Hydrogen Combustion in Power Plants: Costs, Risks, and Drawbacks

September 15, 2025

Abbe Ramanan | Clean Energy Group

The sustainable production of alternative combustion fuels is at the forefront of many industry conversations around decarbonization. Green hydrogen and green ammonia are touted as potential replacements for fossil fuels, but their actual environmental benefits are questionable. This fact sheet looks at the risks of hydrogen combustion, such as nitrogen oxide and greenhouse gas emissions, intensive water use, expensive storage and transport, and its potential to increase costs for ratepayers. 

Utilities in at least 18 states have built or are developing “hydrogen-ready” fossil-fuel power plants. These plants currently run on natural gas, but in the future, they could combust a blend of hydrogen and natural gas. Because hydrogen does not produce carbon dioxide when combusted, these hydrogen power plants are being touted as a valuable decarbonization tool. However, burning hydrogen is largely ineffective at decarbonization and has potential adverse impacts to public health and energy affordability. The push for hydrogen combustion is largely motivated by the desire for short-term economic gains among utilities, power plant owners, and their shareholders. The supposed emissions reductions from hydrogen blending in existing fossil-fuel power plants can extend the life of these assets, which may otherwise be retired to meet decarbonization goals.