Hydrogen Forward and Hydrogen Companies Push for Passage of Build Back Better Act as It Moves to Senate

By November 23, 2021 3   min read  (436 words)

November 23, 2021 |

Fuel Cells Worlks, HYDROGEN FORWARD and Companies Push for Passage BUILD BACK BETTER ACT as It Moves to Senate

The legislation includes tax credits and funding programs to support hydrogen and fuel cell investments.

WASHINGTON, D.C.Hydrogen Forward, a coalition of companies that span the hydrogen value chain and work to ensure hydrogen is a key contributing solution to the energy transition, released the following statement regarding the House’s passage of the Build Back Better Act (H.R. 5376) and the inclusion of provisions to enable at-scale hydrogen and fuel cell deployment.

“Hydrogen Forward commends the support hydrogen received in the House’s Build Back Better Act, which could spur further investment and deployment of low- and zero-carbon hydrogen across the U.S. economy if enacted. This long-term commitment provides industry additional certainty to plan projects and ensure financial viability as cost reductions are achieved through scaling-up hydrogen production and deployment. We are hopeful the Senate will maintain this commitment to hydrogen and enact additional support for the U.S hydrogen industry.”

The Build Back Better Act includes multiple tax provisions and grant programs to support hydrogen and fuel cells, including:

  • Zero-Emissions Vehicle Infrastructure Grants (Section 30431): appropriates $200 million to the Department of Energy to provide hydrogen fueling equipment through State Energy Programs.
  • Domestic Manufacturing Conversion Grants (Section 30443): appropriates $3.5 billion to the Energy Secretary for domestic manufacturing of conversion grants for plug-in electric hybrid, plug-in electric drive, and hydrogen fuel cell electric vehicles and components of such vehicles under EPACT05 section 712.
  • Extension and Modification of Energy Credit (Section 136102): extends an investment tax credit for the cost of energy property, including fuel cells.
  • Elective Payment for Energy Property and Electricity Produced from Certain Renewable Resources (Direct-Payment Option – Section 136104): provision applies to section 48 ITC (fuel cells), section 48Q carbon capture credit, section 30C alternative fuel vehicle refueling property credit and section 45X clean hydrogen production.
  • Clean Hydrogen (Section 136204): creates a new tax credit of up to $3.00 per kilogram for clean hydrogen production. The credit amount is determined by carbon intensity.
  • Residential Energy Efficient Property (Section 136302): extends 30% credit for the cost of qualified residential energy efficient property expenditures, including fuel cells. The credit phases down to 26% in 2032 and 22% in 2033.
  • Credit for Qualified Commercial Electric Vehicles (Section 136403): creates a new credit for commercial electric vehicles placed into service. The credit is equal to 30% of the cost of an electric vehicle, or 15% for hybrid vehicles. Battery and fuel cell (under the requirements of section 30B) are eligible.
  • Qualified Fuel Cell Motor Vehicles (Section 136404): extends the credit for the purchase of a qualified fuel cell motor vehicle through 2031. Commercial fuel cell vehicles otherwise eligible for this credit will be eligible for the new section 45Y credit for qualified commercial electric vehicles.

Author FuelCellsWorks

More posts by FuelCellsWorks
error: Alert: Content is protected !!