New US President Joe Biden’s promise to act on climate immediately and ambitiously was music to the hydrogen industry’s ears as the sector gears up to help progress a Clean Energy Revolution and Environmental Justice in the country.
Biden’s Build Back Better plan is a national effort aimed at creating the jobs needed to build a modern, sustainable infrastructure now and deliver an equitable clean energy future.
It’s expected Biden will make a $2 trillion accelerated investment, with a plan to deploy those resources over his first term, some of which will go towards innovation and driving dramatic cost reductions in critical clean energy technologies including renewable hydrogen.
Hitting the ground running, day one of Biden’s presidency saw the US re-join the Paris Climate Agreement, following Trump’s withdrawal from the international treaty in November 2020.
In his first 100 days in office, Biden has said he will convene a climate world summit to directly engage the leaders of major greenhouse gas-emitting nations to persuade them to join the US in making more ambitious national pledges, above and beyond the commitments they have already made.
As to be expected, all of the above has been welcomed with open arms by the hydrogen industry as it recognises the opportunities that such commitments could bring for new and emerging companies, technologies and research projects.
“It was heartening to see hydrogen and fuel cells mentioned in Biden’s energy plans and we will work hard to make sure they come to fruition,” Morry Markowitz, President of the Fuel Cell and Hydrogen Energy Association (FCHEA) told H2 View in a recent interview, as he discussed what Biden’s presidency could mean for the industry.
Formed a decade ago as the results of a merger between the US Fuel Cell Council and the National hydrogen Association, FCHEA is the US national trade association for the fuel cell and hydrogen industry, based in Washington, D.C, also home of the White House.
Looking ahead to what’s to come, Markowitz explained, “Fuel cell and hydrogen technologies have bipartisan support from both the US House of Representatives and Senate. We are extremely excited to continue building on existing relationships with our Congressional champions and introduce new members of Congress and the administration to the long list of environmental and economic benefits they bring to a range of markets.”
“Hydrogen and fuel cells can play a role in decarbonising the transportation, power, oil and gas, and industrial sectors of the economy, and a wide range of stakeholders recognise that. Our industry has a wide footprint in the US, with stack, systems, and component manufacturing facilities, sales and service offices, as well as installations and deployments all across the country.”
Welcomed support
Over the past four years, and even through the pandemic, those involved in the hydrogen and fuel cell industry still continued to work hard, and now such work can be progressed even further through Biden’s promises.
A recent report by McKinsey and Company, titled: Road Map to a US Hydrogen Economy, found that the hydrogen sector has tremendous potential to bolster the US economy through the creation of investment opportunities and skilled energy jobs. This report received the backing of many, hydrogen players who are now thrilled to see such potential be fulfilled.
Read more: Road Map to a US Hydrogen Economy formally launched
According to the report, by 2030 the hydrogen sector can generate 700,000 jobs and $140bn in revenue. By 2050, that economic impact could grow to 3.4 million jobs, $750bn in revenue, 16% reductions of CO2 emissions, 36% reduction in NOx emissions, and account for 14% of US energy demand.
Further to that, the report suggests that by 2030, the fuel cell industry has the capability of reaching 1,200,000 fuel cell electric vehicles sales, 4,300 hydrogen fuelling stations, and $8bn in annual investments in the US.
“The Biden administration seems to recognise the potential for investments into clean energy technologies to not only reduce our nation’s environmental footprint, but also improve our economy and create jobs. This is a space where hydrogen has demonstrated a capability to excel,” Markowitz enthused.
“In addition to the Biden administration, there is growing recognition by lawmakers, environmental advocates, and other stakeholders across the country and around the world that hydrogen will play a critical role in our decarbonised future.”
“Europe, South Korea, and so many other areas are deeply involved in growing the hydrogen economy. We believe that hydrogen will certainly be breaking into the mainstream over the coming years,” he continued.
Change for a greener future
Whilst it is clear that those already immersed in the hydrogen economy are welcoming, and will continue to welcome Biden’s efforts, the FCHEA believes that the public’s perception of hydrogen will alter as a result of Biden’s policies and focus on climate change.
“All around the globe, countries are recognising the importance of hydrogen fuel and are developing national strategies to grow their hydrogen economies with billions of dollars of investments. Today, the US risks falling behind these other major economic blocs,” Markowitz told H2 View.
“As the leader in technology innovation and manufacturing developments, it is critical that the US maintains its leadership position by committing to hydrogen and fuel cell technology. The US leads the world in fuel cell-powered forklifts and cars, as well as stationary fuel cell deployments, commanding a competitive advantage that will guide the rest of the world.”
“Now is the perfect time for the Biden administration to step up and retain the lead to ensure growth of the hydrogen economy here at home and as an export of hydrogen opportunity around the world.”