Germany is set to launch an exclusive AUD 660 million (USD 444 million) auction for green hydrogen imports into Australia through H2Global funding. The agreement was signed by Australia’s Climate and Energy Minister, Chris Bowen, and Germany’s State Secretary for Economic Affairs and Climate Action, Anja Hajduk, during the APAC Hydrogen Summit in Brisbane.
The joint funding, expected to be available over the next decade, aims to facilitate new commercial supply opportunities and enable access to the European market through guaranteed offtake agreements. Industry stakeholders will be invited to provide feedback and recommendations on structuring the trade window.
Highlighting the significance of the partnership Bowen said, “Renewable hydrogen is key to Australia’s 21st century export prosperity. The world needs it. We can make it. And we can ship it to our partners, or use it to make green products, chemicals and fuels in Australia to export to the world.”
Bowen added, “This negotiation under the H2Global mechanism and the expanded partnership with Germany will allow us to work together to seize the opportunity in hydrogen and help realise Australia’s renewable energy superpower potential.”
German Vice Chancellor and Minister for Economic Affairs and Climate Action, Robert Habeck, emphasied that the partnership marks a pathway to action, strengthening economies and supporting the global push for Net Zero. He said, “We are convinced that the Energy and Climate Partnership will provide numerous opportunities for fruitful private collaborations. And we are confident that joint hydrogen auctions under H2Global will kick-start the market and provide urgently needed price signals.”
On September 13, the Australian government also unveiled its updated National Hydrogen Strategy, aiming to position the country as a major hydrogen exporter. The 2024 strategy sets a goal of producing 15 million tonnes of green hydrogen annually by 2050, with a potential “stretch” target of 30 million tonnes, supported by an AUD 2/kg Hydrogen Production Tax Incentive (HPTI).
Dr. Fiona Simon, CEO of the Australian Hydrogen Council, hailed the H2Global auction and new strategy as a significant step forward, noting that participation in the scheme secures Australia’s role in meeting the EU’s clean energy targets.