Fortescue will cut 700 jobs and slow its push into green hydrogen in a blow to the Albanese government’s plan to make Australia a hydrogen superpower supported by more than $8 billion of taxpayer-funded incentives.

Fortescue chairman Andrew Forrest said low carbon “green” hydrogen still had a bright future, but his immediate focus would shift to renewable electricity as he jettisoned a target for Fortescue to produce 15 million tonnes of green hydrogen by 2030.