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Home Home - Americas
Oklahoma Moves Towards Hydrogen Rebate Incentive Program

Oklahoma Moves Towards Hydrogen Rebate Incentive Program

Anela DoksoBy Anela Dokso04/04/20242 Mins Read
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Oklahoma’s legislative body initiates a bill that drafts a rebate scheme aimed at industries specializing in hydrogen refinement, processing, and manufacturing within smaller municipalities.

Legislation Senate Bill 1428, encourages firms to invest a minimum of $800 million in the capital venture prior to qualifying for this $50 million rebate scheme. Only businesses owning property in municipalities with a population ranging between 20,000 to 30,000, as recorded in the 2020 U.S. Census, will qualify for this incentive.

Oklahoma Representative, Tammy Townley indicated that the bill could position Oklahoma as a hydrogen energy leader, reflecting the state’s ongoing efforts to explore this industry. She expressed her anticipation for hydrogen energy to become Oklahoma’s leading energy sector.

The rebate scheme approximates to 6.25% of the cost incurred in qualifying capital expenditure. New funding will be allocated to the Commerce Manufacturing Activity Development Fund, exempt from budget restrictions. Leftover funds as of January 1, 2030, will be directed back to the general revenue fund.

State officials have given indications to consider financial backing for hydrogen projects. This comes after federal officials declined Oklahoma’s proposal to establish a federally sanctioned hydrogen hub, a consortium with Arkansas and Louisiana worth $1.25 billion, instead selecting 16 other states to institute the country’s $7 billion program under the bipartisan Infrastructure Law.

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