Hydrogen: Not Market Ready

From MasterResource

By Kennedy Maize

“But we all know there is no such thing as a free lunch. Hydrogen problems are real. It is so light it is difficult, meaning expensive, to store. That’s a problem for transportation uses.”

Hydrogen, 1H, the primary and most common element in the universe, consists of one proton, one electron, and no neutrons. It’s in first place on the periodic chart of the elements. In common, gaseous form, H2, it is colorless, odorless, and highly combustible. It is the fuel of the sun.

For many years, some energy mavens have touted hydrogen, an energy carrier, as the perfect fuel form for a greener earth. When combusted in pure oxygen, it produces only water and a lot of energy. When burned in air, it emits only small amounts of oxides of nitrogen. As a fuel, it is carbon free.

In air, the combustion temperature is around 2,379°C (4,314°F). A natural gas flame hits around 1,950°C. The intense heat is one reason hydrogen is valuable in industrial applications like welding and cutting metals.

Challenges

Hydrogen is an ideal element for fuel cells, which use an electrochemical process to release the electrons, producing an electric current. But we all know there is no such thing as a free lunch. Hydrogen problems are real. It is so light it is difficult, meaning expensive, to store. That’s a problem for transportation uses.

Hydrogen is not widely available naturally, generally requiring it to be produced by breaking down more available sources such as methane (CH4) in natural gas, or from water (H2O). That introduces a host of expensive problems.

Despite the perceived advantages of elemental hydrogen in an energy economy, its tale is a matter of great expectations often crashing against rocky realizations, perhaps beginning with the May 1937 explosion of the German commercial dirigible Hindenburg over Lakehurst, N.J., killing 36 passengers and crew.

Commercial Setback

The quest to commercialize hydrogen, government-enabled, [1] was set back earlier this summer. Pennsylvania-based Air Products (NYSE:APD), a major industrial gases company, announced it was pulling the plug on its long-troubled Louisiana Clean Energy Project, taking a pre-tax financial hit of up to $2.9 billion.

The project in Ascension Parish aimed at producing “blue” hydrogen and “blue” ammonia, meaning gases produced from breaking down natural gas while capturing and storing the associated carbon dioxide. That distinguishes it from “green” hydrogen, produced by splitting water into hydrogen and oxygen.

The Institute for Energy Economics and Financial Analysis wrote that the Louisiana project was founded when the “hype around blue hydrogen exploded in 2022, with the passage of the Inflation Reduction Act and the allocation of $7 billion in funding to regional Hydrogen Hubs.” The analysis said, “The decision is a huge win for taxpayers, who could have been on the hook for billions of dollars in subsidies, as well as Louisiana communities, which would have borne the environmental cost of such a facility.”

The project initially pencilled out as profitable based on assumptions about the value of carbon capture and storage tax credits from the Biden administration that were speculative at best and, most likely, hallucinatory. IEEFA commented, “By 2025, cheap natural gas and generous production subsidies were no longer enough to get a project to move ahead.”

Pick Your Type

Hydrogen is colorful, based on how it’s obtained. It’s time to introduce the hydrogen color chart.

Hydrogen boosters have most recently touted green and blue hydrogen, although green has largely vanished as an acceptable hue in the Trump administration, unless we are talking about cash. There is no “gold” hydrogen, which might merit some attention at 1600 Pennsylvania Avenue.

Prototype Examples

There are successful uses of hydrogen in transportation. Hydrogen Insight online magazine reports that a hydrogen-fueled bus in Spain “with the longest ever range — more than 1,000km on a single tank — has been in operation on various routes in and around the Spanish capital, Madrid, since June, the manufacturer has announced.”

The venerable Spanish bus and coach maker Irizar built the vehicle that is in Madrid service. According to the company, the Madrid coach “incorporates a 190-kW Bosch hydrogen fuel cell and an electric propulsion system designed for medium- and long-distance operations, enabling refueling times of around 10–15 minutes and a range exceeding 1,000 km. It maintains performance and commercial attributes equivalent to those of diesel vehicles.”

Spain is a hotbed of hydrogen energy research and development. According to the fuel cell-oriented web publication FCW, researchers from València’s Institute of Chemical Technology (ITQ) and the Institute of Information and Communication Technologies (ITACA) are working on “materials that improve the production of hydrogen from water from microwave radiation,” producing green hydrogen.

White Hydrogen Supply?

