PIAC provided a response to the Department of Climate Change, Energy, the Environment and Water’s Consultation Paper for their Review into the National Hydrogen Strategy.
The hydrogen strategy should embed robust principles of rapid, efficient decarbonisation and consumer benefit to ensure hydrogen plays the most effective part in decarbonisation in the interests of the Australian community. Those principles could include:
- That only 100% green hydrogen is regarded as clean hydrogen.
- Actions which decarbonise existing and ongoing hydrogen (and related product) use are prioritised.
- Actions are prioritised by the materiality of their decarbonisation impact and only actions which lead to material emissions elimination or reduction are supported.
- Impact on decarbonisation by 2030 is a priority and actions which can meet the materiality threshold in this timeframe are prioritised. This should include consideration of the potential indirect impacts of clean hydrogen options on decarbonisation elsewhere (for instance in the energy system)
- Support for decarbonisation through clean hydrogen should only be pursued where it is the most efficient alternative (having regard to both materiality and timeliness).
- Decarbonisation through clean hydrogen should not involve costs and risks being carried by consumers.
- Support for decarbonisation through clean hydrogen should not undermine or distort the efficiency or fairness of other cost-recovery or regulatory systems and processes, for instance in the energy system.