THE NORTHERN Territory government has signed a memorandum of understanding with renewable energy company Total Eren to develop a green hydrogen project in Darwin.

The MoU frames the work the state government and energy company will carry out to progress the project, known as the Darwin H2 Hub.

The Darwin H2 hub will be designed to help local and international companies decarbonise through the use of green hydrogen and facilitate new industries in a net-zero economy.

The state budget for 2022 allocates just over $5 million over four years to accelerate hydrogen industry development.

Plans for the hydrogen hub involve more than two gigawatts of solar PV generation on 4000 hectares of land providing energy for a one-gigawatt hydrogen electrolyser to produce more than 80,000 tonnes of hydrogen per annum.

Natasha Fyles, chief minister of the Northern Territory, said the project is an opportunity to contribute to the state’s goal to reduce greenhouse gas emissions.

“With our abundant solar resources and our strategic location to support exports into the Indo-Pacific, the production of green hydrogen is a key opportunity for the Territory to address the growing demand for this green energy globally,” Ms Fyles said.

“The signing of this MoU will help position the Territory as the next Australian home of renewable hydrogen production.”

Total Eren Australia managing director Kam Ho said the company was excited to be present in the Northern Territory through the development of the proposed hydrogen hub.

“Our plan is to accelerate the development of the project to supply green hydrogen and also the opportunity to provide renewable energy which supports the decarbonisation plans for energy-intensive industries in the Territory,” Mr Ho said.

“Total Eren appreciates the Territory’s support on the Darwin H2 Hub and we look forward to working in partnership with the Territory to realise our vision in a net-zero economy.”

The Darwin H2 Hub reportedly has the potential to create more than 2000 jobs during construction and 175 permanent roles during ongoing operation.

Total Eren is a global renewable energy producer headquartered in Paris and regional offices in Melbourne, Adelaide and Brisbane, as well as in Indonesia, Singapore, Philippines, South Korea, Cambodia and Vietnam.