HyVelocity Hub’s Post

This morning, Plug advocated for pragmatic guidance at the Department of Treasury public hearing on the Section 45V Clean Hydrogen Production Tax Credit. Our goal is for the guidelines to reflect the original intent of the IRA and support the expansion of the U.S. hydrogen industry. #GreenHydrogen

Unlocking the potential of clean hydrogen in the U.S. requires transparency on tax credits. As identified in our report Fueling Up: How to Make U.S. Clean Hydrogen Projects Happen, the proposed IRS regulations under Section 45V have raised concerns within the industry and caused market uncertainty. Designed to incentivize clean hydrogen production, these regulations require adherence to strict criteria, with eligible credits meeting three criteria: additionality, time matching, and deliverability.   However, developers and utilities have voiced concerns on the perceived strictness of the regulations, warning that it will drive up costs and make it harder to fund and construct projects. Further clarity from the IRS on its finalized rule is cautiously awaited.   For more information, download the report: https://lnkd.in/gnft_yZc   #CleanHydrogen #TaxCredits #IRS #CleanEnergy #IndustryReport

https://lnkd.in/e3ruG2jH Clean Energy Group Statement on Treasury Department Hydrogen Tax Credit Guidance On Friday, December 22, the US Treasury Department released initial guidance regarding the Inflation Reduction Act’s (IRA) clean hydrogen (45V) tax credit program.Clean Energy Group(CEG) applauds the Treasury’s decision to follow the guidance ofclimate scientists,environmental justice advocates, andtechnical expertsand apply appropriately strict standards to ensure that the 45V tax credit incentivizes truly clean hydrogen production that will not lead to a dangerous increase in greenhouse gas emissions.

Our expert Scott Stogsdill spoke with Axios’ Jael Holzman with “Axios Pro: Energy Policy” to bring clarity around the new H2 policy (relative to hydrogen production) and hydrogen tax credits as it relates to the Inflation Reduction Act and 45V application process. See Scott’s advice to those in the industry who may be building a plant: https://lnkd.in/gQRuqF4q #hydrogentaxcredits #45V #inflationreductionact  

The tax credit at issue, known as 45V, is one of many incentives in the 2022 Democratic Inflation Reduction Act to bolster clean hydrogen production. #politics #fossilfuels #energypolicy #cleanenergy https://lnkd.in/eZKkNvf6

There are a lot of numbers and lines here, but in short, this exhibit is taken from a recent study that examined the impact of tax credits on hydrogen production and cost. The authors summarise that "the breakeven cumulative production capacity required for gas-based blue hydrogen to reach the $1/kg H2 target highly depends on tax credit, natural gas price, inflation rate, and learning rates." #BlueHydrogen #Policy #TaxCredits

Today, the U.S. Department of Energy (DOE) opened the process for determination of a provisional emissions rate (PER) in support of the U.S. Department of the Treasury’s implementation of 45V (the Clean Hydrogen Production Tax Credit) enacted by the Inflation Reduction Act (IRA). The process opening today is for taxpayers whose hydrogen production technology and/or feedstock is not included in the most recent version of the 45VH2-GREET emissions model. These taxpayers can use the Emissions Value Request Process to request an emissions value from DOE, which is necessary to petition the Internal Revenue Service for a determination of a provisional emissions rate. Huge congratulations to so many involved at DOE, Treasury, EPA, other agencies, EOP, in getting this released and to numerous stakeholders dedicated to advancing clean hydrogen technologies. See below:  https://lnkd.in/edtYnEWe

Check out this article on why it's critical for the Dept. of Treasury to revise the Clean Hydrogen Production tax credit guidance to ensure the U.S. is the leader in the global clean hydrogen economy.

US awaits 45V clarity as Canada and Brazil seize hydrogen opportunities: In what many hoped to be a year of action for hydrogen in the US, industry players remain anxiously awaiting the final rules that will define their developments and operations for at least the next... #hydrogen #HydrogenNow #H2View

Treasury and IRS Issue Proposed Regulations With Respect to Clean Hydrogen Credits Under Sections 45V and 48 of the Internal Revenue Code https://bit.ly/47ntoWu #hydrogen #cleanenergy #taxcredit