Australia| Calling for Renewable Gas Target

31 May, 2021

Jemena company called for a Renewable Gas Target at this year’s Australian Energy Week as a crucial next step towards achieving net-zero emissions in Australia by 2050.

Jemena’s Managing Director, Frank Tudor, said a Renewable Gas Target would likely replicate the success of the Renewable Energy Target (RET) which helped to spur the development of renewable technologies in the electricity sector.

“This is the jump-start the gas sector needs to truly commercialise zero-emission gases such as hydrogen and biomethane and make them available to Australian homes and businesses at scale,” said Mr Tudor.

Mr Tudor said that by deploying renewable gas using existing infrastructure to achieve net-zero emissions by 2050, Australian energy consumers would also avoid costly, and unnecessary, upgrades to the energy sector.

Mr Tudor said a subsidy in the order of $3-15/GJ could facilitate the entry of significant amounts of renewable gas into Australia’s gas networks, and is much less than the subsidy offered under the RET to the electricity sector, which was the equivalent of $22/GJ.

“A Renewable Gas Target will also give confidence to those hard to abate sectors such as the manufacturing sector  which rely on gas as a fuel stock, that they will be able to continue operating in Australia while decarbonising their supply chains. Renewable gases can also be used in the transport sector, particularly by larger vehicles such as buses and haulage vehicles. At the same time, we believe renewable gas will also provide firming power to intermittent renewable generation, particularly as hydrogen-fuelled power stations are developed.”

Jemena’s call for a Renewable Gas Target follow the company’s call for a Green Gas Certification Scheme which would enable customers to purchase verified green gas from their energy retailers in the same way they purchase renewable electricity.

Author: KS / Source: Jemena