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Northern NM utility gets $231M for green hydrogen

Hydrogen Money Who Qualifies (copy)

Hydrogen storage tanks are visible at the Iberdrola green hydrogen plant in Puertollano, central Spain, in 2023. Kit Carson Electric Cooperative in northern New Mexico got a $231 million federal award for green hydrogen generation.

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The only utility in New Mexico fully powered by solar energy on sunny days is moving forward to generate green hydrogen.

Kit Carson Electric Cooperative, serving Taos, Colfax and Rio Arriba counties, on Monday announced it received a $231 million award from the U.S. Department of Agriculture for green hydrogen projects.

The projects will generate 104 megawatts of energy, powering about 25,000 homes. It’s a huge step forward for KCEC, which serves about 30,000 households and currently operates 42 megawatts of distributed solar resources and 16 megawatts of battery storage systems.

KCEC Board Chair Bobby Ortega called the award “among the most significant milestones” in the utility’s history.

“This financial award will bring to fruition the first green hydrogen project of this type done by an electric cooperative in the nation,” he said in a statement.

Solar generation will power the hydrogen facilities, which will be stationed alongside closed mine wastewater treatment plants, according to KCEC. The co-op plans to use repurposed wastewater for the project.

There will also be long-duration energy storage, with up to 16 hours of storage, according to the co-op.

The money comes from the Empowering Rural America program through USDA’s Rural Utilities Service.

“This will be a game-changer for KCEC, ensuring a reliable power supply even during challenging conditions and allowing first responders and the community to access lifesaving power during emergencies such as wildfires or extreme natural disasters,” said co-op CEO Luis Reyes Jr. in a statement.

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