Renewable Hydrogen Ecosystem Study, Goulburn Valley, Australia
Aurecon's study guided Goulburn Valley Water to identify pathways to a renewable hydrogen ecosystem and support a clean energy transition in regional Victoria.
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The hydrogen revolution is gathering pace with both Australia and New Zealand governments and private organisations progressing projects, strategies and policy frameworks.
Aurecon was appointed by the Water Services Association of Australia (WSAA), the peak body for the urban water industry, to conduct research into the water demands for hydrogen production pathways.
The report, titled 'Water – Fuelling the path to a hydrogen future', finds that as Australia and New Zealand progress towards a net zero carbon emissions future, hydrogen is likely to play a key role in the physical transition to renewable energy and the water market is central to these efforts. It recognises that the water industry has a strong role to play in enabling this transition through supporting the evolution of a hydrogen economy.
The report has been compiled to advance the knowledge of the water industry, stakeholders and decision-makers, about the water-related issues that need to be considered in the development of a hydrogen economy.
It should also help coalesce the future questions that still need to be resolved, which could help frame a future hydrogen research agenda for the urban water industry.
Several different projects are already stretching the horizons of water market innovation and participation. It is against this spectrum of diverse hydrogen projects that this report has been written.
As the hydrogen economy gathers pace, now is the right time for water utilities to consider the implications for urban and regional water and share perspectives on its contribution to the hydrogen economy.
The viability of participating in the hydrogen economy for a water utility is dependent on three major attributes:
In particular, the water market could benefit from advancements in knowledge about how oxygen can be used in wastewater treatment plants, how this could defray the costs of hydrogen production, and how methanation could be added to existing facilities and plants.
There is a significant complementarity emerging for water utilities to consider. The water treatment processes required for hydrogen electrolysis are the same processes the water market is likely to use in the future to treat discharged wastewater for the environment, and potentially to supplement drinking water supplies.
These sympathetic drivers for the use of recycled water are a promising scenario to envisage the water utility of the future, harnessing the full potential of highly treated recycled water.
One example being explored is that treatment plants and hydrogen hubs could be co-located. These concepts may provide significant benefit to both economies, such as infrastructure development cost savings, lower transportation costs, proximity to other industries or customers, and technology advancements.
These considerations are underpinned by the economic and environmental opportunities of a circular economy approach; retaining maximum value in products, components, and materials, and regenerating natural capital.
The report identifies that with the hydrogen economy, the water sector would be stepping outside its traditional zone of operation. It has the technical skills and resources to be able to create valuable products in tomorrow’s hydrogen economy. There are several commercial aspects – such as bringing new products to market and setting prices – that require addressing.
As such, the report concludes that the road ahead to explore how individual water utilities can best make inroads into the emerging hydrogen economy will come from information sharing across different markets, partnerships between utilities for developments, and coordination with stakeholders.
No single market can implement the required change, but together, they can utilise a collaborative nature to drive the change that is needed.
Aurecon's study guided Goulburn Valley Water to identify pathways to a renewable hydrogen ecosystem and support a clean energy transition in regional Victoria.
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