BP Puts CCS-Backed Blue Hydrogen Project on Ice at Indiana Refinery

BP has hit the brakes on its blue hydrogen and carbon capture and storage (CCS) project at the Whiting refinery in Indiana. The move comes amid a mix of economic roadblocks, shaky prospects for federal funding, and growing pushback from the local community. It’s a serious shift, considering the project was a major piece of the federally supported MachH2 hydrogen hub—an initiative aimed at putting the Midwest on the map as a leader in clean hydrogen production.

Local Concerns Put Pressure on CCS Plans

One of the biggest hiccups? Residents and county officials in the more rural pockets of Indiana aren’t thrilled about the idea of storing carbon dioxide underground. Many have voiced concerns over safety and long-term liability. And it’s not just about “not in my backyard”—under current Indiana law, taxpayers could be the ones footing the bill if something goes wrong with CCS further down the line. That possibility has made locals even more wary, fueling opposition and making it harder for projects like this to gain real traction.

What This Means for Hydrogen Infrastructure

BP’s decision to shelve the Whiting project isn’t just a local story; it has bigger implications for how the U.S. tackles hydrogen production and builds out its hydrogen infrastructure. The pause casts doubt on whether large-scale CCS efforts are realistic right now—at least, not without stronger public buy-in and more solid government backing. So while efforts to roll out clean hydrogen are still moving forward in other places, this setback might slow things down in the Midwest, where momentum had been building.