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RE:Canada: Canada's National Hydrogen Strategy

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The best is for last! Nice RandomMaker Qubec: Hydrogen as Distributive Generation Lastly, in the case of Qubec, the province's hydrogen strategy revolves around vertically-integrated Hydro- Qubec (HQ), which holds renewable energy generation capacity and distribution rights to both meet provincial demand and supply a number of other Canadian and U.S. markets. Ironically, it may be through HQ's centralized generation and distribution networks that cost-effective localized hydrogen production can be facilitated, including: Decentralized Hydrogen Production: Unlike the large-scale electrolysis production facilities planned in other parts of Canada, such as B.C.'s Peace Region electrolyser project or Alberta's large scale infrastructure plans, Qubec views hydrogen production as essentially distributive and facilitated by HQ's robust electricity distribution networks. Private Sector-Driven Growth: While the final plans of both the Province of Qubec and HQ remain to be finalized, it would appear that heavily discounted electricity may be made available to private sector generators at proposed hydrogen generation points across the province, essentially removing both the province and HQ from the hydrogen market. Lowest Cost Green Hydrogen: In avoiding substantial infrastructure spending (at this initial stage) and relying upon both the electricity grid and the (hydroelectric-driven) low-cost electricity costs, Qubec may be poised to make short-term realizable gains in hydrogen markets, such as fuel cell technologies, before other provinces and states can develop the infrastructure to compete. In short, Qubec's goals for hydrogen may appear similar to the other provinces, but it too has unique market opportunities which the National Hydrogen Strategy needs to accommodate. BLG's Energy - Power and Energy - Oil & Gas groups are closely monitoring Canada's position in the emerging hydrogen economy, including the National Strategy, and have identified opportunities and challenges in the importance of regional specificity, a holistic approach to hydrogen's role in climate change and cross-sector opportunities. We will be pleased to provide more information in all of these areas.