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Canadian Pacific Kansas City rail representative speaks at press conference. (Government of Alberta YouTube)
New funding

Alberta announces $45 million investment for hydrogen innovation

Aug 1, 2023 | 4:36 PM

The Alberta government has announced a $45 million investment to power new hydrogen technologies that they say will reduce emissions and create jobs.

Officials say hydrogen is expected to be a $2.5 – 11 trillion industry worldwide by 2050.

The province says they are ready to emerge as a leader in the global market as Canada’s largest hydrogen producer. They say Alberta can produce some of the lowest-cost clean hydrogen in the world.

“Alberta is known for its entrepreneurial spirit and, as we are already a leader in this field, this competition will explore and advance clean hydrogen technologies while generating fresh, exciting new projects and ideas, said Rebecca Schulz, Minister of Environment and Protected Areas.

Provincial officials state Alberta has created a Hydrogen Roadmap, an Emissions Reduction and Energy Development Plan, and a Natural Gas Strategy to recognize the importance of growing their hydrogen economy while cutting emissions and accessing global markets.

As part of this work and through Alberta Innovates’ Hydrogen Centre of Excellence and Emissions Reduction Alberta, the provincial government has announced they will launch two hydrogen funding competitions using the Technology Innovation and Emissions Reduction (TIER) fund, which invests government revenues from the industrial carbon price to accelerate the development and adoption of clean technology solutions.

“The hydrogen economy is the next frontier for Alberta. The province is the largest producer of hydrogen and has the people, resources and infrastructure in place to move us into the new economy. Partnerships like this allow for producers, innovators and industry to come together and test their hydrogen ideas. Ultimately this will help Alberta capitalize on new innovation opportunities that generate benefits beyond the energy value chain,” said Laura Kilcrease, Chief Executive Officer of Alberta Innovates.

Alberta Innovates is a research and innovation agency working to move Alberta to a lower-carbon future, promote the responsible use of land and water, and contribute to the improved health and well-being of Albertans.

As part of implementing the new Emissions Reduction and Energy Development Plan, Emissions Reduction Alberta received $25 million in TIER funding in 2023 to support investments in hydrogen development and the hydrogen value chain.

To date, Emissions Reduction Alberta has invested more than $60 million from the TIER fund into hydrogen technologies, including a net-zero production complex, hydrogen-powered transit buses, and Canadian Pacific’s hydrogen locomotive – North America’s first line-haul hydrogen-powered locomotive using fuel cells and batteries for power.

READ: Innisfail company converts diesel engines to hydrogen locomotives for Canadian Pacific

“This targeted and coordinated effort between Emissions Reduction Alberta and Alberta Innovates with funding from the Government of Alberta is required to ensure a healthy pipeline of hydrogen technologies across the value chain are supported,” said Justin Riemer, Chief Executive Officer of Emissions Reduction Alberta.

The province says the new funding will drive cutting-edge and first-of-their-kind hydrogen technologies to be used in production, transmission and distribution, storage, and in industries like heavy-duty transportation, industrial heat and chemicals. The goal, they say, is to explore innovative technologies rather than what is currently commercially available.

“Hydrogen is a vital technology in the path towards a low-carbon future. The Government of Canada is pleased to collaborate with partners like the Government of Alberta to launch this competition that supports further innovation in the hydrogen sector. Technologies like this are helping to create good jobs across Canada as we build a strong and prosperous economy,” said Jonathan Wilkinson, federal Minister of Energy and Natural Resources.

The two parallel competitions are open to a wide range of applicants, including technology developers, industry and industry associations, small and medium-sized enterprises, research and development organizations, post-secondary institutions, municipalities, not-for-profit organizations, Indigenous organizations and municipalities.

Applications for both funding streams are now open and close at 5 p.m. MT on September 22 for the Emissions Reduction Alberta competition and at 5 p.m. MT on September 26 for the Alberta Innovates competition. Successful applicants will be invited to submit full proposals.

To simplify the process, applicants can submit a single proposal to apply for two funding streams:

  • $20 million is available through Alberta Innovates’ Hydrogen Centre of Excellence for early- stage innovations. Natural Resources Canada is also providing another $5 million to Alberta Innovates through its Energy Innovation Program.
  • $25 million is available through Emissions Reduction Alberta for later-stage technologies.