The Denham Hydrogen Demonstration Project was officially opened by the Minister for Energy, Bill Johnston MLA, and the Minister for Hydrogen Industry, Alannah MacTiernan MLC, in Denham, in the Gascoyne region on Friday.
The production of first hydrogen is a significant milestone for the project, which is currently undergoing commissioning.
The plant has produced enough hydrogen to fill the 13,230-litre storage system.
The project, being delivered by Horizon Power and Hybrid Systems Australia, opens green transmission corridors throughout the regions and pushes the boundaries of existing knowledge about renewable integration onto microgrids.
The next stage is to test the integration of the hydrogen plant with the solar farm, battery and the conventional diesel power station to make sure these parts operate together as expected.
Once fully operational, planned for early next year, the plant is expected to produce enough renewable energy to power the equivalent of 100 homes.
The renewable energy generation is expected to offset 140,000 litres of diesel a year and provide a decarbonisation pathway for future energy systems in regional Western Australia, and throughout the rest of the country.
With the remoteness of Horizon Power’s networks, the rising cost of diesel and the predicted falling costs of hydrogen equipment, there may be an opportunity beyond 2025 to leverage hydrogen to decarbonise a number of existing diesel microgrids, as existing Power Purchase Agreements expire.
Stephanie Unwin, Horizon Power CEO, said it is “leading the country” in the demonstration of hydrogen as a base load fuel source.
She said, “Together, with the State and Federal Governments, we are working towards the transition to clean, green energy and providing valuable learnings which could support the commercialisation of renewable hydrogen power generation.”
The WA Government has provided A$5.7 million toward the project, with A$1 million through the Renewable Hydrogen Fund. The Australian Renewable Energy Agency has provided A$2.6 million of funding through its Advancing Renewables Program.