Why the Green Hydrogen Industry Is Flocking to Texas

Michelle Ma | Source: Bloomberg | Posted 05/01/2025

Keyword Tags:

(Bloomberg) — Despite federal policy uncertainty stunting growth prospects, US clean hydrogen industry leaders at the BloombergNEF summit see one bright spot: Texas.

AI generated summary

The green hydrogen industry is increasingly focusing on Texas as a key location for development, despite challenges such as federal policy uncertainty and tariffs impacting growth. Industry leaders at the BloombergNEF summit highlighted the need for federal funding to make clean hydrogen production more cost-competitive, as current costs remain significantly higher than fossil fuel alternatives. However, Texas offers a unique advantage with its access to cheap renewable energy, which could help lower production costs.

Companies like Plug Power Inc. and Verdagy Inc. are planning to establish facilities in Texas, with Plug Power's plant expected to produce 45 tons of hydrogen per day, supported by a loan guarantee from the Energy Department. Verdagy aims to produce 9,000 tons annually at its Gulf Coast facility, leveraging renewable energy to achieve lower production costs. Projections suggest that Texas could become a leader in affordable green hydrogen, with costs potentially dropping to $2 per kilogram within a few years.

Link to Original Article

Please find the link to the full article below. (Please note that content provider might require a paid subscription)

Source Link: https://www.bloomberg.com/news/articles/2025-04-30/texas-cheap-clean-power-is-attracting-the-green-hydrogen-industry

Create a free trial account: Sign Up

Grid monitor is free to try. No credit card required

Why the Green Hydrogen Industry Is Flocking to Texas

AI generated summary

Link to Original Article

Create a free trial account: Sign Up

Already have an account? Login