Column: Industrial policy makes hydrogen the hot energy source

Always touted as the fuel of the future but never the present, the age of hydrogen is about to start.

Billions of dollars of federal subsidies are part of a massive industrial policy pushing the energy source. The Department of Energy is pouring $7 billion into a series of regional hydrogen production hubs to make sure that it's available for transportation and heavy industry. It also plans to subsidize the price of hydrogen when produced with green technologies.

By subsidizing the production of clean hydrogen, the government is encouraging its use by the steel, cement, iron, ammonia, petrochemical and specialty-fuel industries.

But policymakers need to make sure the methods used to produce hydrogen are clean. Nearly all the hydrogen currently produced in the U.S. requires carbon-emitting energy sources.

Automakers have spent years developing hydrogen fuel cell passenger cars only to discover there's almost no consumer interest. New-car buyers looking for zero-emission choices are opting for electric vehicles instead.

But the automakers aren't wasting their investment. They are applying hydrogen fuel cell technology to heavy-duty trucks, stationary power sources and multiple other uses.

A back-door use for hydrogen — burning it in internal combustion engines — also is gaining traction, thanks to a proposed change in European Union environmental regulations. If enacted, the EU proposal would help build the volume manufacturers need to make the investment in hydrogen combustion engines and vehicles worthwhile. Automakers see the engines as a carbon-free option for big rigs, pickups and possibly high-performance sports cars.

This week, Automotive News' tech and innovation team identifies the challenges and opportunities for hydrogen fuel adoption in autos and adjacent industries. The industry's vision for a zero-emission future is clear, and there are multiple paths to get there. Policymakers are ensuring that hydrogen will be one of the avenues.