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Alberta’s Industrial Heartland (AIH) is a 582-square kilometre value-add energy cluster located near Edmonton, Alberta, Canada. As the world’s largest hydrocarbon processing hub, our region is home to over 40 companies that provide fuels, fertilizers, power, petrochemicals, and more to provincial and global consumers. Our region’s cluster model provides improved industrial efficiencies and land-use, reduces industrial GHG footprint, and promotes increased innovation.
With over $45 billion in existing capital investment, we continue to grow and support a diverse group of companies. Read recent project announcements and learn why companies are locating to AIH.
Low Cost feedstocks
Alberta’s Industrial Heartland (AIH) is in the heart of the second largest oil and gas reserves in the world—a secure natural gas and liquids source for petrochemical manufacturing, and a secure crude oil source for both domestic and international refineries. There is great potential in AIH for those interested in accessing these feedstocks to produce refined petroleum products and petrochemicals, as feedstock costs are available at a substantial discount relative to the U.S. Gulf Coast.
Further, the existence of pre-built CCUS infrastructure with available capacity allows optionality for investors seeking to decarbonize their facilities.
Access to markets
AIH is at the heart of a world-class continental transportation network while ongoing and future planned expansion will continue to improve access to global markets. Alberta’s renowned highway transportation network provides highly integrated service to points throughout the province, country, and beyond. Direct access is available to northern and western Canada, continental United States and Alaska, and offshore to the Pacific Rim. Pipeline infrastructure extends through Alberta to the gulf region, and to the coast through British Columbia. Two Class I rail providers intersect in AIH and provide service on to global markets.
Stackable Incentive programs
We understand the unique challenges and opportunities that exist within the petrochemical industry, and we are committed to helping businesses thrive in this dynamic sector. The wide array of incentive programs available in AIH are designed to provide support to companies, encouraging growth, innovation, and sustainable practices. By accessing these incentives, companies can enhance their competitiveness, accelerate their growth, and stay at the forefront of the industry.
Learn more about available incentive programs.
Growth Opportunities
AIH provides stability to support a wide range of investments. While most of the over 40 companies in the region provide fuels, fertilizers, power, petrochemicals, we have a diverse range of opportunity for alternatives. Learn all about recent project announcements and green investments in the AIH.
Become a Leader in Environmental stewardship
As sustainability goals continue to push innovation and business, AIH can help you drive consistent growth while achieving your environmental and social outcomes. The geographic proximity of companies within our cluster reduces the ecological footprint of industrial operations, increases efficiencies and economies of scale by allowing proponents to take advantage of clustered infrastructure opportunities, regulatory certainty, and social license <link: LITH page> already established within the region.
Carbon Capture, utilization and storage technology
Access to world leading pre-built CCUS infrastructure and favorable subterranean storage geology make the region an unparalleled destination for proponents seeking to decarbonize industrial processes.
AIH is a Government of Alberta Designated Carbon Storage Hub. As a Hub, the Government of Alberta has awarded Carbon Hub Operator status to six project proponents in the region, which will provide optionality for carbon dioxide sequestration services for industrial facilities.
Quest Carbon Capture and Storage: This world-class capture project designed to capture and store over 1 million tonnes of CO2 per year has been in operation since 2015
Alberta Carbon Truckline: Alberta’s first large-scale carbon capture utilization and storage project. It consists of a 240-kilometerpipeline collecting and transporting up to 14.6 million tonnes per year of CO2 for enhanced oil recovery and storage. Currently, the project is “plug and play” with new project proponents being allowed access to sequester carbon from their projects with minimal capital cost addition to their project.
Cost Advantaged Hydrogen
Companies in Alberta’s Industrial Heartland are among the world’s lowest cost producers of hydrogen. When paired with the proven CO2 sequestration capability in the region, the AIH offers advantages that outpace other jurisdictions.
As a resource, hydrogen supports emissions reduction and offers an opportunity to decarbonize sectors that are difficult to electrify. About 40% of hydrogen produced in Alberta comes from the Industrial Heartland. Learn about recent hydrogen announcements.
Streamlined regulatory efficiencies
AIH’s approval as a Government of Alberta Designated Industrial Zone creates policy and environmental clustering efficiencies that reduce site specific requirements. Instead, zone wide approaches to effluent, topsoil, wetlands, and air emissions management allow a tapestry of industries to function responsibly together while ensuring environmental stewardship.
Business forward government
Our stable, democratic political system drives innovation and growth. All levels of government in Canada offer support to help companies invest here. Learn more about the suite of incentives (Link: incentives) available to project proponents in AIH.
Favourable tax structure
Alberta has the lowest corporate tax rate in Canada, no sales taxes, and no payroll taxes. Low taxes allow businesses to retain a larger portion of their earnings, leading to increased profitability. With lower tax burdens, businesses can allocate more resources towards investment, expansion, and innovation.
Expedited Government Approvals and Less Red Tape for Heartland Projects
As the first Designated Industrial Zone (DIZ) in Alberta and Canada, investments in the AIH will experience less red tape and an expedited regulatory process compared to other potential sites. This centralized regulatory framework helps provide more certainty and clarity for investors. More information on the policy framework and regulations within the DIZ can be found here (Same link as above.)
Stable and Democratic Governance from all levels of government
Canada and Alberta have a stable and well-established system of governance, characterized by democratic principles, rule of law, and strong institutions. This stability guarantees consistent policies, effective regulation, and transparent governance processes. Canada has a strong anti-corruption framework, robust accountability mechanisms, and a culture of transparency. This ensures that businesses and individuals can operate with confidence, knowing that their interactions with the government will be fair, free from bribery or undue influence, and that contracts and agreements will be honored.
Investment opportunities
Methane value chain
- Methanol
- Ammonia and fertilizers
- Hydrogen
- Animal protein
- Specialty chemicals
Ethane value chain
- Ethylene, polyethylene and derivatives
- Chlor alkali, EDC and PVC
- Specialty chemicals
Propane value chain
- Propylene, polypropylene and derivatives
- Specialty chemicals
- Acrylic acid
Electricity generation
- Natural gas co-generation with CCUS
- Renewables