President Trump’s “One Big Beautiful Bill Act” proposes ending the Section 45V tax credit for clean hydrogen production by 2026, threatening billions in incentives for Louisiana’s hydrogen and ammonia projects. Major producers like CF Industries and Air Products currently rely on 45V for low-carbon hydrogen production, with CF producing half its hydrogen in Louisiana. The state hosts numerous blue and green hydrogen projects, contributing thousands of jobs. Loss of 45V could jeopardize these investments, while the bill also accelerates the sunset of the Section 48 Investment Tax Credit. However, the Trump administration supports retaining Section 45Q credits for carbon capture, which cannot be claimed alongside 45V.
(The Center Square) − President Trump’s “One Big Beautiful Bill Act” would terminate the Section 45V tax credit for clean hydrogen production beginning in 2026, potentially reshaping the economics of several major energy projects in Louisiana.
The legislation could eliminate billions in incentives for companies investing in low-carbon hydrogen and ammonia production.
CF Industries, one of the largest ammonia producers in the world with over 10 million tons of gross annual output, has a hydrogen production capacity of 1.7 million metric tons—half of which is generated in Louisiana.
When asked whether customers were concerned about price increases if the credit is terminated, Stiles said the market response would vary. “It may take time for all end use cases to…want low carbon ammonia production,” he said, adding that some customers will be less tolerant of a price hike for the sake of a low-carbon product.
Air Products, which will operate a major hydrogen facility in Louisiana, reported receiving $19.7 million in federal tax credits in 2024. While it’s unclear how much of that stems from 45V, the company’s filings show that its federal tax credit claims rose by nearly 40% between 2020 and 2024.
The 45V program began in 2021, when President Joe Biden passed the Inflation Reduction Act.
Plug Power, which began operations in Louisiana last month, also flagged the importance of the 45V credit in its 2023 annual report, stating that any limitation “could be materially adverse to the Company and its near term hydrogen generation projects.” Both Plug and CF Industries noted that their investments in clean hydrogen predate the federal incentive.
Louisiana has emerged as a hub for hydrogen and ammonia-related projects. There are 46 currently planned energy products which have committed to emissions reductions, according to the Louisiana Economic Development.
Projects in the hydrogen production business include Air Products’ $4.5 billion blue hydrogen with 583 new jobs in Ascension Parish; Bia Energy Operating Company’s $550 million blue hydrogen project with 465 new jobs; Clean Hydrogen Works’ $7.5 billion blue hydrogen and ammonia project with 1,472 jobs; and Monarch Energy’s $426 million green hydrogen project, 149 jobs.
The potential financial impact of eliminating the 45V credit is unclear, but the loss of federal subsidies could pose significant challenges for these projects’ long-term viability.
Another provision in the bill would accelerate the sunset of the Section 48 Investment Tax Credit for certain technologies. Under the proposal, eligibility would end in 2032—three years earlier than current law—and the credit would decline from 6% for projects starting before 2030 to just 4.4% by the end of 2031.
Despite efforts to kill the 45V credit, the Trump administration has maintained support for Section 45Q, which provides tax credits for carbon capture and sequestration.
Energy companies have lobbied heavily to preserve 45Q, particularly in response to proposed restrictions on CCS by the Louisiana Legislature.
“We expect our investment into the Donaldsonville CCS project will increase our free cash flow in the range of $100 million per year due to the United States’ 45Q tax credit for permanently sequestering CO2,” CF Industries said in its annual report.
Under current law, companies cannot claim both 45V and 45Q. If the “big, beautiful bill” passes the Senate, energy producers will be left with only the carbon capture credit.
Note: The following A.I. based commentary is not part of the original article, reproduced above, but is offered in the hopes that it will promote greater media literacy and critical thinking, by making any potential bias more visible to the reader –Staff Editor.
