February 5, 2024
Waste Gas Capture Initiative Submits Official Comments in Response to U.S. Treasury’s Proposed Guidance on 45V Clean Hydrogen Production Credit

Recently proposed guidance recognized the importance of including “fugitive methane, such as coal mine or coal bed methane” among the finalized hydrogen production pathways 

In response to the U.S. Treasury Department’s December 22, 2023 announcement of its proposed guidance on implementation of the 45V Clean Hydrogen Production Credit, the Waste Gas Capture Initiative (WGCI) submitted a comment to the Treasury calling for the inclusion of a reasonable framework to catalyze ultra-low carbon intensity hydrogen utilizing feedstock from fugitive emissions, like coal mine methane (CMM), under the finalized rules.

“The WGCI encourages the Treasury to finalize rules that address fugitive methane emissions, advance the clean energy transition, and catalyze the hydrogen production economy through the proposed regulations,” said WGCI Executive Director Mike Moore in the letter. “The WGCI believes that mine methane management should be a cornerstone in the nation’s efforts to reduce emissions, create jobs, and foster a low-carbon economy. We look forward to continued collaboration and dialogue to ensure the final rules reflect the full spectrum of environmental and economic benefits associated with fugitive methane capture and utilization and its pivotal role in the hydrogen production landscape.”

According to the U.S. Environmental Protection Agency’s (EPA) Coalbed Methane Outreach Program (CMOP), methane emissions from coal mining and abandoned coal mines accounted for approximately eight percent of total U.S. methane emissions in 2019. Meanwhile, less than one percent of coal mines currently capture fugitive methane. The Treasury’s inclusion of CMM as a clean hydrogen production pathway would be a crucial step to ensure deployment of CMM capture and processing systems that will put fugitive methane to its first productive use, diversifying U.S. clean energy production, lowering greenhouse gas emissions, and creating jobs in the process.

Read the WGCI’s comment letter here.

About the WGCI

The WGCI represents leading American energy industry partners, NGOs, and experts who are committed to recognizing the economic benefits and environmental impact of a strong mine methane capture industry. Visit wastegascapture.com and follow @WGCInitiative on X (formerly known as Twitter) and LinkedIn for more information.