The federal government has announced a plan to increase the use of hydrogen as a low-carbon fuel to help meet its climate targets.

Natural Resources Minister Seamus O'Regan says the clean-burning fuel could provide up to 30 per cent of Canada's energy needs by 2050.

He says it could be an industry worth $50 billion and could provide 350,000 jobs.

The plan proposes that over the next five years several regional hubs will be set up across the country in areas where hydrogen fits local needs or expertise in the fuel already exists.

The hubs are to include the Edmonton region, which has abundant access to hydrogen feedstocks and carbon storage facilities.

The plan also proposes hubs in ports such as Vancouver and at high-traffic corridors such as Windsor-Detroit, where hydrogen could meet fuel demands for heavy equipment and transport.