Unlocking Asia-Pacific as a First Mover 2025

Expansion of WA’s grid and the planned build-out of Pilbara’s renewable infrastructure are mired in bureaucratic delays.104 The proposed Australian Renewable Energy Hub (AREH), located 250 km east of Port Hedland, has seen setbacks, including BP’s withdrawal from the project in July 2025. Should it proceed, the AU$30 billion project is targeting a full-scale operating capacity of 26 GW of wind and solar generation, plus ~1.6 million tonnes of renewables-based hydrogen production per year. Investment in renewables infrastructure becomes more viable when projects can connect to wholesale electricity markets, enabling them to raise revenues by selling into the market during times of excess wind or solar power generation. Most projects can trade electricity with either the South-West Interconnected System or the National Electricity Market. However, given its remote location, Pilbara’s local grid lacks access to the wholesale market, ruling out that flexible, cost- effective option. Green iron projects must be viewed holistically to manage costs effectively. For instance, sourcing power under third-party PPAs often increases electricity prices, making the final product less competitive. The workshop dug deeper into how best to accelerate access to sufficient green electricity and produced the following solutions (see Figure 6): –Pre-approved transmission easements for strategic industrial zones (28%) –Strategic status and accelerated network access for renewable generation associated with green iron-making (26%) –Government underwriting of early-stage infrastructure to justify oversizing for future expansion, e.g. H2 production (24%) –Targeted subsidies for green electricity for iron- making (13%) Options that would most accelerate access to sufficient green electricity (% workshop participants)FIGURE 6 Notes: Survey of Adelaide workshop participants, August 2025. Indicative data only (n = 54).Inclusion of and consultation with green ir on pr oponents in network expansion plansStrategic status and accelerated network access for r enewable generation associated with gr een ir on-makingPre-appr oved transmission easements for strategic industrial zonesGover nment underwriting of early- stage infrastructur e to justify oversizing for futur e expansion, e.g. H2 productionTemplate community benefit-sharing agreements - standar dized and simplifiedTargeted subsidies for gr een electricity for ir on-making6%26% 24% 4%28% 13%Strategic status, pre-approvals and government underwriting for renewables need prioritizing Unlocking Asia-Pacific as a First Mover: Australia’s Green Iron Opportunity 36