Unlocking the Opportunity of Low-Carbon Hydrogen: Investment, Incentives, and Collaboration
Hydrogen can play a vital role in the transition to a carbon-neutral economy, and momentum for it has never been stronger. Since the passage of the Inflation Reduction Act, both governments and companies see the enormous potential of low-carbon hydrogen for storing energy, for powering a wide array of applications, and for reducing greenhouse gas emissions, especially where doing so has proven difficult.
Yet to deploy low-carbon hydrogen at scale, numerous challenges remain — from high production costs, to thin infrastructure for storage and transport, to a need for highly specialized expertise, and more.
In this new Power Play report, Vinson & Elkins looks in-depth at the complex state of play for hydrogen. Our attorneys:
- Review the most important of hydrogen’s many “colors,” and explain the color scheme’s limits in determining the carbon footprint of hydrogen projects
- Examine some of hydrogen’s key uses, and government efforts like the Inflation Reduction Act designed to spur hydrogen investment and consumption
- Explore obstacles in handling hydrogen, and potential options for overcoming these obstacles
- Analyze critical negotiating points in hydrogen transactions
This information is provided by Vinson & Elkins LLP for educational and informational purposes only and is not intended, nor should it be construed, as legal advice.