The US Department of Energy (DOE) is backing a project to produce clean hydrogen at the US’ largest nuclear power plant at Palo Verde in Phoenix, Arizona with a $20mn funding package.

The demonstration project, led by developer PNW Hydrogen, will receive $12mn from the DOE’s Hydrogen and Fuel Cell Technologies Office and $8mn from its Office of Nuclear Energy.

“Developing and deploying clean hydrogen can be a crucial part of the path to achieving a net-zero carbon future and combatting climate change,” says Deputy Secretary of Energy David Turk. “Using nuclear power to create hydrogen energy is an illustration of DOE’s commitment to funding a full range of innovative pathways to create affordable, clean hydrogen, to meet DOE’s Hydrogen Shot goal, and to advance our transition to a carbon-free future.”  

The US government’s Hydrogen Shot aims to reduce clean hydrogen production costs to $1/kg in one decade.

$20 mn – Total funding package for Arizona project

The US is bullish on the outlook for nuclear hydrogen. Four projects are in progress to demonstrate nuclear hydrogen’s value proposition at operating plants using both low- and high-temperature steam electrolysis.

“In many important cases, nuclear can be the most cost-effective and efficient method for producing hydrogen" David Livingston, senior adviser in the US Department of State, told an industry conference in June. “Much effort is being put toward preparing nuclear hydrogen for commercial deployment in the US.”

The Palo Verde project will include storage capacity for 6t of hydrogen, which will be employed to produce approximately 200MWh of  electricity during times of high demand and may also be also used to make chemicals and other fuels. “The project will provide insights about integrating nuclear energy with hydrogen production technologies and inform future clean hydrogen production deployments at scale,” the DOE says.

PNW Hydrogen will collaborate with multiple stakeholders in research, academia, industry and state-level government including state laboratories the Idaho National Laboratory, National Energy Technology Laboratory and National Renewable Energy Laboratory; fuel cell manufacturer Oxeon; German energy company Siemens; US utilities Xcel Energy and Energy Harbor; independent research organisation the Electric Power Research Institute; Arizona State University and the University of California Irvine; and the LA Department of Water and Power. 

“Arizona continues to lead the nation in clean hydrogen energy innovation, and today’s DOE investment will help fuel continued progress," says Arizona Senator Kyrsten Sinema. "I am committed to supporting state-of-the-art investments to secure our energy future, including by passing the bipartisan Infrastructure Investment and Jobs Act which provides $9.5bn for national clean hydrogen hubs, hydrogen manufacturing and recycling programmes, and programmes to lower the cost of clean hydrogen. I look forward to working with the Department and Arizonans to encourage such investments.” 

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Author: Stuart Penson