- Industry and regulator working together to deliver blended gas.
- Hydrogen offers options for hard-to-electrify sectors and other gas users.
- Lessons from pilot will help prepare NZ for potential use of hydrogen in the future.
Firstgas, part of Clarus, together with GasNet, Nova Energy, Powerco, and Vector, has reached a key milestone in New Zealand’s first hydrogen blending pilot. Fourteen households in Te Horo, on the Kāpiti Coast, are now receiving a gas blend containing 10% hydrogen by volume, (which translates to 3% by energy delivered), through the existing gas distribution network.
James Irvine, GM Future Fuels for Clarus said, “Our energy future will be shaped by a mix of options, and this work helps us understand the option of hydrogen blending. Reaching the 10% milestone demonstrates the feasibility of using New Zealand’s existing gas infrastructure to transport hydrogen”.
Hydrogen blending involves mixing hydrogen gas into the existing natural gas supply and is a way to test the pipeline infrastructure and gas appliances that we already have.
“These types of pilots have been done before. Hybrid cars were once seen as a fringe idea. Now, EVs are mainstream but it took early pilots to prove what was possible. This pilot is about building readiness, gathering the evidence, capability and confidence to make more informed energy decisions in the future,” said Irvine.
Hydrogen is recognised internationally as a potentially renewable gas option that can be stored and transported at large scale. This could make it an ideal complement to solar and wind generation and a valuable tool for helping hard-to-electrify sectors, such as high-heat industries, heavy transport, and those already using hydrogen as a feedstock, to decarbonise.
More than five years of preparation and planning have gone into ensuring the pilot can be delivered successfully, with close monitoring at every stage. The project team has worked closely with WorkSafe New Zealand’s Energy Safety team.
“We were pleased Firstgas engaged with us at an early stage in their preparations, to ensure safety for consumers and the public, as well as workers. This included sharing engineering studies which assess the suitability and safety of the distribution network and installations involved. Because piping blended gas into homes is new under the Gas Regulations 2010, Firstgas applied to us for two regulatory exemptions so the pilot could go ahead. We continue to monitor progress with interest,” says Mark Wogan, WorkSafe’s Energy Safety Manager.
A hydrogen blend display home has also been established in Te Horo, with appliances using the blended gas for cooking and heating, demonstrating how existing assets perform during the pilot.
Irvine said, “The display home allows us to show what’s possible while we gather evidence to inform the development of renewable gases in New Zealand. It’s not about introducing hydrogen into every household but about proving that our networks and infrastructure can be ready, if and when hydrogen is widely available.”
Hydrogen blending is already happening safely in countries including the UK, US, Canada, Japan and Australia. In Markham, Ontario, for example, energy company Enbridge is blending up to 5% hydrogen into its natural gas network that serves over 3,600 customers, including manufacturing plants, municipal buildings and institutional facilities.
While hydrogen is currently more expensive to produce than natural gas, we hope that costs will fall as global production scales and technology advances.
Irvine explained, “Right now, hydrogen does cost more than natural gas. But that’s exactly why pilots like this are important. By proving the infrastructure, safety case and technical feasibility, we’re working to get New Zealand ready to take advantage of hydrogen if it becomes more available and affordable, as we’ve seen happen with other technologies, such as solar.
“This milestone is about more than just a percentage blend. It shows that, with industry collaboration and regulatory oversight, we can trial new technologies safely, learn from them, and be ready with credible options in the future. The lessons from this pilot will help inform how hydrogen could contribute to New Zealand’s future energy mix,” said Irvine.
For images you can visit: clarus.co.nz/te-horo-hydrogen-blend-project
Contact: Cressida Gates-Thompson, Clarus External Communications Specialist, cressida.gates-thompson@clarus.co.nz / 027 703 6177.
