There is growing pressure from both customers and investors on Alberta companies to “decarbonize” their products and operations. Using water rather than hydrocarbons as a feedstock to produce green H2 is an effective option for achieving that goal. Furthermore, while electrolyzers can operate on any source of electrical power increasing the proportion of renewable power used to drive the electrolysis process produces, on a life-cycle basis, increasingly low carbon intensity final products.
Electrolyzers are a proven technology and the resulting H2 can be incorporated into an existing H2 feedstock supply chain with no or minimal retrofit. The modular nature of electrolyzers also makes matching H2 demand to H2 supply simple to accomplish, either remotely or on site.
Because of their operational flexibility electrolyzers allow the Project is to take full advantage of Alberta’s unique competitive power market, avoiding high price periods of the day and therefore keeping H2 prices low. At the same time ongoing technology improvements are steadily making electrolyzer economics increasingly positive. Electrolysis can also significantly enhance the environmental and economic value of Alberta’s renewable power industry by converting renewable but highly variable electric power into readily storable green H2,. Alberta has made significant investment into renewable power generation and has massive future potential. However, without storage, aligning power supply with demand is difficult, reducing price and as a result growth in the industry. At up to 80% energy conversion efficiency, transforming renewable electrical energy into H2 achieves that critical energy storage goal.