Hydrogen Fuels Australia, Clara Energy to build Hume Highway H2 refueling stations

Hydrogen Fuels Australia (H2FA) and Clara Energy have signed a memorandum of understanding to build a renewable hydrogen refueling network along the Hume Highway in Victoria and New South Wales, the companies said June 22.

Up to five hydrogen refueling stations will be built between Melbourne and Sydney in an integrated project worth A$600 million ($415.69 million) targeted at heavy transport.

"Hume is the busiest truck route in Australia,'' said Nick Cleary, CEO of Clara Energy, adding that when logistics companies knew there would be a guaranteed supply of hydrogen at a viable price, "it will provide even greater confidence to accelerate the transition of their fleets."

Each diesel truck replaced with a hydrogen alternative would abate 2.4 metric tonnes of CO2 on a Melbourne to Sydney return journey, the companies said.

Clara Energy plans a "large-scale" renewable hydrogen production facility in Tarcutta, New South Wales, halfway between Melbourne and Sydney, with operation slated for 2025. H2FA is to act as distributor of the hydrogen and as station operator.

H2FA is building its own hydrogen refueling station in Truganina, in Melbourne's warehousing and distribution region.

It also plans to produce hydrogen from a 640-kW solar array linked to an electrolyser, with permits to ramp up production to a refueling capability of up to 6.5 metric tons/day.

The Tarcutta project is to have capacity to produce 25 mt/day of renewable hydrogen in a $500 million first stage, including solar PV and electrolysis capex. Two subsequent stages should bring total daily production to at least 100 mt/per day.

The MoU follows a March 25 announcement by the states of Victoria, New South Wales and Queensland to create hydrogen refueling stations on freight routes along Australia's east coast.

The states have agreed to fund development of highways including Hume Highway, the Pacific Highway and the Newell Highway by 2026.