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Jemena calls for Australian Renewable Gas Target to accelerate hydrogen adoption

Jemena calls for Australian Renewable Gas Target to accelerate hydrogen adoption

Jemena, a leading energy infrastructure company in Australia, has called for a Renewable Gas Target today (May 25), highlighting hydrogen as a crucial next step towards achieving net-zero emissions in Australia by 2050

Frank Tudor, Managing Director at Jemena, believes that a Renewable Gas Target would likely replicate the success of the Renewable Energy Target (RET) which helped spur the development of renewable technologies in the electricity sector.

Additionally, by deploying renewable gas using existing infrastructure to achieve net-zero emissions by 2050, Australia energy consumers would also avoid costly and unnecessary upgrades to the energy sector.

Read more: Construction of Jemena’s Western Sydney Green Gas Project underway

Read more: Jemena to supply green hydrogen to Hyundai Australia

Tudor said, “This is the jump-start the gas sector needs to truly commercialise zero-emission gases such as hydrogen and biomethane and make them available to Australian homes and businesses at scale.

“By decarbonising our existing gas infrastructure, we can avoid unnecessarily building new alternative forms of energy infrastructure, which will have a significant impact on customer bills.

“In the short-term this will make the transition to a low-carbon future seamless and means Australian homes and businesses can continue to use their gas stoves, heaters, and other appliances.

“From 2050, conservative estimates suggest Australian energy consumers can save anywhere between $12 to $14bn per annum by simply utilising existing gas infrastructure to decarbonise our economy.”

Frank Tudor also states that a subsidy in the order of $3-15/GJ could facilitate the entry of significant amounts of renewable gas into Australia’s gas networks and is much less than the subsidy offered under the RET to the electricity sector which was the equivalent of $22/GJ.

Tudor said, “A Renewable Gas Target will also give confidence to those hard to abate sectors – such as the manufacturing sector – which rely on gas as a fuel stock, that they will be able to continue operating in Australia while decarbonising their supply chains.

“Renewable gases can also be used in the transport sector, particularly by larger vehicles such as buses and haulage vehicles.

“At the same time, we believe renewable gas will also provide firming power to intermittent renewable generation, particularly as hydrogen-fuelled power stations are developed.”

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