f-cell 2011 Canadian Overview Eric Denhoff President and CEO Canadian Hydrogen and Fuel Cell Association

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1 f-cell 2011 Canadian Overview Eric Denhoff President and CEO Canadian Hydrogen and Fuel Cell Association

2 Introduction: Why are hydrogen and fuel cells important to Canada? Stimulating economic development (2,000 innovation-based jobs created) Building science and technology capacity Reducing greenhouse gas emissions and air pollution Improving energy efficiency and conservation

3 Introduction: Canada safely produces 3 million tonnes of hydrogen per year Natural Gas Hydro-electricity Biogas Renewables By-product Hydrogen Hydrogen is used to upgrade heavy oil from the Alberta tar sands, to produce gasoline, ammonia for fertilizer, glass, food. By-product hydrogen from ERCO s chemical plant (project engineering and management by HTEC/Sacre-Davey) in North Vancouver will fuel BC Transit s fleet of 20 fuel cell buses and have the potential to generate 8 megawatts of renewable electricity.

4 Canadian Product Leadership: Back-up Power Hydrogen fuel cell solutions for a variety of essential services, including communication networks and data centres, provide highly reliable back-up power for mission critical applications. Customers include telecommunications providers such as Wind Mobile, municipalities such as Meiningen, Germany, and the Danish Emergency Service Network.

5 Canadian Product Leadership: Materials Handling Global brands like FedEx, Sysco, Coca Cola and BMW are using fuel cell-powered forklift truck solutions for pallet jacks, reach trucks and large counterbalanced trucks to dramatically improve productivity in warehouse operations. Strong economic and environmental returns, including payback in under 1-year and ROI of 20%+.

6 Canadian Product Leadership: Hydrogen Storage Dynetek Industries was one of the first companies to identify the need for high pressure tanks for onboard hydrogen storage. Carbon fibre wrapped tanks are used by many of the world s automobile and bus OEMs for hydrogen storage.

7 Canadian Product Leadership: Transit Buses Canadian-made fuel cell stacks for bus applications are featured in transit fleets in Germany, the US, the UK, Brazil and Canada. A true zero emission public transportation solution benefits of electric trolley buses without the trolley wires!

8 Canadian Product Leadership: Hydrogen Production Hydrogenics Corporation is a world leader in the production of electrolysers for hydrogen production. Electrolysers deployed in renewable energy, hydrogen fuelling and industrial hydrogen applications.

9 Canadian Product Leadership: Distributed Generation Larger distributed fuel cell systems in the multi-megawatt range are being installed at sites to provide primary power for buildings and, in some instances heat as well. Some of these systems utilize waste hydrogen and biogas. Ballard Power Systems has sold multi-megawatt units to K2 Pure, First Energy and Toyota.

10 Canada is an global automotive R&D player thanks to hydrogen and fuel cells Automotive Fuel Cell Cooperation Inc (AFCC) is Daimler and Ford s JV in Vancouver working on their generation III fuel cell electric vehicle (FCEV). Employing 225 people, AFCC is the largest automaker R&D centre in Canada. In March 17, 2011, Daimler announced $50 million dollar investment to set up its global automotive fuel cell manufacturing facility in Burnaby, BC.

11 Notable Projects in Canada 1. BC Transit Bus Fleet 2. Walmart Canada Forklift Deployment 3. Enbridge Stationary Fuel Cell 4. Remote Power in Bella Coola 5. Ramea Island Wind to Hydrogen

12 Notable Projects in Canada: BC Transit Bus Fleet BC Transit operates the world s largest fleet of fuel cell electric buses (20) - Whistler, B.C. 6th generation fuel cell bus technology. 80% reduction in GHG emissions compared to diesel buses. Largest H2 fuelling station in the world (1000 kg/day capacity).

13 Notable Projects in Canada: Walmart Canada Forklifts Walmart Canada is fuel cell-powered forklift trucks at its new distribution center near Calgary, which opened in Walmart estimates lower operating costs of $150,000 annually and up to 72% fewer greenhouse gas emissions than would otherwise be the case at this site.

14 Notable Projects in Canada: Enbridge Stationary FC 2 MWs of clean electricity without combustion in Toronto Innovative use of traditional fossil fuels Constant power 24/7 Power for 1,700 homes Fits in 22 parking spaces 500 square metres Electrical efficiency > 60% Less than 14 cents/ kwh

15 Notable Projects in Canada: Bella Coola Remote Power BC Hydro is demonstrating a new approach to large-scale energy storage in Bella Coola, BC by converting surplus hydroelectric power into hydrogen, storing it and then using it in a 100 kw fuel cell to provide power as needed. This project is enabling a remote community, not connected to the province's power grid, to lower its dependency on diesel-run generators, saving upwards of 200,000 liters a year and an expected annual reduction in carbon dioxide of 600 tons.

16 Notable Projects in Canada: Ramea Island Wind to H2 The Ramea Island Project in Newfoundland/Labrador is producing hydrogen from wind during off-peak demand and then converting it to electricity through hydrogen internal combustion engines when demand increases. There are 27 other island communities in that province that can use this hydrogen production, storage and conversion system.

17 Hydrogen and fuel cell sector can provide significant economic impacts for Canada Year 2020 Projection Revenues ($mm) $1,232 Direct Employment 6,291 Indirect Employment 8,178 Total Jobs Impact 14,469 Wages Paid ($mm) $650 Source: Ference Weicker, March 2010 Federal and BC Governments, CHFCA

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