Constellation, one of the largest producers of carbon-free energy in the U.S., provides the following statement about the U.S. Treasury Department’s reversal of its prior decision to prohibit existing nuclear plants powering clean hydrogen production from qualifying for federal tax credits under Section 45V of the Inflation Reduction Act.

“We are pleased to see that the U.S. Treasury Department has changed course and that the final rule allows a significant portion of the existing merchant nuclear fleet to earn credits for hydrogen production. Our customers need access to reliable nuclear energy in order to transition to clean hydrogen and other sustainable technologies as they reliably power their businesses and drive economic growth for our nation,” said Joe Dominguez, president and CEO of Constellation. “As illustrated by yesterday’s announcement of the landmark 10-year agreement between the U.S. General Services Administration and Constellation for clean, 24/7, always-on nuclear power, the government, utilities and American families and businesses are turning to nuclear energy as a resource to meet their power and sustainability needs. While any incrementality limit is incompatible with the conclusion that clean hydrogen customers should be able to use reliable nuclear energy from America’s fleet of plants, the final rule is an important step in the right direction.”

Constellation is carefully reviewing the impact of the final rules as well as newly proposed electric transmission charges on the feasibility of its proposed clean hydrogen project at the LaSalle Clean Energy Center and Constellation’s role in the MachH2 Hub.