Hydrogen project will create jobs, fuel B.C.’s clean economy, reduce emissions

Hundreds of new jobs in the clean economy will be coming to B.C. as the Province supports a first-of-its-kind project to accelerate the build-out of hydrogen production and a provincewide refuelling network.

“We know the cost of inaction on climate change is not just in the price of responding to extreme weather like forest fires,” said Premier David Eby. “Inaction would also cost us new jobs, new investment and new opportunities in growing a cleaner economy. We can’t afford to miss this economic opportunity. That’s why we’re supporting job-creating clean-energy hydrogen projects that will drive new investment and reduce pollution.”

HTEC has announced its H2 Gateway project aimed at reducing emissions in the transportation sector. HTEC plans to build and operate an interprovincial network of as many as 20 hydrogen refuelling stations (with 18 in B.C.) to support the deployment of fuel-cell vehicles and advance greener transportation solutions. The refuelling stations will be supported by three new electrolyzers in Burnaby, Nanaimo and Prince George, and a new facility that liquefies 15 tonnes per day of byproduct hydrogen in North Vancouver.

The H2 Gateway projects are estimated to create more than 280 full-time jobs to build, operate and support the hydrogen infrastructure. H2 Gateway will also support the development of regional hydrogen hubs across the province where production and use are co-located to lower costs and maximize benefits for local economies.

“Producing clean fuels like hydrogen right here in B.C. to replace diesel use for transportation helps to reduce harmful pollution while creating new jobs and opportunities in the clean economy,” said Josie Osborne, Minister of Energy, Mines and Low Carbon Innovation. “By supporting innovative projects like H2 Gateway, we can ensure that B.C. remains a world leader and attracts new investment in the growing clean economy.”

Hydrogen fuel-cell vehicles can travel long distances and have relatively short refuelling times. As part of this investment, 14 of the 20 new stations will enable the refuelling of as many as 300 heavy-duty vehicles per day. It is estimated that H2 Gateway could reduce emissions from the transportation sector by approximately 133,000 tonnes annually.

The total cost of the H2 Gateway projects with input from all partners is approximately $900 million. The Province is supporting the H2 Gateway project through B.C.’s Low Carbon Fuel Standard (LCFS). Under four LCFS Initiative Agreements valued at up to $133 million, HTEC is proceeding with the construction of hydrogen fuelling stations in key communities, green-hydrogen production in Burnaby and byproduct hydrogen production in North Vancouver.

The Canada Infrastructure Bank (CIB) has also announced a $337-million loan to expedite and expand HTEC’s operations through the implementation of H2 Gateway. The CIB’s financing will help accelerate the implementation of hydrogen technology and help mitigate uncertainty in the rate and pace of hydrogen adoption, which have historically been barriers to private investment in sustainable fuel production and infrastructure.

“The initiative agreements that we have under the Low Carbon Fuel Standard are integral to the success of our fuelling network in B.C., which includes hydrogen production facilities and fuelling stations,” said Colin Armstrong, HTEC president and CEO. “Ambitious, transformative projects like H2 Gateway would not happen without a strong strategic and foundational partnership like the one we have with the Province of B.C.”

B.C.’s new Clean Energy and Major Projects Office (CEMPO) is fully operational and supporting projects such as HTEC’s. Announced in March 2023 to fast-track investment in clean energy and create good, sustainable jobs in the transition to a clean economy, CEMPO is providing dedicated support to clean-energy projects, including in the emerging hydrogen economy. 

“This announcement is incredibly exciting for the people of North Vancouver and all British Columbians,” said Susie Chant, MLA for North Vancouver-Seymour. “The H2 Gateway project will not only create numerous local jobs but also position our community at the forefront of clean energy innovation, significantly contributing to our goals of a sustainable future for all while helping fight climate change. I am grateful for the opportunities I have been given to tour HTEC and am impressed with their leadership in this field.”

Quick Facts:

• In 2021, B.C. became the first province in Canada to release a comprehensive hydrogen strategy.
• More than 50% of Canada’s hydrogen and fuel-cell companies are in B.C., and the province accounts for approximately 60% of research investment in hydrogen and fuel-cell development.
• There are approximately 50 proposed projects in the hydrogen sector in B.C., ranging from large-scale production facilities to hydrogen-fuelling stations and heavy-duty trucking pilots representing billions in potential investment.
• B.C.’s Low Carbon Fuel Standard was introduced in 2008 and implemented in 2010 to reduce B.C.’s reliance on non-renewable fuels, reduce the environmental impact of transportation fuels and spur growth in the Province’s low-carbon fuel industry.
• Under an LCFS Initiative Agreement (formerly called a Part 3 Agreement), fuel suppliers are awarded credits for undertaking actions that increase the use of low-carbon fuels or reduce the carbon intensity of a low-carbon fuel. 

Learn More:

To learn more about HTEC, visit: https://www.HTEC.ca

To learn more about B.C.’s Hydrogen Strategy, visit: https://www2.gov.bc.ca/assets/gov/farming-natural-resources-and-industry/electricity-alternative-energy/electricity/bc-hydro-review/bc_hydrogen_strategy_final.pdf

To learn more about the Low Carbon Fuel Standard, visit: https://www2.gov.bc.ca/gov/content/industry/electricity-alternative-energy/transportation-energies/renewable-low-carbon-fuels

To learn more about B.C.’s Clean Energy and Major Projects Office, visit: https://www2.gov.bc.ca/gov/content/industry/electricity-alternative-energy/renewable-energy/clean-energy-and-major-projects-office