As the Energy Department considers shutting down big energy projects, two Northwest Indiana congressmen are defending the continuation of the regional Hydrogen Hub.
U.S. Rep. Frank Mrvan, D-Highland, and U.S. Senator Jim Banks, R-Indiana, wrote a letter to Energy Secretary Chris Wright to urge the Trump administration to prioritize Northwest Indiana as a regional Hydrogen Hub.
“Prioritizing a Hydrogen Hub in Northwest Indiana is a bold, pro-American decision that plays to our state’s strengths. Indiana offers the Hoosier workforce, infrastructure and industrial knowledge to deliver results fast,” the congressmen wrote in the letter.
Energy Department officials are considering cutting funding for the development of four hydrogen production hubs in mostly Democratic-leaning states and maintaining funding for three hubs in mostly red states, according to a March Politico article.
Congress and the Biden administration allocated the funding for the seven projects, so cutting the funding would politicize federal funds, according to the Politico article.
The bp Whiting Refinery could be used for blue hydrogen production, which is created from clean natural gas using carbon capture technology. Blue hydrogen uses existing infrastructure and could provide “a scalable energy source capable of meeting immediate energy demands,” according to the letter.
A bp spokesman declined to comment.
The Whiting Refinery can process up to 440,000 barrels of crude oil per day, according to the letter. Continuing the project “will ensure that our energy and steel industries remain well positioned for success into the next century,” according to the letter.
“Investing in blue hydrogen production at this facility will bolster existing supply chains and will best position the United States for energy dominance,” the congressmen wrote. “We believe the success of the hydrogen energy project will support the administration’s stated goal to restore our critical industries and strengthen our manufacturing base.”
The congressmen asked the Trump Administration to make the Hydrogen Hub a priority.
“Indiana is ready to lead the way in blue hydrogen innovation, strengthening American manufacturing, boosting our domestic energy supply and lowering costs by maximizing the potential of our abundant and reliable fossil fuel resources,” they wrote.
Randy Palmateer, business manager for the Northwestern Indiana Building and Construction Trades Council, said the letter gave him “renewed confidence that this project is going to happen.”
“My members know how important this is for our national, regional and state economy, and our representatives know that too,” Palmateer said. “It would be a shame to see this project go away, (but) at least there’s a light at the end of the tunnel as of now with the bipartisanship I’m seeing. I commend both of them.”
Just Transition Northwest Indiana, a regional advocacy organization, has long opposed the Hydrogen Hub deal. In a statement Tuesday, the organization called the hub a “false solution” as it creates blue hydrogen, which is produced with fossil gas using carbon capture and storage.
Pursuing MachH2 funding illustrates a lack of foresight, according to JTNWI, saying the number of jobs will likely be “negligible,” and crucial provisions for emergency preparedness, electric vehicles and community communication plans are lacking.
“It is a scam that creates the illusion of achieving climate action goals, when in fact, it only serves the fossil fuel industry to further the status quo,” the statement said. “Rather than pursuing wasteful (carbon dioxide) pipelines and a blue hydrogen hub, Indiana must transition toward a renewable energy economy that future-proofs family-sustaining, union jobs and safeguard community health.”
A spokesperson from MachH2 did not immediately respond to a request for comment Tuesday.
The project, according to Post-Tribune archives, will result in the avoidance of more than 3.9 million metric tons of carbon dioxide equivalent each year.
“We realize mutual success requires building relationships and accountability with community, labor, tribal and other stakeholder groups across project areas,” a previous statement from MachH2 said. “Since application submission, MachH2 continues to focus on comprehensive social characterization assessments and identifying all relevant stakeholders across our potential project locations. … We are also developing hub-wide accountability mechanisms and processes, to ensure that each of our projects include all relevant and diverse stakeholders in their decision-making.”
akukulka@post-trib.com
mwilkins@chicagotribune.com