We aspire to reach a day in which the resource that powers our heating and cooking, fuels our daily commute, and forms the cornerstone of our international exports is a carbon-free fuel source, safeguarding the stability of our environment while continuing to serve and benefit the Australian economy.
To date, adoption of renewable energy targets have been at the forefront of curbing carbon emissions globally, with nations setting ambitious but increasingly deliverable targets of 30%, 50% or
even close to 100% of power generation from renewable sources in the coming decades.
However, with only approximately one third of greenhouse gas emissions attributable to the electricity and heat sector,1 a further solution within the transport, chemical and industrial sectors must be pursued if we are committed to extending decarbonisation throughout the economy.
The opportunity to realise this future as a reality lies with the production and use of clean hydrogen, a versatile, storable, transportable, carbon-free fuel source.
Global momentum is growing across the hydrogen industry, with few sectors likely to remain untouched by this energy revolution.
Within Australia, recent funding and policy announcements from State and Federal governments, including adoption of the National Hydrogen Strategy in November 2019, is building upon the momentum of existing pilot programs. Projects are already underway to address new uses for hydrogen and improve the economics of production to meet forecast demand, both domestically and internationally.
At PwC, we are monitoring the sector landscape and engaging with research bodies, policymakers, developers, industrial players and strategic investors, each with an incentive and role to play in helping to progress this nascent industry.
The industry may appear to be slowly finding its feet, with disaggregated projects from a number of sectors looking to develop links across the supply chain, but the future of the hydrogen industry over the coming decade looks bright, as it aims to take its first steps from crawling to walking.
Read the full report here.