Hydrogen Optimized is bringing attention to its operations in the region by showing off its technology to local politicians and industry professionals.
The Owen Sound-based company hosted the first stop of the New Economy Canada’s Getting Things Built tour on Wednesday, which is visiting clean energy companies around the country.
New Economy Canada is a non-partisan initiative aiming to unite business, labour and Indigenous leaders committed to building a clean economy in Canada.
The event began with opening remarks from Hydrogen Optimized President and CEO Denis Krude, New Economy Canada President Merran Smith, and Canadian Hydrogen Association President Ivette Vera-Perez.
Attendees were then given a tour of the facility where they were shown the company’s staple technology, Rugged Cell, which produces clean hydrogen to be used as a alternative for various industries.
Hydrogen Optimized Rugged Cell (Photo by Nathan Shubert)
“There is huge potential in the market for green hydrogen,” says Krude. “This green hydrogen goes mainly into the big industry sectors like steel making, like fertilizers and ammonia, like refineries, but also natural gas blending and decarbonization of the heating sector.”
He says the global market for green hydrogen is worth about USD $180 billion (about CAD $247 billion).
“Global warming is not local phenomenon, it is a global one and the big focus markets are Europe because of the big industry there that has to be decarbonized,” says Krude. “Our technology is designed for these big markets.”
He says Hydrogen Optimized will continue to operate out of Owen Sound, but will look at expanding in the future.
In the meantime, Krude says he is appealing to both the provincial and federal governments for support.
Bruce-Grey-Owen Sound MP Alex Ruff says Hydrogen Optimized provides an opportunity for the region to have a technology which is needed across the globe.
“It’s an opportunity to demonstrate that our region can be part of the leading edge here in Canada,” says Ruff. “There is room for growth and anything that we can do to continue to bring back local domestic manufacturing not only in Canada but in Ontario and in particular here in the Owen Sound and Grey Bruce area is phenomenal.”
Hydrogen Ontario Executive Director Maike Althaus says they anticipate the number of clean hydrogen companies to grow significantly in the coming years.
“We estimate the number of companies active in hydrogen in Ontario to be about 300,” says Althaus. “Based on an independent report, we think that this number can grow up to 70,000 by 2030 under the right conditions.”
She says this growth has a large potential for job creation and economic development in Ontario, but at the moment, the industry is facing issues with supply and demand as well as the cost to produce it, which hinders the ability to become competitive.
“At the moment, hydrogen production is fairly expensive, and actually 60 per cent of hydrogen production projects all depends on the price of electricity. There needs to be a specific rate for hydrogen production at the very beginning,” says Althaus. “The price of hydrogen needs to be at par with natural gas.”
She says says while the supply of hydrogen is developing, the demand needs to be present.
“Theoretically it is there, we just need to get the price right,” says Althaus.