SUBSCRIBE
PROFILE

U.S. allocates $7 billion for clean hydrogen

The Biden administration recently allocated $7 billion to the development of clean hydrogen. However, this investment is subject to current tax rules.

Share:

États-Unis hydrogène propre investissement

Comprehensive energy news coverage, updated nonstop

8.25$/month*

*billed annually at 99$/year for the first year then 149,00$/year ​

Unlimited access • Archives included • Professional invoice

SUBSCRIBE - 99$/year

OTHER ACCESS OPTIONS

7-Day Pass

Up to 50 articles accessible for 7 days, with no automatic renewal

3 $/week*

FREE ACCOUNT

3 articles/month

FREE

*Prices are excluding VAT, which may vary depending on your location or professional status

Since 2021: 30,000 articles • 150+ analyses per week

The Biden administration recently announced a $7 billion investment inclean hydrogen development, via seven regional hubs. These hubs include the Pacific Northwest Hydrogen Association, the Alliance for Renewable Clean Hydrogen Energy Systems, the Heartland Hydrogen Hub, the HyVelocity Hub, the Midwest Alliance for Clean Hydrogen, the Mid-Atlantic Clean Hydrogen Hub and the Appalachian Regional Clean Hydrogen Hub. They face challenges in applying the 45V tax credits for blue and pink hydrogen. The players in these hubs are asking for tax criteria to be adapted to their projects.

Diversity of Energy Sources by Hub

Each hub has a strategy based on its local resources. The Pacific Northwest Hydrogen Association focuses on hydroelectricity, while the Appalachian Regional Clean Hydrogen Hub favors natural gas. The current incrementality and time-matching criteria restrict their ability to benefit fully from tax credits. Adjustments are made to optimize the use of each energy source.

Proposals for adapting tax criteria

The hubs have proposed specific changes to the tax rules. They suggest more flexible criteria that recognize the diversity of hydrogen production methods. The Midwest Alliance for Clean Hydrogen, for example, is asking for special consideration for nuclear power. The aim is to make tax credits more accessible and relevant to each hub.

Impact of Tax Adjustments on Hydrogen Projects

Favorable adjustments in tax rules could facilitate the development of hydrogen projects at each hub. This would enable wider implementation of clean hydrogen technologies. Such a development would help diversify the energy sources used for hydrogen production. It would also support investment in key infrastructure for each hub.

Collaboration between hubs, tax authorities and legislators is underway to examine tax criteria. This cooperation seeks to adjust tax incentives to the specific capabilities and needs of each hub. Policy adjustments aim to provide appropriate support for the various modes of hydrogen production. This would facilitate the application of 45V tax credits.

