The billion-dollar US green hydrogen boom ended before it ever began

AI generated summary

The anticipated boom in the U.S. green hydrogen sector has faltered even before significant financial support was withdrawn by Republican lawmakers. Recent proposals to cut clean energy incentives threaten to dismantle the green hydrogen industry, which was already facing challenges prior to these legislative moves. Developers had envisioned massive investments in renewable energy infrastructure to produce green hydrogen, but many projects have been canceled or scaled back due to rising costs, lack of industrial buyers, and delays in federal tax credit guidance.

Despite some companies like Plug Power continuing to operate, the overall outlook for green hydrogen has dimmed. The industry has struggled with high production costs and insufficient demand, leading to project cancellations and a pivot towards smaller-scale operations. Analysts suggest that without substantial subsidies, many planned projects may not be viable, and the once-promising green hydrogen market is now at risk of stagnation, with developers facing a challenging path ahead.