The Canadian Federal government is investing CAD$9.14 million in six clean hydrogen projects to support innovation for the sector.
Jonathan Wilkinson, the Minister of Energy and Natural Resources, said on Monday that CAD$2.7 million of this has been allocated through the Energy Innovation Program.
Canada’s Energy Innovation Program is a federal initiative designed to support the development and advancement of clean hydrogen and clean energy technologies. Launched by Natural Resources Canada (NRCan), the program aims to reduce greenhouse gas emissions, enhance energy efficiency, and drive innovation in the energy sector.
It provides funding and support for projects that focus on clean energy research, development, and demonstration, including renewable energy, energy storage, smart grids, and carbon capture, utilization, and storage. The program is part of Canada’s broader strategy to transition to a low-carbon economy and achieve its climate goals.
The University of British Columbia has received CAD$1.25 million to develop a plant for its pyrolysis technology. This would be aimed at producing low-cost, low-emission hydrogen. This funding will help the university advance its innovative approach to hydrogen production, contributing to Canada’s clean energy goals.
The initiative awarded Enbridge Gas Inc., a subsidiary of Enbridge Inc (TSX: ENB)(NYSE: ENB), CAD$900,000 for the Markham Virtual Hydrogen Hybrid Demonstration Project in Ontario. This project seeks to demonstrate the use of existing wind and solar assets within Ontario’s power grid to produce renewable hydrogen.
Meanwhile, Hydrogen in Motion, based in British Columbia, secured CAD$590,223 to generate clean hydrogen using low-pressure solid-state storage, distribution, and transport.
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Enbridge receives $5M for hydrogen blending study
Ayrton Energy in Alberta also received CAD$1.09 million to explore storage and transportation in tanks, trucks, and pipelines at ambient temperature and pressure. This project also benefits from support by the Hydrogen Centre of Excellence.
“Canadian businesses have the ambition and drive to provide clean energy solutions and become the supplier of choice in a net-zero world,” said Wilkinson.
The program also allocated funding to Clean Fuels Fund projects to learn more about blending hydrogen into existing utility networks. The hydrogen blending study represents an overall investment of up to CAD$6.4 million.
Enbridge received CAD$5 million to conduct a System-Wide Hydrogen Blending Study. This study aims to assess the feasibility and maximum limits of blending hydrogen gas within the utility’s existing network.
Trans Québec & Maritimes Pipeline Inc in Quebec also secured CAD$1.4 million for a study to evaluate the technical feasibility of blending up to 10 per cent hydrogen into segments of their existing natural gas transmission system.
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Six provinces have been onboard since 2020
Since 2020, the provinces of British Columbia, Alberta, Ontario, Quebec, Nova Scotia, and New Brunswick have all published hydrogen strategies. These strategies outline provincial actions and objectives to achieve regional low-carbon hydrogen goals. Currently, Canada operates 13 low-carbon hydrogen production facilities, capable of producing over 3,000 tonnes of low-carbon hydrogen annually.
NRCan’s Energy Innovation Program supports clean energy technologies. These are essential for Canada to meet its climate change targets and transition to a low-carbon economy. This program funds research, development, demonstration projects, and other scientific activities related to clean energy innovations.
Launched in June 2021, the Clean Fuels Fund aims to invest CAD$1.5 billion into clean fuel initiatives in Canada. This includes hydrogen, renewable diesel, cellulosic ethanol, synthetic fuels, and sustainable aviation fuel. Budget 2024 announced plans to re-tool the Clean Fuels Fund, with a re-launch expected in December 2024.
Countries worldwide are increasingly viewing Canada as a preferred clean energy supplier.
The Canada–Germany Hydrogen Alliance will support the export of Canadian clean hydrogen from Atlantic Canada, aiding Germany’s decarbonization efforts. It is reinforced by a CAD$300 million investment from Canada matched by a similar contribution from Germany.
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