This study explores the hydrogen industry, policy and debates in Canada and highlights the potential for cooperation with Germany.
There is broad consensus that Germany will have to import significant amounts of sustainably produced hydrogen over the long term in order to meet its climate targets. This study explores the import potential for hydrogen from Canada as well as opportunities for cooperation.
Structure of the study Hydrogen in Canada
In the study, the authors address the Canadian hydrogen sector and pilot projects (Chapter 1), the Canadian hydrogen strategy published in December 2020 (Chapter 2), the interests and requirements at the provincial levels (Chapter 3), the potential for hydrogen production using renewable energy along with production costs and future export opportunities (Chapter 4), as well as the opportunities for cooperation with Germany (Chapter 5).
The Canadian hydrogen sector
Canada has the potential to become a major hydrogen exporter. The long-awaited federal hydrogen strategy, published in December of 2020, makes clear that there is also a will do so in that country. The strategy’s main focus is blue hydrogen from the natural gas-rich provinces in the west. The eastern provinces, however, have enormous potential for green hydrogen from renewable energy. By 2050, Canada intends to become one of the three largest producers of hydrogen worldwide, consuming up to 20.5 million tons domestically while exporting large quantities.
Potential cooperation with Germany
There is potential for cooperation with Germany in many places. The topic of (green) hydrogen can play a key role in the existing energy dialogue and potential future energy partnerships. Germany could express its interest in Canadian green hydrogen politically and prepare for a future supply relationship by initiating concrete demonstration projects. The establishment of local hubs in the Canadian hydrogen strategy in the next few years offers starting points for this.
Eastern Canada has enormous, world-class wind and hydropower resources. They can help decarbonise North America, or be exported to Europe in the form of hydrogen and hydrogen derivatives.
The dialogue related to certification is also important in view of the Canadian strategy’s focus on blue hydrogen. If the requirements for the carbon footprint of hydrogen are not high enough, or if the emissions are not fully taken into account, there will be considerable distortions. There is further potential for cooperation along the entire value chain.
You can find out more about the energy policy, industry developments and debates on the subject of hydrogen in Canada as well as the potential for cooperation with Germany in the report.