Feasibility study demonstrates Calgary Region’s potential as a major hydrogen hub
Alberta “superbly positioned” to take a leadership role in growing sector
(Calgary, Alta.) The Calgary region has what is needed to establish a major hub for the emerging hydrogen economy, concludes the report Towards A Fuel Hydrogen Economy in the Calgary Region: A Feasibility Study.
The report authored by The Transition Accelerator for the Calgary Region Hydrogen Task Force says Alberta is “superbly positioned” to be a leader in the hydrogen economy. It recommends establishing a hydrogen hub in the Calgary region to build new value chains to produce, transport and use hydrogen as a fuel.
The goal of the study was to assess the potential for the Calgary region to participate and benefit from the emerging fuel hydrogen economy. The study identifies a $4.6 billion per year market potential for fuel hydrogen production that could be used in the Calgary region. It also encourages the development of hydrogen as part of the region’s pathway to a net-zero emission energy system.
The report also recommends a Calgary region hub links with the Edmonton Region Hydrogen Hub and initiatives in other population centres across Western Canada to create hydrogen corridors that support heavy duty road and rail transport.
Hydrogen is an energy-rich gas that can be produced with low greenhouse gas (GHG) emissions for use in heavy-duty transportation, as well as heat and power generation. It is produced through various methods including, natural gas reformation with carbon capture and storage, or water electrolysis using renewable electricity.
Global market expansion for lower emission energy carriers like hydrogen are critical to meet national net-zero targets by 2050, a priority of the economic strategy, Calgary in the New Economy, and Resilient Calgary: Council’s Strategic Direction 2023-2026.
The report concludes that the Calgary region has substantial potential markets for fuel hydrogen as well as the potential to produce and transport low GHG hydrogen to points of demand.
The Task Force members include: Calgary Economic Development, Bighorn Energy, SpectrumH2, Rocky Mountain GTL, Canadian Pacific Railway, ATCO, Nikola Corporation, 2G Energy and Calgary Airport Authority.
Task Force members represent all sectors of the value chain (production, transportation and end-use) critical to establishing a viable hydrogen economy. The Feasibility Study is the first of four steps to create a regional hydrogen strategy.
It included eight recommendations:
- Build a consortium around a shared vision for a fuel hydrogen future.
- Partner with the Edmonton Regional Hydrogen HUB.
- Connect with CP Rail, Calgary Transit and Alberta Motor Transport Association to support hydrogen vehicle trials.
- Focus on smaller-scale, distributed hydrogen production to serve the fuel market.
- Support carbon capture and storage for blue hydrogen production.
- Support renewable generation and green hydrogen production.
- Deploy hydrogen for heat and power generation.
- Engage the academic community.
Read the Feasibility Study along with the Hydrogen Strategy for Canada, Alberta Energy Transition Study and Alberta Hydrogen Roadmap.
QUOTES:
“Calgary is a leader in all things energy and we are ideally positioned to play a pivotal role in advancing innovation and expanding the hydrogen economy in Alberta and Canada. The City of Calgary is looking forward to playing a part in this initiative. When we talk about the billions of dollars of economic opportunities for Calgary in the clean tech and our energy future, hydrogen is a critical aspect of our path forward.”
Jyoti Gondek, Calgary Mayor
“Calgary is Canada’s cleantech innovation hub and companies here are already leading the charge on the path to net-zero. The Hydrogen Task Force is another example of Calgary and Alberta’s leadership in solving global challenges, including cleaner energy, which has the potential to create 170,000 cleantech jobs and result in $61 billion GDP by 2050.”
Brad Parry, President & CEO,
Calgary Economic Development
“Alberta is positioned to lead the charge on hydrogen development, production, and distribution due to the adaptability, knowledge, passion and perseverance that has always existed within the Alberta energy sector. Bighorn Energy is investing in the sector building the first scalable green hydrogen production facility in Alberta that will begin production in early 2023. It will be a foundation to provide solutions which include logistics and hydrogen appliances (fuel cells, hydrogen combustion engines) to help North America transition into the hydrogen economy.
Trevor Swan, Hydrogen Business Development,
Bighorn Energy Corp.
