What does it mean for hydrogen to be clean? And will the emerging hydrogen economy be able to deliver the meaningful climate benefits it promises? The U.S Treasury is about to make a series of decisions that will determine the answer to these questions for the U.S region, and potentially others around the world who choose to follow by example.
This includes the details of a massive set of tax incentives — the 45V Hydrogen Production Tax Credit, under the Inflation Reduction Act — that will have a major impact on how hydrogen is deployed, scaled, managed and traded for decades to come. A thought out and well implemented set of rules would set a global precedent for how governments can incentivize truly clean hydrogen, while the contrary would create an artificially subsidized market that undercuts the U.S’s climate goals and international competitiveness.
Read the full article originally published at blogs.edf.org.