Energy Minister Tom Koutsantonis says Tonsley Innovation District project highlights new clean energy alternative

The government sees hydrogen as our state’s biggest clean energy opportunity, and a new project in the suburbs of Adelaide is already partly powering homes with it.

More renewable hydrogen will form part of the gas blend that powers nearly 4000 South Australian homes and businesses – reaching an Australian-first benchmark.

Australia’s first hydrogen park, at the Tonsley Innovation District, is already powering thousands of homes with a 5 per cent blend of renewable hydrogen combined with natural gas.

The blend is increasing to 10 per cent, making it the highest concentration of hydrogen-blended gas in Australia.

Minister Tom Koutsantonis said the project highlighted another alternative in the quest to generate cleaner energy. Picture: Keryn Stevens

Renewable hydrogen can be used in the same way as natural gas, including to heat homes and businesses, generate electricity and as a transport fuel.

Energy and Mining Minister Tom Koutsantonis said the project highlighted another alternative in the quest to generate cleaner energy.

“Last year we saw this project extend to almost 4000 houses, and now we’re seeing an exciting new milestone, an Australian-first 10 per cent blend of renewable hydrogen into the gas network,” he said.

“This just underlines the potential for hydrogen to help reduce natural gas consumption, and emphasises the major role it will play in our state’s energy mix.”

Australian Gas Infrastructure Group (AGIG) chief executive Craig de Laine said the increase marked a “huge milestone for the renewable hydrogen industry”.

“For the first time anywhere in Australia, we’re blending ten per cent renewable hydrogen from Australia’s largest electrolyser into the gas network to supply South Australian customers,” he said.

“Careful consideration of the required regulatory and investment settings have enabled the renewable gas industry to grow in South Australia.”

The premier last month toured the Upper Spencer Gulf and signed landmark deals for hydrogen supply and carbon capture and storage.

The state government and Whyalla steelworks operator GFG Alliance will negotiate a supply agreement from the $593m government-owned hydrogen power plant to be built near Whyalla, to fuel green iron production.

The world's biggest hydrogen production facility, power plant and storage is planned for the area around Whyalla.