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Green Hydrogen H2 News

Construction Begins on Arkansas’ First Hydrogen Power Plant

Anela DoksoBy Anela Dokso16/05/20233 Mins Read
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Clarksville, a city in Johnson County, is making plans to construct a hydrogen power plant, positioning itself at the forefront of the growing national interest in investing in alternative energy sources.

The city has partnered with Syntex Industries of Little Rock to design and build Arkansas’ first hydrogen plant, with the goal of generating over 500 megawatts of emission-free electricity by 2026.

Mayor David Rieder expressed his excitement about the project, stating that Syntex has been working closely with Clarksville to develop methods for storing excess renewable energy and utilizing it on demand. Recent advancements in technology and federal tax incentives have made this ambitious endeavor possible.

Clarksville’s initiative aligns with a nationwide surge in interest in hydrogen-fueled plants and the use of hydrogen as an alternative energy source to support industrial growth. The U.S. Department of Energy predicts that these efforts could generate $140 billion in revenue and create 700,000 jobs by 2030.

The project in Clarksville is expected to generate over 100 jobs, contributing to the growth of the local economy. Additionally, it aims to bring new high-paying “ecodustrial” jobs to the area, providing essential infrastructure to support the region’s economic development.

The power plant is scheduled to begin generating electricity in 2025 and be fully operational by 2026. Groundbreaking is anticipated to take place later this year, paving the way for the construction phase.

Hydrogen is gaining prominence as a viable power source, championed in the Inflation Reduction Act passed by Congress last year, which aims to reduce emissions in the United States.

Entergy Corp., Arkansas’ largest electric provider, secured approval last year for a $2.5 billion investment in a 1,215-megawatt combined cycle power facility in Orange, Texas. This facility, located in southeast Texas’ industrial corridor, is slated to open in 2026.

S&P Global Inc. has identified hydrogen fuel as one of the top 10 energy technology trends for 2023. The United States has set an ambitious target to reduce the cost of clean hydrogen by 80% over the next decade. Moreover, the Inflation Reduction Act provides tax credits to hydrogen investors and users for the first time, with the Congressional Budget Office estimating that this initiative will stimulate over $375 billion in investments in the industry.

According to Grand View Research, a market intelligence and analysis group based in India and California, the global hydrogen generation market was valued at $155 billion in 2022 and is projected to grow at a compound annual growth rate of 9.3% until 2030. Hydrogen has the advantage of being easily stored for extended periods and can be distributed through existing infrastructure.

As the world transitions to cleaner and more sustainable energy sources, hydrogen is emerging as a promising solution. Clarksville’s plans to build a hydrogen power plant demonstrate its commitment to embracing innovative technologies and reducing greenhouse gas emissions. With supportive federal policies and the potential for job creation and economic growth, the city is poised to make significant strides towards a greener future.

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