Nova Scotia changing air quality monitoring as it considers green energy projects

Nova Scotia is looking to change the way it monitors air quality as it considers the first green hydrogen and ammonia project up for environmental assessment approval in the province.

Tim Halman, the province's minister of Environment and Climate Change, told reporters in Halifax on Thursday that changes are necessary as the province adapts to new forms of green industry.

The Nova Scotia government now legislates air quality under the Environment Act, however, those rules do not provide any limits for ammonia emissions.

"This is another example of where we adapt as we go to this new industry," said Halman. "Certainly ammonia is a key factor in that."

The minister said discussions are ongoing with various stakeholders including the Lung Association of Nova Scotia and Prince Edward Island and medical experts.

Among the companies looking to begin ammonia and hydrogen production in Cape Breton is EverWind Fuels. The company applied for an environmental assessment in December as it works toward a goal of producing ammonia by 2025.

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Nova Scotians have until Jan. 18 to comment on the proposal.

It's one of at least two private companies hoping to produce green hydrogen and ammonia along the Strait of Canso in Point Tupper, N.S.

Environmental assessment filed

In documents submitted to the province as part of the approval request, EverWind says a toxic ammonia release is a worst-case scenario that could impact air quality. The company said it plans to monitor ammonia emissions and will work to mitigate potential releases. Using a similar scenario, EverWind says it also has emergency plans in place in the event of a hydrogen fire and explosion.

EverWind purchased NuStar Energy's oil and gas storage facility in early 2022. EverWind now wants to create green hydrogen and ammonia to meet a global demand for agricultural fertilizer products.

EverWind says its processes will be more environmentally friendly than conventional ammonia production that relies on fossil fuels such as natural gas because it will use renewable wind energy as a source of electricity to create it.

The company has said it hopes to build 300 wind turbines in remote areas of Guysborough County. But if its green hydrogen plant is ready before the turbines, EverWind plans to draw on the Nova Scotia Power grid until those turbines are functional.

EverWind has agreements to ship 500,000 tonnes of ammonia per year to customers in Germany.

It says ammonia will be transferred from storage tanks to the existing terminal jetty where it will be loaded onto ships. The types of vessels that will transport ammonia are still under consideration.

Company officials say the project is a $1-billion investment with a shelf life exceeding 40 years, adding they've received no government funding at this time.

Project requires millions of litres of water

The EverWind project requires a great deal of water. In fact, the project could nearly double the volume drawn from the Landrie Lake Water Utility, co-owned by Richmond County and the Town of Port Hawkesbury.

EverWind has requested up to 9.5 million litres per day or the equivalent of nearly four Olympic-sized swimming pools. But the company says it expects to only use 8.3 million litres daily.

Man-made Landrie Lake is used by Point Tupper and Port Hawkesbury for drinking water and other industrial activities. An existing pump house has a capacity of 36.6 million litres a day, with a current demand of 5.8 million litres per day.

EverWind says it will build a 2.4 kilometre pipeline to carry freshwater from Landrie Lake to their plant.

Potential economic spinoffs

Richmond County Warden Amanda Mombourquette said excitement is building around the EverWind proposal, adding that environmental safety is a top priority.

"Big projects are complex and there's lots of things that can go wrong," she said. "I'm very pleased to be able to say that EverWind has been very cooperative."

EverWind estimates its project will generate $850-million in corporate tax revenues to the local economy throughout the life of the project.

Another green hydrogen project that's been floated for Nova Scotia is a plan by Bear Head Energy to build a green hydrogen and ammonia production, storage and loading facility, also in Point Tupper. The project would be located at the site of a previously approved Bear Head LNG facility.

Mombourquette said that while many projects in the Strait area have not come to fruition, the proposals surrounding green energy are creating more buzz.

"When one of these projects gets going and starts to expand and shift it's going to be transformative," she said.

"It will enable us to invest back in the things that are important to people's everyday lives."

EverWind's estimated timeline

EverWind says it would operate around the clock, sevendays a week, except for scheduled shutdowns and power outages.

The company says construction could begin this fall and will include the widening of access roads, the installation of a hydrogen plant, an ammonia plant, ammonia storage tanks, along with flare stacks to manage emissions and water treatment facilities.

Currently, the project employs 100 people, including contractors and consultants, who mostly work out of the existing Point Tupper terminal.

Decision on assessment

Halman will decide in early February whether the project will be granted conditional environmental assessment approval.

He can approve the project subject to terms and conditions request more information or reject the proposal altogether due to its unacceptable risk to the environment.

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