The debate around Constellation Energy’s Nine Mile Point Nuclear Station highlights the tension—and legal liability—for the Biden administration as it works on guidance for the clean hydrogen production tax credit.
Advocates on opposite sides describe the clean hydrogen credit as among the Treasury Department’s highest-stakes interpretations for the climate and clean energy investment under the Inflation Reduction Act, following electric vehicle guidance released last week.
Constellation’s nuclear plant is an example of the broader debate. Constellation argues that its nearly 2-gigawatt nuclear plant is the ideal place to produce hydrogen, using carbon-free electricity.
A coalition of environmental groups argues using a clean energy source such as the nuclear plant would actually increase planet-warming emissions because some of the power would be diverted from supplying the electric grid and replaced by fossil fuel-fired plants. They want the Treasury to ensure that the guidance doesn’t allow subsidies for hydrogen to result in more greenhouse gas emissions, contrary to the law’s requirement.
The debate around Constellation Energy’s Nine Mile Point Nuclear Station highlights the tension—and legal liability—for the Biden administration as it works on guidance for the clean hydrogen production tax credit.
Advocates on opposite sides describe the clean hydrogen credit as among the Treasury Department’s highest-stakes interpretations for the climate and clean energy investment under the Inflation Reduction Act, following electric vehicle guidance released last week.
Constellation’s nuclear plant is an example of the broader debate. Constellation argues that its nearly 2-gigawatt nuclear plant is the ideal place to produce hydrogen, using carbon-free electricity.
A coalition of environmental groups argues using a clean energy source such as the nuclear plant would actually increase planet-warming emissions because some of the power would be diverted from supplying the electric grid and replaced by fossil fuel-fired plants. They want the Treasury to ensure that the guidance doesn’t allow subsidies for hydrogen to result in more greenhouse gas emissions, contrary to the law’s requirement.