  • Popular on energynews.pro
Clariant targeted by BP and ExxonMobil in ethylene case
Veolia and TotalEnergies sign agreement to optimise industrial resources
Clean Energy Technologies installs ORC system for global industrial manufacturer in the United States
BlackRock and Canada Pension Plan finalise $6.2bn Allete buyout with Minnesota approval
J&F Investimentos targets EDF’s thermal plant amid Brazil’s booming energy M&A
Plug Power appoints Jose Luis Crespo as incoming CEO starting March 2026
Plug Power has announced the appointment of Jose Luis Crespo as President effective October 10, before assuming the role of Chief Executive Officer once the company publishes its annual report, expected in March 2026.
Plug Power raises $370mn and could reach $1.4bn with warrant transaction
Plug Power finalised a deal with an institutional investor to raise $370mn through the immediate exercise of warrants, with the possibility of securing an additional $1.4bn if new warrants are exercised.
Air Liquide invests $50mn to expand its hydrogen network in Texas
Air Liquide announces a $50mn investment to strengthen its hydrogen network on the US Gulf Coast, following long-term contracts signed with two major American refiners.
The industrial gases market to reach $365.65bn by 2035 driven by hydrogen
Global demand for industrial gases will grow on the back of hydrogen expansion, carbon capture technologies, and advanced use in healthcare, electronics, and low-carbon fuel manufacturing.
Global green ammonia market to reach $38.5bn by 2033, driven by large-scale projects
Green ammonia reaches a new industrial milestone with 428 active projects and over $11bn in investments, highlighting accelerated sector growth across Asia, the Middle East, Europe and the Americas.
Nel ASA secures new 2.5 MW PEM electrolyser order in Switzerland
Nel Hydrogen US will supply a containerised electrolyser to H2 Energy for a hydrogen production facility commissioned by the Association for Waste Disposal in Buchs, Switzerland.
ITM Power signs FEED contract for green hydrogen project in the United Kingdom
UK-based manufacturer ITM Power has signed an engineering contract for a green hydrogen project shortlisted under the country's second Hydrogen Allocation Round.
Agfa invests in new hydrogen membrane plant in Belgium
Agfa strengthens its industrial position with the launch of a ZIRFON membrane production site for electrolyzers, backed by a €11mn European subsidy.
ROAD TRHYP project targets 40% cut in hydrogen transport costs
Driven by Air Liquide and SEGULA Technologies, the ROAD TRHYP project aims to lower hydrogen transport costs and improve safety through a series of technical innovations by 2030.
Qair secures €55mn for Hyd’Occ and strengthens its position in hydrogen in France
Qair obtains structured bank financing of €55mn for its Hyd’Occ ecosystem, integrating renewable hydrogen production and distribution in Occitanie, with commissioning scheduled before the end of 2025.
Metacon finalises EUR7.1mn hydrogen contract with Elektra in Romania
Swedish firm Metacon has secured a EUR7.1mn ($7.7mn) contract to deliver a 7.5 MW electrolysis plant to Elektra Power SRL, marking its operational entry into the Romanian market.
Hydrogen Valleys: the Clean Hydrogen Partnership selects 36 European applications
The Clean Hydrogen Partnership has closed its first call for Project Development Assistance (PDA), totaling 36 applications from 18 countries. Results are expected in October, with support starting in November.
Kandla launches green methanol project to capture flows between Singapore and Rotterdam
Kandla port plans a 150,000-ton-per-year integrated renewable methanol unit, targeting the growing fleet of compliant vessels on the Singapore-Rotterdam maritime route.
OMV builds 140 MW green hydrogen plant for its Austrian refinery
OMV is investing several hundred million euros in a 140 MW electrolysis unit in Austria, set to produce 23,000 tonnes of green hydrogen annually to supply its Schwechat refinery.
Jolt launches advanced electrode plant at SPARK with Saudi government support
Jolt Green Chemical Industries appoints Dyar Al-Safwah to engineer a high-performance electrode facility at King Salman Energy Park, backed by the Ministry of Energy.
Lhyfe becomes the leading European producer of RFNBO hydrogen by electrolysis
With the certification of three new sites, Lhyfe takes the lead in the European RFNBO hydrogen market, reaching 21 MW of installed capacity across France and Germany.
VINSSEN powers an LR2 tanker fully with ammonia-fuelled fuel cells
VINSSEN becomes a central player in designing the world’s first commercial transport vessel fully powered by a fuel cell using ammonia as a hydrogen carrier.
Global hydrogen production to reach $322.3bn by 2035, driven by industry demand
The global hydrogen production market is expected to more than double by 2035, supported by technological advances and growing demand from transport, heavy industry and decarbonised energy systems.
Accelera installs 5MW electrolyser in Bavaria with Tyczka Hydrogen
Accelera will supply a 5MW electrolysis system at the Port of Schweinfurt, aiming to produce 2.2 tonnes of green hydrogen daily for industrial and logistics applications in central Germany.
Hy2gen secures zoning approval for renewable ammonia plant in Norway
The Sauda municipal council has approved the zoning plan for the Iverson project, paving the way for a 270 MW electrolysis facility powered by hydropower to produce renewable ammonia.

All the latest energy news, all the time

8.25$/month*

*billed annually at 99$/year for the first year then 149,00$/year ​

Unlimited access - Archives included - Pro invoice

START - 99$/year

7 DAY PASS

Up to 50 items can be consulted for 7 days,
without automatic renewal

3$/week*

*Prices shown are exclusive of VAT, which may vary according to your location or professional status.

Since 2021: 30,000 articles - +150 analyses/week.