Canadian Prime Minister Justin Trudeau, Pure Sources Minister Jonathan Wilkinson, German vice-chancellor Robert Habeck and German Chancellor Olaf Scholz at a hydrogen vitality deal signing ceremony on August 23, 2022 in Stephenville, Newfoundland and Labrador. THE CANADIAN PRESS/Adrian Wyld
A just lately introduced export settlement between Canada and Germany presents Canada a chance to export hydrogen to Europe.
The Hydrogen Alliance proposes a “transatlantic Canada-Germany provide hall” to start out exporting hydrogen by 2025. This goal could possibly be reached sooner with the export of hydrogen from Western Canada.
The transportation of hydrogen is extra problematic than its manufacturing. Hydrogen may be transported as a compressed fuel or as liquid hydrogen, however it’s most financial to transform it into anhydrous ammonia — which liquefies at a lot decrease pressures — for delivery.
The availability chain proposal is to ship ammonia from Alberta to Europe in specially-designed ammonia freight containers by way of the Port of Churchill in Manitoba. Ammonia containers shipped from Alberta would join with the Hudson Bay Railway for supply to a container terminal at Churchill.
It’s most financial to transform hydrogen into anhydrous ammonia for transportation.
(Shutterstock)
From Churchill, the ammonia could possibly be delivered instantly in a container ship to Europe, or proceed by way of a feeder service to Halifax to be loaded onto bigger container ships to cross the Atlantic Ocean.
Whereas just a few regulatory limitations should be addressed, like cabotage — the motion of home freight by international shippers or vehicles — restrictions on feeder transport routes, the challenge has minimal monetary and market threat.
Blue vs. inexperienced hydrogen
On the coronary heart of the alliance is a disagreement in regards to the form of hydrogen that must be produced. Germany desires to import inexperienced hydrogen, however Canada desires to maintain producing blue hydrogen. Simply final 12 months, the Alberta and federal governments agreed to a $1.3 billion blue hydrogen manufacturing funding that would end in a hydrogen plant being in-built Edmonton.
Blue hydrogen is hydrogen produced from the removing of carbon from methane (pure fuel). As an alternative of the carbon being launched into the ambiance, it’s captured and saved completely underground.
Learn extra:
Blue hydrogen – what’s it, and will it change pure fuel?
Inexperienced hydrogen is produced with renewable or zero-carbon vitality, however it’s costly and is anticipated to stay so till not less than 2030. In 2020, the price of producing blue hydrogen was $1.50 to $2.0 per kg, versus the price of inexperienced hydrogen at $2.5 to $5 per kg.
The settlement doesn’t assure that the hydrogen Canada produces must be inexperienced. Nonetheless, if Germany does find yourself resisting the export of blue hydrogen from Canada, different EU international locations will undoubtedly step in and take its place.
Revitalizing the Port of Churchill
For many years, the Churchill hall has been starved of adequate visitors to keep up the prices of their infrastructure. When grain dealing with was the Port’s mainstay, annual volumes by no means exceeded 650,000 tons.
The Hudson Bay Railway requires roughly two million tons of visitors annually to be economically self-sufficient. In 2022, the Manitoba and Canada governments pledged $147 million to improve and preserve the railway, which is vulnerable to service disruptions.
The Hydrogen Alliance proposal contains the creation of a provide hall to ship ammonia from Alberta to Europe by way of the Port of Churchill in Manitoba.
THE CANADIAN PRESS/John Woods
Ammonia exports may present the quantity wanted to make the railway sustainable. One 20-foot container (TEU) of liquid ammonia equals 13.7 tons. Two million tons would equal 146,000 TEUs, or about 365 double-stacked practice actions per 12 months. As manufacturing will increase, Western Canada may provide one 3,500 TEU ship per week.
Container cranes would allow Churchill to draw different exports too. The Hudson Bay Railway could be a decrease price route for the export of grains and legumes to Europe and the Center East. Opening a container terminal at Churchill may decrease transport prices to Nunavut and change diesel turbines with hydrogen gasoline cells.
Many of the property required to develop an ammonia provide chain by way of the Port of Churchill exist already, except a container crane and a port terminal to deal with ships of three,500 TEU and bigger. The assure of long-term visitors flows ought to assist offset any public funding wanted to construct extra infrastructure.
Preventing the ‘vitality conflict’
The potential marketplace for hydrogen is big and the danger is minute. No matter how the invasion of Ukraine ends, the EU won’t ever permit the Russians to have such a big share of their vitality market once more.
Russia has been leveraging its energy over world vitality markets to maintain its economic system, which has been largely reduce off from the remainder of the world by way of sanctions. In solidarity with Ukraine, Europe and lots of different international locations have been desperately in search of options to Russian oil and fuel.
Canada may assist Europe fight this “vitality conflict” with Russia by providing a substitute for Russian vitality sources. By exporting blue hydrogen from Alberta by way of the Churchill hall, Canada would have the ability to add to the quantity of Newfoundland and Labrador exports.
Combating local weather change
Actions of oil by way of the Port of Churchill would seemingly increase objections of environmentalists due to the danger of spills, however ammonia is a special story. Whereas anhydrous ammonia must be dealt with with care, any unintended launch is more likely to be restricted to a single container and would dissipate rapidly.
Canadian Prime Minister Justin Trudeau and German Chancellor Olaf Scholz signed a deal on Aug. 23, 2022, to kickstart a transatlantic hydrogen provide chain, with the primary deliveries anticipated in simply three years.
THE CANADIAN PRESS/Adrian Wyld
The export of hydrogen by way of the Port of Churchill can be in keeping with the Authorities of Canada’s surroundings coverage. Blue hydrogen, which has a comparatively low carbon depth rating, has the potential to assist Canada meet its 2050 greenhouse fuel discount objective.
A low-carbon economic system would require hydrogen manufacturing with decrease carbon depth, and blue hydrogen is a step in the proper path. Offering blue hydrogen to export markets will scale back carbon emissions globally as nicely.
Barry E. Prentice doesn’t work for, seek the advice of, personal shares in or obtain funding from any firm or organisation that might profit from this text, and has disclosed no related affiliations past their tutorial appointment.