(Credit: Pixabay)Air Products and The AES Corporation have announced plans to invest $4 billion to build, own, and operate a green hydrogen production facility in Wilbarger County, Texas. This renewable power to hydrogen project includes approximately 1.4 gigawatts (GW) of wind and solar power generation, along with electrolyzer capacity capable of producing over 200 metric tons per day (MT/D) of green hydrogen, making it the largest green hydrogen facility in the United States.
This facility is anticipated to start commercial operations in 2027 and will meet the growing requirement for zero-carbon fuels for a variety of industrial markets as well as transportation. It has the potential to deliver clean energy on a large scale, with green hydrogen use in heavy-duty trucks eliminating more than 1.6 million metric tons annually of carbon dioxide (CO2) emissions when compared with diesel.
Air Products and AES will jointly own the renewable energy and electrolyzer assets, with Air Products serving as the exclusive off-taker and marketer of the green hydrogen under a 30-year contract.
This project has the potential to bring 1,300 construction jobs and 115 permanent operations roles to Texas. Additionally, 200 transportation and distribution positions could be created from this endeavor. It's estimated that there will also be $500 million in tax benefits for the state over time due to its implementation while increasing Texas' clean energy portfolio.
A major surge in demand for green hydrogen to be used in mobility and industrial applications is forecasted across the United States over the next decade. The increase in clean energy, combined with ambitious net-zero goals set by many states and corporate entities are driving factors in the expansion.
