CA AB1312

Establishes green hydrogen production facility and distribution tax credits for personal and corporate income taxes for taxable years 2023-2032, with credit amounts declining as green hydrogen production increases (30% of costs if under 300,000 kg produced daily, declining to 20% if 500,001-700,000 kg produced daily)

Creates hydrogen infrastructure tax credits for personal and corporate income taxes for taxable years 2023-2032, with credit amounts declining as public hydrogen fueling stations increase (30% of building costs if fewer than 400 stations, declining to 15% if 800-999 stations operational)

Caps green hydrogen production credits at $1 billion total across all years ($900 million for building costs, $100 million for distribution costs) and hydrogen infrastructure credits at $500 million per taxable year, allocated to taxpayers on first-come, first-served basis

Requires California Air Resources Board to certify annually the average daily green hydrogen production in the state and number of public hydrogen fueling stations, with certifications ending when state reaches 700,000 kg daily production or 1,000 operating stations

Mandates hydrogen fuel regulations require 33.3% green hydrogen statewide initially, increasing to 44% by December 31, 2024, 52% by December 31, 2027, and 60% by December 31, 2030, with 100% green or clean hydrogen required by December 31, 2045