Page 10 - NorthAmOil Week 32

NorthAmOil COMMENTARY NorthAmOil

Alberta already has
some infrastructure for
carbon capture and
storage.

governments, to inform the process. oil recovery (EOR) projects. Alberta already has
Shortly after news of the strategy’s develop- some infrastructure in place for this, with the
ment emerged, Dan Wicklum, the CEO of the Alberta Carbon Trunk Line (ACTL) capturing
non-profit Transition Accelerator – which is industrial emissions for both storage and use in
helping to lead the country’s hydrogen push – EOR.
was quoted by local media as saying he expected Once green hydrogen becomes cost-compet-
Ottawa to “set a context” for Canada’s hydrogen itive, BC, Manitoba, Ontario, Quebec and New-
strategy this summer, rather than committing foundland could have an advantage given their
funding at this point. abundance of cheap surplus off-hour renewable
Several Canadian provinces already produce power, with hydroelectricity accounting for the
hydrogen, and are now looking at how they can largest share of power in most. However, this is
pivot to blue and green hydrogen. And on a pro- thought to be at least several years away.
vincial level, Alberta is not the only province to
be developing its own hydrogen strategy, with What next?
British Columbia also working on this. Quebec, As further details of federal and provincial
for its part, has also embarked on a hydrogen hydrogen strategies are awaited, various hydro-
push, with its government having purchased a gen projects are already underway in Canada. Several Canadian
fleet of hydrogen-powered vehicles in 2019, and In Alberta, a handful of small-scale hydro-
is now exploring the idea of exporting the gas gen projects were awarded provincial govern- provinces
to the US. ment funding last month. One of these, in the already produce
It is Alberta, however, which is likely to lead city of Fort Saskatchewan, involves launching
the way in the development of clean hydrogen, blended gas – including up to 5% hydrogen – for hydrogen, and
having already established itself as a major, low- home heating in 2021, once the necessary infra-
cost hydrogen producer. structure is built. The pilot project will initially are now looking
“Alberta has a huge competitive advantage, as be rolled out to around 5,000 customers. It will
we are already one of the world’s largest hydro- be Canada’s largest hydrogen-blending project, at how they can
gen producers and we can make hydrogen for according to utility ATCO, with the company pivot to blue and
about half the cost of diesel fuel,” said Wicklum. hoping the scheme will provide a roadmap
And Alberta’s Associate Minister of Natural for further emissions reduction initiatives in green hydrogen.
Gas, Dale Nally, told the Globe and Mail in June Alberta.
that the goal of Alberta’s hydrogen plan would If the project is successful, there is potential to
be to establish “a very aggressive and profitable expand the hydrogen component of the blended
hydrogen industry”. gas mix to 20-40%.
This would involve using CCS to capture How this scheme and others perform
CO2 emissions during the production of fossil will be closely watched, with success serving
fuels and hydrogen. Supporters of hydrogen to add momentum to the already growing
development have also noted the opportunity to hydrogen industry in Alberta, and across
monetise the captured CO2 for use in enhanced Canada as a whole.™

P10 www. NEWSBASE .com Week 32 13•August•2020