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These resources have been developed by consultancy group IT Power in conjunction with Pitt and Sherry and the Institute of Sustainable Futures and the University of Technology Sydney. The outcomes of this study have contributed to the development of ARENA’s Renewables for Industrial Processes investment priority.

Report extract

The Australian Renewable Energy Agency (ARENA) has commissioned this study of options for direct (partial or full) substitution of renewables for gas within the boundaries of an existing industrial operation.

The opportunity

Australia consumes around 1,400 PJ of gas each year. More than half of this is for electricity generation plus commercial and residential buildings and upstream internal consumption by gas and oil producers, which are not explicitly considered in this analysis.

Direct industrial use of gas can be divided into four broad categories:

  • use at lower output temperatures for steam raising and hot water, and also for various
    types of drying processes,
  • use in high temperature thermal processes, in kilns, furnaces etc,
  • as fuel for power generation, and
  • use as chemical feedstock, principally for the production of ammonia.

Renewable energy alternatives exist for all these applications.

This study reviews previous studies on the subject, analyses gas use data, summarises stakeholder consultations and establishes the performance plus costs of relevant renewable technologies. This information is used to analyse the relative economic performance and consider the challenges to deployment.

Last updated 13 August 2020
Last updated
13 August 2020
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