DV Journal

President Trump established the National Energy Dominance Council, led by Energy Secretary Chris Wright and Interior Secretary Doug Burgum, to unleash American energy and secure our dominance. To achieve this, we must leverage every available tool, including embracing innovative energy technologies like clean hydrogen.

If allowed to develop, clean hydrogen could play a pivotal role in our energy future, especially in cleaning up industries essential to America’s economy, such as heavy industry and long-haul transportation. According to the International Energy Agency, clean hydrogen technologies could account for up to 50 percent of emissions reductions in these industries by 2070, but only if we invest in innovation and scale this critical technology.

Hydrogen is a fuel source that releases only water and warm air as byproducts, making it an inherently clean energy option. While traditional hydrogen production methods contribute to emissions, they can produce little to no emissions in the future. The only obstacles standing in the way are economic and technological hurdles, which can be addressed through research and development.

Natural gas is the most readily available and cost-effective source for hydrogen production. Through carbon capture and storage technology advancements, hydrogen produced from natural gas could be a cleaner solution. Some may argue that this approach is a handout to the oil and gas industry. Still, the reality is that natural gas will play a critical role in developing clean hydrogen technologies. By harnessing American ingenuity, we can unlock hydrogen’s potential.

Policies like the 45V Clean Hydrogen Production Tax Credit and the 45Q Carbon Sequestration Tax Credit will help scale clean hydrogen technology and drive incremental progress toward reducing emissions. The 45V tax credit incentivizes hydrogen producers to lower emissions by rewarding the production of cleaner hydrogen, including hydrogen produced from natural gas with carbon capture. The 45Q tax credit, on the other hand, supports the deployment of carbon capture technologies, offering incentives for capturing and storing carbon emissions. Together,  if implemented effectively, these policies can encourage innovation, reduce costs and accelerate the scaling of this energy technology.

Another promising initiative for scaling clean hydrogen is the Department of Energy’s Hydrogen Hubs. These public-private partnerships are designed to create economies of scale, drive down costs, and encourage widespread adoption of clean hydrogen across industries. While this is a step in the right direction, we must implement these initiatives with a focus on innovation rather than burdensome regulations that could slow progress. Efforts to limit the use of natural gas, particularly alongside carbon capture, could unnecessarily hinder clean hydrogen’s ability to bolster American energy while lowering emissions.

With emissions from manufacturing expected to increase by 17 percent from now until 2050, it’s essential that we find cleaner solutions to power this critical industry. Energy demand continues to skyrocket, and we must ensure we can meet that demand. Clean hydrogen has the potential to support American energy dominance, but only if the industry is given the resources and time needed to develop it.

The Delaware Valley is known for many things, and some are hoping to add another title for the region: Hydrogen Hub.

The U.S. Department of Energy (DOE) promotes hydrogen hubs as a “central driver” in helping communities benefit from clean energy investments, good-paying jobs, and improved energy security. The nationwide plan calls for six to 10 regional clean hydrogen hubs funded by billions of tax dollars.

The deadline to file a proposal for a hydrogen hub with the DOE was April 7. Two proposals have emerged in the commonwealth. One is in Pittsburgh, the other an effort involving southeast Pennsylvania, southern New Jersey, and Delaware called the Mid-Atlantic Clean Hydrogen Hub (MACH2). By all accounts, the idea has many fans.

That includes the Chamber of Commerce of Greater Philadelphia, which stated support for the hub and the money it could bring to the region.

“We definitely see it as a good economic opportunity for the region,” says Hasna Achik, manager of economic competitiveness and energy initiatives at the chamber. “As far as job creation, this was between 20,000 and 25,000 jobs in our region, and it would be a mix of blue-collar and white-collar jobs.”

Jim Snell, Steamfitters Local 420 Business and MACH2 core team member has no doubt it can be done.

“Looking at southeast Pennsylvania, Delaware, and southern New Jersey as a whole, we have the critical infrastructure and the skilled, motivated labor force needed,” Snell told the Delaware Sustainable Chemistry Alliance (DESCA) in November 2022.

“Clean hydrogen hubs will create networks of hydrogen producers, consumers, and local connective infrastructure to accelerate the use of hydrogen as a clean energy carrier that can deliver or store tremendous amounts of energy,” says DOE on its website. “The production, processing, delivery, storage, and end-use of clean hydrogen, including innovative uses in the industrial sector, are crucial to DOE’s strategy for achieving President Biden’s goal of a 100 percent clean electrical grid by 2035 and net-zero carbon emissions by 2050.”

Biden believes the earth is warming but that humanity can combat the situation by curbing emissions and replacing fossil fuels with alternative energies.

Marcellus Shale Coalition also supports awarding hydrogen hubs that can encourage development in Pennsylvania. With the environment weighing on a lot of minds, Marcellus Shale Coalition says Pennsylvania’s natural gas resources are the cleanest in the nation while at the same time providing a viable feedstock for hydrogen production. Match that with proximity to markets and the area’s workforce, and Marcellus Shale Coalition calls the state a logical choice to produce clean hydrogen and deploy carbon capture facilities.

“Hydrogen derived from natural gas and carbon capture can be effective tools to decarbonize key sectors of the Pennsylvania economy, promote growth, and serve as a model for the rest of the nation,” says Marcellus Shale Coalition.

Some organizations do urge caution. While the Sierra Club of Pennsylvania believes that hydrogen will have a role to play for certain energy uses that are hard to decarbonize with other technology like steel making, international shipping, and possibly for long-term renewable energy storage, state director Tom Schuster says there are many proposed uses for which hydrogen is inefficient, unhealthy, or even dangerous compared to using electricity directly.

For example, Schuster says using methane to create hydrogen, even with carbon capture, could increase rather than decrease overall greenhouse gas emissions if the hydrogen is misused, such as in combustion turbines for generating electricity or for heating buildings. As a result, Schuster is concerned that a “rush to create a large supply of hydrogen without carefully considering appropriate end uses” could be counterproductive to climate goals.

Still, industry groups such as Pennsylvania Manufacturers’ Association (PMA) think a hydrogen hub in Pennsylvania would position the region as a leader in low-carbon manufacturing and ensure Appalachia and the Mid-Atlantic remains an energy powerhouse for years to come.

“The economic growth stemming from this type of project will prove beneficial to communities throughout Pennsylvania where growth has been stagnant, and unemployment has been prevalent,” says PMA executive director Carl Marrara. “Now more than ever, we need to put our nation’s resources to work for American job creators and consumers. Unleashing American energy leadership through developing hydrogen hubs in our region is essential for our commonwealth and the United States as a whole.”

The DOE told Delaware Valley Journal it plans to announce which projects were selected in the fall.

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