Hydrogen: Critical Decarbonization Element for the Grid, Manufacturing, and Transportation: State Energy Policy, Program, and Planning Considerations

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Hydrogen offers potential pathways for decarbonizing the electricity system, hard-to-electrify industrial and heating applications, and heavy transportation. It can provide large-scale and long-duration energy storage to balance variable power generation and demand. Hydrogen offers non-carbon paths as both energy and material input for ammonia, steel, fuels, and other production. It can be made from non-carbon renewable and nuclear generation as well as from fossil fuel sources that can be coupled with carbon capture, utilization, and storage (CCUS). There are economic development opportunities for new technologies, processes, and applications as well as to leverage and adapt some existing natural gas, petroleum, and petrochemical infrastructure and expertise for hydrogen-based energy and production. Research, development, and demonstration (RD&D), environmental policies, economies of scale and scope, economic development programs, and other measures will affect hydrogen’s path. State Energy Offices and other pertinent agencies should consider hydrogen options and opportunities, including supportive policy, program, and regulatory measures, in developing their energy, environmental, and economic development plans.

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