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Q&A

Trump’s Hydrogen Mystery

A conversation with Frank Wolak of the Fuel Cell and Hydrogen Energy Association.

Frank Wolak.
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We’re joined today by Frank Wolak, CEO of perhaps the most crucial D.C. trade group for all things hydrogen: the Fuel Cell and Hydrogen Energy Association. The morning after Election Day we chatted about whether Trump 2.0 will be as receptive as members of Congress have been to hydrogen and the IRA’s tax credit for producing the fuel. Let’s look inside his crystal ball, shall we?

Simply put, will president-elect Donald Trump keep the IRA’s 45V tax credit in place?

So a couple things there. First, the production tax credit still has to be finalized and what they do about the tax credits, if anything, is a function of whether the Biden administration issues final guidance.

If they issue final guidance, then what that guidance says will determine what kind of reaction the Trump administration may have, whether to adjust it or tweak it.

The second thing: I think the tax credits fit into a question of the IRA broadly and hydrogen specifically. The Trump administration is going to be looking at the entirety of the IRA. There’s the question of what pushback hydrogen has in this administration and if it’s viewed as valuable or important or secondary, tertiary to other things. And I think we’ve yet to see that in the form of any platform.

So Trump’s view on hydrogen is a mystery then – how will that uncertainty impact hydrogen projects in development today?

The uncertainty that has been experienced by this industry predates the election outcome. The long wait for guidance has definitely slowed down the amount of investment. They’ve put many things on hold. This is not a secret.

What I’ll say is, the ability to regroup and fulfill the expectations that this industry had two or three years ago is hugely dependent on the outcome of the tax credit.

What do you think we’ll see companies do in this information vacuum? Will we see them double down on supporting the credit or potentially get out of hydrogen since it’s an emerging, nascent technology?

The doubling down on the tax credit depends on what the guidance looks like.

If the guidance looks flexible, the question is: how do you take that flexibility and make sure the Trump administration continues it and sees it as valuable or vital?

If the tax credit becomes rigid and stays rigid in the Biden administration, you’ll have a two step process – to unwind the rigidity and then also encourage the Trump administration to see the merits. If the guidance stays as stated, the work is harder.

The degree to which industry continues to make investments and says, “hey, we’re all in,” is a function of how these tax credits emerged. Are they going to really keep fighting and to keep the momentum going, or are the [credits] so limited that companies go, “look this is going to be very very hard to overcome in the U.S. so we’re going to take our investment elsewhere.”

You think we might see companies dip out of the hydrogen space over the credit’s outcome?

Mature long term players who are multinationals … are remaining extremely positive. They may adjust the sequence of their investments but they’re in this because they’re in hydrogen and want to be in this market as much as possible.

But those who saw this as an opportunity to come in and take advantage of tax credits are having those reactions of, “Should I invest? Do I look [at it] positively?” And that’s probably natural.

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Q&A

How California Is Fighting the Battery Backlash

A conversation with Dustin Mulvaney of San Jose State University

Dustin Mulvaney.
Heatmap Illustration

This week’s conversation is a follow up with Dustin Mulvaney, a professor of environmental studies at San Jose State University. As you may recall we spoke with Mulvaney in the immediate aftermath of the Moss Landing battery fire disaster, which occurred near his university’s campus. Mulvaney told us the blaze created a true-blue PR crisis for the energy storage industry in California and predicted it would cause a wave of local moratoria on development. Eight months after our conversation, it’s clear as day how right he was. So I wanted to check back in with him to see how the state’s development landscape looks now and what the future may hold with the Moss Landing dust settled.

Help my readers get a state of play – where are we now in terms of the post-Moss Landing resistance landscape?

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Hotspots

A Tough Week for Wind Power and Batteries — But a Good One for Solar

The week’s most important fights around renewable energy.

The United States.
Heatmap Illustration/Getty Images

1. Nantucket, Massachusetts – A federal court for the first time has granted the Trump administration legal permission to rescind permits given to renewable energy projects.

  • This week District Judge Tanya Chutkan – an Obama appointee – ruled that Trump’s Bureau of Ocean Energy Management has the legal latitude to request the withdrawal of permits previously issued to offshore wind projects. Chutkan found that any “regulatory uncertainty” from rescinding a permit would be an “insubstantial” hardship and not enough to stop the court from approving the government’s desires to reconsider issuing it.
  • The ruling was in a case that the Massachusetts town of Nantucket brought against the SouthCoast offshore wind project; SouthCoast developer Ocean Winds said in statements to media after the decision that it harbors “serious concerns” about the ruling but is staying committed to the project through this new layer of review.
  • But it’s important to understand this will have profound implications for other projects up and down the coastline, because the court challenges against other offshore wind projects bear a resemblance to the SouthCoast litigation. This means that project opponents could reach deals with the federal government to “voluntarily remand” permits, technically sending those documents back to the federal government for reconsideration – only for the approvals to get lost in bureaucratic limbo.
  • What I’m watching for: do opponents of land-based solar and wind projects look at this ruling and decide to go after those facilities next?

2. Harvey County, Kansas – The sleeper election result of 2025 happened in the town of Halstead, Kansas, where voters backed a moratorium on battery storage.

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Spotlight

This Virginia Election Was a Warning for Data Centers

John McAuliff ran his campaign almost entirely on data centers — and won.

John McAuliff.
Heatmap Illustration/Getty Images, Library of Congress, John4VA.com

A former Biden White House climate adviser just won a successful political campaign based on opposing data centers, laying out a blueprint for future candidates to ride frustrations over the projects into seats of power.

On Tuesday John McAuliff, a progressive Democrat, ousted Delegate Geary Higgins, a Republican representing the slightly rural 30th District of Virginia in Loudoun and Fauquier Counties. The district is a mix of rural agricultural communities and suburbs outside of the D.C. metro area – and has been represented by Republicans in the state House of Delegates going back decades. McAuliff reversed that trend, winning a close election with a campaign almost entirely focused on data centers and “protecting” farmland from industrial development.

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