Platts proposes new Australia hydrogen prices

S&P Global Platts is proposing to launch new cost-based prices of hydrogen in Australia, effective Aug. 16.

Platts has previously launched cost-based prices for hydrogen in North America, Europe and Japan. The new addition would extend this suite of prices to include one of the expected production hubs of hydrogen.

The new prices would reflect the daily cost of hydrogen production via the following five pathways: proton exchange membrane (PEM) electrolysis, alkaline electrolysis, steam methane reforming with carbon capture and storage, coal gasification with CCS, and lignite gasification with CCS. For both PEM and alkaline electrolysis, daily hydrogen prices would be published for the following states: New South Wales, Queensland, South Australia, Tasmania, Victoria and Western Australia. Daily hydrogen assessments for steam methane reforming with CCS would be published for Western Australia, based on coal gasification for New South Wales and Queensland, and for lignite gasification for Victoria.

Platts would publish a set of hydrogen prices reflecting feedstock costs alone, as well as a second set including additional assumptions for capital expenses (CapEx). Prices would be published in A$/kg, A$/MMBtu, $/kg, and $/MMBtu.

Electricity costs would be based on daily average Australian spot power prices per region from the National Electricity Market (New South Wales, Queensland, South Australia, Tasmania, Victoria) and the Wholesale Electricity Market (Western Australia), both operated by the Australian Energy Market Operator.

The assumptions for coal and lignite gasification would be based on industry research, including the International Energy Agency's The Future of Hydrogen and Australia's Commonwealth Scientific and Industrial Research Organisation (CSIRO)'s National Hydrogen Roadmap. Coal and lignite prices would be based on the Platts FOB Newcastle daily assessments, considering the energy intensity difference and prevalent price spread between coal and lignite.

Australian natural gas prices for the SMR with CCS path would be based on Platts FOB Australia LNG prices, less a gasification cost based on market research.

Electrolysis assumptions for PEM and alkaline would be based on market research including IEA's The Future of Hydrogen and CSIRO's National Hydrogen Roadmap.

Daily water prices would be based on market research including CSIRO's National Hydrogen Roadmap.

The published prices would be as follows:

