City of Medicine Hat Collaboration Advances Canadian Energy Innovation

MEDICINE HAT, Alberta — The City of Medicine Hat and Decentralised Energy Canada (DEC) today marked the conclusion of the demonstration phase of the Energy Innovation Challenge at an event that brought together five Canadian innovators and funding partners to recognise the results of the three-year program. 

“The City of Medicine Hat has a long history of putting energy expertise to work for our community,” said Linnsie Clark, Mayor of Medicine Hat. “By opening our utility to Canadian innovators and working with funding partners, we have gained equipment and practical experience to help us plan reliable electricity service for homes and businesses. That knowledge will guide how we manage energy use, meet growing demand, and plan future infrastructure.”

Through this program, the City of Medicine Hat has become the site of the first field demonstration of a saltwater flow battery in Canada’s history. Aqua-Cell Energy’s installed system is proceeding through commissioning as the program’s fifth and final technology demonstration.

The Energy Innovation Challenge shared the cost of testing new technologies among innovators, the City and funding partners. Together, they contributed $4.635 million to the program. The five innovators invested $2.2 million of their own resources, nearly half of the total, to test their technologies within a working utility. The City of Medicine Hat committed $850,000, approximately 18 percent of the total, alongside facilities and utility expertise.

The five projects explored complementary utility needs: Aqua-Cell and Eguana Technologies addressed energy storage, Edgecom Energy provided building energy management, TAKEnergy tested local electricity generation, and Arcobi (formerly Arcus Power) tested software for assessing grid congestion and strategic energy storage utilisation.

“These innovators backed their technologies with substantial resources of their own,” said Anouk Kendall, President, Decentralised Energy Canada. “The City of Medicine Hat and our funding partners enabled them to test individual products and explore how those technologies could work together within an operating utility. That shared commitment builds utility capability, strengthens Canadian businesses and generates knowledge other communities can use.”

The City retains nine Eguana batteries with grid edge controls and optimisation software and Edgecom building monitoring equipment for continued use and learning, while Aqua-Cell’s battery will remain for a year of operation and testing. The program also tested integration across technologies, including Edgecom’s power meters for TAKEnergy’s expander project and Eguana’s coordinated battery fleet and subsequent solar integration, providing lessons for future deployment. For residents, these capabilities can help the City identify opportunities to save energy in public facilities, plan reliable electricity service, and assess future infrastructure needs.

Program support came from Prairies Economic Development Canada (PrairiesCan), the City of Medicine Hat, Emissions Reduction Alberta, Natural Resources Canada, Valhalla Private Capital, DEC, and APEX Alberta. PrairiesCan contributed $1.2 million through its Regional Innovation Ecosystems program. DEC also supported investor preparation, funding introductions and business connections to strengthen Canadian companies, attract investment, and support skilled employment and diversification.

Prairies Economic Development Canada

“The Energy Innovation Challenge is helping Albertans turn bold ideas into real-world energy solutions that power Alberta and beyond. I am proud to see the incredible collaboration taking place across our province to test, refine, and scale innovative energy solutions. Entrepreneurs are turning made-in-Alberta ideas into practical solutions that strengthen our economy, create good jobs, and support a more competitive energy sector. By investing in talent right here at home, we are helping ensure that Alberta remains central to our government's vision of Canada as a global energy superpower.”

- The Honourable Eleanor Olszewski, Minister of Emergency Management and Community Resilience and Minister responsible for Prairies Economic Development Canada (PrairiesCan)

Emissions Reduction Alberta

“Getting promising technologies into the market takes more than innovation. Companies need opportunities to demonstrate performance in real-world conditions, work through challenges, and build confidence with potential customers. Through initiatives like the Energy Innovation Challenge, we help bridge that gap, supporting Canadian innovators as they advance their technologies toward commercial adoption and helping utilities assess solutions for their own operations.”

- Justin Riemer, CEO, Emissions Reduction Alberta

Community Futures Entre-Corp

“The Energy Innovation Challenge helped showcase our region’s capacity for innovation and demonstrated that rural communities like ours can support and accelerate forward-looking energy solutions. Through this initiative, we helped build awareness across Canada of the ingenuity, collaboration, and problem-solving strengths that exist in our region. We are grateful to DEC for their partnership and collaboration in helping make this challenge a success.”

- Tracy Stroud, APEX RIN Manager for Southeast Alberta, Community Futures Entre-Corp

About the Energy Innovation Challenge

Launched in September 2023, the three-year program was managed by DEC in partnership with the City of Medicine Hat. It combined demonstrations, commercialisation support and investment activities. The program supported 47 small and medium-sized businesses through demonstrations, investment activities, training and other commercialisation support. Innovation Challenge winners were Aqua-Cell Energy, Arcobi, Edgecom Energy, Eguana Technologies and TAKEnergy.

Media contact

Anouk Kendall, President, Decentralised Energy Canada 
akendall@deassociation.ca | 587-227-3479