USHA's Weekly Digest
In the News
Developers drop out of Appalachian hydrogen hub over strict carbon emission caps
The recent challenges faced by the Appalachian Regional Clean Hydrogen Hub (ARCH2) underscore concerns about the restrictive nature of federal guidelines for the 45V Clean Hydrogen Production Tax Credit. Despite its critical role in advancing clean energy and securing nearly $1 billion in federal funding, one-third of the original 15 projects have been scrapped, with multiple developers withdrawing due to financial viability concerns tied to the stringent carbon emission limits. While some groups support the current rules, others warn that overly strict guidelines may impede hydrogen’s ability to decarbonize hard-to-abate sectors and achieve broader climate goals.
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Groups Sign Development Agreement for Malaysia Hydrogen Hub
Plans for a 10-GW hydrogen hub in Sabah, Malaysia, were unveiled, with the facility set to produce 250,000 tonnes of hydrogen annually. The hub will be powered by the region’s abundant solar and wind energy, leveraging its proximity to shipping ports for export logistics. The project is being led by LBS Bina Group Berhadin collaboration with INVEST SABAH BERHAD, Safoda, and MIDWEST GREEN SDN BHD. With a development area spanning 15,000 to 30,000 acres in Kota Marudu, this initiative aligns with Malaysia’s sustainability goals and aims to drive economic growth and job creation in the region.
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New report highlights measures to bolster Texas hydrogen industry
The Texas Hydrogen Production Policy Council has released a comprehensive report to the Texas Legislature outlining steps to strengthen the state’s leadership in the hydrogen industry. With over 50 years of experience and a robust infrastructure that includes 1,000 miles of pure hydrogen pipelines, Texas is already a global leader in conventional hydrogen production. The report recommends leveraging existing regulatory frameworks while addressing areas for improvement, such as hydrogen-specific leak detection and infrastructure standards. It also highlights the significant economic potential of expanding hydrogen production, including job creation, infrastructure development, and increased GDP. As hydrogen technologies and markets evolve, these recommendations will guide Texas’ strategy for maintaining its competitive edge in the energy transition.
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Recommended by LinkedIn
US H2 hopes at risk with 45V uncertainty: Industry
The U.S. hydrogen industry is at a crossroads as developers await clearer guidance on the 45V production tax credit (PTC) from the Inflation Reduction Act. While billions in federal funding initially sparked excitement, uncertainty surrounding proposed rules—particularly for natural gas-based hydrogen—has slowed progress and left investors wary. At the Reuters EnergyLive conference, industry leaders described the current moment as pivotal, with many likening updated guidance to a potential "Christmas gift" or a "lump of coal." As the incoming administration is expected to scrutinize clean energy mandates further, aligning hydrogen's economic and security benefits with national priorities will be crucial to sustaining momentum in the sector.
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External Events
World Hydrogen North America
March 31 – April 2, 2025
The 4th annual World Hydrogen North America Congress will return to Houston next year. We hope to see you there! Use code WHNA2025USHA20 for 20% off of your ticket.
Learn more here.
California Hydrogen Convention
May 13-15, 2025
Join the California Hydrogen Convention to cement the state as a global leader in clean energy.
Learn more here.