Commercial, Regulation - July 7, 2023
Department of Energy Launches $1B Clean Hydrogen Initiative
The U.S. Department of Energy (DOE) released a Notice of Intent, including a Request for Information, to invest up to $1 billion in a demand-side initiative to support the Regional Clean Hydrogen Hubs (H2Hubs).
The new initiative focuses on supporting the growth and sustainability of the H2Hubs program by providing the revenue certainty that hydrogen producers require to attract private-sector investment. It is also designed to help meet the needs of end users who often prefer the flexibility to purchase hydrogen on shorter-term contracts and require confidence in the long-term availability of clean hydrogen before making critical, long-term investments.
“Ensuring America is the global leader in the next generation of clean energy technologies requires all of us — government and industry — coming together to confront shared challenges, particularly lack of market certainty for clean hydrogen that too often delays progress,” said U.S. Secretary of Energy Jennifer M. Granholm in a statement. “That’s why DOE is setting up a new initiative to help our private sector partners address bottlenecks and other project impediments — helping industry unlock the full potential of this incredibly versatile energy resource and supporting the long-term success of the H2hubs.”
The national hydrogen strategy H2Hubs will be funded by the Bipartisan Infrastructure Law and will help form the foundation of a clean hydrogen network to reduce emissions from energy-intensive sectors of the economy, including industrial and chemical processes and heavy-duty transportation.