Hydrogen (H2) Experience

Life Cycle Associates has examined all aspects of hydrogen life cycle emissions. Our work includes experience with a wide range of feedstocks used in various applications for blue and green hydrogen production processes. We work with clients to assess their ability to meet the life cycle assessment and credit requirements for the Low Carbon Fuel Standard (LCFS) and Section 45V of the Inflation Reduction Act (IRA) using the most recent 45VH2-GREET model.

hydrogen renewable energy production

Emerging applications for green hydrogen include power-to-fuel, synthetic fuels, and hydrogen fuel cell vehicles. An additional benefit of the production of green hydrogen is the co-product oxygen. The oxygen co-product from electrolyzers or air separation units could be integrated with biomass gasification. This integration implies a potential synergy where the oxygen can be utilized to contribute to more sustainable industrial practices. Green hydrogen used as a boiler fuel could reduce the GHG footprint of industrial processes and even reduce the carbon intensity of natural-gas intensive fuels such as corn ethanol.

Hydrogen H2 Experience

IRA Section 45V

Three pillars form the framework for green hydrogen to qualify for IRA tax credits outlined in Section 45V:

      1. power generation is time coincident
      2. from new resources
      3. regionally connected

These requirements are intended to assure that low CI electric power is not diverted from existing customers to green hydrogen applications that would yield zero net environmental benefit.

The Internal Revenue Service (IRS) mandates that hydrogen eligible for 45V credits must not be used inefficiently while supporting emerging applications.

Refer to the table for IRA baseline and bonus credit amounts under 45V.

 

IRA 45V ($/kg hydrogen)

Baseline Credit Amount

$0.60 CI between 0 and 0.45

$0.20 CI between 0.45 and 1.5

$0.15 CI between 1.5 and 2.5

$0.12 CI between 2.5 and 4.0

$0.00 CI greater than 4.0

Bonus amount if prevailing wage, hour, and apprenticeship requirements are met

$3.00 CI between 0 and 0.45

$1.00 CI between 0.45 and 1.5

$0.75 CI between 1.5 and 2.5

$0.60 CI between 2.5 and 4.0

$0.00 CI greater than 4.0

Our Hydrogen Clients & Experience

  • California Hydrogen Blueprint Plan
  • California Energy Commission Applications for the Clean Hydrogen Program
  • California Low Carbon Fuel Standard (LCFS)
  • Look up table pathways
  • Tier 2 Pathways
  • Hydrogen Fueling Infrastructure (HRI)
  • Forestry biomass to hydrogen via pyrolysis
  • Biomass gasification – forest residue and corn stover
  • Hydrogen as SAF alternative
  • Inflation Reduction Act (IRA) – 45V Clean Hydrogen Production
  • 45VH2-GREET Model

Questions

Do you have questions about our hydrogen experience?

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