The Australian Renewable Energy Agency (ARENA) has opened the second round of its Hydrogen Headstart Program, offering up to $2 billion to accelerate large-scale renewable hydrogen projects and strengthen Australia’s clean energy leadership.
Building on lessons from the first funding round, the new phase will focus on projects targeting priority industrial applications and on innovations to cut the long-term cost of hydrogen production.
Eligible proposals may include those improving electrolyser efficiency, reducing plant capital costs, enhancing flexible operations, and supporting hydrogen use in green ammonia, iron and steel, alumina and long-distance transport such as aviation and shipping.
ARENA chief executive Darren Miller said the program was about bridging the gap between ambition and delivery in Australia’s energy transition.
“Renewable hydrogen will play a critical role in decarbonising heavy industry, particularly in sectors where electrification is not feasible,” Miller said.
“Getting renewable hydrogen to commercial scale will take time, innovation and ongoing support. By backing industry first-movers, ARENA is providing the certainty to invest, innovate and develop the next wave of projects and learnings.”
Since 2017, ARENA has committed more than $370 million to 65 renewable hydrogen initiatives, from research and development through to first-of-a-kind commercial deployments.
These investments have built Australia’s knowledge base, supply chains and early project pipeline.
The Hydrogen Headstart program is a key element of Australia’s strategy to become a major global supplier of renewable hydrogen, helping to decarbonise heavy industry and position Australia at the forefront of the clean energy economy.
Expressions of interest for Round 2 are now open, with program guidelines available via ARENA’s website.
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