TORONTO The Ontario government has announced a new Hydrogen Innovation Fund that will invest $15 million over the next three years to help develop opportunities for hydrogen to be integrated into Ontario’s electricity system, including hydrogen electricity storage.
The fund will be administered by the Independent Electricity System Operator (IESO), which is opening applications for the fund in April 2023, stated a release.
Natural Resources Canada modelling shows hydrogen could make up about 30 per cent of the country’s fuels and feedstock by 2050.
Projects would incorporate electricity supply, capacity, storage and demand management. The fund will support projects across three streams: existing facilities that are ready to evaluate how hydrogen can support Ontario’s grid; new hydrogen facilities that could be in service by a specified date; and research studies investigating the feasibility of innovative applications of hydrogen.
The province is also advancing work to develop the Niagara Hydrogen Centre, led by Atura Power, which would increase the amount of low-carbon hydrogen produced in Ontario by eightfold. The project would use previously unutilized water at the Sir Adam Beck generating station to produce electricity for a hydrogen electrolyzer.
The government’s hydrogen strategy has identified potential hydrogen hub communities in Niagara, Halton Hills, Nanticoke, Brighton Beach and Lambton.
To support the implementation of the project, the IESO entered into a contract for grid regulation services at the Sir Adam Beck station starting in 2024, leading to hydrogen production at the Niagara Hydrogen Centre.
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