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Siemens to construct 6MW green hydrogen plant

  • Market: Electricity, Hydrogen
  • 28/09/20

German manufacturing firm Siemens will build a 6MW electrolysis plant to produce green hydrogen.

Construction is scheduled to start at the end of this year.

The plant is scheduled to be commissioned by the end of 2021 and will be located in the region of Wunsiedel, in the German state of Bavaria.

Green hydrogen will be produced from electricity from wind and solar farms located in the region. The hydrogen will be used to supply the transport and industry sectors, Siemens said.

The electrolysis should help to avoid bottlenecks and increase flexibility in the power grid, the firm said.

Earlier this year, German utility Uniper and Siemens signed a co-operation agreement to develop projects focused on green hydrogen. The German government agreed on the country's national hydrogen strategy in June. Under this strategy, it aims to invest €7bn in its domestic hydrogen sector by 2022.


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05/05/25

Australia's Labor win may aid low-carbon Fe, Al sectors

Australia's Labor win may aid low-carbon Fe, Al sectors

Sydney, 5 May (Argus) — The Australian Labor party's victory in the country's 3 May parliamentary election could support low-carbon iron and aluminium developers, providing policy clarity and public capital to the sectors. Labor's victory provides more certainty around Australia's A$14bn ($9.06bn) green hydrogen subsidy scheme, which will help steel producers transition towards hydrogen-powered steel furnaces. The opposition Coalition during the election pledged to scrap the programme, which will allow producers to claim A$2/t of green hydrogen produced from 2027. Australian steelmaker NeoSmelt and South Korean steelmaker Posco are developing electric iron smelters in Western Australia (WA) that produce hot-briquetted iron, which is used in the green steel process. Both projects will initially rely on natural gas but may transition to hydrogen-based processing as hydrogen production rises. Australia's hydrogen tax credits may prove crucial given ongoing hydrogen production challenges. South Australia's state government closed its Office of Hydrogen Power SA on 2 May, following a funding cut earlier this year. Labor can now also move forward with plans for A$2bn in low-emissions aluminium production credits, beginning in 2028-29. Smelters will be able to claim credits per tonne of low-carbon aluminium produced, based on their Scope 2 emission reductions. The party's proposal does not include any blanket credit for producers. Labor's aluminium production credits are aimed at supporting the Australian government's goal of doubling the country's share of renewable power from about 40pc to 82pc by 2030. Australian producers export about 1.5mn t/yr of aluminium, according to industry body Australian Aluminium Council, from four smelters located around the country. Green iron funding Labor's election win also secures its A$1bn lower-emission iron support pledge , first announced in late February. Half of the fund will go towards restarting and transitioning the 1.2mn t/yr Whyalla steelworks in South Australia into a green steel plant. The other half will support new and existing green iron and steel projects to overcome initial funding barriers. Labor has not allocated any funding through the programme yet. By Avinash Govind Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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Exxon sees 45V surviving, needs blue H2 offtake


02/05/25
News
02/05/25

Exxon sees 45V surviving, needs blue H2 offtake

Houston, 2 May (Argus) — ExxonMobil chief executive officer Darren Woods expects low-carbon hydrogen production incentives to survive a White House review, but he wants more sales commitments before making a final investment decision on a company project in Baytown, Texas. "Our expectation is that things that we need to drive low-carbon hydrogen will probably stay in place," Woods said during the company's first-quarter earnings call Friday. "But we have to see that manifested." Woods has said that the 45V hydrogen production tax credit is "critical" to establishing a market for the zero-emissions fuel that can stand on its own and compete against fossil fuels. The company is developing what it describes as the largest low-carbon hydrogen plant in the world in Baytown, designed to produce 1bn cf/d of hydrogen from natural gas with carbon capture. While the 45Q incentive is available for projects using carbon capture and sequestration to lower emissions, ExxonMobil has repeatedly indicated it is pursuing the more lucrative 45V for the massive hydrogen and ammonia production project planned on the Texas Gulf coast. In addition to certainty about federal incentives, Woods said the company also needs to secure more offtake agreements in order to make a final investment decision. "I'd say right now that's probably the long pole in the tent with respect to driving this," Woods said. "When those two things come together and we're confident that we have what we need to generate the returns that's going to be required to justify the investments, we'll move forward. Hopefully, that's later this year." Most of the project's production would be used to decarbonize operations at Exxon's 564,500 b/d Baytown refinery, while the remainder is being targeted for exports in the form of ammonia. In January, the company signed an agreement to sell ammonia to European trading firm Trammo. Japanese power producer Jera has said it is considering 500,000 t/yr of ammonia offtake as part of its plans to take an equity stake in the project. By Jasmina Kelemen Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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South Australia closes Hydrogen Power SA office


