Alternatively, renewable energy can be used to separate hydrogen atoms from water molecules to produce “green” hydrogen without emissions.
The ‘green’ and ‘blue’ methods have not taken place on an industrial scale in Australia.
About $70 million will go into BP’s $252.5 million H2Kwinana clean industrial center in Perth’s coastal industrial suburb of Kwinana, while a further $70 million will go to the $140 million Pilbara Hydrogen Center dollars from the Government of Western Australia.
Morrison also announced that $67 million will be spent in WA – of its $250 million budget commitments on carbon capture storage technology – including $40 million for the Burrup carbon capture and storage hub of Woodside Energy.
Morrison tried to corner the opposition when he addressed the WA Chamber of Commerce on Tuesday, warning that Labor could introduce a carbon tax that would hurt the resource sector.
“If the Coalition is elected in the next election, I can assure you that there will be no mining tax,” he said.
“And there will be no adverse changes to fuel tax credit agreements.”
Labor has ruled out imposing a carbon tax if they form government.
In its $40 billion “rewiring the nation” policy, Labor aims to develop sectors such as hydrogen and battery production.
Jess Panegyres, head of clean transitions at Greenpeace Australia Pacific, blasted the government’s $40 million funding for carbon capture and storage.
“Carbon capture has never worked anywhere in the world on a large scale, with the starkest example of its failure being right here in Western Australia,” she said.
“Chevron’s colossal Gorgon Gas Plant, Australia’s only commercial-scale carbon capture and storage project, has utterly failed – and now the Morrison government wants to give more public money to waste on this dangerous imaginary technology. .”
With Mike Foley