Arizona Technology Council has proposed establishing a hydrogen investment capital special fund and including hydrogen in the renewable energy production tax credit. It highlighted these two key strategic initiatives in its recently published report titled, Innovation and Clean Energy Industry Recommendations for Economic Recovery
The council emphasised the fund’s importance, stating that the proposed fund would invest in R&D and commercialisation of hydrogen technology projects. Further works are needed to promote hydrogen resources and develop a long term hydrogen roadmap which can transform Arizona to a hydrogen-based economy.
Given that hydrogen is a zero-emission fuel, so, should be included in the Arizona Renewable Energy Production income tax credit to promote hydrogen technology.
A person can currently qualify for the income tax credit if running a generator with a production capacity of 5 MW using wind, solar or biomass energy. The scheme is coming to an end on 1st January 2021. Arizona Technology Council recommended that the tax credit be extended further and expanded to power generated from hydrogen electrolysis using renewable energy.