Alternative Fuels

Blue Economy launches hydrogen production facility in Tasmania

March 11, 2025

Australia-based research centre Blue Economy Cooperative Research Centre (CRC) has launched a green hydrogen production and research facility in Tasmania.

PHOTO: Electrolyser installed at the green hydrogen production facility. Blue Economy CRC


The facility is expected to produce about 262kg of green hydrogen per day, enough to run two 22 metre hydrogen fuel cell-powered passenger ferries that can carry 75 people for a day, Blue Economy CRC claimed.

The production unit is situated at BOC Australia’s Lutana site in Hobart. It features an electrolyser attached to a direct current (DC) hydrogen microgrid system that can “recreate the inputs from renewable energy such as wind, solar or ocean energy, and mirror loads from industry to simulate real-life applications,” the research centre further claimed.

The facility is Tasmania’s “first green hydrogen production plant and supports research and training development for blue economy industries,” Blue Economy CRC said. It will also provide commercial-scale hydrogen for industry and transport applications, the research centre added.

Blue Economy CRC, an Australian government-backed research consortium, is leading the project in collaboration with BOC Australia, the Tasmanian Government, Pitt & Sherry, Optimal Group, the University of Tasmania, Griffith University, and Hydro Tasmania.

Challenges with hydrogen as a bunker fuel

Hydrogen-based technologies are making their way into short-sea shipping due to green hydrogen's zero-emission properties. However, some concerns around hydrogen as a mainstream fuel exists as hydrogen is both explosive and flammable.

Due to its very low energy density, hydrogen-powered vessels would need much larger tanks to store the same amount of energy as VLSFO- or LNG-powered vessels.

Since hydrogen needs to be compressed or stored cryogenically at low temperatures, it adds to the complexity of on-board storage, increasing the cost of bunkering and operational logistics.

By Aparupa Mazumder

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