U.S. Announces $750 Million Funding for Clean Hydrogen Projects Across 24 States

Credit: akitada31/Pixabay

The U.S. Department of Energy revealed its allocation of $750 million to projects spanning 24 states, aimed at bolstering the production and utilization of clean . This is part of the Biden administration's strategy to reduce reliance on fossil fuels and lower emissions in industries like aluminum and cement.

Hydrogen, a crucial fuel in this strategy, can be considered green when produced using electrolyzers powered by zero-emission sources such as solar, wind, nuclear, or hydro. Currently, most hydrogen is produced through steam methane reforming, which emits greenhouse gases, and is much cheaper than clean hydrogen production.

The funding, drawn from the 2021 bipartisan law, supports 52 projects focusing on various aspects of the hydrogen industry. These include for electrolyzer production, securing supply chains, and recycling critical materials like iridium used in hydrogen production.

Sunita Satyapal, head of the DOE's hydrogen and fuel cell technologies office, described the approach as “holistic,” emphasizing its role in advancing the National Clean Hydrogen Strategy's goals, such as producing 10 million tonnes of clean hydrogen annually by 2030.

Energy Secretary Jennifer Granholm hailed the projects as a means to “supercharge our progress” and ensure U.S. leadership in clean hydrogen for future generations. The grants are also laying the groundwork for the administration's $7 billion hydrogen hub program, aimed at spurring industry growth.

Satyapal noted that the projects aim to increase U.S. electrolyzer manufacturing capacity from a few gigawatts to 10 GW per year, enough to produce an additional 1.3 million tonnes of clean hydrogen annually.

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