Interesting to hear of the fact that the Gold Coast Desalination plant is going with green energy. I have a few ideas myself on some options. To me it's verging on criminal that we have not yet tapped into our vast solar (and geothermal) resources. Although there is promising work being done using triple junction photo voltaic arrays in South Australia, I think that the best option is still large scale solar thermal arrays, similar to those in California.
Hydrogen:
If you produce hydrogen from electricity you never get anything approaching 100% conversion efficiency (especially using straight electrolysis), so why bother converting it? Well if you have off-peak load, it's a way of storing electricity, so Geothermal or Solar are two examples of where you'd want to store the energy in some way.
Most hydrogen these days is separated from natural gas and steam using a reformer reaction. If you can reconvert the resulting carbon monoxide to methane using a methaniser, at least you're part of the way there. The carbon footprint is much lower than simply burning natural gas, although the calorific value of hydrogen is much lower (in volume terms)
Alternatively, think of a Solar Power Station. The main problem with Solar is that it doesn't work too well at night. Storage is an issue. At the moment, the most efficient storage mechanism if you want to get electricity out when the sun isn't shining is an ammonia based thermochemical energy storage system. With such a system, you can have at least two possibilities:
1. A totally closed loop system.
2. A closed loop system for carbon that produces hydrogen (and consumes water)
There is actually a third possibility which I won't discuss here, as this post is starting to get complicated enough as it is. All three are carbon neutral. In design 1 , the ammonia is dissociated to nitrogen and hydrogen using solar-thermal energy. The gases are then recombined catalytically at high pressure and temperature to recover the energy. The energy is used to drive a turbo-generator.
Design 2 uses a steam Reformer (inputs methane, steam and air) to produce excess hydrogen. The nitrogen is separated from the air (using Pressure Swing Absorption). Pressure Swing Absorption is also used to purify the hydrogen. The hydrogen and nitrogen are combined, and the excess hydrogen is used for automotive use. The resultant carbon monoxide is reacted with steam in a methaniser (another catalyst) to produce methane. The methane is recycled back into the Reformer. The ammonia is dissociated using solar-thermal energy.
I won't go into design 3, but the products are hydrogen, ammonia and energy.
The bottom line is that this is all proven technology.
By the way, if anyone still has doubts about anthropogenic global warming, I'd love to talk through the issues. I have a reasonable working familiarity with the chemistry, climate modelling and atmospheric physics, so you can make it as technical as you want.
We can duel with Rayleigh Absorption scattering equations at 20 paces if you so desire