This expansion comes with a new Emissions Reduction Alberta (ERA) grant, totalling $15m, that will allow the railway company to achieve a better ecosystem for hydrogen locomotives.

Through this, the company will convert an additional line-haul locomotive and a yard switcher locomotive to hydrogen-electric powertrains.

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Canadian Pacific has said that the programme will develop create a global centre of excellence in hydrogen and freight rail systems in Alberta.

The programme will include the installation of hydrogen production and fuelling facilities at Canadian Pacific’s railyards in both Calgary and Edmonton.

The Calgary fuelling facility in particular will include an electrolysis plant that will be able to produce hydrogen from water, powered by solar panels.

Keith Creel, President and CEO of Canadian Pacific, said, “In expanding this groundbreaking project, CP is demonstrating its commitment to combatting climate change through transformative technology.

“I am very pleased that ERA selected this program for a grant and I eagerly anticipate seeing a hydrogen-powered locomotive move CP customer freight in the near future.”

Steve MacDonald, CEO of Emissions Reduction Alberta, said, “Alberta is investing to lead the transition to affordable, reliable and clean energy. CP’s initiative represents a highly compelling opportunity to catalyse the hydrogen economy in Alberta and around the world.

“The project will help scale up technology and bring down the costs of deploying hydrogen to address the critical challenge of decarbonising the long haul, heavy-freight sector.”