside Energy CEO Meg O’Neill.

WA Premier Mark McGowan said in a statement the project will stimulate demand for local production of renewable hydrogen, and help the state move towards a clean energy future and reach net zero by 2050.

“The facility will give local manufacturing in the south metropolitan region a boost and create thousands of local jobs within the construction, manufacturing and renewable energy sectors,” he said.

The grant may also be used to subsidise the purchase of hydrogen-fuelled vehicles to replace large diesel trucks currently in use by construction company BGC and transport group Centurion.

“Transport and logistics is an emissions intensive sector and it is incumbent on businesses like ours to actively participate in the energy transition and the journey towards a net-zero emissions future,” said Centurion CEO, Justin Cardaci.

“The investment by the WA Government and Woodside in hydrogen refuelling technology is a material step for companies like ours to accelerate the use of renewable fuel in the transport sector to transition its sustainability pathway.”