Energy groups mount campaign against tough US clean hydrogen rules

illuminem summarizes for you the essential news of the day. Read the full piece in The Financial Times or enjoy below 

🗞️ Driving the news: Energy firms are actively lobbying in Washington regarding forthcoming regulations they believe could impact the feasibility of multi-billion-dollar hydrogen fuel investments
• They are advocating for an approach that allows hydrogen production from electricity generated by fossil fuels

🔭 The context: Last year's significant US climate legislation heavily subsidized the creation of green hydrogen, produced by splitting water molecules with clean electricity
• The Treasury Department is about to release tax guidelines defining the eligibility criteria for various hydrogen projects

🌎 Why does it matter for the planet: The current discussion is centered on how hydrogen producers can demonstrate that the power they use is "clean", not increasing their total carbon output
• The most stringent Treasury proposal involves certification that each hour of hydrogen production is powered by a zero-carbon energy source

⏭️ What's next: Industry lobbyists are advocating for an alternative to the strict approach
• They suggest an "annual matching" system that allows producers to purchase credits for renewable electricity corresponding to their yearly energy consumption

💬 One quote: “Our business is based on the need to decarbonise. If we’re doing things, building things, and taking advantage of the incentives that are provided without actually decarbonising, that would be a travesty.” (Raffi Garabedian, chief executive of Electric Hydrogen)

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