AGL launching feasibility study into a green hydrogen hub at Torrens Island

SA’s status as a renewable energy leader could be boosted again with news a group of private firms is moving on big plans of its own.

A new green energy hub would be established on Torrens Island under plans led by a group of local and international heavyweights, aiming to boost Australia’s renewable energy supplies.

AGL has announced it has launched a feasibility study into building the privately funded hub, which would significantly transform its ageing gas fired power station next to Port Adelaide.

It has joined forces with a number of big companies intent on making the switch to renewables and capitalising on SA’s fledgling hydrogen industry that is being pitched as nation-leading.

The other companies include Japanese gas giant Osaka Gas and South Korean construction company SK Ecoplant, which is part of the huge SK Group conglomerate.

The hydrogen hub would be part of AGL’s plans to transform its ageing Torrens Island site.

Other businesses taking part in the study include Adelaide cement producers Adbri and Australia’s largest brick manufacturer, Brickworks. The study, to be steered by GHD Advisory and be completed by the end of the year, will examine all possible options in producing green energy on Torrens Island. The hydrogen produced would serve the SA, interstate and global markets.

AGL chief operating officer Markus Brokhof said the company was eager to be part of SA’s future hydrogen plans.

“This is another big step forward in AGL’s vision for an industrial energy hub at the site of our Torrens Island Power Station and we are coming closer to repurpose the site,” Mr Brokhof said.

“Torrens Island is perfectly positioned as a future energy hub with strong grid connectivity … a highly skilled workforce, and connections to Port Adelaide with avenues for export.”

AGL chief operating officer Markus Brokhof.

AGL expects the project to open up dozens of highly skilled local jobs across energy, advanced manufacturing and recycling.

The announcement of the plans come amid an energy crisis that is gripping the eastern states and SA.

The crisis prompted the Australian Energy Market Operator to seize complete control of the wholesale electricity market for the first time.

AGL’s hydrogen hub would act separately to the state government’s planned $593m hydrogen power plant, and also separately to another hub planned at Port Bonython.

Energy Minister Tom Koutsantonis said AGL’s plans showed “further evidence that government and private investment can coexist in the national electricity market”.

“Greater investment in this space in our state creates confidence and security, breeding more investment into what we know is the future for the world’s energy production,” he said.

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