WASHINGTON, D.C. — On Tuesday, Congressman Deluzio (D-PA-17) wrote a letter to President Joe Biden calling for the President and his Administration to reconsider restrictions that could hinder job-creating and carbon-neutral hydrogen projects. Thanks to funding from the Inflation Reduction Act (IRA), the Biden Administration is investing $7 billion in Regional Clean Hydrogen Hubs, one of which includes parts of Rep. Deluzio’s district in Western Pennsylvania. In the current agency rulemaking, the Treasury Department is finalizing its eligibility rules for hydrogen power projects seeking the IRA’s 45V Clean Hydrogen Production Tax Credit and is considering restrictions on the types of hydrogen power that can be eligible for this industry-boosting tax credit.
Blue Hydrogen, which uses natural gas in the electrolysis process of making hydrogen, but then captures and sequesters any carbon dioxide emissions underground, is carbon neutral. This type of energy is the one targeted for many nascent hydrogen power projects in Western Pennsylvania.
While Congressman Deluzio applauds and appreciates the Biden Administration’s work to incentivize alternative fuel sources to propel the nation and economy into a cleaner future, in his letter he raises concerns to President Biden that rigid restrictions on Blue Hydrogen could result in unintended consequences and squash job-creation—especially in Pennsylvania’s 17th Congressional District.
Congressman Deluzio writes to the President:
“Regions like Southwestern Pennsylvania have been the foundation of our nation’s energy economy for over a century, and we intend to keep it that way. I remain eager to work with your administration on behalf of my region and for the good of the country.
“I urge you to consider places like my region, and the solid union jobs that power them, before finalizing any rules that would unnecessarily exclude viable carbon neutral energy projects. I stand ready to assist your administration in any way that I can to this end and appreciate your attention to this matter.