OPTIMIZING THE U.S. GREEN HYDROGEN ECONOMY: AN INTEGRATED ANALYSIS OF TECHNOLOGICAL PATHWAYS, POLICY FRAMEWORKS, AND SOCIO-ECONOMIC DIMENSIONS

Abstract

The United States stands at a pivotal juncture in its energy transition, with green hydrogen emerging as a critical enabler for decarbonizing hard-to-abate sectors such as heavy industry, long-haul transportation, and long-duration energy storage. This journal review paper provides a comprehensive analysis of the U.S. perspective on the burgeoning green hydrogen economy, synthesizing current advancements, policy landscapes, and socio-economic implications. The review first examines the rapid technological progress underpinning the hydrogen value chain. It explores innovations in electrolysis, including declining costs for Proton Exchange Membrane (PEM) and Alkaline technologies, and the potential of emerging methods like solar-driven water splitting. Advancements in storage, from high-pressure tanks to geological solutions, and transport, via repurposed pipelines and liquid organic hydrogen carriers (LOHCs), are assessed. The paper also details the expanding applications of green hydrogen, from fertilizer production and refining to fuel cell electric vehicles and power generation.  While prior studies have examined hydrogen technology or policy in isolation, this review uniquely integrates technological, regulatory, and socio-economic perspectives to outline a cohesive national roadmap for the U.S. hydrogen economy. It conducts a comparative review of national strategies, highlighting the transformative impact of the U.S. Inflation Reduction Act (IRA), particularly its hydrogen production tax credit (45V), which has positioned the nation as a highly competitive market. This is contrasted with the European Union’s targeted demand-side policies and the ambitious export-oriented strategies of nations in the Middle East and North Africa (MENA) region and the Global South, analyzing the implications for global trade and U.S. leadership. The paper concludes by identifying significant knowledge gaps and future research directions. These include the need for robust methodologies to accurately account for emissions across the hydrogen lifecycle (ensuring additionality, temporal, and geographic matching for grid-powered electrolysis), optimizing integrated regional infrastructure, developing standardized safety protocols, and formulating best practices for community engagement and equitable benefit-sharing.