There are also hints that naturally-occurring hydrogen may be more plentiful than once thought. Recent drilling in Canada’s Ontario province by University of Toronto and University of Ottawa scientists found promising amounts of hydrogen. Science Daily reports the geologists “studied the Canadian Shield, a vast region of some of the oldest rock formations on the planet. For the first time, they directly measured hydrogen escaping from these billion-year-old rocks, tracked how it builds up over time, and mapped where the gas is concentrated.

“The findings, published in the Proceedings of the National Academy of Sciences, could help determine whether naturally occurring, or ‘white,’ hydrogen can become a practical and economical energy source.”

In January, 2025, the U.S. Geological Survey wrote:

Although naturally occurring hydrogen has been encountered in a wide variety of subsurface environments, millions of oil and gas wells have failed to detect more than trace concentrations of hydrogen…. This led many geoscientists to conclude that economic accumulations of hydrogen in the subsurface are non-existent… It is clear now that geoscientists were premature in concluding that economic accumulations of natural hydrogen could not exist in the subsurface.

Conclusion

Could the promise of enormous, clean energy from hydrogen become real? Not now; special government favor is keeping it in play. Someday? Perhaps. Hydrogen in its different colors is technologically feasible and thus a backstop energy for the future.

[1] Seven regional H2Hubs, created in response to the federal government’s $7 billion investment, are

  • ARCHES: California Hydrogen Hub focused on renewable energy and heavy-duty mobility.
  • ARCH2: Appalachian Regional Clean Hydrogen Hub spanning West Virginia, Ohio, and Pennsylvania.
  • HyVelocity H2Hub: Gulf Coast hub leveraging legacy infrastructure in Texas.
  • MACH2: Mid-Atlantic Clean Hydrogen Hub across Pennsylvania, Delaware, and New Jersey.
  • MachH2: Midwest Alliance for Clean Hydrogen in Illinois, Indiana, and Michigan.
  • PNW H2: Pacific Northwest hub in Washington, Oregon, and Montana.
  • Heartland Hydrogen Hub: Spanning Minnesota, North Dakota, and South Dakota

Recent setbacks with the above in-process projects all but ensure that the original goal of 76 “green” hydrogen projects, part of the Biden-era goal of Net Zero by 2050, will not be reached.


Kennedy Maize is a Washington, D.C.-based journalist who has covered energy and environmental topics for nearly a half-century.  This post, edited here, originally appeared at The Quad Report. Maize’s previous reposts at MasterResource are here.

The climate data they don't want you to find — free, to your inbox.
Join readers who get 5–8 new articles daily — no algorithms, no shadow bans.
4 2 votes
Article Rating
Subscribe
Notify of
19 Comments
August 19, 2026 6:14 am

Hydrogen is nothing else than a fancy word for:

a) deluded greentard pipedream
b) technological paper tiger
c) economically unfeasable BS
d) all of the above

hey let’s pair up AI and hydrogen, I’m shure it will blow your mind

John XB
Reply to  varg
August 19, 2026 7:46 am

And subsidy harvesting.

Randle Dewees
Reply to  John XB
August 19, 2026 8:40 am

Yes, basically it is money on the table.

Denis
August 19, 2026 6:27 am

Not mentioned in the article is the difficulty of dealing with hydrogen. It is difficult to compress and pump through pipelines requiring much more energy than natural gas. It is difficult to contain and “leaks” through some metals and nearly all gasketed connections. It is difficult to liquify requiring its temperature to be reduced to about 20 degrees above absolute zero. Natural gas liquifies at about 100C above absolute zero which is considerably easier to reach and is why liquid natural gas (LNG) is common in commerce these days. It carries less energy per cubic foot of gas than methane so would require larger diameter pipes, few gasketed closures and other changes compared to existing natural gas pipelines. Industries that need hydrogen gas to make their product deal with these problems but as an energy carrier, hydrogen is very very expensive to deal with and therefore unlikely to ever become common for such service.

Reply to  Denis
August 19, 2026 8:00 am

Back in the 60s town gas containing about 50% hydrogen was supplied to every house in the UK, leakage was not a major problem. However, when it was later replaced with natural gas leakage became a problem and the piping had to be upgraded nationwide. Natural gas did allow about twice as much energy to be delivered via the same sized pipe.

Denis
Reply to  Phil.
August 19, 2026 9:22 am

Town gas, also called coal gas, contained a lot of methane and various carbon-based impurities some of which collected on the inside of transmission pipes ultimately clogging them. It also contained several percent of carbon monoxide which made it handy for committing suicide (stick your head in the oven) as Sylvia Plath did. Hydrogen leaked from coal gas piping as well but was not significant energy issue since most of the energy content of the gas was methane and other volatile hydrocarbons creating a nice bright light in town lights, hence Town Gas. However, hydrogen leakage caused numerous explosions within user buildings throughout the 100-200 years it was used. This is because of another disadvantage hydrogen as fuel, it has an explosive range in air between 4% and 75%. This compares to that of natural gas of 5% to 15% and as you likely know, we see too many natural gas house explosions as it is.

