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BC spurs hydrogen, rolls out strategy for decarbonization goals
Gary Park for Petroleum News
The British Columbia government is joining a fast-expanding international movement to produce hydrogen through a newly released strategy it believes will provide the framework to scale back on the use of fossil fuels and set a path to net-zero carbon emissions by 2050.
But some environmental groups have expressed disappointment that the province is still embracing natural gas when climate change should be the overriding priority.
The strategy is designed to spur investment in what the government views as a clean alternative fuel, targeting a series of short- and long-term goals, including a framework for B.C. regulators to work with hydrogen industry players and regulations for hydrogen production.
Previous peak in 2000 A previous wave of excitement in hydrogen fuel peaked in 2000 when Ballard Power Systems based in Metropolitan Vancouver received financial backing from the B.C. government and attracted global investment.
However, the company’s tests of its hydrogen technology from 2009 to 2014 on 20 city buses were abandoned, scuttling talk of a “hydrogen highway” from B.C. to California.
But Ballard has quietly continued to pursue its objectives by developing hydrogen fuel cells, holding out hopes that B.C. will make at least 10 hydrogen stations available to motorists by the end of this year.
Bruce Ralston, B.C.’s Minister of Energy, Mines and Low Carbon Innovation, conceded that hydrogen has “gone through some peaks and valleys over the past 25 years.”
“But I think the difference this time is that it’s recognized widely by a number of countries, research institutions and established clean-tech companies as a fuel that will enable different countries to achieve the decarbonization goals that they want.”
Earlier this year, Ralston announced a program to provide discounted rates for BC Hydro (a provincially owned utility) to industrial customers that build or expand clean energy projects.
Not completely pollution free But it is understood that hydrogen is not a completely pollution-free fuel.
The process of producing hydrogen emits varying amounts of carbon, depending on the process that is used.
“Green” hydrogen relies on low-emitting renewable electricity, while “blue” hydrogen is derived from natural gas by a process that captures and stores the carbon dioxides that would otherwise be released into the atmosphere.
But “green” hydrogen has manufacturing costs that are at least triple those associated with the “blue” version.
Karen Tam Wu, B.C. director of the Alberta-based Pembina Institute, a clean energy think tank, said she was disappointed that the B.C. government will continue to embrace natural gas as the underpinning of its hydrogen production.
Because the government has failed to give priority to “green” hydrogen it will “miss an opportunity to build a hydrogen economy on a renewable energy foundation rather than on fossil fuels,” she said.
Ballard Chief Executive Officer Randy McEwen did not agree with Wu’s position, saying a “comprehensive hydrogen strategy for the province will send a strong signal to investors, boosting economic growth and local jobs, while positioning B.C. as a leader in the hydrogen economy.”
Hydrogen plans Currently, a number of European Union countries, Oman, Saudi Arabia, Western Australia and Alberta have committed tens of billions of dollars to produce hydrogen.
Air Products and Chemicals said in July that it plans to open a C$1.3 billion facility near Edmonton in 2024, while Suncor Energy and Atco are working on joint production of “blue” hydrogen in Alberta, setting 2028 as their target date to bring a facility online.
- GARY PARK
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