Advancing the Clean Hydrogen Future Act of 2021
Bill: S.2200 | Sponsor: Sen. Heinrich, Martin (D-NM)
Policy area: Energy

Summary:
Advancing the Clean Hydrogen Future Act of 2021
This bill requires the Department of Energy (DOE) to establish a research, development, demonstration, and deployment program to improve the efficiency, increase the durability, and reduce the cost of producing hydrogen using electrolyzers. Electrolyzers are systems that produce hydrogen using electrolysis, a process that uses electricity to split water into hydrogen and oxygen. The goal of the program is to reduce the cost of hydrogen produced using electrolyzers to less than $2 per kilogram of hydrogen by 2026.
In carrying out the program, DOE must award grants for projects that DOE determines would provide the greatest progress toward achieving the goal. In addition, DOE must fund demonstration projects under the program to (1) demonstrate technologies that produce hydrogen using electrolysis; and (2) validate information on the cost, efficiency, durability, and feasibility of commercial deployment of those technologies.

To require the Secretary of Energy to establish a research, 
   development, demonstration, and deployment program to improve the 
 efficiency, increase the durability, and reduce the cost of producing 
         hydrogen using electrolyzers, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Advancing the Clean Hydrogen Future 
Act of 2021''.

SEC. 2. PURPOSES.

    The purposes of this Act are--
            (1) to enhance the leadership role of the United States in 
        the widespread use of renewable energy and clean energy 
        technologies;
            (2) to reduce greenhouse emissions in the United States by 
        increasing the supply of economical hydrogen for use in 
        transportation, industrial, and power-generation applications;
            (3) to support existing electrolyzer research, development, 
        and demonstration efforts of the Department, including the 
        H2NEW consortium of National Laboratories and the hydrogen and 
        fuel cell community, which was established by the Office of 
        Hydrogen and Fuel Cell Technologies of the Department and 
        focuses on making large-scale electrolyzers more durable, 
        efficient, and affordable; and
            (4) to promote job creation in the United States through 
        the manufacturing of advanced clean energy technologies, 
        including through the manufacturing of electrolyzers and 
        associated systems.

SEC. 3. HYDROGEN ELECTROLYSIS RESEARCH, DEVELOPMENT, DEMONSTRATION, AND 
              DEPLOYMENT PROGRAM.

