Ontario Construction News staff writer
Ontario is investing $30 million to expand its Hydrogen Innovation Fund, doubling its previous commitment and supporting projects aimed at building a low-carbon hydrogen economy and boosting energy security.
The funding, announced Thursday, is intended to advance hydrogen technology across industries including transportation, manufacturing and heavy industry, while also supporting projects that could connect hydrogen producers with end-users and integrate low-carbon hydrogen into the province’s electricity grid.
Associate Energy Minister Sam Oosterhoff said the move will help position Ontario as a leader in the emerging hydrogen sector and support economic growth.
“By expanding the Hydrogen Innovation Fund, our government is making a strategic investment as part of our plan to protect Ontario’s economy and energy independence,” Oosterhoff said in a statement. “Hydrogen technologies are already unlocking new opportunities for private-sector investment and creating good-paying jobs.”
The expanded program includes two funding streams — one targeting grid-related hydrogen projects and another supporting broader industrial and transportation applications, including the development of hydrogen hubs.
Hydrogen is viewed as a potential tool for managing peak electricity demand, providing long-duration energy storage and reducing emissions in hard-to-electrify industries such as steel, cement and refining.
The province says the fund will prioritize projects led by Canadian companies and responds to industry requests for expanded support that reflects hydrogen’s cross-sector potential.
Stephen Lecce, minister of energy and mines, said hydrogen represents both a climate and economic opportunity.
“Hydrogen has potential as both a clean energy resource and a major economic play that can create tens of thousands of jobs,” he said.
Applications for both funding streams close Feb. 11, 2026.
Ontario released its low-carbon hydrogen strategy in 2022 and awarded $13.8 million to 15 projects last year under the first round of the fund.
The province’s Independent Electricity System Operator will administer the program.