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Backing Lower Emissions Technologies

Backing Lower Emissions Technologies

Published: 30 April, 2022

South Australia will be home to major new low emissions technology projects thanks to support by the Morrison Government that will boost local employment, secure significant private investment and position SA as a low-emissions industrial leader.

The Government is committing a total of $218 million to five energy and low-emissions projects across the Eyre Peninsula, upper Spencer Gulf and Moomba regions which includes clean hydrogen, carbon capture, solar thermal and low emission cement manufacturing applications.

The Government is committing:

  • Up to $70 million for the South Australian Government’s Port Bonython Hydrogen Hub Activation, with a total project value of $146.5 million.
  • Up to $3 million for Santos Limited’s Moomba Clean Hydrogen Front End Engineering Design project, with a total project value of $13.1 million, in Moomba.
  • Up to $15 million in Santos Limited’s Lower Cost Carbon Capture Development and Demonstration Project, with a total project value of $85 million, in Moomba.
  • Up to $110 million in concessional finance, for Vast Solar’s 20MW concentrated solar thermal power (CSP) demonstration project in Port Augusta.
  • Up to $20 million awarded to Hallett Construction Materials, under the Modern Manufacturing Initiative, for their $109 million project to build an integrated green cement business across the Whyalla, Port Augusta and Port Adelaide facilities.

These projects have a total project value of $500 million.

The Morrison Government is backing South Australia and the existing industries that drive exports and support jobs and the economy, while also investing in new industries with the projects estimated to create over 5,900 direct jobs, with many more indirect jobs as well.

Ensuring affordable and reliable energy, while meeting our emissions reductions targets, is key to our Government's national economic plan.

We're investing more than $1.5 billion to accelerate the growth of the nation’s hydrogen industry.

Port Bonython is a perfect location for a hydrogen hub in South Australia, with the ability to produce hydrogen from both gas with carbon capture in Moomba, as well as from its vast renewable resources. This mixed production approach will mean it has the ability to be cost competitive with traditional fuels earlier, increasing demand.

Hydrogen hubs such as this one will consolidate Australia’s resource strengths to unlock clean energy and stimulate a potential surge in industrial activity, with benefits to flow on to the region’s local communities.

We are unlocking private investment, driving more opportunities in manufacturing as well as creating new local jobs in our regions. This investment in low carbon cement will reduce Australia’s emissions and secure our economic future.

This initial investment will support the key common-user infrastructure needed to activate early-mover hydrogen projects, including port works, ammonia storage facilities and local transmission infrastructure.