Providence set to trial ‘transformative’ hydrogen storage solution

The new hydrogen energy storage technology 'could be an alternative long-duration solution to replace diesel', co-founder Alan Yu told us.

Sydney-based Providence Asset Group is trialling a new hydrogen energy storage solution designed for everyday use by homes and businesses.

The innovative technology, known as LAVO HEOS (Hydrogen Energy Storage System), was co-developed by Providence and the University of New South Wales, and has been manufactured in Australia. It will be trialled this year on solar projects in Stanhope in the state of Victoria. The firm aims to deploy the technology across its portfolio of community-based solar farms from 2023.

Speaking to Infrastructure Investor, Providence co-founder and chief investment officer Alan Yu said the firm’s aim with LAVA HEOS is to “completely transform” the storage landscape in the renewable energy sector.

“Innovation is our core point of difference,” he said. “We’re trying to bring new ideas into the renewable energy sector, to enhance the economic return for our investors but also potentially deliver social and environmental benefits as part of the renewable energy transition journey.”

He noted a need for cost-effective, long-duration storage to be integrated with renewable energy generation assets in order to make the renewable energy sector more reliable and affordable.

“We see the combination of the hydrogen storage solution with a lithium-ion battery will solve this problem in the market,” he said. “[We started looking for] an alternative storage solution in the market about four years ago and did a global search on different types of storage solutions. We found that [LAVO HEOS] was a cutting-edge solution which… could be an alternative long-duration storage solution to replace diesel.

“Our vision in developing this template for community-based solar storage is to see it replicated Australia-wide and potentially introduced to the global market as well.”

Following a financing agreement with the Commonwealth Bank of Australia to fund a portfolio of 10 community-based solar farms in Victoria, the firm now has a total portfolio of 40 sub-5MW solar farms across the state and New South Wales.