The objective of this research was to better understand the potential for hydrogen production associated with Canada’s offshore oil and gas industry and the role that such production can play in supporting the net zero objectives of Newfoundland and Labrador and Canada.
The Net Zero Project is a collaboration within the energy and environmental industries to drive economic growth, diversification, investment, and awareness through the lens of sustainability and the pursuit of net zero in Newfoundland and Labrador’s offshore energy sector.
The project has helped to identify the most promising pathways for the industry to achieve net zero, and has developed policy and regulatory roadmaps in three key areas: electrification via offshore wind; carbon capture, utilization, and storage; and carbon offsets.
The primary objective of this consultancy is to determine and evaluate the most promising clean fuels adoption opportunities across various sectors in NL. This will be achieved through an analysis of environmental benefits, economic impacts, and potential challenges associated with applications which will be pre-defined. For the purposes of this study, the term ‘clean fuels’ is inclusive of hydrogen and its derivatives and low-carbon biofuels.
The contact for this RFP is Colin Corbett, econext’s Director, Clean Energy Innovation who can be reached via email at corbett@econext.ca. Any questions posed and answers provided during the RFP process will be published on this page. The deadline for submissions is July 30, 2024.
In Section “Scope of Work”, econext outlines focus areas of NL’s economy for clean fuels adoption opportunities. Can you clarify what elements of the clean fuel value chain are under consideration in this scope? Would this include only the usage of clean fuels, or also consider production and distribution of clean fuels within NL?
Answer: Usage of clean fuels
In Section “Scope of Work”, Activity 1, econext outlines that the proponent will identify and engage “key informants”. Can you define what is meant by “key informants”? Would these be data sources such as public records, subscription-based data, industry or professional associations, local industries in NL, or some other informant?
Answer: The proponent will work with econext to identify and engage key informants (key stakeholders) for each of the focus areas.
Are the stakeholder workshops to be held virtually or in-person? If in-person, is any travel anticipated outside of St. John’s Metro for budgeting purposes?
Answer: The workshops will take place in person with the option for virtual attendees. Travel is anticipated outside of St. John’s Metro. econext will provide resources for any travel that is required for the workshops and respondents are not expected to budget for this
Can you provide more details on the logistics and organizational support to be provided by econext for the eight stakeholder workshops?
Answer: econext will coordinate the logistics (e.g.: where, when) and invitation lists for the workshops
Will econext provide any initial data or contacts for the key informants in each focus area, or is this the sole responsibility of the consultant?
Answer: The successful consultant will be provided with contacts and context for each of these focus areas, but will also be expected to bring their own experience, resources, and insights forward to complete the analysis
How will the workshops be structured, and what level of detail is expected in the presentations?
Answer: The successful consultant will be expected to conduct interactive workshops with stakeholder groups from each focus area with the dual intent of (1) ground-truthing preliminary/draft findings and (2) educating and creating awareness of the future opportunities that clean fuels adoption presents
Are there any preferred tools or frameworks for conducting the emission reductions and economic impact analyses, perhaps to align with existing reports
Answer: No
In Section “Terms and Conditions”, econext mentions “work being undertaken in Canada”. Can you clarify if this requirement means that all personnel the consultant selects to be engaged in this effort must be located in Canada? Is there any distinction between core personnel dedicated towards this study versus subject matter experts who may be consulted to provide support for this study.
Answer: This requirement does not mean all personnel a consultant selects to be engaged in this effort must be located in Canada
Is it permissible to have resources from the US work on this project?
Answer: Yes
It is mentioned that the response should not exceed four pages. We would like to know if the limit includes the suggested appendices or if they are to be added separately and do not count within the page limit?
Answer: Appendices can be in addition to the four page limit.
The RFP notes that ‘clean fuels’ include hydrogen and its derivatives and low-carbon biofuels. Considering the range of derivatives could impact costs significantly, can you provide a more comprehensive list of derivatives to be included (or excluded) in this analysis?
Answer: Derivatives of priority interest are Green Ammonia and Green Methanol, however, if the consultant sees value in other derivatives, please include.
What financial parameters are expected to be provided by informants (e.g., CAPEX, OPEX, Production Profiles, Commodity Price Decks, Cost of Alternatives)? Should these be deterministic values or ranges?
Answer: Other than the guidance provided in the RFP, we are relying on respondents to provide their proposed approach to the economic analysis to arrive at the best estimates reasonably possible.
The RFP mentions the provincial Wind-H2 Fiscal Framework. How is this framework intended to be tied into the demand analysis? Essentially, how far up the supply/demand chain should we go? Should we also consider the Federal fiscal framework?
Answer: Awareness of fiscal frameworks could be helpful context but may not necessarily factor into the economic analysis. It will be up to the consultant to determine how they will estimate fuel costs.
Are there any limits on appendices, page count, or other submission guidelines?
Answer: No.
Is the intent to have the workshops before or after the final report is issued. The draft schedule has them listed as after the delivery of the final report but the text has review of preliminary findings.
Answer: The eight (8) interactive workshops are intended to take place after the Final Report. The Consultant will work with econext to review ground-truthing outcomes upon workshop completion and determine if a report update is required.
Is Sustainable aviation fuel to be considered as one of the clean fuels?
Answer: Yes
The economy of Newfoundland and Labrador (NL) and the lifestyle of its residents have always been deeply connected to the land and ocean, and the natural resources that abound from them. From agriculture and fisheries, mining and energy generation, to tourism, the arts, and the activities of everyday life, we have built systems and narratives that rely on a stable climate and healthy ecosystems to function optimally.
The reality is that we have entered a period of climate instability and what has worked for us in the past is now experiencing vulnerability and strain. Climate change is actively shifting our baseline and we must reframe our decision-making accordingly. We must consider more factors, ask ourselves new questions, and look further ahead than we may have before. Incomplete analysis and short-sightedness at this point in history may not only lead to poor investment outcomes, but even risk to life.
As decision makers invest into economic development initiatives in the province, it is therefore important to consider how the changing climate will impact proposed plans. This discussion paper aims to illustrate the connections between climate change and economic development in NL so that we can move forward in a way that minimizes risk and maximizes benefits for all.
As part of on-going efforts to both inform and learn from community members across the province, the Harris Centre – in partnership with econext and CLIMAtlantic – hosted a series of regional workshops in 2023 to discuss the impacts and adaptation opportunities associated with climate change in Newfoundland and Labrador. These sessions built on Forecast NL, an 18-month initiative by the Harris Centre that brought together key stakeholders for a province-wide discussion on the question: How can NL create economic and social prosperity while mitigating and adapting to climate change?
The primary focus for the 2023 regional workshops was to:
The following report is a summary of workshops held during 2023 in Grand Falls-Windsor, Port Rexton/Trinity East, Bonavista, Port aux Basques, Codroy Valley, and Pasadena.
