US Senate looking at ways to save 45V: Cornyn

by Editor

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The US Senate is considering ways to reinstate the 45V hydrogen production tax credit that the House voted to terminate by the end of this year, said a key Republican official.

“That’s on the table,” said Senator John Cornyn (R-Texas), who serves on the Senate’s tax writing committee, in response to a reporter asking him in Washington DC this week whether there’s any effort to “reinstate the hydrogen tax credit.” A spokeswoman for Cornyn confirmed the exchange in an email to Argus.

The lucrative credit was part of a raft of clean energy incentives originating from President Joe Biden’s signature climate bill that House Republicans voted to repeal to offset President Donald Trump’s more than $4 trillion tax cut. If the House version of the bill passes it would effectively end billions of dollars worth of projects to produce cleaner hydrogen either from electrolysis powered by renewables or natural gas with carbon capture and storage.

Green energy advocates and fossil fuel producers have combined efforts to lobby the Senate to extend the credit’s lifetime. The American Petroleum Institute, the Fuel Cell & Hydrogen Energy Association and multiple Chambers of Commerce representing cities along the US Gulf coast, which stand to benefit from blue hydrogen projects, asked the Senate in a letter this month to preserve the credit until 2029.

Source: Argus Media

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