NORTH CAPE, Prince Edward Island, April 22, 2005 -- The Honourable Joe McGuire, Minister of the Atlantic Canada Opportunities Agency, on behalf of the Honourable David L. Emerson, Minister of Industry, today announced a $5.1-million contribution to support the development of the Prince Edward Island Wind-Hydrogen Village Project. This Hydrogen Early Adopters (h2EA) program contribution is part of a $10.3-million project undertaken by Hydrogenics Corporation and Prince Edward Island Energy Corporation to demonstrate energy solutions and economic growth opportunities for local communities. "Canada is aligning its environmental policymaking with economic and market realities to protect our environment and promote the development of green technologies by Canadian firms," said Minister Emerson. "The Prince Edward Island Wind-Hydrogen Village Project is exactly the type of innovative project that will help create the healthy environment and vibrant economy that Canadians want, now and into the future." "This contribution illustrates the Government of Canada's commitment to green energy," said Minister McGuire. "By partnering with industry, we are helping to position Atlantic Canada as a leader in specific hydrogen solutions and demonstrating the principles of sustainable development." Based at the western tip of Prince Edward Island, between Seacow Pond and North Cape, the project will use wind energy as the primary energy source and produce hydrogen to provide backup and primary electricity for industrial, farm and household needs, as well as hydrogen fuel for transportation solutions. A range of engine technologies will be showcased, including fuel cells, purpose-built hydrogen internal combustion engines and retrofitted internal combustion engines. "Promoting and demonstrating wind and hydrogen technology is a key component of our government's Renewable Energy Strategy," said Prince Edward Island Premier Pat Binns. "We believe hydrogen technology will soon be an important part of the economy and we are pleased to be a partner in this groundbreaking project." "Prince Edward Island's size and wind resources provide a distinct advantage for this project. It provides an ideal microcosm model of the hydrogen economy," said Pierre Rivard, President and Chief Executive Officer of Hydrogenics Corporation. "We are excited to participate in this dynamic project, which has significant potential to advance the commercialization of hydrogen and fuel cell technologies in Canada, and to demonstrate its capacity to be an important element in a truly clean and sustainable energy system." Phase One of the project includes the installation of a hydrogen energy station, a hydrogen storage depot, and a wind-hydrogen and wind-diesel integrated control system to power a number of homes and buildings within North Cape. The next phase is expected to include the expansion of the wind-hydrogen village to allow for a farm operation, and hydrogen transportation solutions, such as shuttle buses and fuel-cell utility vehicles. The final phase of the project will involve the introduction of a hydrogen-powered tour boat. The boat will be retrofitted with an engine that has the ability to run on pure hydrogen, but with a diesel fall-back system. The prospective solutions will meet the needs of the local community and be easily replicable in other locations elsewhere in Canada. The project will develop the Canadian hydrogen supply chain as well as marketable knowledge, services and electronic applications, tested and proven in real-life situations, and showcased to the world. The Technology Partnerships Canada h2EA program encourages Canadian industries to take the lead in demonstrating existing technologies in real-world applications, thus accelerating the market acceptance of hydrogen and hydrogen-compatible technologies with broad environmental, economic and social benefits for all Canadians. -30- For more information, please contact: Christiane Fox Office of the Honourable David L. Emerson Minister of Industry (613) 995-9001 Media Relations Industry Canada (613) 943-2502 The news release, backgrounder and other documents are available on the Technology Partnerships Canada Web site at http://www.tpc-ptc.ic.gc.ca ================== Backgrounder Government of Canada Invests in Alternative Energy Project The Government of Canada, through the Technology Partnerships Canada (TPC) Hydrogen Early Adopters (h2EA) program, is contributing $5.1 million in the multi-year Prince Edward Island Wind-Hydrogen Village Project. With the support of this contribution, Hydrogenics Corporation and the Prince Edward Island Energy Corporation will proceed with the $10.3-million project, which is designed to provide energy solutions and economic growth opportunities for local communities. The project will use wind energy as the primary energy source and produce hydrogen to provide backup and primary electricity for industrial, farm and household applications, as well as for fuel for a mix of transportation and other requirements. Using an integrated hydrogen power generation system, the project will provide real-life demonstration opportunities, permitting the evaluation and refinement of cost-effective hydrogen solutions. The Government of Prince Edward Island is committed to taking action to reduce its dependence on imported energy supplies derived from fossil fuels. With the highest electricity rates of any province, Prince Edward Island wants to increase its reliance on renewable energy, such as wind, wind/hydrogen and various forms of biofuels. It now draws 4 percent of its electricity from the North Cape Wind Farm and 1 percent from the V-90. In addition, Prince Edward Island has legislated that utilities obtain at least 15 percent of their electrical energy from renewable resources by 2010. The Government of Canada is committed to the vision of a hydrogen economy, and to ensuring that all departments and levels of government work together to make projects like this a reality. A strong supporter of sustainable energy solutions, the Province of Prince Edward Island will be providing $2.9 million to this project. In addition, Natural Resources Canada is contributing $115 000, through the Canadian Transportation and Fuel Cell Alliance, toward an engineering study that is underway for the hydrogen fuelling stations component of this project. The Technology Partnerships Canada h2EA program encourages Canadian industries to take the lead in demonstrating existing technologies in real-world applications, thus accelerating the market acceptance of hydrogen and hydrogen-compatible technologies with broad environmental, economic and social benefits for all Canadians. Based in Toronto, Hydrogenics Corporation is a leading global developer of clean energy solutions, and is advancing the hydrogen economy by commercializing hydrogen and fuel cell products to meet the energy needs of customers. The company employs 325 employees worldwide, with facilities in Mississauga, Vancouver and Belgium, as well as satellite operations in Germany, Japan and New York. The Prince Edward Island Energy Corporation is a Crown corporation of the Province of Prince Edward Island, established to develop and promote energy systems within Prince Edward Island in response to the province's dependence on imported electricity, and thermal and transportation fossil fuels. The Atlantic Wind Test Site, one of the corporation's current areas of focus, was established at North Cape in 1980 as Canada's only national wind energy laboratory, and has become the country's premier research and development centre for wind energy.