Hydrogen New South Wales Coal Gasification with CCS A$/kg

Hydrogen New South Wales Coal Gasification with CCS (inc. CAPEX) A$/kg

Hydrogen New South Wales Coal Gasification with CCS $/kg

Hydrogen New South Wales Coal Gasification with CCS (inc. CAPEX) $/kg

Hydrogen New South Wales Coal Gasification with CCS A$/MMBtu

Hydrogen New South Wales Coal Gasification with CCS (inc. CAPEX) A$/MMBtu

Hydrogen New South Wales Coal Gasification with CCS $/MMBtu

Hydrogen New South Wales Coal Gasification with CCS (inc. CAPEX) $/MMBtu

Hydrogen Queensland Coal Gasification with CCS A$/kg

Hydrogen Queensland Coal Gasification with CCS (inc. CAPEX) A$/kg

Hydrogen Queensland Coal Gasification with CCS $/kg

Hydrogen Queensland Coal Gasification with CCS (inc. CAPEX) $/kg

Hydrogen Queensland Coal Gasification with CCS A$/MMBtu

Hydrogen Queensland Coal Gasification with CCS (inc. CAPEX) A$/MMBtu

Hydrogen Queensland Coal Gasification with CCS $/MMBtu

Hydrogen Queensland Coal Gasification with CCS (inc. CAPEX) $/MMBtu

Hydrogen Victoria Lignite Gasification with CCS A$/kg

Hydrogen Victoria Lignite Gasification with CCS (inc. CAPEX) A$/kg

Hydrogen Victoria Lignite Gasification with CCS $/kg

Hydrogen Victoria Lignite Gasification with CCS (inc. CAPEX) $/kg

Hydrogen Victoria Lignite Gasification with CCS A$/MMBtu

Hydrogen Victoria Lignite Gasification with CCS (inc. CAPEX) A$/MMBtu

Hydrogen Victoria Lignite Gasification with CCS $/MMBtu

Hydrogen Victoria Lignite Gasification with CCS (inc. CAPEX) $/MMBtu

Hydrogen Western Australia SMR with CCS A$/kg

Hydrogen Western Australia SMR with CCS (inc. CAPEX) A$/kg

Hydrogen Western Australia SMR with CCS $/kg

Hydrogen Western Australia SMR with CCS (inc. CAPEX) $/kg

Hydrogen Western Australia SMR with CCS A$/MMBtu

Hydrogen Western Australia SMR with CCS (inc. CAPEX) A$/MMBtu

Hydrogen Western Australia SMR with CCS $/MMBtu

Hydrogen Western Australia SMR with CCS (inc. CAPEX) $/MMBtu

Hydrogen New South Wales PEM Electrolysis A$/kg

Hydrogen New South Wales PEM Electrolysis (inc. CAPEX) A$/kg

Hydrogen New South Wales PEM Electrolysis $/kg

Hydrogen New South Wales PEM Electrolysis (inc. CAPEX) $/kg

Hydrogen New South Wales PEM Electrolysis A$/MMBtu

Hydrogen New South Wales PEM Electrolysis (inc. CAPEX) A$/MMBtu

Hydrogen New South Wales PEM Electrolysis $/MMBtu

Hydrogen New South Wales PEM Electrolysis (inc. CAPEX) $/MMBtu

Hydrogen Queensland PEM Electrolysis A$/kg

Hydrogen Queensland PEM Electrolysis (inc. CAPEX) A$/kg

Hydrogen Queensland PEM Electrolysis $/kg

Hydrogen Queensland PEM Electrolysis (inc. CAPEX) $/kg

Hydrogen Queensland PEM Electrolysis A$/MMBtu

Hydrogen Queensland PEM Electrolysis (inc. CAPEX) A$/MMBtu

Hydrogen Queensland PEM Electrolysis $/MMBtu

Hydrogen Queensland PEM Electrolysis (inc. CAPEX) $/MMBtu

Hydrogen South Australia PEM Electrolysis A$/kg

Hydrogen South Australia PEM Electrolysis (inc. CAPEX) A$/kg

Hydrogen South Australia PEM Electrolysis $/kg

Hydrogen South Australia PEM Electrolysis (inc. CAPEX) $/kg

Hydrogen South Australia PEM Electrolysis A$/MMBtu

Hydrogen South Australia PEM Electrolysis (inc. CAPEX) A$/MMBtu

Hydrogen South Australia PEM Electrolysis $/MMBtu

Hydrogen South Australia PEM Electrolysis (inc. CAPEX) $/MMBtu

Hydrogen Tasmania PEM Electrolysis A$/kg

Hydrogen Tasmania PEM Electrolysis (inc. CAPEX) A$/kg

Hydrogen Tasmania PEM Electrolysis $/kg

Hydrogen Tasmania PEM Electrolysis (inc. CAPEX) $/kg

Hydrogen Tasmania PEM Electrolysis A$/MMBtu

Hydrogen Tasmania PEM Electrolysis (inc. CAPEX) A$/MMBtu

Hydrogen Tasmania PEM Electrolysis $/MMBtu

Hydrogen Tasmania PEM Electrolysis (inc. CAPEX) $/MMBtu

Hydrogen Victoria PEM Electrolysis A$/kg

Hydrogen Victoria PEM Electrolysis (inc. CAPEX) A$/kg

Hydrogen Victoria PEM Electrolysis $/kg

Hydrogen Victoria PEM Electrolysis (inc. CAPEX) $/kg

Hydrogen Victoria PEM Electrolysis A$/MMBtu

