a global leader in the energy transition.
Inspired by the unprecedented opportunity for Houston to lead the energy transition to a low-carbon future, the report contains the most detailed assessment to date of the economic potential and environmental impact of clean hydrogen.
The report explains how clean hydrogen can be produced by adding carbon capture to current natural gas-based hydrogen plants or through electrolysis (the process that splits water into hydrogen and oxygen). Using these methods, the report shows how clean hydrogen can be an important tool in addressing climate change and reducing industrial emissions while creating high-paying jobs.
Clean hydrogen hubs are expected to emerge in regions where there is sufficient clean hydrogen supply and demand. Since the Houston region produces and consumes a third of the nation’s hydrogen and has more than 50 percent of the country’s dedicated hydrogen pipelines, the report provides a roadmap for how these assets can be utilized to accelerate a transition to clean hydrogen.
The report was created as part of the Greater Houston Partnership’s Houston Energy Transition Initiative, with input from more than 100 experts representing 70 companies and organizations along the hydrogen value chain. In addition, McKinsey and Company donated significant research and economic analyses for the report.
As the U.S. Department of Energy announced plans for $8 billion in funding for clean hydrogen hubs across the country, our report found that Houston, long considered the “Energy Capital of the World,” is well positioned to become a global clean hydrogen hub.
This report, Houston as the epicenter of a global clean hydrogen hub, lays out how a strong base of regional and state assets can be leveraged to create a global hub.