FOR IMMEDIATE RELEASE – November 12, 2024
CONTACT: Andrew Jefferis, ajefferis@aii.org
Aii Report Identifies Structural Barriers to Hydrogen Scaling and Finds Infrastructure-Centered Solution
Washington, D.C. – The Alliance for Innovation and Infrastructure (Aii) on Tuesday released The Hydrogen Highway: How Distributing Hydrogen Production Can maximize Existing Infrastructure, Avoid Costs and Complications, and Jumpstart National Hydrogen Demand. The report examines hydrogen’s potential in the energy sector and outlines why distributed hydrogen production may be the most practical pathway forward.
Hydrogen has garnered significant interest as a key element of the future energy landscape. However, significant obstacles lie ahead. Infrastructure needs for centralized hydrogen production will require years, tens of billions of dollars, and major regulatory shifts to adapt existing frameworks. Current pipeline regulations, which restrict retrofitting natural gas pipelines for hydrogen, make centralized hydrogen hubs complex an costly – for the short term.
The Aii report finds that distributed hydrogen production offers an alternative, presenting a flexible and scalable solution that maximizes current infrastructure while avoiding the prohibitive costs and time investments associated with centralized models in the near term. This approach provides a feasible entry point to kickstart national hydrogen demand while regulatory and market support evolve.
The report also sheds light on the potential of “turquoise hydrogen” as a near-term, lower-cost solution that can bridge the gap to green hydrogen adoption at scale.
Key Findings include:
- Centralized hydrogen hubs require extensive infrastructure investment yet lack immediate market demand.
- Regulatory changes are needed to facilitate cost-saving pipeline retrofits and safe hydrogen transport.
- Distributed production enables flexible, cost-effective hydrogen generation, accelerating adoption with fewer infrastructure demands.
Report author and Aii executive director, Benjamin Dierker said, “Hydrogen is a unique resource that will transform a lot of industries in the next several decades. But like all resources, it has key infrastructure dependencies we have to plan for. Making the most of existing infrastructure will put hydrogen on the national scene at scale a decade faster than if we wait to build new systems.”
Read the full report here.
For questions, interviews, or other media inquiries, please email Aii Media Coordinator, Andrew Jefferis, ajefferis@aii.org
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