Niagara has been selected for Ontario's first large-scale hydrogen production facility.
The Niagara Hydrogen Centre, which will use a 20-megawatt electrolyzer to produce green hydrogen, was selected based on several studies that look into the technical and economic viability of green hydrogen production.
Today’s announcement of a Niagara-based Atura Power hydrogen facility was part of the Province’s release of its hydrogen strategy.
Ontario Minister of Energy Todd Smith and Minister of the Environment, Conservation and Parks David Piccini announced the strategy at an event today in Niagara Falls, highlighting Atura Power’s green hydrogen project.
The provincial government is supporting the project by providing an exemption from the Gross Revenue Charge from 2024 to 2033 for electricity generated at the Sir Adam Beck Generating Station used specifically for hydrogen production under some conditions.
Atura Power is completing preliminary steps for this electrolyzer facility to support a final investment decision by summer 2022.
Pending federal funding, the facility could be commissioned as soon as early 2024. Atura Power is evaluating additional sites in Ontario for green and low-carbon hydrogen production, including Halton Hills, Windsor, Lambton-Sarnia and Nanticoke.
Green hydrogen is produced with electrolyzers using water and electricity as inputs.
Electrolysis is the process of breaking water (H2O) molecules into hydrogen and oxygen molecules using electricity.
As an electricity grid innovation, the Niagara Hydrogen Centre electrolyzer will be capable of providing regulation services and can balance the Ontario electricity grid in real time.
Both the federal and provincial governments have noted the potential for hydrogen to play a key role in helping meet climate change objectives.
“Ontario is building a hydrogen economy, and Atura Power is ready to play a key role in helping establish a supply of this low carbon fuel,” said Chris Fralick, President Atura Power. “Supply of hydrogen produced by Atura Power will enable heavy emitting industries and transport to plan their transition to lower carbon fuels. We look forward to working with our partners and industry leaders to help advance this clean technology, bringing the Niagara region to the forefront of the clean energy and hydrogen economy.”
“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 Minister Smith. “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 paying jobs, grow our economy and reduce emissions.”