US to unveil final plans for $1bn subsidy scheme for clean hydrogen users by end of September
A Contracts for Difference-style scheme is being considered, controversial programme leader Ernest Moniz tells conference
A US government plan for $1bn of subsidies for clean hydrogen users will be finalized by the end of September, the programme leader told the CERAWeek energy conference in Houston this week.
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“We want the supply and delivery infrastructure and demand to work together in a way that builds markets, gets costs down, and ultimately allows the market to run with the hydrogen economy towards a low-carbon future,” Moniz told delegates on Tuesday.
The consortium, known as the Hydrogen Demand Initiative (H2DI) is currently considering the best ways to use the $1bn of funding, he said.
One potential model under consideration, Moniz continued, was a Contracts for Difference-style scheme — which could pay users the difference in cost between grey and clean hydrogen — although he did add that it might “not be the right match here”.
He also pointed out that $1bn was a “relatively modest budget”.