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Japan-Australia flagship hydrogen project stumbles

  • The Hydrogen Energy Supply Chain , a billion-dollar project between Japan and Australia, aims to ship liquid hydrogen from Australia to Japan to help Japan meet its net-zero goals and become a hydrogen fuel leader, with a demonstration phase deadline of 2030.
  • Japan, the world's fifth largest single-country emitter of carbon dioxide with 974 million tonnes emitted from fuel combustion in 2022, is resource-poor and seeks alternative energy sources to reduce its reliance on fossil fuels, which emit planet-warming greenhouse gases.
  • The HESC project, located in Victoria, Australia, plans to produce blue hydrogen from lignite coal, aiming to reduce CO2 emissions by 1.8 million tonnes per annum with Japan pledging 220 billion yen towards its commercial demonstration phase, including building a liquid hydrogen storage site near Kobe.
  • Due to delays in Australian procedures and environmental concerns over carbon capture and storage, HESC will now source hydrogen from Japan to meet its 2030 deadline, despite a Kawasaki Heavy Industries spokesman stating that the shift was "chiefly because of delay in procedures on the Australian side" and that "there is no change to the goal of building a new supply chain".
  • Experts like David Cebon believe the HESC project will likely fail due to high costs, engineering challenges, and the difficulty of proving carbon capture and storage works, while Noe van Hulst notes that developing a low-carbon hydrogen market will take decades, similar to wind and solar, but states "there isn’t really an alternative to decarbonize these hard-to-electrify sectors like steel, cement, ships and planes".
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Japan-Australia flagship hydrogen project stumbles

TOKYO, Japan – Japan wants to become a hydrogen fuel leader to meet its net-zero goals, but one blockbuster project is hanging in the balance over questions about its climate credentials. The Hydrogen Energy Supply Chain (HESC) is billed as a billion-dollar attempt to ship liquid hydrogen from Australia to Japan. However, cold feet about

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atalayar.com broke the news in on Sunday, March 30, 2025.
Sources are mostly out of United States (11)

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