TAOS — Officials are confident, despite federal headwinds facing green energy projects, the Questa green hydrogen hub is still on track.
A month ago, four days before President Donald Trump was sworn into office, Kit Carson Electric Cooperative announced it had secured a whopping
$231 million for an ambitious renewable energy project.
The first-of-its-kind, local, green hydrogen project is expected to provide an economic shot in the arm for the village of Questa and expand sustainable energy in the region.
“Everything’s still in play,†Questa Mayor John Ortega said in a recent interview.
“I personally am fairly confident that it’s still going to come through.â€
The green hydrogen power generation and storage facilities — so far one is planned as a hub in Questa and another could be located just south of Taos — are expected to power 25,000 homes while reducing “pollution by 98,000 tons each year, the equivalent to over 20,700 gasoline-powered vehicles annually,†according to Kit Carson. The co-op estimates as many as 350 local jobs will be created during the construction phase of the project.
It also sounds like the type of project that could be canceled by the “Terminating the Green New Deal†section of Trump’s “Unleashing American Energy†executive order issued on Inauguration Day. The fossil fuel-positive order instructs “all agencies†to “immediately pause the disbursement of funds appropriated through the Inflation Reduction Act of 2022,†the law that funds the hydrogen project.
But Luis Reyes, Kit Carson CEO, said the funding is “99.9% done.â€
“There’s always that middle — you know, it seems that they’re playing with the law — but we’re moving forward, and I haven’t been communicated†with otherwise, he said, adding he is concerned, “but it’s not overwhelming me.â€
He added, “Our position is we signed all the obligation documents that we were required to sign in January, which should ensure that the funds are available for Kit Carson.†Reyes noted Kit Carson regularly deals with the U.S. Department of Agriculture’s Rural Utility Service, which awarded the funding.
“They’ve always worked well with us,†he said.
“I’d imagine about 90% of all co-ops in the country get their money through RUS. We read the executive orders, and we haven’t seen any reason for Kit Carson to pause any of its projects. We’re moving forward.â€
In a statement to The Taos News, U.S. Sen. Martin Heinrich said, “Congress did its part, Kit Carson Electric Cooperative and the Village of Questa are doing their part, and I expect the USDA to uphold the law and administer the funding.â€
Ortega said the economic development aspect of the
$231 million project is “big†for Questa
.“It’s not just the potential for jobs at the plant itself, but some of the potential revenues the village could see to increase our general fund,†he said.
“The village could see an increase to our general fund, which would mean hiring more police officers, hiring firefighters full time, hiring EMS — and paying them a compatible wage so that we’re not competing with state police or any of these other entities.â€
“Also,†Ortega added, “these contractors are out building this project, and they’re going to need someplace to eat. They’re going to need places to stay. And hopefully, more importantly, they’re going to hire locally.â€
Hydrogen, which burns hot and produces only water vapor as a byproduct from combustion, is being hailed across the world as an alternative fuel source to power freight trucks or trains that currently burn diesel, for example, or electrical power production facilities that feed electrical grids.
Hydrogen isn’t readily available, however, and currently most hydrogen production methods aren’t “green.â€
In the U.S., most hydrogen is made from natural gas, either with carbon capture (blue hydrogen) or without (gray hydrogen). Other methods, like yellow hydrogen, use fossil fuels to power the process.
The co-op’s hydrogen project intends to use three ingredients that make it green: electricity derived from the utility’s solar power infrastructure; an emissions-free electrolysis process; and water, preferably reclaimed from either the shuttered Chevron Mine Superfund Site or the Taos Valley Regional Wastewater Treatment and Reclamation Facility.