As the Russian president endures to weaponize energy in his unlawful war on Ukraine, Canada is working with European partners to transfer from imports of Russian oil and gas and fight climate change with Canadian clean hydrogen.
Jonathan Wilkinson, Minister of Energy and Natural Resources, and Robert Habeck, German Vice-Chancellor and Minister of Financial Affairs and Climate Action, reinforced their obligation to implement a transatlantic hydrogen passage by validating a Memorandum of Understanding to create a first-of-its-kind mutual program. This program will increase commercial-scale hydrogen trade between Canada and Germany, gain primary access for clean Canadian hydrogen manufacturers in the German market, and reinforce the two countries’ hard work to control climate change and improve energy safety. The Minister and Vice-Chancellor were joined by Canada’s Representative to Germany John Horgan, Indigenous leaders, and senior representatives from the Canadian and German energy segments to validate this historic agreement.
With authorities around the world quickly advancing hydrogen ventures to contest in the European market, the declaration will aid in positioning Canada as an important market for Germany to source products, enable Canadian manufacturers to increase first-mover advantage, and guarantee that Canada remains a global frontrunner in the race to supply clean hydrogen to the world.
Under this Memorandum of Understanding, Canada and Germany will establish a committed Bilateral Window through Germany’s H2Global Groundwork to provision commercial dealings between Canada’s hydrogen manufacturers and Germany’s industrial manufacturing and energy supply sectors. The Canada-Germany Joint Window will be managed by the H2Global Foundation and will conduct corresponding supply and demand side auctions that will join Canadian hydrogen exporters with German customers to enable the conclusion of commercially obligatory agreements for the sale of clean Canadian hydrogen and its byproducts within the recognized timelines.
This MOU delivers on the determined commitments made under the Canada-Germany Hydrogen Coalition signed by the two leaders in Stephenville, Newfoundland and Labrador, in August 2022. This association includes the mutual objectives of enhancing investments in hydrogen products, assisting the development of secure hydrogen supply chains, and generating a Canada-Germany supply corridor.
Before today’s statement, Canada has made substantial efforts to support the manufacture and export of clean hydrogen. These efforts comprise the introduction of bold policy enterprises to permit the expansion of a clean hydrogen export segment in Canada, including the Clean Hydrogen Investment Tax Credit and the Clean Technology Venture Tax Credit; creating the Canada Growth Fund, and supporting important hydrogen exporters in Canada with a joint $250 million in export development loans.
The MOU publicized confirms Canada’s place as a provider of choice to like-minded global associates. It will assist in securing early market entry for competitively priced clean energy products by Canadian businesses and guarantee good jobs, clean economic growth, and emission reductions at home while establishing energy security abroad.
