First Headstart funding announced in Australia

AU$814 million for the Murchison Green Hydrogen project

Click to learn more. Graphic visualisation of the Murchison Green Hydrogen project, which will receive AU$814 million in production credits from the Australian government’s Hydrogen Headstart program. Source: Copenhagen Infrastructure Partners.

The Copenhagen Infrastructure Partners-led project will receive AU$814 million in funding to bridge the commercial gap for renewable hydrogen production. The Australian Renewable Energy Agency (ARENA) will oversee the funding in the form of hydrogen production credits – meaning funds will only be provided once the Murchison project is constructed and operational. Once stepwise project development goals are achieved and operations begin, funding over a ten-year period will be available based on production output.

We are committed to contributing to Australia’s green hydrogen ambitions by creating local jobs, supporting skills development and sharing project benefits with local communities, including First Nations. We appreciate the support from the Australian Government, Minister Bowen, and ARENA and commend their leadership, vision and collaboration to make this project and the Australian hydrogen industry a reality.

Shohan Seneviratne, CEO of Murchison Green Hydrogen, in his organisation’s official press release, 20 Mar 2025

Enabling hydrogen projects through Hydrogen Headstart is essential to ensure our economic prosperity as the world transitions to cleaner forms of energy especially in hard to abate sectors such as ammonia, iron and alumina. CIP’s Murchison project is an example of how we can leverage Australia’s high quality solar and wind resources to produce low-cost renewable hydrogen and ammonia at scale, increasing export opportunities and embedding Australia as a key enabler of global decarbonisation.

Darren Miller, ARENA CEO, in his organisation’s official press release, 20 Mar 2025

The Murchison Green Hydrogen project will produce nearly 1.8 million tons of renewable ammonia per year, primarily for export to Asian markets. The project will be located in the Mid West region of Western Australia, featuring 6 GW of onshore wind and solar generation. Pre-FEED work concluded in late 2024. The Hydrogen Headstart scheme was launched by the Australian government in July 2023, and additional funding recipients are expected to be announced in the coming months.