Ontario's first large-scale hydrogen production facility will be set up in Niagara. The Niagara Hydrogen Centre will use a 20-megawatt electrolyzer to produce green hydrogen. It was selected based on different studies that looked into green hydrogen production's technical and economic viability.
The announcement was part of the province’s
release of its hydrogen strategy. Ontario Minister of Energy Todd Smith and
Minister of the Environment, Conservation and Parks David Piccini announced the
strategy at an event that was organized recently in Niagara Falls.
The provincial government supports the project
and will be providing an exemption from the Gross Revenue Charge from 2024 to
2033 for electricity generated at the Sir Adam Beck Generating Station. It is
used specifically for hydrogen production under some conditions. Atura Power is
completing preliminary steps for this electrolyzer facility to support a final
investment decision that is expected to come by summer 2022.
For those unaware, Atura
Power is a subsidiary of Ontario Power Generation. It plays a vital role in
the province’s electricity system. It already has plants in Halton Hills,
Napanee, Toronto, and Windsor. The company's fleet of combined-cycle plants is
flexible and dispatchable, enabling renewable energy sources like solar and
wind power. Pending federal funding, the new hydrogen center could be
commissioned by early 2024.
Chris Fralick, President of Atura Power,
stated, "Ontario is building a hydrogen economy, and Atura Power is ready
to play a key role in helping establish a supply of this low carbon fuel. Supply
of hydrogen produced by Atura Power will enable heavy emitting industries and
transport to plan their transition to lower-carbon fuels. We look forward to
working with our partners and industry leaders to help advance this clean
technology, bringing the Niagara region to the forefront of the clean energy
and hydrogen economy."
He added Niagara could be one of Canada's "largest
green-energy hubs" and mentioned hydrogen will be "an important tool
in the fight against climate change." He also said, "Large-scale
hydroelectric power generation in Ontario was born here 100 years ago, and it
is only fitting that we would be looking here again as the place to usher in
large-scale hydrogen production for a new clean-energy source in the 21st
century."
Minister Smith said, "Through our Hydrogen
Strategy, we are leveraging our Province's world-class talent and clean energy
advantage as we position Ontario as a world leader in hydrogen. When energy is
clean, reliable, and affordable, our whole province benefits. I look forward to
working with all our partners to build critical infrastructure for the
industries of the future, including new hydrogen production projects that will
create good-paying jobs, grow our economy, and reduce emissions."
Niagara Region Chair Jim Bradley said, "Projects
of this kind are a clear demonstration that, in fact, when you are protecting
the environment, you can also generate a lot of economic activity and
development."
Niagara
Falls NDP MPP Wayne Gates stated via an email statement that the project is
"an important step forward" as the province moves towards cleaner
energy production. Gates added, "Protecting our environment and tackling
climate change is essential for our future. I'd like to thank all those
involved at Atura and OPG for taking this first step in the right direction."
Sources:
https://www.iheartradio.ca/610cktb/news/the-niagara-hydrogen-centre-could-make-niagara-one-of-canada-s-largest-green-energy-hubs-1.17534633
https://www.niagarafallsreview.ca/news/niagara-region/2022/04/07/atura-power-selects-niagara-falls-for-first-large-scale-hydrogen-production-facility.html
https://fuelcellsworks.com/news/atura-power-selects-niagara-for-the-niagara-hydrogen-centre/