APA Group welcomes the announcement of $1.1 million in funding from the Australian Renewable Energy Agency (ARENA) towards its renewable methane pilot project to be developed with partner Southern Green Gas.

APA is committed to understanding the potential of transportable renewable energy in the form of renewable methane. The collaboration on this project aims to demonstrate the technical and commercial benefits of an integrated hydrogen electrolysis and renewable methane production system. The project will generate cost and technical data to be used to assess the feasibility of larger, commercial scale, renewable methane production.

“ARENA’s support means we can work to understand the costs and benefits of generating renewable methane for use in the existing East Coast Gas Grid,” said APA Group CEO and Managing Director Rob Wheals. “This is a great example of government support for innovation in the Australian energy industry in Australia. APA is excited about its part in this process.

“We know the science of producing methane. This unique project is the first step in testing whether it is possible on an industrial scale to create methane using solar-generated electricity, water and CO2 from the atmosphere.

"With this project we’re aiming to determine whether this carbon neutral process might be part of a broader green energy solution for the future, and if our pipelines can be used to transport pure renewable energy domestically or for export."

“As Australian and global communities look to de-carbonise their economies, APA is working to understand and anticipate the long‑term implications for Australia’s energy industry and our business. Importantly, any transition to a lower carbon future should look to be cost effective whilst also ensuring energy reliability.”

Over the past decade, APA has invested over $750 million in renewable energy projects around Australia, providing 490 megawatts of electricity generation capacity. APA’s continued investment in natural gas assets plays an important role in providing secure and reliable electricity by supporting the integration of renewable energy with flexible, dispatchable power.

In the future, the integration of fuel supplies such as renewable methane into existing gas pipeline systems could make a significant contribution to reducing the carbon content of energy used to heat homes, buildings and fuel transportation.

Renewable Methane Creation Process