RP1.1-02B Transport and Storage Options for Future Fuels

Executive Summary

The imminent advent of large-scale green hydrogen production raises the central question of which of the two options, transporting green molecules, or transporting green electrons, is the most cost-effective one.

This project aims to answer this question by determining the optimal integrated transmission and storage infrastructure solution for large-scale production of green hydrogen. Towards this aim, the work proposes an investment and operational assessment framework of integrated electricity-gas-hydrogen production, transmission, and storage technologies. The framework will be supported, for quantitative studies, by a set of modelling tools based on a hybrid simulation and optimisation approach to find the optimal investment options of transporting energy as electricity and/or gas/hydrogen across different distances and renewable energy portfolios.

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Commencement / End Date 1 July 2021 to 30 June 2023
Outcomes / Impact


  • Literature review on existing studies, methodologies and tools for integrated system analysis in Australia and worldwide
  • Structured sets of information and data to simulate the predefined case studies and scenarios
  • Methodology for assessing economic advantages and environmental impacts of the optimal infrastructure options
  • Reports on case study applications, numerical results, discussions, and key recommendations
  • Prototype tool for optimal integrated planning of electricity and hydrogen infrastructure.


Benefits to Industry:

  • Costs and benefits of distributed electricity suppliers as opposed to distributed hydrogen suppliers.
  • Quantitative understanding of the economies of scale of centralised versus distributed hydrogen production.
  • Quantitative understanding of the potential role of the linepack in storing hydrogen as well as the benefits of battery storage and hydrogen storage on the energy supply portfolio.
  • Benefit of localised hydrogen storage compared to hydrogen storage in pipelines (linepack).
  • Impact of battery storage at REZ locations on electrolyser sizing and operation.
Partners University of Melbourne, ENA, GPA Engineering, AGIG, Jemena, APA Group
Research Contact

Dr Stephen McGrail