ABB and Charbone Hydrogen Corporation have formalized a Memorandum of Understanding (MoU) to accelerate the development of up to 15 modular green hydrogen production facilities across Canada and the United States over the next five years. The collaboration is designed to provide a scalable, clean fuel solution for industries such as steel manufacturing and heavy industrial processes, which currently rely on grey hydrogen derived from fossil fuels.
Under the agreement, ABB will serve as the preferred supplier of modular and standardized switchgear (eHouses) to interconnect Charbone’s facilities with local energy grids. The partnership also establishes a framework for ABB to potentially expand its role into automation, electrification, and telecommunications as project requirements evolve.
Flagship Project in Québec Paves the Way for Expansion
A key component of this initiative is Charbone’s Sorel-Tracy project, located near Montreal, Québec. This facility, expected to be operational by Q2 2025, will be powered by Hydro-Québec’s hydroelectric grid, supplying renewable electricity to electrolyzers that will produce green hydrogen. The project serves as a blueprint for modular, scalable hydrogen production, which Charbone intends to replicate in subsequent developments, including its next planned facility in Detroit, USA, a key hub for automotive manufacturing.
Daniel Charette, Chief Operating Officer of Charbone Hydrogen, emphasized the strategic importance of the collaboration:
“This agreement with ABB is a strong and significant endorsement of our green hydrogen strategy for North America. The Sorel-Tracy project is progressing rapidly, leveraging a modular plug-and-play approach that will enable production to commence within weeks, supporting industrial decarbonization efforts.”
Supporting Québec’s 2030 Energy Plan
The Québec government has established a Hydrogen and Bioenergy Strategy, aimed at reducing regional dependence on oil-based products by one billion liters per year by 2030. The transition to green hydrogen is expected to play a critical role in decarbonizing key sectors, including transportation, metals, and chemicals, potentially reducing greenhouse gas emissions by four megatons of CO₂ annually—equivalent to removing 1.2 million gasoline-powered vehicles from the roads.
Per Erik Holsten, Head of ABB Energy Industries, underscored the significance of hydrogen in the energy transition:
“Green hydrogen is a crucial element in the shift toward a low-carbon energy future. ABB is proud to collaborate with Charbone in scaling hydrogen production across North America, supporting industrial competitiveness through more resource-efficient and sustainable solutions.”
Advanced Monitoring and Control for Operational Efficiency
Beyond supplying electrical infrastructure, ABB will also provide Extended Operator Workplace (EOW) systems for all planned facilities. These systems—the first of their kind in North American green hydrogen production—will enable 24/7 monitoring and remote-control capabilities, enhancing operational efficiency and minimizing downtime. Charbone’s headquarters will feature a centralized operations center for real-time supervision of all production sites.
Hydrogen Market Outlook and Future Growth
The global demand for hydrogen—currently concentrated in refining and chemical industries—reached 97 megatons (Mt) in 2023, reflecting a 2.5% increase from the previous year. However, low-emission hydrogen production remains under 1 Mt, with projections suggesting a potential increase to 49 Mt per year by 2030, contingent upon the successful execution of announced projects.
By advancing modular and scalable hydrogen production, ABB and Charbone Hydrogen are positioning themselves at the forefront of North America’s emerging green hydrogen economy, facilitating the transition towards sustainable industrial energy solutions.
