Hydrogen
Hydrogen is a key pillar in decarbonizing the global energy system. And the future of hydrogen is in Canada. Canada is already one of the top 10 global hydrogen producers and, with many years of R&D, a leader in innovative hydrogen and fuel cell technologies. Global investors can choose from a wide range of production processes and end uses, including energy for home and industry, and fuel cells for transportation.

6 Reasons to invest in Canada's hydrogen industry
Canada is the place to invest in hydrogen. Learn why.
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Low-cost hydrogen
Canada is well-positioned to become a key international producer of hydrogen used in hydroelectricity, carbon capture and storage, and nuclear energy. As one of the world’s lowest cost producers of low-carbon and zero-carbon hydrogen, Canada is strategically positioned to benefit from taking a leadership role in the transition to a net-zero hydrogen economy. Alberta, British Columbia, and Saskatchewan can produce hydrogen at half the wholesale cost of diesel and have the country’s largest carbon capture storage resources. Quebec has some of North America’s lowest utility costs to drive production costs lower, and Prince Edward Island produces 98% of its energy through wind.
Incentives
Canada’s Net Zero Accelerator fund (part of the Strategic Innovation Fund) allocates $8 billion to expedite decarbonization projects, scale-up clean technology, and accelerate Canada’s industrial transformation. Support for innovative projects includes $1 billion for cleantech investment.
Progressive tax incentives include the Accelerated Capital Cost Allowance: 100% write-off of the cost of machinery and equipment used for the manufacturing, processing of goods and production of renewable energy.
Recognizing that more charging and refueling stations will lead to greater ZEV adoption, the 5-year $280 million Zero Emission Vehicle Infrastructure Program looks to increase the availability of localized charging and hydrogen refuelling opportunities.
The Clean Fuels Fund acknowledges the need for clean fuels – including hydrogen – to play a greater role in Canada’s net-zero future. It will provide the private sector with cost-shared, conditionally repayable funding to build new, retrofit, or expand existing clean fuel production facilities in Canada.
Canada’s hydrogen strategy
Canada has comprehensive strategies for hydrogen, including the Hydrogen Strategy for Canada: Seizing the Opportunities for Hydrogen, as well as provincial strategies by Alberta, British Columbia, Ontario, and Québec. Canada aims to develop stronger hydrogen supply and distribution in the next five years through the deployment of regional hubs, the implementation of regulation to attract near-term investment, and the adoption of new policies to reach 2050 net-zero achievements. Medium- and long-term goals include the expansion of fuel-cell electric vehicles for transportation applications, while increasing large scale pipelines for clean hydrogen and hydrogen/natural gas blending.
Leading research institutes
- Lambton College
- National Research Council
- Ontario Tech University
- Red River College Polytechnic
- Simon Fraser University
- University of British Columbia – Clean Energy Research Centre
- Université du Québec à Trois-Rivières (UQTR) – Hydrogen Research Institute
- University of Regina – Clean Energy Technologies Research Centre
- University Of Toronto
- University of Waterloo – Waterloo Institute for Nanotechnology
You’re in good company