02/05/25
News
02/05/25

South Australia closes Hydrogen Power SA office

Sydney, 2 May (Argus) — The state government of South Australia has rolled its Office of Hydrogen Power SA (OHPSA) into the Department of Energy and Mining (DEM), after scrapping plans for a 250MW electrolyser and 200MW hydrogen-fired power station. The OHPSA has been absorbed into the other state department, a spokesperson for SA energy minister Tom Koutsantonis said on 2 May. This comes after the state cut the A$593mn ($381mn) it had promised for its Hydrogen Jobs Plan in early 2025. The funds were reallocated to subsidise the 1.2mn t/yr Whyalla steelworks, which entered administration on 19 February . The associated Office of Northern Water Delivery, which was intended to support the green hydrogen sector in the state's upper Spencer Gulf region with new water pipeline supply, has also been incorporated within the DEM, Koutsantonis said on 1 May. SA's other major hydrogen hub planned at nearby Port Bonython was also overseen by the OHPSA. Development agreements with five companies have been signed for Port Bonython, including with London-based energy company Zero Petroleum for an e-SAF plant . SA is aiming to transition the ageing Whyalla steelworks to develop low emissions iron and steel products, but administrator KordaMentha is yet to finalise a buyer for Whyalla's controlling company OneSteel, which was formerly owned by UK-based GFG Alliance. By Tom Major Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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Australia's Coalition eyes power, resource funding cuts


