Biden Administration Awards $7 Billion to Create 7 Regional Clean Hydrogen Hubs, Aiming to Build New Industry and Fight Climate Change

The Biden administration is awarding up to $7 billion to create 7 regional hubs to produce and use clean hydrogen fuel. This aims to build a new hydrogen industry to fight climate change.

The hubs will be located in the Gulf Coast, Mid-Atlantic, Appalachia, Midwest, Upper Midwest, Pacific Northwest, and California. They involve networks of businesses, labor, research, and local government.

Hydrogen emits just water when burned, but very little "clean" hydrogen exists today. The goal is producing hydrogen without greenhouse gases.

Challenges include lowering costs of clean hydrogen production, capturing carbon emissions from "blue" hydrogen, and figuring out best uses for hydrogen.

A new tax credit could incentivize low-emission hydrogen production, but rules around it are still being developed. Environmental groups want safeguards against increasing emissions.