Hitachi Energy Canada has secured CAN$30 million in funding from the Government of Canada to establish a new high-voltage direct current (HVDC) simulation center in Montreal and to upgrade and modernize its power transformer factory in Varennes.
These initiatives aim to meet the increasing customer demand for sustainable energy solutions across North America. This funding from Canada’s Strategic Innovation Fund is part of a broader CAN$140 million investment announced in April, which includes contributions from Investissement Quebec.
Aligning with Future Investments
This investment aligns with Hitachi Energy’s recent commitment to invest an additional CAN$4.5 billion by 2027 to accelerate the clean energy transition and support long-term electrification plans. It also complements the company’s CAN$1.5 billion investments to enhance global transformer production within the same period.
HVDC Technology and Renewable Integration
HVDC technology is crucial for integrating large-scale renewable electricity into power grids. The new simulation center in Montreal will expedite the time to market for significant transmission projects through virtual testing of HVDC systems prior to installation.
Project Timeline and Benefits
The new simulation center is slated for completion by the end of 2027. Upon completion, it will offer a digital representation of its HVDC control and protection system, including real-time transmission network simulation.
This center will facilitate collaboration with local and international clients to design, model, and test their systems, thereby improving the deployment time for large and intricate projects. This effort is in line with Canada’s goal to achieve carbon-neutrality by 2050.
Government and Industry Perspectives
“In a net zero future, Canadian electricity generation capacity will need to be two to three times greater than today. Hitachi Energy’s transformers and HVDC technology will play a key role in expanding Canadian and North American electricity capacity,” said François-Philippe Champagne, Minister of Innovation, Science and Industry.
“Today’s investment supports the key technologies that will enable a stronger, greener, more sustainable economy.”
Local Impact and Job Creation
“We are thrilled to have received this funding from the Canadian Government to help support the further expansion of our facilities and associated job creation,” added Carla Vicente, Country Managing Director at Hitachi Energy in Canada. “Quebec is an important hub for the clean energy transition in North America, and the new HVDC simulation center will provide us with critical capabilities to support the urgent need for additional transmission capacity both in Canada and throughout North America.”
Varennes Facility Enhancement
The Varennes facility is Hitachi Energy’s leading manufacturing site for large power transformers in North America, supporting both national and regional power grids.
It serves unique HVDC transmission projects like the Champlain Hudson Power Express and the modernization of the Châteauguay HVDC system, increasing the power conversion capacity between Quebec and New York State by 50% while enhancing its efficiency and controllability.
Establishing a new onsite transformer testing facility in Varennes is essential to meet the growing demand for sustainable energy solutions in the province.
High-Quality Transformer Production
The Varennes factory designs and engineers a wide array of high-quality transformers, including large power step-up transformers, auto-transformers with very high voltage, shunt reactors, and transformers for static compensators and HVDC transmission systems.
The location’s manufacturing capacity ranges from 100 to 1200 MVA, and its operating voltage reaches up to 800 kV, among the highest globally.