The NSW government has approved the development of the state’s first hydrogen gas facility at Horsley Park.

Planning and Public Spaces minister Rob Stokes says the project will be the largest renewable gas trial in the country and could provide green gas to power Sydney’s homes and businesses in as little as five years if the trial is rolled out.

“The $18 million Western Sydney Green Gas Project will be a prototype for future green hydrogen projects,” says Stokes.

“Hydrogen can revolutionise the fuel and gas industry, creating opportunities for low emissions technologies and jobs.”

The project will operate as a trial over five years to demonstrate the commercial feasibility of power-to-gas technology.

Energy Minister Matt Kean says the flagship project, delivered by Jemena and partially funded by the Australian Renewable Energy Agency, will inform the State’s transition to an economically and environmentally sustainable energy supply into the future.

“This will help to position NSW as a nation-leader in green gas supply and storage projects as we transition to a low carbon gas network,” says Kean.

“It will also help us reach our ambitious aspiration of injecting 10 per cent hydrogen into our gas network by 2030.”

The project involves converting tap water and grid electricity from renewable sources into hydrogen gas. The hydrogen gas is then injected into the gas distribution network to supply homes, power buses and generate electricity.

Construction will commence in the next three months, with the facility due to be completed by early next year.

Image: NSW gov't