We're here to help with COVID-19 supports. Learn more.

Ontario Launches First-Ever Hydrogen Strategy in Niagara

Niagara Falls – The Ontario government has released its Low-Carbon Hydrogen Strategy to accelerate the development of the low-carbon hydrogen economy in the province that will create jobs, attract investment and reduce emissions.

“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,” said Hon. Todd Smith, Minister of Energy.

“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 jobs, grow our economy and reduce emissions.”

“I am a passionate supporter of the expansion of hydrogen technologies,” said Sam Oosterhoff, MPP for Niagara West.

“My Private Member’s Motion on clean energy, which was supported by Legislative Assembly of Ontario in 2020, called the province to support the expansion of hydrogen technologies by removing regulatory barriers and encouraging support from the federal government. Today, Minister Smith and our government are acting by implementing a plan to unlock the incredible potential of clean hydrogen.”

Since taking office, the government has worked to make Ontario the best place to do business. By reducing electricity costs, lowering taxes and cutting red tape, the cost of doing businesses has been significantly reduced, supporting new investment in the province.

The strategy builds on that progress and leverages the province’s strengths, including a highly skilled workforce, clean and affordable electricity, existing storage and pipeline infrastructure, and an innovative industrial sector that is poised to collaborate on hydrogen. With immediate actions, including hydrogen production projects and a new electricity rate option pilot for hydrogen producers under consideration, Ontario’s Low-Carbon Hydrogen Strategy will position the province as the clean manufacturing and transportation hub of the future.

To become a leader in the low-carbon hydrogen economy, Ontario’s strategy is guided by the following objectives:

  • Generate economic development and jobs: Capitalize on Ontario’s competitive and regional advantages, including our talent, infrastructure and resources, to accelerate growth in Ontario’s low-carbon hydrogen economy;
  • Reduce greenhouse gas emissions: Support our Made-in-Ontario Environment Plan targets to reduce greenhouse gas emissions by encouraging the use of low-carbon hydrogen;
  • Promote energy diversity: Consider how low-carbon hydrogen can cost-effectively support Ontario’s evolving energy system and build redundancies through electricity storage and clean fuel supply;
  • Promote innovation and investment: Enable opportunities for low-carbon hydrogen use and position Ontario as a leading destination for investment;
  • Strengthen collaboration: Work with the private sector, the federal government, municipalities, Indigenous communities, academic institutions and other stakeholders to grow and sustain a low-carbon hydrogen economy in Ontario.

“As a fuel that can be produced and used with little to no greenhouse gas emissions, low-carbon hydrogen has tremendous potential to help us meet our long-term economic and environmental goals,” said David Piccini, Minister of the Environment, Conservation and Parks.

“Supporting innovation and investment in clean technologies will help secure a cleaner, more prosperous Ontario now and for generations to come.”

As part of this strategy, the government is supporting a proposal from Atura Power, a wholly owned subsidiary of Ontario Power Generation (OPG), to build, own and operate the province’s largest low-carbon hydrogen production facility in Niagara Falls.

The proposed facility would be a source of low-carbon hydrogen with a 20-megawatt (MW) electrolyzer that is capable of providing grid balancing services and using low-cost off-peak electricity. Ontario’s support for the project includes an exemption from the Gross Revenue Charge for electricity generated at the Sir Adam Beck Generating Station used specifically for hydrogen production when providing electricity grid regulation.