In this article published in Canary Media, CRA Energy consultants are quoted discussing the demand for clean hydrogen in the US market following the Inflation Reduction Act’s 45V production tax credits and how it impacts the global energy market.
Under current EU mandates, 42% of hydrogen used in industry must be renewable by 2030, said Drake Hernandez, associate principal in energy at Charles River Associates. In the US, by contrast, “there’s still nothing by the way of a top-down push to say, ‘You have to start consuming clean hydrogen.’”
The early-stage offtake agreements taking shape in Europe are right now driven by the European Union’s carbon emissions penalties rather than by its green premium structures, noted Dieter Keller-Giessbach, a vice president at Charles River Associates’ energy practice. But that could change as European governments begin to jump-start market structures that can bridge the current gaps between sellers and buyers.