More than 60 Democrats are urging the Biden administration to stand pat on proposed clean hydrogen tax credit guidelines that have come under increasing scrutiny from industry and lawmakers from both sides of the aisle.
In a letter sent this week to a variety of Biden administration officials, the Democrats argue that any adjustment of the Treasury Department’s initial strict guidelines for the Inflation Reduction Act’s 45V credit could result in a carbon emissions disaster.
“Estimates indicate that, without safeguards, 45V would actually increase the emissions intensity of U.S. hydrogen production,” they said. “Taxpayer dollars must not blindly support all kinds of electrolytic hydrogen or we risk eroding climate progress and further subsidizing the fossil fuel industry at the expense of environmental justice and American consumers.”
The letter was led by Sens. Sheldon Whitehouse (D-R.I.) and Jeff Merkley (D-Ore.) and Reps. Jamie Raskin (D-Md.) and Don Beyer (D-Va.), who’ve all previously asked Treasury to be strict when doling out the incentives.
