ABB, a global technology leader, and Canada-based Charbone Hydrogen Corp. have signed a Memorandum of Understanding (MoU) to collaborate on the development of up to 15 modular and scalable green hydrogen production facilities across North America over the next five years, reports Power.
The partnership aims to provide a clean fuel source for industries currently relying on grey hydrogen, such as steelmaking, and support the transition to sustainable energy solutions.
Grey hydrogen, produced from fossil fuels like natural gas, is widely used in heavy industrial processes. In contrast, green hydrogen is generated using renewable energy sources, making it a cleaner alternative. Charbone, a Montreal-based green hydrogen production company, will work with ABB to establish these facilities, with ABB serving as the preferred supplier for designing, engineering, and supplying modular electrical substations (eHouses) to connect production facilities to local utilities. ABB will also assist Charbone in standardizing engineering processes to enhance energy efficiency and reliability across its projects.
The collaboration will initially focus on Charbone’s flagship Sorel-Tracy facility near Montreal, Québec, which is expected to connect to the Hydro-Québec grid by mid-2025. Powered by hydroelectricity, the facility will use electrolyzers to produce green hydrogen and serve as a model for future projects. The next planned facility will be located in the greater Detroit area, a hub for major automotive manufacturers.
“This partnership with ABB is a significant step forward for our vision in the North American green hydrogen market,” said Daniel Charette, COO of Charbone Hydrogen Corp. “With the Sorel-Tracy project progressing rapidly and our modular approach enabling quick production start-ups, Charbone is well-positioned to support industrial decarbonization.”
The Québec government has introduced a Green Hydrogen and Bioenergy Strategy to promote the use of hydrogen and bioenergy in sectors like transportation, primary metals, and chemicals. The strategy estimates that green hydrogen and bioenergy could reduce Québec’s annual petroleum consumption by nearly one billion liters by 2030, cutting greenhouse gas emissions by four megatons of carbon dioxide annually—equivalent to removing 1.2 million gasoline-powered vehicles from the road.
“Green hydrogen is a key component of the transition to a low-carbon energy future,” said Per Erik Holsten, President of ABB Energy Industries. “We are proud to collaborate with Charbone on its mission to expand green hydrogen production across North America, enabling industries to operate more sustainably.”
As part of the agreement, Charbone will also implement ABB’s Extended Operator Workplace (EOW) system across all planned facilities. The EOW system, the first of its kind in North American green hydrogen plants, will enable 24/7 monitoring from local and remote control centers, enhancing production efficiency and reducing downtime.
Global hydrogen demand reached 97 megatons in 2023, primarily driven by the refining and chemical sectors. While low-emissions hydrogen production currently accounts for less than 1 megaton, it is projected to grow to 49 megatons annually by 2030, based on announced projects. This partnership between ABB and Charbone represents a significant step toward meeting this growing demand with sustainable solutions.
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