Western Australian transport company Centurion is set to buy and operate two hydrogen powered prime movers.
The move comes as it announced its partnership with Woodside Energy and BGC, a construction and housing specialist, that would also invest in hydrogen heavy vehicle technology.
It was anticipated that BGC would purchase and operate between five to ten hydrogen fuel cell concrete agitator trucks.
The news follows today’s announcement that all three companies were set to advance plans for a proposed self-contained hydrogen production, storage and refuelling station situated at the Rockingham Industry Zone.
With support from the Western Australian Government, the project was proven successful in the Expressions of Interest stage of the Department of Jobs, Tourism, Science and Innovation’s $10 million Hydrogen Fuelled Transport Program.
The Program aims to accelerate the uptake of hydrogen fuelled transport, build local skills and capability, and stimulate local hydrogen production in Western Australia.
With matched funding from Woodside, the proposal targets delivery of hydrogen fuel at a globally competitive price of $11 per kilo and subsidises a number of large hydrogen fuel cell electric vehicles.
Centurion CEO, Justin Cardaci, said it was crucial for the company to support the development of transport sector related technology.
“Transport and logistics is an emissions intensive sector and it is incumbent on businesses like ours to actively participate in the energy transition and the journey towards a net-zero emissions future”, he said.
“The investment by the WA Government and Woodside in hydrogen refuelling technology is a material step for companies like ours to accelerate the use of renewable fuel in the transport sector to transition its sustainability pathway.”
Named the Hydrogen Refueller @H2Perth, the project aims to supply low cost, renewable hydrogen fuel for local customers and stimulate and enable hydrogen demand in Western Australia where the state government wants hydrogen to be a significant fuel source for transportation by 2030.
The project would likely be located adjacent to Woodside’s proposed H2Perth project, a proposed domestic and export-scale hydrogen and ammonia production facility.
Hydrogen is proposed to be produced using a 2-megawatt electrolyser, powered by renewable energy sourced from the South West Interconnected System.
Production will be timed to occur during periods of excess solar in the grid and stored on-site.
Where needed, Woodside will also use Renewable Energy Certificates.
Initially, Woodside is targeting production of 235 kilograms per day of hydrogen at the Hydrogen Refueller @H2Perth, with the potential to scale up to a targeted 800 kilograms per day.
Hydrogen Refueller @H2Perth will be available to industrial customers, as well as the public.
Through the Program, hydrogen is targeted to be made available at a globally competitive price of A$11 per kilogram for a 10-year period.
Woodside has signed conditional, non-binding offtake Memorandums of Understanding (MoU), stating its intention to supply hydrogen from Hydrogen Refueller @H2Perth to BGC and Centurion, both of which will invest in hydrogen fuel cell vehicles as a result.
BGC CEO, Daniel Cooper said the initiative would be important to the future of mainstream hydrogen uptake in WA.
“BGC welcomes the opportunity to work with Woodside, Centurion and the State Government to progress the energy innovations needed to keep our industries powered into the future,” he said.
“We look forward to assessing the performance of these vehicles and sharing our learnings broadly to build the case for wider deployment.”
It is envisaged the grant will support BGC and Centurion with purchasing the vehicles to replace large diesel trucks currently in use.
Woodside also proposes to lease a small fleet of Hyundai Nexo vehicles which are to be refuelled at the facility.
The grant will also support Woodside’s operation of the facility to be able to offer hydrogen at the targeted price.
Woodside Energy CEO, Meg O’Neill said the Hydrogen Refueller @H2Perth demonstrated Woodside’s support for the continued development of Western Australia’s hydrogen market.
“The proposed refuelling facility would deliver on our commitment to make low cost, lower-carbon hydrogenbased energy available to local customers, while also progressing export opportunities such as H2Perth,” she said.
“We don’t just need new sources of energy, we need an entirely new and integrated supply chain for successful energy transition,” said O’Neill.
“I would like to acknowledge and commend the Western Australian Government on its efforts to encourage the development of a homegrown hydrogen industry.”
Woodside will continue to progress design work and engagement with relevant regulatory bodies. Subject to necessary commercial arrangements and regulatory approvals, including securing land tenure, Woodside is targeting start-up at the Hydrogen Refueller @H2Perth in 2024.