Canada hydrogen strategy

Last updated: 2 August 2023

Canada sees a sizeable role and competitive advantage in the production, distribution and use of hydrogen given its abundance of feedstocks, skilled workforce and existing position as a leader in intellectual property and export of hydrogen technologies. Hydrogen is expected to form a key plank of Canada’s pathway to meeting its net-zero goals. In December 2020, Canada published the Hydrogen Strategy for Canada, designed to spur investments in hydrogen production and use, and create partnerships that establish Canada as a global supplier of hydrogen. Early actions outlined in the Strategy can be supported by several programmes identified as part of the government’s Strengthened Climate Plan, “A Healthy Environment and a Healthy Economy”, and the 2021 federal budget. This includes a CAD 1.5 billion (EUR 1 billion) Clean Fuels Fund that supports the build-out of new clean fuel production capacity (including hydrogen) and the CAD 8 billion (EUR 5.3 billion) Net-zero Accelerator that supports industrial decarbonisation. If the hydrogen opportunity outlined in the Strategy is fully seized, it is estimated that by 2050 over 350 000 new high-paying jobs could be created nationally as well as revenues in excess of CAD 50 billion (EUR 34 billion), relative to the 832 500 direct and indirect jobs in the energy sector in 2019.

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