Green Hydrogen Price Reduction Scheme

What is the Scheme?

The Tasmanian Government has announced a further round of funding under the Tasmanian Renewable Hydrogen Industry Development Fund (TRHIDF) to assist the local renewable hydrogen industry to develop.

The Green Hydrogen Price Reduction Scheme (GHPRS) allocates up to $8 million to incentivise businesses intending to produce, sell and use green hydrogen within Tasmania.

The GHPRS aims to bring the sale price of green hydrogen down to a level that is competitive with other energy or fuel sources to become an attractive zero emissions substitute for end users. This will help to lower the sale price for green hydrogen while the industry develops.

It is expected that GHPRS will best support small to medium scale green hydrogen production projects within the range of 5-10MW.

How will it work?

Applicants will be asked to nominate their proposed sale price of green hydrogen and their cost of production. Payments to a successful recipient will be targeted to cover the difference between the cost of production and a competitive sale price for green hydrogen to encourage broad use and industry uptake.

When does it open and close?

The application process is now open and will be open for a period of six (6) weeks.

Registration of Interest

Interested parties are strongly encouraged to register their interest in GHPRS to stay up to date on any new information. All registered parties will be advised immediately if updates are made.

Please register your interest by sending your name, company name, and key contact details to the Contact Officer: ghprs.contactofficer@recfit.tas.gov.au.

Applications

GHPRS is available for businesses proposing green hydrogen production projects located in Tasmania.

The application process requires applicants to submit responses that meet the eligibility criteria and addresses the merit criteria. Submissions should also include relevant detail to reinforce assumptions and list prospective customers and their confidence in the offtake agreement.

Download the program guidelines (PDF 390.7 KB) that provide greater detail on the Scheme and the selection criteria.

To access the application portal which outlines the specific application requirements and contains templates for your submission: Domestic Hydrogen Activity - Green Hydrogen Price Reduction Subsidy 2023.

Frequently asked questions can be viewed here (PDF 264.6 KB) and will be updated regularly.

Successful recipients will be required to enter into a funding agreement with the Department of State Growth.

How will applications be assessed?

As this is a competitive process and there is a maximum amount of funding available, not all eligible applicants will be successful.

Applications for GHPRS will be competitively assessed by an independent panel, the recommendations will then be passed directly to the Minister for Energy and Renewables for final approval.

Applicants are advised that the amount of information required to complete a quality submission is substantial and the timeframe for applications is strictly limited.