According to Wolak, clean hydrogen might be on the verge of becoming widely accepted. Tuesday's announcement was followed by his statement. The recent $1.66 billion grant to Plug Power, while the largest, is just one among several awards from the DOE for hydrogen production, as Wolak pointed out. Monolith, another hydrogen manufacturer, secured a $1.04 billion commitment from the DOE for constructing a facility that will use renewable energy to extract hydrogen and carbon from natural gas for various uses. Additionally, the DOE granted a $504.4 million loan guarantee for the Aces Delta project, which aims to produce hydrogen using renewable energy for the Intermountain Power Agency’s hydrogen-capable combined cycle natural gas power plant.

Wolak emphasized that these commitments demonstrate significant investment potential in the U.S. and the Loan Programs Office's interest in supporting the U.S. hydrogen industry, aligning with the Biden Administration's goals for clean hydrogen advancement.

Plug Power intends to primarily sell hydrogen from its six-plant expansion to its own clients in material handling, transportation, and industrial sectors. These include companies like Amazon, Walmart, and Home Depot, which utilize hydrogen-fueled vehicles in their operations.

Although the term sheet with the DOE doesn't specify the projects to be financed, Plug Power CEO Andy Marsh indicated that the focus is on financing "Project Limestone," a liquid hydrogen generation plant in Graham, Texas.

Plug Power already operates a significant hydrogen production facility in Woodbine, Georgia, considered the largest proton exchange membrane electrolyzer system in the U.S. The company manufactures its electrolyzers in Rochester, New York, and has its hydrogen liquefaction and storage systems in Houston.

The DOE estimates that each of the six new hydrogen plants could generate 50 full-time jobs and reduce greenhouse gas emissions by 84% compared to conventional hydrogen production methods.

Source: Utility Dive