Political Bias Rating: Center-Right
This article primarily reports on the proposed legislative changes affecting federal tax credits for clean hydrogen production and related energy projects in Louisiana. While it maintains a largely factual and informational tone, the choice to highlight the potential negative impacts of terminating these credits and emphasizing support from industry figures aligns with a pro-energy-industry and fiscally conservative perspective. The article references President Trump’s bill critically toward federal subsidies introduced under President Biden’s administration but portrays the Trump proposal as a corrective measure rather than outright opposition to clean energy. The framing subtly favors market-driven outcomes and reduced government incentives, consistent with a Center-Right stance, without overt editorializing or partisan rhetoric.
SUMMARY: The House has approved a Trump administration plan cutting $1.1 billion from the Corporation for Public Broadcasting (CPB), affecting NPR and member stations like KEDM. KEDM faces a $145,000 loss, about 22% of its budget. To address this, they plan to reduce programming and staff and boost fundraising, relying more on community volunteers. Currently, under 10% of listeners financially support public radio, so KEDM aims to increase donor numbers and monthly contributions. While uncertain about fully replacing the lost funds, KEDM remains committed to providing quality service to Northeast Louisiana despite financial challenges and possible added costs like music licensing fees.
SUMMARY: Magnolia Water, a for-profit utility in Lafayette Parish, already charges the highest sewer rate in Louisiana at $69 monthly for 83% of its customers and now seeks to raise it to $76. The company has regularly increased rates since acquiring local systems in 2019, using a formula rate plan to meet profit goals. Facing growing backlash, including formal protests in Slidell, the Louisiana Public Service Commission delayed a vote until fall. If no settlement is reached by September 1, a status conference may be held. Magnolia also seeks to extend its rate plan through 2028 despite similar opposition in other states.
The U.S. House passed a bill canceling $9 billion in approved funding for public broadcasting and foreign aid, marking a rare use of presidential rescission powers. The 216-213 vote, mostly along party lines, follows earlier Senate approval and heads to President Trump. The bill removes $1.1 billion from the Corporation for Public Broadcasting and cuts $8 billion from foreign aid, including funds for democracy promotion and global health programs. Some protections remain for HIV/AIDS and maternal health. A separate deal secured $9.4 million for Native American radio. The legislation reflects the administration’s goal to eliminate spending seen as misaligned with American interests.
WASHINGTON — The U.S. House cleared legislation just after midnight Friday that will cancel $9 billion in previously approved spending for public broadcasting and foreign aid, marking only the second time in more than three decades Congress has approved a presidential rescissions request.
The 216-213 mostly party-line vote sends the bill to President Donald Trump for his signature and notches another legislative victory for the White House, following passage earlier in July of a giant tax and spending cut package. Republican Reps. Brian Fitzpatrick of Pennsylvania and Mike Turner of Ohio voted against approval along with Democratic lawmakers.
The Senate voted to pass the bill earlier this week after removing the section that would have eliminated hundreds of millions of dollars for the President’s Emergency Plan for AIDS Relief, or PEPFAR.
South Dakota Republican Sen. Mike Rounds also secured a handshake deal with the White House budget director to transfer $9.4 million from an undisclosed account within the Interior Department to Native American radio stations in rural areas.
The Corporation for Public Broadcasting will lose $1.1 billion in funding that Congress had previously approved for the fiscal year slated to begin Oct. 1 and for the year after that.
The corporation provides funding for National Public Radio, the Public Broadcasting Service and hundreds of local stations throughout the country.
Another $8 billion of foreign aid will be eliminated once Trump signs the legislation.
The White House budget office’s original rescissions request included more than a dozen accounts for reduced spending, including those addressing global health and democracy programs.
The proposal called on lawmakers to cancel $500 million the U.S. Agency for International Development used for “activities related to child and maternal health, HIV/ AIDS, and infectious diseases.”
“This proposal would not reduce treatment but would eliminate programs that are antithetical to American interests and worsen the lives of women and children, like ‘family planning’ and ‘reproductive health,’ LGBTQI+ activities, and ‘equity’ programs,” the request states. “Enacting the rescission would reinstate focus on appropriate health and life spending. This best serves the American taxpayer.”
The final bill includes that spending cut but says the cancellation cannot affect HIV/AIDS, tuberculosis, malaria, nutrition, or maternal and child health programs. It also says that “does not apply to family planning and reproductive health programs.”
