Queensland Government Halts $12.5 Billion Hydrogen Project

The Queensland government has officially withdrawn its financial support for the Central Queensland Hydrogen Project (CQ-H2), a $12.5 billion initiative aimed at producing renewable hydrogen for domestic use and export. The decision was confirmed by Queensland Treasurer David Janetzki, who stated that the funding request of over $1 billion from Stanwell Corporation, the project’s lead developer, was not aligned with the government's energy strategy priorities. This unexpected move has left the future of the project, which aimed to produce 200 tonnes of green hydrogen daily and potentially expand capacity significantly, in jeopardy. Federal Energy Minister Chris Bowen expressed disappointment at the state’s decision, emphasizing the federal government's continued support for the project. The withdrawal of support has reportedly led to layoffs among the workforce involved in CQ-H2, stirring concerns about the project's viability and impact on the local economy. Overall, the cessation of state backing highlights the challenges facing large-scale renewable energy projects in Australia amid shifting political and economic landscapes.