The US is offering generous subsidies
US leads quadrupling of global H2 subsidies
Financial heft of IRA far outweighs support offered by Europe and Asia Pacific, BloombergNEF says
State subsidies announced for low-carbon hydrogen have quadrupled over the last two years to around $280b, with the US standing out as by far the largest provider of support to the sector, according to analysis by research company BloombergNEF (BNEF). In the US, $137b is expected to flow to eligible projects over the next ten years, mainly via tax credits offered under the Inflation Reduction Act (IRA), BNEF analysis showed. “The US edge comes from the compelling offer of [up to] $3kg of low-carbon hydrogen produced – promised under the IRA,” says Adithya Bhashyam, associate, hydrogen, at BNEF. “The US support makes low-carbon hydrogen competitive with hydrogen from natural gas, enables econ
Also in this section
27 September 2023
Two governments sign joint declaration of intent to cooperate on driving growth of trade and investment in low-carbon hydrogen
26 September 2023
Gulf state plans pipeline network and other infrastructure to support development of large-scale hydrogen production
22 September 2023
Excitement over natural hydrogen is building, but its potential to contribute meaningfully to global supply is unclear
22 September 2023
Imbalances between supply and demand ambitions risk derailing production growth, IEA warns
