Tax Credit Uncertainty Could Derail $1-Billion Pink Hydrogen Project

The largest U.S. nuclear power operator, Constellation Energy, may see a $1-billion major project to produce hydrogen using nuclear energy deferred or abandoned due to still unclear guidance over the tax credits for clean hydrogen production under the Inflation Reduction Act (IRA). The Act, passed in August last year, provides for the so-called 45V credit for the production of clean hydrogen, but the U.S. Treasury Department has yet to provide detailed guidance on who is eligible for the subsidy, which could be as high as $3 per kilogram of hydrogen.…