CPS Energy and Modern Hydrogen Launch Turquoise Hydrogen Pilot in Texas

CPS Energy, the hometown utility in San Antonio, is partnering up with clean-tech startup Modern Hydrogen for a groundbreaking pilot that kicks off on July 23, 2025. The goal? To test out small-scale methane pyrolysis systems that split natural gas into two useful things—clean hydrogen and solid carbon—without releasing any CO2 in the process.

Turning gas into zero-emissions fuel—on the spot

This isn’t your average clean energy project. These on-site units are built to produce clean hydrogen right where it’s needed, cutting down on the cost and hassle of transporting fuel. That hydrogen can be tapped to help power the city and maybe even run local buses or service vehicles. Meanwhile, the leftover solid carbon isn’t waste—it can be used in construction and other industries, giving it a second life as a useful material.

A Texas-sized clean energy opportunity

By leaning into Texas’s access to natural gas and the flexibility of CPS Energy’s diverse power mix, this pilot is a smart next step in the push for cleaner, more reliable energy. And while it’s starting in San Antonio, the hope is it won’t stop there. If things go well, this model could be picked up by other utilities looking to decarbonize without overhauling their entire infrastructure.

It’s local, it’s practical, and it’s right in line with national efforts to scale up clean hydrogen and cut carbon emissions. All eyes are on this San Antonio energy innovation—and for good reason.