Industry Unites for Policy Support
The U.S. hydrogen industry is urging lawmakers to extend the 45V hydrogen production tax credit, calling it a crucial step for sustaining clean energy momentum. Nearly 250 companies and labor unions—including the American Petroleum Institute, Air Liquide, and the International Brotherhood of Electrical Workers—have signed a joint letter to Congress. They warn that failing to extend the credit could shift billions of dollars in clean energy investments and job opportunities to other countries. As highlighted in recent industry analysis, this credit has become essential for scaling hydrogen projects and promoting emissions-free energy.
Risks of Phasing Out Too Soon
Under current law, the 45V credit begins to phase out in 2025, just as many hydrogen projects are still getting off the ground. Leaders in the sector argue that such a short timeline creates uncertainty for developers, which can lead to delays or cancellations of projects altogether. A detailed industry analysis reveals that hydrogen is crucial for decarbonizing sectors such as heavy manufacturing, freight transportation, and the aviation industry, where traditional electrification is impractical. Without reliable policy support, these innovations could stall, and the U.S. could lose its competitive edge in clean hydrogen technologies.
Economic & Environmental Stakes
Beyond the environmental impact, the push to extend the tax credit is deeply tied to economic goals. According to industry analysis, each billion dollars invested in hydrogen infrastructure can create thousands of jobs across engineering, construction, and supply chains. Extending the 45V credit would not only strengthen America’s clean energy leadership but also support domestic job creation and long-term energy security. Many in the industry believe this moment is a test of the U.S. government’s commitment to innovation and sustainability. As the call for action grows louder, all eyes are on Congress to ensure the hydrogen sector continues to thrive.
