McKinsey Report: U.S. Low-Carbon Energy Projects Face Growing Gap Between Announcements and Funding Decisions

McKinsey & Co has reported that the gap is growing between announced and funded low-carbon energy projects in the United States. The consulting firm found that many projects have not yet reached a final investment decision, which is usually the last stage before a company decides whether to start construction. This disparity is particularly acute for newer technologies like carbon capture and hydrogen production facilities. Of the more than 1,000 “green” or “blue” hydrogen production projects announced since 2015, fewer than 15 percent have reached final investment decisions. Diego Hernandez Diaz, a partner with McKinsey, said there is still hope but not complacency.