Australia and Germany have initiated a joint H2Global auction

The governments of Australia and Germany have agreed to create a bilateral H2Global tender, with each contributing €200 million to a joint auction. This auction will follow a format similar to a recent pilot, in which Fertiglobe secured €397 million over ten years for importing renewable ammonia from Egypt to Rotterdam. Canada has also introduced a bilateral H2Global initiative, with early ammonia projects leading the way in securing funding for hydrogen transport across the Atlantic.

Australia is the first country in the southern hemisphere to agree to a joint H2Global funding program. This agreement will initiate the development of a renewable hydrogen shipping route to Europe, focusing on hydrogen derivatives such as methanol and ammonia. The first auction is set to take place next year, with annual auctions expected to begin by 2027/2028.

A February 2023 HySupply chain study, conducted jointly by Australia and Germany, highlighted the need for immediate support to help Australian export projects scale up from pilot phases to full operations. The study also pointed out several issues, including the need for shared infrastructure development at hubs, that must be addressed to establish a supply corridor between Australia and Europe. Funding has been provided for several production projects and technology developers to support these efforts.