The Australian Government has struck a deal to invest $70 million in the development of the Bell Bay hydrogen centre in northern Tasmania, creating regional jobs and advancing Australia's future as a renewable energy superpower.

It will create around 740 jobs for energy specialists such as engineers and technicians, while the construction of the hub will provide work for local skilled tradespeople such as concrete workers, plumbers, fitters and electricians.

The hub will produce 45,000 tonnes of renewable hydrogen per year - enough to power more than 2,200 heavy vehicles per year.

Bell Bay is an ideal location for a hydrogen hub with its deep water port and powered by Tasmania's 100% renewable electricity grid. The total investment will be at least $300 million including funding from the Commonwealth and Tasmanian Governments. Importantly, the project will commence this year and be completed in early 2028.

Minister for Climate Change and Energy Chris Bowen said that supporting renewable hydrogen production is critical to Australia's future as a green energy exporter and green manufacturing nation. "Investing in Australia's renewable hydrogen industry is an investment in Australia's future to become a renewable energy superpower," Minister Bowen said.

"Bell Bay is a manufacturing and export powerhouse, supported by 100% renewable electricity, and this centre will provide jobs, support new manufacturing and spur investment in regional Australia as the world decarbonises."

Tasmania's Minister for Energy and Renewable Resources Nick Duigan said the delivery of the Bell Bay centre was a huge step towards a major new industry. "Northern Tasmania is set to become the new home of renewable energy generation, using projects like this to attract huge investment in renewable hydrogen for use in Australia and supply to the world," Minister Duigan said.

"Bell Bay is perfectly positioned to become a global centre for green hydrogen with an established port infrastructure and a highly skilled and qualified workforce."

The Tasmanian Government is leading a consortium of partners including TasPorts, TasNetworks, TasWater, TasIrrigation and the Bell Bay Advanced Manufacturing Zone to deliver the project.

Bell Bay is part of more than $500 million in Commonwealth funding for hydrogen hubs in regional centres such as Kwinana, Pilbara, Gladstone, Townsville, Port Bonython and Hunter that will create new industries and regional jobs.

Source: Department of State Growth, Tasmanian Government