Mac
August 19, 2026 6:33 am

I’m surprised that Spain has a successful hydrogen bus. I remember the UK was thinking about hydrogen buses and I labeled them Hinden busses at the time. Definitely bad ideas. If I remember correctly Honda developed hydrogen powered cars in California. The problem was refueling stations few and far between. The cars were available for low $ leases if I remember correctly. The whole thing fizzled out quickly. Of course California continues to persist in the delusion of climate change and will continue to try one outlandish scheme after another. Of course the taxpayer suffer!

Petey Bird
Reply to  Mac
August 19, 2026 8:10 am

Ballard Power was building hydrogen buses 40 years ago along with many other projects.
As far as I know they were all long term failures. Subsidised by government and major manufacturers.

Bruce Cobb
Reply to  Mac
August 19, 2026 8:23 am

“Hindenbusses”. Love that. Then imagine Hindenplanes, Hindentrains, and Hindencars.
Oh, the insanity!

Bruce Cobb
Reply to  Bruce Cobb
August 19, 2026 8:58 am

Forgot Hindenboats.

mleskovarsocalrrcom
August 19, 2026 7:34 am

Toyota, Hyundai, and Honda sell hydrogen fuel cell cars. The lack of fueling stations keeps the sales low to none. Cost and liability will kill fuel cell cars.

I'm not a robot
August 19, 2026 7:35 am

“Wow, this hydrogen-powered heating system is cool. No carbon emissions”.

Sure, with a sister plant on the wrong side of town burning old tires and stray cats to make the hydrogen.

Bruce Cobb
August 19, 2026 7:36 am

I highly doubt hydrogen will ever have much use other than in industry, due to its high combustion temperature. It certainly will never be useful for transportation, being both expensive and dangerous.

John XB
August 19, 2026 7:44 am

It’s almost as if hydrogen had just been discovered – how else can it be explained that this wonder stuff did not revolutionise our energy supply decades ago?

Isn’t increased water vapour in the atmosphere from naughty fossil-fuel generated CO2 raising air temperature and raising evaporation rate causing global warming rather than the alleged effect of CO2 itself?

So if hydrogen burnt in air gives mostly water vapour, by avoiding CO2 producing fossil fuels aren’t we just cutting out the middle-man, as it were with no change in outcome?

Sparta Nova 4
Reply to  John XB
August 19, 2026 8:02 am

Yes.

In the Foote and Tyndall experiments, air with 2% (0.5 to 5%, unquantified) H2O had the same thermal results as 100% CO2.

Reply to  John XB
August 19, 2026 8:06 am

It’s almost as if hydrogen had just been discovered – how else can it be explained that this wonder stuff did not revolutionise our energy supply decades ago?”

It did, in the early 19th century!

August 19, 2026 7:53 am

Hydrogen: Not Market Ready
____________________________________________

Nor will it ever be for all the reasons stated here and in the “Related Posts” section below.

August 19, 2026 8:12 am

We had five buses on hydrogen driving around Antwerp for some years, tanking “white” hydrogen for free at the chlorine electrolysis plant of Solvay, where hydrogen is a byproduct at the other pole of the electrolysis.
Last year they stopped their use after some 10 years of service, because battery driven buses drive much cheaper than (even free) hydrogen, where the platinum of the fuel cells needs to be replaced about once a year…
A project to start a “blue” (?) hydrogen plant in Antwerp by the US firm “Plug Power” (anybody heard of that firm?) was blown off yesterday because of economically not feasible, even when heavily subsidized…

August 19, 2026 9:03 am

How about we just look at vehicle sales trends to get an idea of the “success” of the three brands of hydrogen-powered cars available in the consumer market:

1) Toyota sold a total of 210 Toyota Mirai hydrogen fuel-cell vehicles in the United States over the course of 2025. This was a 58% decline from 2024, when 499 units were sold.

2) Hyundai sold only 5 Hyundai Nexo in 2025 in the United States.

3) Honda “sold” roughly several hundred units of the Honda CR-V e:FCEV in 2025. This hydrogen-powered vehicle has a market limited to California, and is available exclusively via lease due to hydrogen fueling infrastructure limits.

Pretty soon now the stockholders in each of these companies will shout out “Enough of this virtue signalling . . . it’s killing us!”