    (a) Definitions.--
            (1) Department.--The term ``Department'' means the 
        Department of Energy.
            (2) Electrolysis.--The term ``electrolysis'' means a 
        process that uses electricity to split water into hydrogen and 
        oxygen.
            (3) Electrolyzer.--The term ``electrolyzer'' means a system 
        that produces hydrogen using electrolysis.
            (4) Eligible entity.--The term ``eligible entity'' means--
                    (A) an institution of higher education;
                    (B) a nongovernmental organization;
                    (C) a National Laboratory;
                    (D) a federally recognized Tribal government or 
                Tribal organization;
                    (E) a private entity; and
                    (F) a partnership or consortium of 2 or more 
                entities described in subparagraphs (A) through (E).
            (5) Institution of higher education.--The term 
        ``institution of higher education'' has the meaning given the 
        term in section 101(a) of the Higher Education Act of 1965 (20 
        U.S.C. 1001(a)).
            (6) National laboratory.--The term ``National Laboratory'' 
        has the meaning given the term in section 2 of the Energy 
        Policy Act of 2005 (42 U.S.C. 15801).
            (7) Program.--The term ``program'' means the program 
        established under subsection (b).
            (8) Secretary.--The term ``Secretary'' means the Secretary 
        of Energy.
    (b) Establishment.--Not later than 90 days after the date of 
enactment of this Act, the Secretary shall establish a research, 
development, demonstration, and deployment program to improve the 
efficiency, increase the durability, and reduce the cost of producing 
hydrogen using electrolyzers.
    (c) Coordination.--In establishing and carrying out the program, 
the Secretary shall--
            (1) coordinate activities carried out under this section 
        with--
                    (A) activities carried out under other relevant 
                programs of the Department, including activities 
                carried out by the National Laboratories; and
                    (B) activities carried out by other relevant 
                Federal agencies;
            (2) effectively manage crosscutting research priorities 
        across relevant programs of the Department, including programs 
        carried out by the National Laboratories; and
            (3) coordinate with the heads of other relevant Federal 
        agencies to ensure the effective management of crosscutting 
        research priorities shared by the Department and those 
        agencies.
    (d) Collaboration.--In carrying out the program, the Secretary 
shall collaborate with--
            (1) industry;
            (2) the National Laboratories;
            (3) other relevant Federal agencies;
            (4) relevant State agencies;
            (5) institutions of higher education; and
            (6) international bodies with relevant scientific and 
        technical expertise.
    (e) Goal.--The goal of the program is to reduce the cost of 
hydrogen produced using electrolyzers to less than $2 per kilogram of 
hydrogen by 2026.
    (f) Duration.--The program shall have a duration of 5 years.
    (g) Focus.--The program shall focus on research relating to, and 
the development, demonstration, and deployment of--
            (1) low-temperature electrolyzers, including liquid-
        alkaline electrolyzers, membrane-based electrolyzers, and other 
        advanced electrolyzers, capable of converting intermittent 
        sources of electric power to hydrogen with enhanced efficiency 
        and durability;
            (2) high-temperature electrolyzers that combine electricity 
        and heat to improve the efficiency of hydrogen production;
            (3) advanced reversible fuel cells that combine the 
        functionality of an electrolyzer and a fuel cell;
            (4) new highly active, selective, and durable electrolyzer 
        catalysts and electro-catalysts that--
                    (A) greatly reduce or eliminate the need for 
                platinum group metals; and
                    (B) enable electrolysis of complex mixtures with 
                impurities, including seawater;
            (5) modular electrolyzers for distributed energy systems 
        and the bulk-power system (as defined in section 215(a) of the 
        Federal Power Act (16 U.S.C. 824o(a)));
            (6) low-cost membranes or electrolytes and separation 
        materials that are durable in the presence of impurities or 
        seawater;
            (7) improved component design and material integration, 
        including with respect to electrodes, porous transport layers 
        and bipolar plates, and balance-of-system components, to allow 
        for scale-up and domestic manufacturing of electrolyzers at a 
        high volume;
            (8) hydrogen storage technologies;
            (9) technologies that integrate hydrogen production with--
                    (A) hydrogen compression and drying technologies;
                    (B) hydrogen storage; and
                    (C) transportation or stationary systems; and
            (10) integrated systems that combine hydrogen production 
        with renewable power generation technologies, including hybrid 
        systems with hydrogen storage.
    (h) Grants, Contracts, Cooperative Agreements, and Demonstration 
Projects.--
            (1) Grants.--In carrying out the program, the Secretary 
        shall award grants, on a competitive basis, to eligible 
        entities for projects that the Secretary determines would 
        provide the greatest progress toward achieving the goal of the 
        program described in subsection (e).
            (2) Contracts and cooperative agreements.--In carrying out 
        the program, the Secretary may enter into contracts and 
        cooperative agreements with eligible entities and Federal 
        agencies for projects that the Secretary determines would 
        further the purpose of the program described in subsection (b).
            (3) Demonstration projects.--In supporting technologies 
        developed under the program, the Secretary shall fund 
        demonstration projects--
                    (A) to demonstrate technologies that produce 
                hydrogen using electrolysis; and
                    (B) to validate information on the cost, 
                efficiency, durability, and feasibility of commercial 
                deployment of the technologies described in 
                subparagraph (A).
            (4) Applications.--An eligible entity desiring to receive a 
        grant under paragraph (1), to enter into a contract or 
        cooperative agreement under paragraph (2), or to receive 
        funding for a demonstration project under paragraph (3) shall 
        submit to the Secretary an application at such time, in such 
        manner, and containing such information as the Secretary may 
        require.
            (5) Cost sharing.--In awarding grants, entering into 
        contracts and cooperative agreements, and funding demonstration 
        projects under this section, the Secretary shall require cost 
        sharing in accordance with section 988 of the Energy Policy Act 
        of 2005 (42 U.S.C. 16352).
    (i) Reports.--
            (1) In general.--The Secretary shall submit to Congress 2 
        reports describing, as of the date of the applicable report--
                    (A) the activities carried out by the Secretary 
                under this section; and
                    (B) any progress made toward achieving the goal of 
                the program described in subsection (e).
            (2) Timing of submissions.--The Secretary shall submit the 
        reports described in paragraph (1) by--
                    (A) in the case of the first report, not later than 
                2 years after the date of enactment of this Act; and
                    (B) in the case of the second report, not later 
                than 6 years after that date of enactment.
    (j) Authorization of Appropriations.--There is authorized to be 
appropriated to the Secretary to carry out the program $200,000,000 for 
each of fiscal years 2022 through 2026, to remain available until 
expended.
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