Canada wants to be a top-three global green hydrogen producer by mid-century, but like your buddy training to run a marathon this year, a lot of work still needs to be done.
Driving the news: According to the Financial Times, countries aren’t developing green hydrogen projects fast enough to meaningfully contribute to global 2050 net-zero goals. By 2030, the global supply is projected to hit a 10th of what would be needed to be on track.
- Green hydrogen has been heralded as a saviour for hard-to-decarbonize industries, but less than 1% of hydrogen production is currently made via renewable resources.
Why it matters: All eyes are on Canada to help pick up the pace. The Great White North has been tabbed as a potential global leader in hydrogen production thanks to its vast natural feedstocks, like water and biomass, that can be used to produce green hydrogen.
- Since Canada launched its national hydrogen strategy in 2020, 80 low-carbon hydrogen projects have been announced, but labour shortages and regulatory red tape could hamper success.
Big picture: In April, Newfoundland and Labrador approved the construction of Canada’s first commercial-scale green hydrogen plant, which aims to pump out ~210,000 tonnes per year.—QH