Business Voice

Big goals, big questions 

Published: September 1, 2025

Contributors: Nick Cunningham (Senior Policy Analyst, Halifax Chamber)

Is the Wind West project an actionable plan?  

Nova Scotia’s Wind West project has been hailed as a clean energy breakthrough. Premier Tim Houston declared that the province could become a “green energy superpower,” with up to 40 GW of offshore wind capacity and massive green hydrogen exports. But as the press releases fade and stakeholders begin to scrutinize the details, a question emerges: is Wind West an actionable plan, or a just an idealistic vision?  

At the center of Wind West’s long-term promise is green hydrogen, a fuel produced using renewable electricity (in Nova Scotia’s case, wind) to split water into hydrogen and oxygen. The hydrogen can then be turned into green ammonia for easier shipping and used as clean fuel.  

Nova Scotia is betting big that Europe and Asia will one day buy green ammonia or hydrogen shipped from the Atlantic coast, but so far, no long-term contracts exist. Despite Nova Scotia’s ambitions, private equity has yet to show serious interest. In Canada and abroad, investors remain hesitant.  

A report by the Canadian Climate Institute warned that hydrogen hype is outpacing practical deployment, especially in remote regions with transmission challenges like Nova Scotia.  

Late last year, a Newfoundland company that was pursuing a green hydrogen and ammonia plant announced it was pivoting away from its original plan because the European market was not materializing as quickly as hoped. Some critics have said the market is unlikely to ever materialize and the export plan would not be an efficient use of renewable energy. 

The path to making offshore wind a cornerstone of the province’s economy is far from straightforward. Several challenges complicate this ambitious plan, reaching well beyond political statements and feasibility studies. 

Financing and Federal Support 

Offshore wind requires massive upfront investment, but it’s unclear whether our federal and provincial governments are prepared to fund this idea estimated around $3 billion. The absence of clear funding and support agreements increases private investor uncertainty. 

Transmission Infrastructure 

Nova Scotia’s aging grid wasn’t designed for offshore wind. Major upgrades like subsea cables or transformers are essential but costly. Without a clear grid modernization plan, much of the power could remain stranded offshore. 

Markets 

Similar to green hydrogen, it’s uncertain whether European customers will purchase our clean energy if the cost of the infrastructure needed to transmit it across the Atlantic significantly increases prices. The alternative is to focus on domestic consumption within Canada, but building transmission infrastructure across the country presents an equally challenging set of issues. 

Manufacturing Capacity 

North America lacks sufficient domestic capacity to manufacture offshore wind turbines and components at scale. Most major turbine suppliers are based in Europe or Asia, creating supply chain issues, and dependence on foreign expertise. This shortage could delay construction and raise costs for projects like Wind West. 

Environmental Considerations 

Though cleaner than fossil fuels, offshore wind can impact marine ecosystems. Regulatory barriers and environmental assessments for things like marine wildlife and sensitive habitats can cause significant delays if concerns are not addressed. 

Fishing Industry Impacts 

Offshore wind may limit access to key fishing grounds. Without meaningful consultation and compensation, industry resistance could become a major political and legal obstacle. 

Public Benefit and Equity 

If most of the power goes towards exports with little local benefit, public support could wane. For Wind West to succeed, Nova Scotians must see tangible gains—like job creation, lower energy bills, and community reinvestment. 

Conclusion 

Wind West has the potential to position Nova Scotia as a leader in clean energy, and building a sustainable energy grid is definitely a worthwhile endeavour. However, it’s important to closely watch the development of the green hydrogen sector in the province to learn from its progress and challenges. As seen with large projects like the Atlantic Loop, ambitious energy initiatives can become very expensive with limited results as costs soared from $3 billion to $9 billion in just three years. 

Without addressing core barriers like financing, infrastructure, manufacturing capacity, supply chains, environmental risks, and stakeholder trust, the project may never move from ambition to reality.

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