“While demand for hydrogen has steadily increased over time, governments and industries around the world are now expressing unprecedented support for the rapid expansion of hydrogen production capacity. The Foundation Report provides a clear path forward for Alberta and the Calgary Region as we work together to lead the way in transitioning to a clean energy future.”
Doug Geeraert, President and COO,
Rocky Mountain GTL
“SpectrumH2 is proud to be part of the Calgary Region Hydrogen Task Force and we look forward to a continued collaborative approach between hydrogen producers and consumers. SpectrumH2 has identified multiple economic demand scenarios for sustainable fuels, including hydrogen, that we will continue to progress with our private-public partners including Indigenous groups, local communities, and the Transition Accelerator.”
George Ardies CEO,
SpectrumH2
“With ATCO’s focus today on supporting the transition to lower-emitting energy systems through initiatives like the Fort Saskatchewan Hydrogen Blending project and others, we strongly support harnessing our city’s collective expertise in oil and gas, sustainability, academia and policy, to advance the hydrogen economy through this newly formed task force.”
Lance Radke, Vice President, Customer Experience and Initiatives,
ATCO
“The development and production of sustainable aviation fuels (SAF) are critical for the aviation sector in Canada to achieve net-zero goals and remain competitive in the future. Hydrogen is a key input in many SAF value chains, and so, we are excited about creating a hydrogen economy in Calgary, and throughout Canada, that could support the energy system transition to sustainable air travel.”
Geoff Tauvette, Executive Director,
Canadian Council for Sustainable Aviation Fuels
“We are aiming to build North America’s first zero-emissions line-haul freight locomotive. Through our Hydrogen Locomotive Program, being developed right here in Alberta, CP is generating critical freight industry knowledge and experience that will inform future hydrogen development. CP is proud to be investing in the advancement of hydrogen and freight rail systems.”
David Huck, Director Sustainability,
Canadian Pacific
“As a leading designer and manufacturer of heavy-duty commercial battery-electric vehicles (BEV), fuel cell electric vehicles (FCEV) and energy supply and infrastructure solutions, Nikola Motor Canada is committed to the successful deployment of our Class 8 trucks into Alberta and Canada, along with the jobs, hydrogen hubs and fueling infrastructure necessary to support the transformation to a zero-emissions future.”
Erik Mason, President,
Nikola Motor Canada
“The development of hydrogen as a fuel source is one of the most viable pathways to a zero-carbon future. 2G Energy, the global leader in hydrogen fueled combined heat and power technologies, is proud to support the efforts required for Alberta to become a global leader in the energy transition.”
Dan Culp, Regional Sales Manager,
2G Energy
“Exploring how hydrogen can make aviation and travel eco-friendlier and more sustainable is important for accelerating the economy and addressing climate change. The Calgary Region Hydrogen Task Force brings together the expertise needed to lead the way in this emerging industry.”
Carmelle Hunka, Vice President, People, Risk and General Counsel,
Calgary Airport Authority
ABOUT CALGARY ECONOMIC DEVELOPMENT
Calgary Economic Development is an opportunity-maker, helping to spark and fuel Calgary’s growth. Our job is to connect people with resources that can help them grow their careers or businesses, thrive in new locations or markets, and feel at home in our community. We offer a wealth of information to help everyone succeed and we tirelessly promote Calgary, in Canada and around the world. We’re exhilarated about our role in shaping and sharing Calgary’s story and we’re proud to be part of the energy. For more information, please visit our website at www.calgaryeconomicdevelopment.com and follow us on Twitter @calgaryeconomic.
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ABOUT TRANSITION ACCELERATOR
In our rapidly changing world, economic, social and technological changes are affecting sectors and regions across Canada. The Transition Accelerator is a pan-Canadian charity that works with groups across the country to direct these disruptions to solve business and social challenges while building viable transition pathways to a net-zero future. Our current priorities are Canada’s hydrogen economy, electric vehicle market penetration, building decarbonization and electrification, grid integration and industrial policy. For more information, please visit our website at www.transitionaccelerator.ca or email us at info@transitionaccelerator.ca.