Final Section 45V regulations will expand opportunity for natural gas, CCS, says API

The American Petroleum Institute (API) has released a statement regarding the U.S. Department of the Treasury’s final regulations for the Section 45V Clean Hydrogen Production Tax Credit.

“Clear, consistent policy is essential for building a lower-carbon hydrogen industry and strengthening America's energy leadership,” said Dustin Meyer, API’s Senior Vice President of Policy, Economics and Regulatory Affairs. “Treasury's 45V guidance marks a meaningful step forward, encouraging innovation while driving progress on emissions.”

“This framework offers an opportunity for natural gas, when paired with carbon capture and storage, to compete more fairly in new markets and meet growing demand for affordable, reliable, lower-carbon energy. We look forward to collaborating with the incoming administration to uphold technology-neutral hydrogen policies that position the U.S. as a global leader in innovation.”

About API

API represents all segments of America’s natural gas and oil industry, which supports nearly 11 million U.S. jobs. API was formed in 1919 as a standards-setting organization and has developed more than 800 standards to enhance operational and environmental safety, efficiency and sustainability.