On the 2nd of May, Taiwanese company GreenHarvest Holdings signed Taiwan's first overseas green hydrogen cooperation development agreement, H2U, in Australia. H2U is a large-scale green hydrogen development project collaboratively undertaken by businesses from Taiwan, Japan, South Korea, and Australia. GreenHarvest Holdings is the exclusive cooperating entity for this project in Taiwan.

H2U aims to produce 4 million tons of green ammonia annually by 2032. The first phase of the project is slated to commence production in 2028, with an annual output of 1 million tons of green ammonia. During the same year, green ammonia will be transported to Taiwan, providing the Taiwanese industries with competitively low-carbon raw materials.

The H2U project is located in Queensland, Australia, and is jointly developed by GreenHarvest Holdings from Taiwan, Mitsubishi Heavy Industries from Japan, Korea East-West Power, Royal Dutch Shell from Australia, and Oricon Corporation. Leveraging Australia's inexpensive green electricity and land, it aims to offer competitively priced green hydrogen.

Some of the green hydrogen and green ammonia produced by H2U will be utilized by local businesses in Australia, while the remainder will be exported. As the transportation of liquid hydrogen is still in the experimental stage, green hydrogen needs to be converted into green ammonia for export to Taiwan, Japan, and South Korea. The goal of the H2U project is to produce 4 million tons of green ammonia annually by 2032. The first phase of the project is expected to be completed in 2028, with an annual output of 1 million tons of green ammonia.

On the afternoon of the 2nd, GreenHarvest Holdings, represented by its Taiwan-based Australian representative, Mr. Yu-Dian Hsu, completed the signing ceremony witnessed by Cameron Dick, Deputy Premier of Queensland. Dick emphasized that this marks the first export of green ammonia produced in Queensland to Taiwan, representing an important milestone in the bilateral relationship between Taiwan and Queensland. Hsu stated that the abundant green hydrogen produced from Australia's natural resources will contribute to Taiwan's goal of achieving net-zero emissions by 2050.

With the active assistance of the Energy Administration and the Commercial Office of the Australian Office, GreenHarvest Holdings has finally signed an exclusive development project, marking the first Taiwanese company to secure a green hydrogen source after more than a year of assessment. Mr. Chen Kun-Hung stated that the price of green hydrogen depends on cheap green electricity, inexpensive land, and abundant water resources, which are significant advantages for Australia in developing green hydrogen.

According to the National Development Council's pathway to net-zero emissions, hydrogen energy will account for 9-12% of Taiwan's electricity sources by 2050. The Industrial Technology Research Institute (ITRI) estimates that by 2050, Taiwan's demand for hydrogen and ammonia will be approximately 7.5 million tons, with hydrogen accounting for around 4.35 million tons and ammonia around 3.15 million tons.

Liquid ammonia is one of the essential raw materials for Taiwan's fertilizer, chemical, and electronics industries, all of which currently rely entirely on imports. According to Chen Kun-Hung, Taiwan currently imports approximately 600,000 tons of ammonia annually. The government is already planning to use blended hydrogen and blended ammonia for power generation to reduce carbon emissions. In the future, imported green ammonia can not only be used by industries but also for power generation.

In terms of price competitiveness, Chen Kun-Hung noted that most imported ammonia is produced using conventional electricity, resulting in lower costs but higher CO2 emissions. However, there is now an international trend towards carbon pricing. Although green hydrogen and green ammonia produced from wind and solar power may have slightly higher prices, they are still competitive in the market as electrolysis technology matures and carbon markets develop.
 

Source: Environmental Information Center