The US Department of Energy has provided US hydrogen fuel cell system manufacturer Plug Power Plug a $1.7bn loan guarantee to finance up to six hydrogen production projects in the US.
A planned wind-powered hydrogen production facility in Graham, Texas, will be the first project to receive funding from this new line of financing, the company said.
The loan guarantee comes in the waning days of President Joe Biden's administration, which has sought to kickstart a hydrogen economy to power the energy transition. With president-elect Donald Trump vowing to claw back unspent funds from Biden's signature climate legislation the Inflation Reduction Act, hydrogen proponents have started to highlight their industry's economic and national security benefits.
"We believe the hydrogen economy aligns closely with national security interests, ensuring that the US remains at the forefront of energy technology development and deployment on a global scale," Plug Power chief executive Andy Marsh said. Plug Power has a liquid hydrogen production capacity of about 45 metric tonnes/d at plants in Georgia, Tennessee and Louisiana.