02/05/25
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02/05/25

Australia's Coalition eyes power, resource funding cuts

Sydney, 2 May (Argus) — Australia's federal Coalition opposition has announced it will cut key energy rebates and resource sector subsidies, if elected on 3 May, to reduce forecast future budget deficits. The Peter Dutton-led opposition will cut programs, including the Labor government's A$20bn ($12.8bn) Rewiring the Nation transmission plan, and the A$15bn National Reconstruction Fund aimed at underwriting green manufacturing using domestic minerals. It will also unwind electric vehicle tax concessions to save A$3.2bn, and cancel planned production tax credits for critical minerals processing and green hydrogen estimated to cost A$14.7bn. Combined savings measures will improve the budget's position by A$13.9bn over the four years to 2028-29, the Coalition said on 1 May, cutting debt by A$40bn during the same timeframe. The announcement comes as opinion polls show Australia's next federal government is likely to force one of the two major parties into minority, after a campaign where cost-of-living relief promises have trumped economic reform policy. The centre-left Labor party is more likely than the conservative Coalition to form government at the 3 May poll. It holds a thin majority of just three seats in parliament's main chamber, the House of Representatives, meaning a swing against it would force it to deal with minor parties such as the Greens and independent groupings. Promising a stable government, as Australia emerged from Covid-19, Labor had benefited from a resources boom as Russia's invasion of Ukraine led LNG and coal receipts to skyrocket and China's emergence from lockdowns revitalised its demand for iron ore, which jointly form the nation's main commodity exports. But as markets adjust to a period of protectionist trade policy and predictions of a slowdown in global growth abound, economists have criticised the major parties' reluctance to embrace major reform on areas such as taxation, while continuing to spend at elevated levels post-pandemic. Australia's resource and energy commodity exports are forecast to fall to A$387bn in the fiscal year to 30 June 2025 from A$415bn in 2023–24. The Office of the Chief Economist is predicting further falls over the next five years, reaching A$343bn in 2029-30, lowering expected government revenue from company tax and royalties. Gas The Coalition has pledged a domestic reservation scheme for the east coast, forcing 50-100PJ (1.34bn-2.68bn m³/yr) into the grid by penalising spot LNG cargoes. Australia's upstream lobby has opposed this, but rapidly declining reserves offshore Victoria state mean gas may need to be imported to the nation's south, depending on the success of electrification efforts and an uncertain timeline for coal-fired power retirements. Labor has resisted such further gas interventions , but it is unclear how it will reverse a trend of rising gas prices and diminishing domestic supply, despite releasing a future gas plan last year. The party is promising 82pc renewables nationally by 2030, meaning it will have to nearly double the 2025 year-to-date figure of 42pc. This could require 15GW of gas-fired capacity by 2050 to firm the grid. On environmental policy, narrowing polls mean Labor's likely partners in government could be the anti-fossil fuel Greens and climate-focused independents — just some of the present crossbench of 16 out of a parliament of 151. The crossbench may drive a climate trigger requirement in any changes to environmental assessments, which could rule out new or brownfield coal and gas projects. Coal has been conspicuously absent from policy debates, but Labor has criticised the Coalition's nuclear energy policy as expensive and unproven, while the Coalition has said Labor's renewables-led grid would be unstable and costly because of new transmission requirements. The impact of the US tariff shock that dominated opening days of the month-long election campaign remains unclear. Unlike Canada, Australia is yet to be directly targeted by US president Trump's rhetoric on trade balances and barriers. But the global unease that has set in could assist Labor's prime minister Anthony Albanese, as he presents an image of continuity in an uncertain world economy. Australia's main exposure to Trump tariffs is via China, its largest trading partner and destination for about 35pc of exports, including metal concentrates, ores, coal and LNG. A downturn in the world's largest manufacturer would spell difficult times ahead for Australia, as it grapples with balancing its budget in a normalising commodity market. By Tom Major Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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Brazil's energy transition spending drops in 2024


30/04/25
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30/04/25

Brazil's energy transition spending drops in 2024

Sao Paulo, 30 April (Argus) — Brazil's mines and energy ministry's (MME) energy transition spending shrank by 83pc in 2024 from the prior year, while resources for fossil fuel incentives remained unchanged, according to the institute of socioeconomic studies Inesc. The MME's energy transition budget was R141,413 ($24,980) in 2024, down from R835,237 in the year prior. MME had only two energy transition-oriented projects under its umbrella last year: biofuels industry studies and renewable power incentives, which represented a combined 0.002pc of its total R7bn budget. Still, despite available resources, MME did not approve any projects for renewable power incentives. It also only used 50pc of its budget for biofuel studies, Inesc said. Even as supply from non-conventional power sources advances , most spending in Brazil's grid revamp — including enhancements to better integrate solar and wind generation — comes from charges paid by consumers through power tariffs, Inesc said. Diverging energy spending Brazil's federal government also cut its energy transition budget for 2025 by 17pc from last year and created a new energy transition program that also pushes for increased fossil fuel usage. The country's energy transition budget for 2025 is R3.64bn, down from R4.44bn in 2024. The new program — also under MME's umbrella — has a budget of around R10mn, with more than half of it destined to studies related to the oil and natural gas industry, Inesc said. A second MME program — which invests in studies in the oil, natural gas, products and biofuels sectors — has an approved budget of R53.1mn. The science and technology ministry is the only in Brazil that increased its energy transition spending for 2025, with R3.03bn approved, a near threefold hike from R800mn in 2024. Spending will focus on the domestic industry sector's energy transition, Inesc said. Climate activists have criticized Brazil for not planning to phase out fossil fuels before, including criticisms to the first letter written by the UN Cop 30 summit's president. The country will hold the summit in November in northern Para state. By Maria Frazatto Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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