"The Government of Canada recognizes the major economic and environmental benefits that hydrogen and fuel cell technologies promise for Canada, and has made significant investments over the past 20 years to support the development of the sector," said Industry Minister David L. Emerson. "The 2004 Sector Profile shows a dynamic industry across Canada, with strong evidence of the commercialization of these technologies, the next step in the evolution of this important sector."

"The 2004 Sector Profile is another strong example of the value of cooperation between the Government of Canada, Fuel Cells Canada and the Canadian hydrogen and fuel cell industry," said Dr. Ron Britton, President and Chief Executive Officer of Fuel Cells Canada. "This relationship will be essential for the continued demonstration and commercialization of new products as Canada makes the transition to a hydrogen economy."

The 2004 Sector Profile outlines significant progress made by the Canadian industry in several areas that are crucial to the continued strong growth of the sector, and its contribution to the Canadian, and global, economy. Key trends over the past two years include:

    * A 40 percent growth in revenue, evidence of the overall strength of the Canadian industry;
    * An 87 percent increase in revenue from products sales, a significant indicator of the evolution of hydrogen technologies from research concept to commercial application;
    * More than double the number of real-world demonstration projects, with 262 projects around the world involving Canadian companies and researchers;
    * Continued significant investment in forward-looking research and development, totalling over $290 million in 2003, or averaging just over $100,000 per employee in the sector.
 

The 2004 Sector Profile was compiled by Industry Canada and PricewaterhouseCoopers using information drawn from members of Fuel Cells Canada, the national hydrogen and fuel cells industry association, and other key industry stakeholders. Presenting a robust profile of the current state of the industry, as well as detailing the industry's positioning for the future through information on demonstration projects and research and development expenditures, the 2004 Sector Profile provides the industry, governments, investors, and the financial markets with much needed information on Canada's leadership position in the global hydrogen and fuel cells industry.

"The growing impact of the fuel cell sector is positive," said John Webster, who leads the fuel cells practice at PricewaterhouseCoopers. "The 2004 Sector Profile shows that the number of Canadian companies involved in the sector, including suppliers, has doubled in the past five years. The 87 percent increase reported in sales revenues is encouraging, as is the continued commitment to research and development."

The 2004 Canadian Hydrogen and Fuel Cell Sector Profile is available online at: www.hydrogeneconomy.gc.ca

For more information, please contact:

Stéphanie Leblanc
Communications Advisor
Office of the Honourable David L. Emerson
Minister of Industry
(613) 995-9001

Erin Bigelow
Manager, Communications and Member Relations
Fuel Cells Canada
(604) 505-9160