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Proposed Electrolyzer Requirements for the Hydrogen Tax Credit: Strengths and Risks

Union of Concerned Scientists

JANUARY 18, 2024

The tax credit, passed as part of 2022’s Inflation Reduction Act, provides a generous incentive for the production of clean hydrogen. Today, hydrogen is overwhelmingly produced through a heavily polluting fossil fuel-based process. It is a climate problem, not a climate solution. Geographic deliverability.

Fossil Fuels 192
Fossil Fuels Clean Energy 2028 Carbon Emissions 192
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UCS Testimony on the Clean Hydrogen Production Tax Credit

Union of Concerned Scientists

MARCH 25, 2024

UCS supports Treasury’s proposed temporal-matching requirement, with a phase-in of hourly matching by 2028 with no exemptions for legacy producers. Upstream methane emissions are a potentially substantial share of the overall emissions rate of fossil fuel-based hydrogen production facilities. Hourly matching.

Clean Energy 197
Clean Energy Waste Greenhouse Clean Air Act 197
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