Department of Energy Selects Consortium to Bridge Early Demand for Hydrogen, Providing Market Certainty and Unlocking Private Sector Investment

The U.S. Department of Energy's Office of Clean Energy Demonstrations announced the selection of a consortium to help accelerate commercial liftoff of the hydrogen economy and support the launch of the regional hydrogen hubs (H2Hubs). The consortium—which consists of the EFI Foundation, a leader in hydrogen economy development, in partnership with the commodity markets information experts S&P Global and the financial exchange operator Intercontinental Exchange—will design and implement demand-side support mechanisms for unlocking the market potential of the H2Hubs.

Developing a hydrogen demand-side initiative is critical to enhancing the early commercial viability of the H2Hubs, as demand formation for new energy sources often lags the creation of reliable new supply. The H2Hubs represent a key pillar of the national hydrogen strategy and are aligned with the priorities of the Hydrogen Interagency Task Force, which is coordinating a whole-of-government approach to advancing hydrogen. These efforts include tax incentives in the Inflation Reduction Act and ongoing research, development, and demonstration to drive down the cost of hydrogen and achieve the Hydrogen Shot goal of $1 per kilogram within a decade.