A new electrolysis technology being developed in Australia can produce hydrogen at 98pc efficiency, potentially enabling a green hydrogen production cost well below A$2/kg ($1.50/kg), according to a peer-reviewed study in science journal Nature.

The technology was invented by scientists at the University of Wollongong and is being commercialised by technology firm Hysata, with backing from intellectual property company IP Group and finance body the Clean Energy Finance Corporation (CEFC).

“High energy efficiency, combined with the promise of a simplified balance-of-plant, brings cost-competitive renewable hydrogen closer to reality,” says the study.

Hysata’s capillary-fed electrolysis cell promises reduced capex and opex compared with conventional water electrolysers by introducing gas chambers that reduce the number of bubbles in the electrolysis process. Most commercial electrolyser technologies operate at an efficiency of around 75pc or less.

The company is on a pathway to reach gigawatt-scale hydrogen production capacity by 2025, according to Hysata CEO Paul Barrett.

“Our electrolyser will deliver the world’s lowest hydrogen cost, save hydrogen producers billions of dollars in electricity costs and enable green hydrogen to outcompete fossil fuel-derived hydrogen,” he says.

“This is critical to making green hydrogen commercially viable and decarbonising hard-to-abate sectors.”

The firm plans to build a pilot electrolyser manufacturing plant and expand its workforce in 2022, as well as raise more funds.

National strategy

Australia aims to become a “major player” in global hydrogen production and trade by 2030 and has produced a thorough policy roadmap in support of this goal. The roadmap aims to bring the cost of clean hydrogen below A$2/kg.

Australia spent the highest share of its energy-related R&D money on hydrogen between 2015 and 2019 of any country in the world, according to IEA data.

CEFC, with a capitalisaton of $7.6bn, is the largest dedicated green bank in the world. The organisation operates a $300mn Advancing Hydrogen Fund.