At the beginning of the week, we saw fuel cell stocks falling behind. Expectations were lowering regarding hydrogen energy infrastructure, and the sector has lost lots of steam. However, as some details are emerging regarding President Joe Biden’s $2 trillion proposal, the stocks are seeing a rise.
Hydrogen is one of the most expensive renewable energy sectors to develop, and many fear it will be neglected because of its cost. In his first week, Biden made clear his intentions to invest $2 trillion for the advancement of renewable energy tech.
Now, as new details emerge regarding his Build Back Better plan, we are starting to get more insight into where hydrogen stocks can benefit. A fact sheet from the White House on the American Jobs Plan is showing some promising details.
Fuel Cell Stocks Rise After News of Planned Hydrogen Development
A $2 trillion check isn’t going to renewable energy businesses just yet.
However, the American Jobs Plan made clear the administration’s intent to further hydrogen research and development with a $15 billion stimulus. It also announced plans for a new energy efficiency standard which will reward existing hydropower facilities for their pollution-free model. The fact sheet also makes clear a multibillion-dollar investment into a handful of hydrogen power facilities.
The details are giving fuel cell stocks a boost that they need after the last few days’ slump. FCEL stock is up by 9% riding on the back of this news. Likewise, PLUG stock is up by nearly 2%. BE stock has risen 4%, and with its newly announced plan to expand hydrogen electricity production in the Northeast states, you can expect to see it continue its rise after the others might peak.
On the date of publication, Brenden Rearick did not have (either directly or indirectly) any positions in the securities mentioned in this article.