Greater investment needed in midstream and end-use switching for hydrogen scale-up
Some US projects will meet $1/kg target by 2031 – DoE
Green hydrogen production costs could fall from $3–6/kg to $1.50–2/kg by 2035, excluding the production tax credit
US green hydrogen production costs, excluding the production tax credit (PTC), could fall from $3–6/kg today to $1.5–2/kg by 2035, according to a recent Department of Energy (DoE) report. The PTC awards a maximum of $3/kg based on lifecycle carbon intensity over a period of ten years for low-carbon hydrogen production projects that begin construction before 2033. While the predicted green hydrogen price by the mid-2030s is higher than the ‘Hydrogen Shot’ target, which aims for low-carbon hydrogen production to cost $1/kg by 2031, “depending on type of electrolyser and availability of high-capacity factor clean energy, some projects may hit the Hydrogen Shot target”, the DoE says. The departm
Also in this section
31 March 2025
Saudi Aramco’s blue hydrogen progress is a clear reminder that energy companies pivoting in search of greater returns may not be throwing the H₂ baby out with the bathwater
27 March 2025
Awards celebrate global innovation, leadership and achievement across the energy sector’s people, projects, technologies and companies.
27 March 2025
Region has all the ingredients to become a green hydrogen powerhouse but faces plenty of barriers and stiff competition
21 March 2025
European Hydrogen Bank auction is four times oversubscribed, while industry remains on pause in US amid IRA subsidy uncertainty