The White House asked to eliminate $83 million from the State Department’s democracy fund, writing that “aligns with the Administration’s efforts to eliminate wasteful USAID foreign assistance programs and focus remaining funds on priorities that advance American interests. This best serves the American taxpayer.”
Lawmakers included that request in the bill, along with nearly all the others, without any caveats or additional guardrails.
Congress last approved a stand-alone rescissions bill in 1992 following a series of requests from President George H.W. Bush, according to a report from the nonpartisan Congressional Research Service.
The first Trump administration sent Congress a rescission request in 2018 that passed the House, but didn’t receive Senate approval.
‘Wasteful spending’ or ‘stealing from the American people’?
House debate largely fell along party lines, with Republicans citing disagreements with how the Biden administrations spent congressionally approved funding as the reason to claw back money that would have otherwise been doled out by the Trump administration.
North Carolina Republican Rep. Virginia Foxx said the $9 billion, spread across accounts that have existed for decades, was a prime example of “wasteful spending (that) overtook Washington during the Biden-Harris administration.”
“The American people saw the fiscal ruin that was created by the previous administration,” Foxx said. “That’s why they overwhelmingly chose Republicans to lead the nation and restore fiscal sanity. That restoration is here.”
The federal government spends about $6.8 trillion per year, with $4.1 trillion going to mandatory programs like Social Security, Medicare and Medicaid.
Another $1.8 trillion is spent on discretionary accounts, including for the departments of Agriculture, Defense, Health and Human Services, Homeland Security, Justice, Transportation and State. Nearly $900 billion goes toward net interests payments on the country’s debt.
Connecticut Rep. Rosa DeLauro, the top Democrat on the Appropriations Committee, said during floor debate the bill represented the Trump administration “stealing from the American people.”
“This bill will shut down rural television and radio stations, cutting off coverage of local news; eliminating emergency information, like severe weather alerts; jeopardizing access to PBS kids children’s programs, like Sesame Street,” DeLauro said.
The foreign aid spending reduction, she said, “rips life-saving support away from hungry, displaced and sick people in developing countries and conflict zones.”
DeLauro raised concerns that U.S. withdrawal as a source of support for people and nations that are struggling would leave space for non-democratic countries to increase their influence.
“When we retreat from the world, diplomatically and through our assistance to vulnerable people, America will be alone — without allies, in a less stable world, without the support of the international community,” DeLauro said. “And do you know who will come out ahead? China, Russia, Iran.”
Last updated 11:05 a.m., Jul. 18, 2025
Statement from House Speaker Mike Johnson: From Louisiana Illuminator
“President Trump and House Republicans promised fiscal responsibility and government efficiency. Today, we’re once again delivering on that promise.
“This package eliminates $9 billion in unnecessary and wasteful spending at the State Department, USAID, and the Corporation for Public Broadcasting. The American people will no longer be forced to fund politically biased media and more than $8 billion in outrageous expenses overseas.”
Louisiana Illuminator is part of States Newsroom, a nonprofit news network supported by grants and a coalition of donors as a 501c(3) public charity. Louisiana Illuminator maintains editorial independence. Contact Editor Greg LaRose for questions: info@lailluminator.com.
Note: The following A.I. based commentary is not part of the original article, reproduced above, but is offered in the hopes that it will promote greater media literacy and critical thinking, by making any potential bias more visible to the reader –Staff Editor.
Political Bias Rating: Center-Right
The article provides a detailed account of the U.S. House’s passage of a rescissions bill aligned with President Trump’s budget priorities, including cuts to public broadcasting and foreign aid. While largely factual and sourced, the piece uses language that subtly reflects conservative framing, particularly in direct quotes from the rescissions request emphasizing opposition to programs like “family planning,” “LGBTQI+ activities,” and “equity.” The article refrains from overt editorializing and allows the facts and legislative actions to speak for themselves, but the framing of spending cuts as victories and taxpayer-serving measures aligns modestly with right-leaning fiscal priorities.
