World Energy GH2 applauds measures which will
help ensure competitiveness with the US Inflation
Reduction Act
ST.
JOHN, NL, March 28, 2023 /PRNewswire/ -- World
Energy GH2 congratulates Deputy Prime Minister and Minister of
Finance Chrystia Freeland on the
tabling of Budget23 "A Made-in-Canada Plan" in the House of
Commons. The budget provides much-anticipated details around the
Clean Hydrogen Investment Tax Credit (ITC) announced in the Fall
Economic Statement, and outlines the role of the Canada Growth Fund
in helping to launch Canada's
green hydrogen sector.
The comprehensive ITC announced in the budget sets the stage for
Canada to compete on a global
level against the backdrop of strong support mechanisms in other
jurisdictions, particularly, the US Inflation Reduction Act
(IRA). The ITC must be coupled with contracts for difference (CfDs)
as part of the Canada Growth Fund to make our country truly
competitive with the US IRA. CfDs are not just about de-risking
investments for project developers, they are also an investment
vehicle which can return funds to the Canada Growth Fund as the
global market for green hydrogen develops.
With many of the ITC details confirmed, and a broad framework
set for the launch of the Canada Growth Fund, efficient
implementation of CfDs will be crucial to ensuring that
Canada attracts clean energy
investments, such as World Energy GH2's CAD
16B Project Nujio'qonik on the west coast of Newfoundland and Labrador. World Energy GH2 commits to
remaining engaged with Finance Canada as it finalizes the details
of what capital costs are eligible under the Clean Hydrogen
and the Clean Technologies ITCs.
Canada is a longstanding
exporter of energy, and it is crucial to the Canadian economy that
we are at the forefront of new solutions, such as clean hydrogen,
as the globe continues to transition towards low-carbon and
net-zero sources of energy.
"All of Canada wins when clean
energy wins," said John Risley, a
Director at World Energy GH2. "Budget23 sets the right conditions
for the establishment of a multi-billion-dollar clean hydrogen
sector in Atlantic Canada. Our
project will be one of the largest private-sector investments in
the history of the region, and there is more to come."
"Canada has committed to
helping our allies in Europe
transition to cleaner energy, supplied by stable countries. This
commitment was reflected in German Chancellor Olaf Scholz' and European Commission President
Ursula von der Leyen's visits to
Canada. Now, it is time to make
good on that promise and deliver our first shipments of clean
hydrogen in 2025. Budget23 sends a signal across the Atlantic that
our allies can count on Canada."
About World Energy GH2
World Energy GH2 Inc. is a Newfoundland and Labrador-based renewable energy company. Our
Project Nujio'qonik is a consortium of partners investigating the
feasibility of the construction and operation of a cost-effective,
wind power to green hydrogen/ammonia production facility located on
the west coast of Newfoundland and
Labrador. Project Nujio'qonik aims
to be Canada's first commercial
green hydrogen/ammonia producer created from 3+ Gigawatts of wind
energy in one of the world's best wind resource regions.
https://worldenergygh2.com/
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SOURCE World Energy