Australian Government Announces CCS Funding in Federal Budget
29th March 2022
Australian Treasurer, Josh Frydenberg, has handed down a 2022-23 budget with a strong focus on the cost of living and regional development. The energy and emissions reduction portfolio will see new investment, including across carbon capture and storage (CCS).
Specific CCS investment include:
- $300 million to support low emissions LNG and clean hydrogen production at Darwin in the Northern Territory, together with associated CCS infrastructure. The Government highlighted the potential of Darwin to become a world-leading clean energy hub with access to natural gas and CO2 storage resources.
- $200 million to enhance Australia’s supply chain security through new low emissions manufacturing facilities (using hydrogen and hydrogen derivatives like ammonia, as well as carbon capture utilisation and storage) in the Pilbara region.
- $50.3 million over two years to accelerate the development of priority gas infrastructure projects as part of the National Gas Infrastructure Plan, including support for investment in CCS pipeline infrastructure.
New funding will add to that existing for CCS projects and hubs announced in the 2021-22 budget.
Within the same portfolio, initiatives in the Modern Manufacturing Strategy, hydrogen, regional microgrids, and grid infrastructure all received funding.