DOE’s Regional Hydrogen Hubs: Climate Solution, or Climate Disaster?

In October 2023, the U.S. Department of Energy announced the recipients of the Regional Hydrogen Hubs (H2Hubs) Initiative, with awards totaling $7 billion. In addition to H2Hubs funding, subsidies for hydrogen production and carbon capture and storage via the 45V and 45Q production tax credits, respectively, amount to an estimated $70 billion in funding for hydrogen and carbon capture over the next decade. Proponents say that this widescale hydrogen expansion is a necessary component of the clean energy transition, but many climate scientists, technical experts, and environmental justice advocates have concerns.

More than half of DOE’s Hydrogen Hubs funding is going towards “blue hydrogen,” which is created from fossil fuels paired with carbon capture and storage, and which is the most polluting and emissions-intensive form of hydrogen. Only two of the seven regional Hubs will exclusively generate “green hydrogen,” which is produced with renewables. Regardless of the fuel source, all forms of hydrogen production will require the buildout of expensive and leak-prone pipelines, a particularly worrying development as all hydrogen is a highly potent indirect greenhouse gas.

In this Clean Energy Group webinar, panelists from Pipeline Safety Trust (PST) and the Institute for Energy Economics and Financial Analysis (IEEFA) explained why climate scientists and technical experts are concerned about the technical and financial viability of the planned hydrogen expansion. They discussed the most significant implications of the Regional Hydrogen Hubs, as well as potential alternatives.

Panelists:

• Abbe Ramanan, Project Director, Clean Energy Group
• Amanda McKay, Policy Manager, Pipeline Safety Trust
• David Schlissel, Director of Resource Planning Analysis, Institute for Energy Economics and Financial Analysis
• Anika Juhn, Data Visualization Analyst, Institute for Energy Economics and Financial Analysis