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Home Solar Batteries

How Solar and Hydrogen Are Transforming Australia’s Clean Energy Landscape

admin by admin
July 9, 2025
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As the global push for decarbonisation accelerates, solar and hydrogen are emerging as a powerful duo in Australia’s clean energy transition. When paired effectively, these two technologies offer a sustainable, low-emission solution to the country’s growing energy demands. 

At Energy Matters, we’re helping Australians harness these future-forward technologies for a cleaner, greener tomorrow. Whether you’re a business, government entity, or homeowner, now is the time to explore solar hydrogen solutions that can shape Australia’s energy future. 

In Energy Matters TV Show Episode 2: LAVO Hydrogen, our CEO, Roshan, highlighted the LAVO hydrogen storage system, which demonstrates how solar-powered hydrogen can be stored for usage in homes. 

What is green hydrogen, and why does it matter?

Green hydrogen is produced via electrolysis powered by renewable sources, such as solar or wind energy, unlike grey or blue hydrogen, which rely on fossil fuels.

Why Australia is positioned to lead in solar and hydrogen

Australia’s abundance of solar radiation and vast open land give it a unique advantage in producing solar-powered hydrogen. This form of green hydrogen is produced through electrolysis, utilising renewable energy from solar power to split water into hydrogen and oxygen, providing a completely emission-free fuel.

Key reasons why Australia is poised to lead in solar hydrogen production:

  • Sun-rich environment: Australia has one of the highest solar radiation levels globally, making it an ideal location for large-scale solar energy production.
  • Large-scale solar infrastructure: The rapid growth of solar farms and rooftop installations supports hydrogen production using clean electricity.
  • Government incentives and investment: Ongoing support for green hydrogen Australia projects, including the Hydrogen Headstart initiative.
  • Strategic geographic location: Proximity to nations like Japan, South Korea and China makes exports economically viable.

Benefits of green hydrogen:

With solar hydrogen, Australia can reduce its reliance on fossil fuels and create a new economic sector based on sustainable energy.

  1. Zero carbon emissions – A clean alternative to coal, gas, and oil.
  2. Decarbonisation across sectors – Fuels transport, powers industries, and heats buildings without emissions.
  3. Boosts export potential – Australia could become a global supplier of solar-powered hydrogen.
  4. Versatile energy carrier – It powers fuel cells, vehicles, and heating systems, and can be exported as a clean fuel.
  5. Job creation – Significant employment opportunities in manufacturing, construction, and the operation of hydrogen facilities.
  6. Regional development – The Establishment of hydrogen hubs can revitalise regional economies.
  7. Energy storage – Solar battery storage system converts surplus solar energy into a stable, storable form. Hydrogen can store excess solar energy, addressing challenges of intermittency and improving grid stability.

Use Energy Matters’ easy-to-use solar power and battery storage calculator to determine the size of your solar system with storage! Our solar calculator will generate performance information and potential savings. 

We can send this information to 3 of our pre-vetted and trusted local installers in your area to receive obligation-free solar quotes and take the first step towards true energy independence!

solar power and battery storage calculator

Major solar hydrogen projects

Several ground-breaking solar hydrogen projects are taking shape, signalling a promising shift toward green energy:

1. Asian Renewable Energy Hub (Western Australia)

  • One of the world’s largest renewable energy projects.
  • Aims to generate solar and wind power to produce green hydrogen and ammonia for domestic use and export.

2. LAVO (China)

  • LAVO‘s hydrogen production system in China, although not based in Australia, demonstrates the potential of Australian technology on a global stage. An Australian company called LAVO has developed a hybrid solar-hydrogen battery that uses hydrogen to store excess solar energy. Check out Episode 2 of Energy Matters on 9Now if you missed the LAVO Hydrogen segment.
LAVO Hydrogen Energy Matters TV
The LAVO Hydrogen vessels
The LAVO Hydrogen vessels

The role of solar power in hydrogen production

Solar-powered hydrogen production involves using photovoltaic (PV) systems to power electrolysers. When sunlight is abundant, excess solar energy that would otherwise be wasted is harnessed to produce hydrogen.

How it works:

  1. Solar panels capture sunlight and convert it to electricity.
  2. Electrolysis systems use this clean electricity to split water into hydrogen and oxygen.
  3. Hydrogen is stored and later used for fuel cells, electricity generation, or industrial processes.

This process makes hydrogen not just clean but renewable and sustainable, positioning solar hydrogen as a cornerstone of Australia’s energy resilience.

Key industries set to benefit from solar hydrogen

Several Australian sectors stand to gain significantly from the adoption of solar-powered hydrogen, including:

1. Transport

  • Hydrogen-powered vehicles, including buses and heavy trucks, are ideal for long distances and quick refuelling.
  • Reduces emissions in a sector responsible for over 18% of Australia’s greenhouse gases.

2. Mining and heavy industry

  • Hydrogen can replace diesel in remote mining operations, lowering both costs and emissions.
  • Great potential for steel and chemical production using green hydrogen as an alternative to fossil fuels.

3. Agriculture

  • Fertiliser production is one of the most significant industrial uses of hydrogen.
  • Solar hydrogen provides a cleaner method for producing ammonia.

4. Power grid support

  • Hydrogen provides long-duration energy storage, complementing battery systems during low solar output.
  • Improves grid stability in remote and off-grid areas.

Challenges facing solar hydrogen in Australia

Despite its potential, solar hydrogen faces several challenges before it can be scaled nationwide.

Key barriers:

  • High production costs: Electrolysers and storage solutions remain expensive.
  • Infrastructure gaps: Pipelines, refuelling stations, and export facilities need significant investment.
  • Water usage: Electrolysis consumes fresh water, which can be scarce in arid regions.

Addressing these concerns will require a coordinated government policy, investment in research and development (R&D), and public-private partnerships to ensure the long-term viability of green hydrogen initiatives in Australia.

The path forward for solar and hydrogen in Australia

Australia is on the cusp of an energy revolution powered by solar and hydrogen. With ample sunshine, robust infrastructure, and growing government support, the future of solar-powered hydrogen looks promising. 

At Energy Matters, we’re here to help you explore clean energy solutions for your home, business, or project— let’s build a greener Australia. Get your free solar quotes today and be part of the energy revolution!

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