American Petroleum Institute offers feedback on DOE’s clean hydrogen strategy

Published on December 06, 2022 by Dave Kovaleski

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The American Petroleum Institute (API) offered feedback on the U.S. Department of Energy’s (DOE) draft version of the National Clean Hydrogen Strategy and Roadmap.

API said it appreciates that the DOE is advancing clean hydrogen but expressed concerns that the strategy fails to adequately consider all forms of hydrogen production. API said it also neglects to consider the near-term benefits of working with existing hydrogen users, like refineries.

“The oil and natural gas industry has a significant role to play and interest in the growth of a clean hydrogen economy. Enabling significant greenhouse gas (GHG) emissions reductions in the industrial, transportation, and power sectors, the deployment of low-carbon hydrogen will be essential in meeting the nation’s climate goals,” API Vice President of Corporate Policy Aaron Padilla said. “While we appreciate DOE’s commitment to a clean hydrogen economy, the current roadmap does not address the near-term low-cost GHG emissions reductions advantages of hydrogen produced from natural gas with carbon capture and storage. To fully harness the emissions reduction potential of hydrogen, we urge DOE to support all forms of clean hydrogen production.”

Hydrogen produced from natural gas with carbon capture and storage (CCS) and produced from electricity and other energy sources could eliminate an additional 180 million metric tons of greenhouse gas (GHG) emissions per year through 2050, a recent study from API found. It could also save over $450 billion cumulatively through 2050 when hydrogen incentives are provided based on a per ton of GHG emissions reduced.

An API analysis found that uniform incentives for producing hydrogen from natural gas with CCS, electricity, and other energy sources are critical to meeting the DOE goal of 50 MMT of clean hydrogen produced by 2050.

API represents all segments of America’s natural gas and oil industry, with approximately 600 members producing, processing, and distributing most of the nation’s energy.