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Federal government launches incentives to develop this green energy, but has ended up causing more pollution

by Daniel G.
02/05/2024
in Economy
government incentives hydrogen US

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The world’s greenest energy seems to have stayed far away from U.S. territory—or so we thought until now. The federal government has just announced a historic package to prove that not only do we have hydrogen underground, but we are also going to export it to the entire planet: find out what’s going to happen with hydrogen from now on.

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The federal government has just announced more large-scale incentives and investments to fuel the development of hydrogen into clean and green energy. Hydrogen for lots of people means a part of such transition of the focus from fossil fuels to renewable ones.

Burning hydrogen releases water vapor as its only waste making it a process with low emission of greenhouse gases. The new Hydrogen Hubs initiative of the Biden administration to finance the creation of regional centres which will focus on all aspects of hydrogen production, processing, delivery, storage as well as end use.

It is a part of a broader plan to rapidly mass hydrogen technology and infrastructure across our nation. Proponents are stating that it is hydrogen that will play a vital role for the decarbonization of the manufacturing & transport sectors.

Despite this, opponents have raised the question of whether producing low-carbon hydrogen at scale could be so unintended that it could really increase the carbon emissions. In addition, not everything is fully clear about whether hydrogen can actually deliver on the green and clean future promised by its supporters.

This is the Hydrogen Hub that the U.S. could be making a mistake with

The Hydrogen Hubs initiative was recently launched by the U.S. Department of Energy to accelerate domestic hydrogen production, processing, delivery, storage, and end-use. This $8 billion investment will fund at least four regional clean hydrogen hubs to demonstrate the production and use of hydrogen across different end-use applications.

The hubs will provide a real-world demonstration of the entire hydrogen value chain in different regional U.S. contexts. They aim to show how clean hydrogen can enable decarbonization across multiple industries, including power generation, transportation, manufacturing, and agriculture.

The hubs are intended to boost commercialization and deployment of affordable, equitable and clean hydrogen technologies produced from diverse domestic resources like fossil fuels, nuclear, and renewables.

The hidden hydrogen problem in the U.S.: how Biden’s plan could pollute more

Hydrogen has been promoted as a clean, green fuel that could help combat climate change. However, some experts argue that the current methods of producing hydrogen create more emissions than simply burning fossil fuels directly.

Most hydrogen today is made using a process called steam methane reforming, which converts natural gas into hydrogen and carbon dioxide. The carbon dioxide is then released into the atmosphere, contributing to global warming.

Though supporters claim carbon capture technology can prevent the emissions, critics say this technology is expensive, energy intensive, and not yet commercially viable at scale. Even electrolysis, which uses electricity to split water into hydrogen and oxygen, often relies on fossil fuels for the electricity.

Unless the electricity comes from renewable sources, the overall lifecycle emissions may be higher than direct use of fossil fuels. According to a Stanford study, hydrogen made via electrolysis powered by the current US electrical grid produces more than 3 times the emissions as directly burning natural gas.

Critics argue that ramping up hydrogen production before decarbonizing the electrical grid could actually increase overall emissions. More focus is needed on transitioning to renewables before scaling hydrogen. Otherwise, hydrogen risks becoming a distraction from real climate solutions.

As you can see, hydrogen in the U.S. has just become our main opportunity to develop the world’s greenest energy. We will get it through the federal government’s incentive package, as with the European Union and public subsidies. Do you understand why this is an optimistic proposition?

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