Germany and Canada hold energy supply talks

German Chancellor Olaf Scholz and his deputy, Economic Affairs and Climate Action Minister Robert Habeck, kicked off a three-day trip to Canada on Monday, seeking to arrange short-term gas-based energy solutions and to explore longer-term, cleaner options, such as green hydrogen. 

In a joint press conference in Montreal, Canadian Prime Minister Justin Trudeau hailed his German counterpart Scholz as an "extremely important progressive voice," and expressed optimism about mutually beneficial business investments and cooperation defending Ukraine from Russian aggression.

What Trudeau and Scholz said about energy

Trudeau promoted his plans to make Canada a "net-zero" economy in terms of carbon emissions, as well as a major "global energy supplier."

The focus of the negotiations with Germany will lie on the supply of liquefied natural gas (LNG) and green hydrogen amid Berlin's attempt to lessen its dependence on Russia as a supplier of gas. 

Indeed, Scholz mentioned both types of energy, saying that "we must do what is necessary for the future, firstly that we become a climate neutral economy." To that end, he highlighted his government's goal to have Germany be climate neutral by 2050 and the role Canada will play in reaching that goal as a lead developer of green hydrogen technology.

"It can become one of the big powers in supplying green hydrogen to many industrialized nations," he said.

However, deals on LNG and green hydrogen won't be able to offer a solution to the Germany's fear of an energy shortage during winter, as Canada currently holds no LNG terminals for export. 

Trudeau did say that Canada was willing to remove regulatory hurdles for LNG export projects.

"We are exploring ways to see if it makes sense to export LNG and if there's a business case for it to export LNG directly to Europe," he said.

What they said about Ukraine

The chancellor also mentioned Ukraine, saying it was "important that we do not fall into Putin's trap and that we stick together."

Asked whether Germany had done enough for Kyiv, considering long-standing complaints that Berlin had not sent enough military equipment, Scholz pointed out the number of Ukrainian refugees who had been welcomed in Germany and the number of "tough economic sanctions" the country had participated in.

Trudeau accused Russian President Vladimir Putin of "weaponizing energy," and stressed that he "must not win."

What's next on the German delegation's three-day tour?

Scholz and Habeck are scheduled to travel to Toronto on Monday, where they will attend a German-Canadian economic conference alongside Justin Trudeau. 

On Tuesday, the chancellor and his deputy will carry on to Newfoundland, to highlight the development of hydrogen technologies and hydrogen supply chains in the remote town of Stephenville. They are expected to sign an agreement on green hydrogen during the visit.

Alongside their staff, security personnel and journalists, 13 managers including the CEOs of Volkswagen, Bayer, Siemens Energy and Uniper accompanied the two top-tier politicians. 

Analysis from DW's Nina Haase in Montreal 

It’s not very often that the Chancellor and his deputy, the economy and climate minister, travel together. And it’s even rarer that an official trip to North America travels to Canada only and not to the US as well. According to government officials, it’s the first time ever.

The trip by German chancellor Olaf Scholz and his deputy, Economy and Climate minister Robert Habeck, is about intensifying something bigger and something long-lasting. 

In its attempt to wean itself off Russian energy, the German government has been looking around the world to identify countries that can replace Russian energy sources. Canada's an obvious choice — not only because of its big natural resources and untapped potential, but also because it's a democracy. 

Canada is currently one of a diminishing list of reliable partners for Germany outside of Europe over the next decades —  be it in the field of energy or when faced with geopolitical challenges. 

los,es/msh (dpa)