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EU head says Canada should focus on exporting clean hydrogen ahead of Ontario visit

Ursula Von der LeyenB次元官网网址檚 visit focused on clean energy, trade and support for Ukraine
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European Commission President Ursula von der Leyen takes part in a joint statement with Prime Minister Justin Trudeau at the European Union Headquarters in Brussels, Belgium on Wednesday, March 23, 2022. Von der Leyen says Canada should focus on exporting clean hydrogen to Europe as the continent shifts its fuel sources away from Russia. THE CANADIAN PRESS/Sean Kilpatrick

Canada should focus on exporting clean hydrogen to Europe as the continent shifts its fuel sources away from Russia, the head of the European Union said ahead of her visit to Canada.

B次元官网网址淭he opportunities are limitless,B次元官网网址 European Commission President Ursula von der Leyen said in a written response to questions from The Canadian Press.

B次元官网网址淲e should definitely expand our co-operation on this energy of the future.B次元官网网址

Von der Leyen was expected to arrive in Canada late Monday for a brief visit to Ottawa and Kingston, Ont., focused on clean energy, trade and support for Ukraine.

Ahead of that visit, von der Leyen wrote that Canada could broaden its exports of liquefied natural gas as an interim step to more hydrogen exports.

B次元官网网址淔or me the greatest potential of our energy co-operation lies in renewable hydrogen,B次元官网网址 von der Leyen wrote. B次元官网网址淚t will be great for our security of supply and for the competitiveness of our economies.B次元官网网址

She also pushed back on CanadaB次元官网网址檚 objections to new forestry regulations and said an existing transatlantic trade deal is a key way to shore up ties in a turbulent world.

Achim Hurrelmann, co-director of the Centre for European Studies at Carleton University, said he is not expecting major announcements from the visit. But he said itB次元官网网址檚 important for von der Leyen to make her first official visit to Canada since she started leading the EU in late 2019.

B次元官网网址淭he main reason that President von der Leyen is travelling to North America is probably meetings in Washington. But because Canada is such has been such a strong partner for the European Union, she is stopping by in Canada as well,B次元官网网址 he said.

B次元官网网址淭here isnB次元官网网址檛 really anything in the Canada-EU relationship that would make this visit imperative right now,B次元官网网址 Hurrelmann said.

Von der LeyenB次元官网网址檚 visit comes as the EU implements new forestry regulations that riled up CanadaB次元官网网址檚 delegation in Brussels.

Last November, CanadaB次元官网网址檚 ambassador to the EU, Ailish Campbell, argued that the new rules were B次元官网网址渂urdensome,B次元官网网址 such as requiring timber imports to have geolocation data that can trace the source of the trees.

In a letter obtained by Politico, Campbell sought a delay of the rules or a carve-out for Canada, arguing itB次元官网网址檚 among the best countries for preventing deforestation. The letter did not mention the controversial logging of old-growth forest in places like the Fairy Creek watershed of Vancouver Island.

Asked about those concerns, von der Leyen said the measures contain B次元官网网址渁bsolutely no discriminationB次元官网网址 since they bring imports up to the same standards held by EuropeB次元官网网址檚 forestry sector.

B次元官网网址淭hese rules will boost trade opportunities for companies and countries with sustainable practices in place,B次元官网网址 she wrote, adding that they fall in with pledges made at last yearB次元官网网址檚 UN biodiversity summit in Montreal.

Meanwhile, von der Leyen said her visit is meant to promote CanadaB次元官网网址檚 trade with Europe, through a trade deal that has been operating in draft form for five years.

The Comprehensive Economic and Trade Agreement, known as CETA, has boosted two-way trade by a third, with the exchange of goods going up by 66 per cent.

Yet there are still 10 of the EUB次元官网网址檚 27 member states who havenB次元官网网址檛 fully ratified the agreement. This is largely due to local concerns around which mechanisms companies can use to seek compensation and rectify disagreements with national, state and provincial governments, known as investor-state dispute settlements.

Canadian firms have clashed with the EUB次元官网网址檚 strict rules on food labelling and sanitation, such as pesticide residue and genetically modified organisms. And EU countries have been vigilant about protected geographical designations, such as Champagne only being sold if itB次元官网网址檚 from the Champagne region of France.

Hurrelmann said CETA provides mechanisms to resolve those disputes, but the deal still has unlocked potential for CanadaB次元官网网址檚 small- and medium-sized businesses.

B次元官网网址淩ight now, it seems that the agreement has been benefiting European exporters more than Canadian exporters,B次元官网网址 said Hurrelmann, who has taken part in EU delegations in various provinces aimed at drawing up more interest in transatlantic trade.

B次元官网网址淐anada will need to try to encourage more companies to take advantage of the agreement,B次元官网网址 he said.

For her part, von der Leyen said the deal represents more than just commerce, since it entrenches rules around sustainability, gender equality and labour rights.

B次元官网网址淲e worked hard indeed to break down trade barriers, overcome our differences and promote the agreement to our constituencies,B次元官网网址 she wrote, adding that the EU is committed to seeing the deal fully implemented.

B次元官网网址淲ith RussiaB次元官网网址檚 war on Ukraine and its global shock waves, it has become a bridge more important than ever, contributing to the resilience of supply chains between two close, like-minded allies.B次元官网网址

To that end, von der Leyen thanked Canada for its solidarity after Russia restricted exports of fuel that Europe has relied on for decades.

B次元官网网址淩ussia indeed tried to use our dependence on fossil fuels to try and blackmail us. But we have overcome, in part thanks to the support of reliable suppliers and partners like Canada,B次元官网网址 she said.

Von der Leyen said Europe is open to importing LNG directly from Canada, although analysts have said it will take years to create the infrastructure for this to be possible on the Atlantic coast.

B次元官网网址淲e should keep co-operating on LNG, knowing that some of the facilities could be repurposed for hydrogen trade afterwards,B次元官网网址 she said.

For now, Canada has pledged to look into ways of facilitated deliveries of LNG to Europe, such as by sending gas to the U.S. to replace fuel sent from America to the EU. ItB次元官网网址檚 unclear whether any of those shipments have been arranged.

Natural Resources Minister Jonathan Wilkinson said last August that Canada could ramp up production of LNG as an interim fuel for transitioning economies, or even to be used in the production of whatB次元官网网址檚 called blue hydrogen. However, European countries have generally pushed for hydrogen that is not created with fossil fuels, dubbed green hydrogen.

B次元官网网址淲e are interested obviously, in being part of producing liquid natural gas as part of a transitional fuel,B次元官网网址 Wilkinson said in an interview last August.

B次元官网网址淎t the end of the day, if you can produce hydrogen that has zero, or virtually zero carbon emissions, from my perspective, who cares where it comes from.B次元官网网址

Hurrelmann said itB次元官网网址檚 one of the few areas where disagreements between Europe and Canada.

B次元官网网址淚tB次元官网网址檚 useful to send the signal that Canada and EU are really aligned on everything,B次元官网网址 he said.

B次元官网网址淚 donB次元官网网址檛 see any major issues where Canada and the EU do not see eye to eye.B次元官网网址

Von der LeyenB次元官网网址檚 Tuesday visit had been planned to occur last fall, but was postponed due to the death of Queen Elizabeth II.

B次元官网网址擠ylan Robertson, The Canadian Press





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