Obtain the data you need to make the most informed decisions by accessing our extensive portfolio of information, analytics, and expertise. Sign in to the product or service center of your choice.
As countries transition away from using carbon-intensive energy
resources, low-carbon hydrogen is expected to be an important
energy source for difficult-to-electrify industries.
An ongoing trend over the past several years has been for
governments around the world to set targets for low-carbon hydrogen
use throughout the energy sector. In 2017, Japan became the first
country to adopt a national hydrogen strategy, which estimates
demand for hydrogen to reach between 5-35 million metric tons per
year (MMt/y) by 2050. Since then, several countries across Asia,
Europe and North America have released their own targets for
low-carbon hydrogen-use.
In many of the largest markets, especially those that are
resource and space constrained, demand for low-carbon hydrogen is
likely to exceed the local production capability and create a
market for low-carbon hydrogen imports that is expected to pick up
in the 2030s (see figure 1).
Figure 1: Global hydrogen imports
Canada is one of the largest global producers of hydrogen and is
expected to be able to produce enough low-carbon hydrogen to supply
domestic needs and export to international markets. Though Canada
faces competition from several energy exporting nations, capturing
even a modest share of the expected market for low-carbon hydrogen
imports would drive a significant expansion in domestic hydrogen
production levels. Our long-term planning case for North America
has Canadian production of low-carbon hydrogen for export ramping
up in the mid-2030s through 2050.
Canada's future electricity demand will be highly sensitive to
the mix of green versus blue hydrogen exports. Producing green
hydrogen from water electrolysis is a highly electricity-intensive
process whereas blue hydrogen production methods are not.
In our long-term planning case for North America, the
composition of Canada's low-carbon hydrogen exports evolves over
time, shifting from blue to green hydrogen. In the 2030s, blue
hydrogen will be the lowest-cost source of low-carbon hydrogen in
many markets. Over time, improvements in the cost and performance
of electrolyzers and renewables and increased stringency of carbon
intensity requirements will improve the competitiveness of green
hydrogen exports. By 2040, green hydrogen will rise to become the
primary source of Canada's low-carbon hydrogen exports and rise to
account for two-thirds of all low carbon hydrogen exports by
2050.
Green hydrogen exports, while highly uncertain, could drive a
wave of renewable development in Canada. Onshore wind will account
for most of the renewable additions to support green hydrogen
production. The need for wind resources will constitute a
significant wind building boom in Canada starting in the
mid-2030s.
Our new Clean Energy Technology report examines the levelized cost of CO2 avoided (LCCA) for #CCUS projects in key… https://t.co/VXwETPMJ6N
May 18
{"items" : [
{"name":"share","enabled":true,"desc":"<strong>Share</strong>","mobdesc":"Share","options":[ {"name":"facebook","url":"https://www.facebook.com/sharer.php?u=http%3a%2f%2fihsmarkit.com%2fresearch-analysis%2fcanadian-exports-of-lowcarbon-hydrogen.html","enabled":true},{"name":"twitter","url":"https://twitter.com/intent/tweet?url=http%3a%2f%2fihsmarkit.com%2fresearch-analysis%2fcanadian-exports-of-lowcarbon-hydrogen.html&text=Canadian+exports+of+low-carbon+hydrogen+could+drive+a+new+wave+of+renewable+development+%7c+IHS+Markit+","enabled":true},{"name":"linkedin","url":"https://www.linkedin.com/sharing/share-offsite/?url=http%3a%2f%2fihsmarkit.com%2fresearch-analysis%2fcanadian-exports-of-lowcarbon-hydrogen.html","enabled":true},{"name":"email","url":"?subject=Canadian exports of low-carbon hydrogen could drive a new wave of renewable development | IHS Markit &body=http%3a%2f%2fihsmarkit.com%2fresearch-analysis%2fcanadian-exports-of-lowcarbon-hydrogen.html","enabled":true},{"name":"whatsapp","url":"https://api.whatsapp.com/send?text=Canadian+exports+of+low-carbon+hydrogen+could+drive+a+new+wave+of+renewable+development+%7c+IHS+Markit+ http%3a%2f%2fihsmarkit.com%2fresearch-analysis%2fcanadian-exports-of-lowcarbon-hydrogen.html","enabled":true}]}, {"name":"rtt","enabled":true,"mobdesc":"Top"}
]}