Vast Solar, a leading manufacturer in the cleantech industry, and the Solar Methanol Consortium are slated to receive AUD 19.48 million and EUR 13.2 million (AUD 20.2 million) as part of a collaboration between the Australian and German governments.
The funding, awarded through the German-Australian Hydrogen Innovation and Technology Incubator (HyGATE), will enable the development of a world-first green methanol demonstration plant, SM1, in Port August, South Australia.
HyGATE offers up to AUD 50 million and EUR 50 million in financial support for real-world pilot, trial, and demonstration projects along the hydrogen supply chain.
The HyGATE funding also aligns with the effort to support the growth of Australia’s clean energy sector, as well as the cross-industry clean transition.
Vast Solar leads the Solar Methanol Consortium in Australia as a principal energy partner along with Fichtner leading in Germany and is supported by fellow Australian tech company Calix and the Australian Solar Thermal Research Institute.
The SM1 plant is expected to 7,500 tonnes per annum of green methanol and the Consortium has attracted the interest of local and international offtakers, including major shipping companies and airlines.
“SM1 has the potential to supply the shipping and aviation industries with zero-emission fuel. This is a major step forward in helping to decarbonise hard-to-abate sectors and we applaud the Australian and German Governments’ leadership,” said Vast Solar CEO Craig Wood.
“With the support of ARENA and the Australian government, Vast Solar has become a world leader in CSP, and today’s announcement has the potential to supercharge the domestic renewables industry.”
The project is expected to be a catalyst for a solar methanol industry in Australia, with the potential to export the fuel to Germany and other global markets, in turn creating hundreds of highly.