Hydrogen Victoria PEM Electrolysis (inc. CAPEX) A$/MMBtu

Hydrogen Victoria PEM Electrolysis $/MMBtu

Hydrogen Victoria PEM Electrolysis (inc. CAPEX) $/MMBtu

Hydrogen Western Australia PEM Electrolysis A$/kg

Hydrogen Western Australia PEM Electrolysis (inc. CAPEX) A$/kg

Hydrogen Western Australia PEM Electrolysis $/kg

Hydrogen Western Australia PEM Electrolysis (inc. CAPEX) $/kg

Hydrogen Western Australia PEM Electrolysis A$/MMBtu

Hydrogen Western Australia PEM Electrolysis (inc. CAPEX) A$/MMBtu

Hydrogen Western Australia PEM Electrolysis $/MMBtu

Hydrogen Western Australia PEM Electrolysis (inc. CAPEX) $/MMBtu

Hydrogen New South Wales Alkaline Electrolysis A$/kg

Hydrogen New South Wales Alkaline Electrolysis (inc. CAPEX) A$/kg

Hydrogen New South Wales Alkaline Electrolysis $/kg

Hydrogen New South Wales Alkaline Electrolysis (inc. CAPEX) $/kg

Hydrogen New South Wales Alkaline Electrolysis A$/MMBtu

Hydrogen New South Wales Alkaline Electrolysis (inc. CAPEX) A$/MMBtu

Hydrogen New South Wales Alkaline Electrolysis $/MMBtu

Hydrogen New South Wales Alkaline Electrolysis (inc. CAPEX) $/MMBtu

Hydrogen Queensland Alkaline Electrolysis A$/kg

Hydrogen Queensland Alkaline Electrolysis (inc. CAPEX) A$/kg

Hydrogen Queensland Alkaline Electrolysis $/kg

Hydrogen Queensland Alkaline Electrolysis (inc. CAPEX) $/kg

Hydrogen Queensland Alkaline Electrolysis A$/MMBtu

Hydrogen Queensland Alkaline Electrolysis (inc. CAPEX) A$/MMBtu

Hydrogen Queensland Alkaline Electrolysis $/MMBtu

Hydrogen Queensland Alkaline Electrolysis (inc. CAPEX) $/MMBtu

Hydrogen South Australia Alkaline Electrolysis A$/kg

Hydrogen South Australia Alkaline Electrolysis (inc. CAPEX) A$/kg

Hydrogen South Australia Alkaline Electrolysis $/kg

Hydrogen South Australia Alkaline Electrolysis (inc. CAPEX) $/kg

Hydrogen South Australia Alkaline Electrolysis A$/MMBtu

Hydrogen South Australia Alkaline Electrolysis (inc. CAPEX) A$/MMBtu

Hydrogen South Australia Alkaline Electrolysis $/MMBtu

Hydrogen South Australia Alkaline Electrolysis (inc. CAPEX) $/MMBtu

Hydrogen Tasmania Alkaline Electrolysis A$/kg

Hydrogen Tasmania Alkaline Electrolysis (inc. CAPEX) A$/kg

Hydrogen Tasmania Alkaline Electrolysis $/kg

Hydrogen Tasmania Alkaline Electrolysis (inc. CAPEX) $/kg

Hydrogen Tasmania Alkaline Electrolysis A$/MMBtu

Hydrogen Tasmania Alkaline Electrolysis (inc. CAPEX) A$/MMBtu

Hydrogen Tasmania Alkaline Electrolysis $/MMBtu

Hydrogen Tasmania Alkaline Electrolysis (inc. CAPEX) $/MMBtu

Hydrogen Victoria Alkaline Electrolysis A$/kg

Hydrogen Victoria Alkaline Electrolysis (inc. CAPEX) A$/kg

Hydrogen Victoria Alkaline Electrolysis $/kg

Hydrogen Victoria Alkaline Electrolysis (inc. CAPEX) $/kg

Hydrogen Victoria Alkaline Electrolysis A$/MMBtu

Hydrogen Victoria Alkaline Electrolysis (inc. CAPEX) A$/MMBtu

Hydrogen Victoria Alkaline Electrolysis $/MMBtu

Hydrogen Victoria Alkaline Electrolysis (inc. CAPEX) $/MMBtu

Hydrogen Western Australia Alkaline Electrolysis A$/kg

Hydrogen Western Australia Alkaline Electrolysis (inc. CAPEX) A$/kg

Hydrogen Western Australia Alkaline Electrolysis $/kg

Hydrogen Western Australia Alkaline Electrolysis (inc. CAPEX) $/kg

Hydrogen Western Australia Alkaline Electrolysis A$/MMBtu

Hydrogen Western Australia Alkaline Electrolysis (inc. CAPEX) A$/MMBtu

Hydrogen Western Australia Alkaline Electrolysis $/MMBtu

Hydrogen Western Australia Alkaline Electrolysis (inc. CAPEX) $/MMBtu

The new assessments would be launched on Aug. 16, 2021.

Please send any questions or comments by July 9, 2021, to hydrogenassessments@spglobal.com and pricegroup@spglobal.com

For written comments, please provide a clear indication if comments are not intended for publication by Platts for public viewing. Platts will consider all comments received and will make comments not marked as confidential available upon request.