For immediate release
OWA Welcomes Federal Support for Pumped Storage, Green Hydrogen
Budget 2021 Expands Clean Energy Equipment Definition
(April 21, 2021 – Peterborough, Ontario) The Ontario Waterpower Association (OWA) is extremely pleased with the federal government’s proposed budget measures to support investment in pumped storage hydropower. The province is home to North America’s first pumped storage facility, located at the Sir Adam Beck complex in Niagara Falls, and there is significant potential for new pumped storage to help meet Ontario’s growing system capacity and reliability requirements.
“The OWA has long advocated that federal taxation incentives, designed to encourage investment in clean technology, should include pumped storage”, said Paul Norris, OWA President. “Pumped storage projects are capital intensive but they are also extremely long-lasting assets, and will significantly benefit from a taxation treatment that is equitable with other clean energy technologies.”
In 2018, the federal government introduced tax incentives to encourage businesses to invest in clean energy generation and energy efficiency equipment. This included a time-limited measure allowing businesses to immediately write off the full cost of investments in certain clean energy technologies. To support clean tech jobs, help Canadian companies adopt more clean technologies, and fight climate change the 2021 budget proposes to expand the list of eligible equipment to include equipment used in pumped hydroelectric energy storage, renewable fuel production, hydrogen production by electrolysis of water, and hydrogen refueling.
“The OWA is also pleased with the extension of the taxation provisions to include “Green Hydrogen”, added Norris. “Ontario’s waterpower resources can make a significant contribution to the realization of the potential of this emergent energy source as a key component of the province’s Low-Carbon Hydrogen Strategy.”
In Ontario, one-quarter of all electricity comes from waterpower facilities with an installed capacity of over 9,000 megawatts. Ontario and its residents have benefitted from more than a century of affordable, reliable, and sustainable waterpower.
For more information on OWA, visit: www.owa.ca.
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Paul Norris, President firstname.lastname@example.org
Ontario Waterpower Association