For Immediate Release                                                                                                                                   Contact: Hayley Carbullido

July 17, 2024                                                                                                                                              media@archesh2.org

U.S. Department of Energy Officially Awards up to $1.2 Billion to Advance Clean Hydrogen Projects in Communities Across California 

California– Today, the Alliance for Renewable Clean Hydrogen Energy Systems (ARCHES) and the United States Department of Energy (DOE) officially announced the signing of a landmark $12.6 billion agreement, including up to $1.2 billion from the DOE and $11.4 billion in public and private matching funds, to build and expand clean energy infrastructure across California. 

This transformative investment, which will directly reduce California’s reliance on fossil fuels, marks a major step forward in the state’s efforts to achieve a carbon-neutral economy by 2045 and follows California’s selection last October as one of seven awardees of the DOE’s Regional Clean Hydrogen Hubs (H2Hubs)–catalyzing a national network of clean hydrogen producers, consumers, and connective infrastructure. ARCHES is the first of the seven H2Hubs to officially sign their agreement with the DOE.

“I was proud to help secure $1.2 billion of federal investments through the Bipartisan Infrastructure Law to build a hydrogen hub right here in California,” said Senator Alex Padilla (D-Calif.). “The path to achieving California’s ambitious clean energy goals runs through ARCHES, and I’m excited to see the California Hydrogen Hub kickoff with this initial round of funding. California is leading the nation with the first hydrogen hub to sign a cooperative agreement, and we will continue to lead by decarbonizing goods movement, the energy sector, and heavy industry.”

The overall investment, starting with $30 million for the first tranche of funding out of the total project federal cost share of up to $1.2 billion, is projected to create over 220,000 well-paying jobs. At full build out, it is estimated that ARCHES DOE projects will result in $2.95 billion per year in decreased healthcare costs due to improved air quality, particularly along transportation corridors.

“The Department of Energy’s announcement to fund ARCHES is a monumental step forward in the state’s efforts to achieve its air quality, climate and energy goals, while improving the health and wellbeing of Californians and creating new green jobs across the state,” said Angelina Galiteva, CEO, ARCHES. “We are grateful to the DOE for its commitment to building a sustainable hydrogen ecosystem and marketplace and look forward to working with our project partners, stakeholders and diverse communities throughout the state to make this project a success.”

Spearheaded by Governor Newsom, California’s bold climate policies, including the California Climate Crisis Act (AB 1279), the 2022 Scoping Plan for Achieving Carbon Neutrality, the Executive Order on Zero-Emission Vehicles, and the forthcoming all-of-government Hydrogen Market Development Strategy, all work together to send strong signals about the critical role of hydrogen in decarbonizing the state’s economy. Each of the selected ARCHES projects will play a significant role in improving air quality and public health in many underserved communities throughout California. 

ARCHES projects will span statewide, covering the full hydrogen lifecycle from production to use, including, but not limited to:  

• Renewable Hydrogen Production – More than 10 sites will produce enough clean renewable hydrogen to fuel the projects below and kickstart the buildout of the greater hydrogen ecosystem. 
• Ports of Long Beach, Los Angeles & Oakland – These projects will replace diesel-powered cargo-handling equipment with hydrogen fuel cell equivalents and associated fueling infrastructure, reducing emissions and community health impacts while reimagining large-scale transportation operations.
• Heavy Duty Trucks and Transit Buses – ARCHES plans to build over 60 hydrogen fueling stations to enable over 5,000 Class 6-8 fuel cell electric trucks and over 1,000 fuel cell electric buses–directly replacing diesel fuel with a zero emission option in our City streets and freeways across the State and making the air in California’s most impacted communities healthier to breathe. 
• Clean Power – Both the Los Angeles Department of Water and Power and Northern California Power Agency will transition key power plants to 100 percent renewable hydrogen. Distributed fuel cells will be used to support grid operations throughout the state and to provide resilience in key regions of the state, including on the Federally Recognized reservation of the Rincon Band of Luiseño Indians.
• Scripps Marine Vessel – A first-of-its-kind hydrogen-powered 140-foot, 50-person marine research vessel will use liquid hydrogen to replace tens of thousands of gallons of diesel fuel per year. The vessel will convert 75 percent of its emissions to be fossil-free, significantly reducing CO2 emissions and demonstrating a sustainable path forward for smaller water and harbor crafts. 

In the coming weeks, ARCHES will be announcing additional projects and partners who will receive Hub funding. 

ARCHES, in collaboration with communities, stakeholders and policymakers, remains committed to ensuring an equitable transition to renewable hydrogen. The projects selected are focused on delivering direct benefits to communities with the highest pollution burdens, with robust community engagement and innovative systems to ensure the program delivers on its promises.

WHAT ARCHES LEADERS ARE SAYING (in alphabetical order)

“California stands as a beacon of innovation and hope,” said Dr. Bill Burke, ARCHES Board Member. “The establishment of ARCHES as the hydrogen hub in California symbolizes more than just scientific advancement; it is a testament to our collective dream of a sustainable future where clean energy and equal opportunity uplift every community and provides equitable advancement for the future of our workforce. Together, we are planting seeds of change and nurturing a brighter, more inclusive tomorrow.”

“Berkeley Lab welcomes the Department of Energy’s plans to build and expand renewable, clean hydrogen projects in California that will serve as a catalyst in accelerating our nation’s transition to clean energy. We are proud to support the University of California and the state of California in partnering with ARCHES by offering our technical expertise in hydrogen and energy related analysis. We look forward to being a scientific and technical resource for the development and deployment of hydrogen in California as part of the wider effort to decarbonize the state’s economy,” said Carol Burns, Deputy Director, Lawrence Berkeley National Laboratory. 

“The Department of Energy completing the negotiation of a cooperative agreement with ARCHES to award funding to begin development of projects for its hydrogen hub will create thousands of union careers while providing continued employment for existing skilled and trained union members as California builds out a hydrogen ecosystem providing a versatile carbon-free fuel for our future,” said Chris Hannan, President of the State Building and Construction Trades Council of California and founding ARCHES Board Member. “ARCHES’ commitment to workforce standards and training will ensure the safest and highest quality construction of these projects by the best trained men and women in the construction industry. Thank you to the Department of Energy and ARCHES teams for all of their hard work to reach this agreement.”

“This is an important and exciting moment for California and the University of California to accelerate our shared decarbonization and public health goals,” said Theresa Maldonado, Vice President for Research and Innovation at the University of California and Chair of the ARCHES Board of Directors, “UC is proud to be a founding member of ARCHES, and to help leverage this exciting clean energy technology for the benefit of the people of California and the economic vitality of the state.”

“California tribes are excited to work with ARCHES on the Hub project which will help accelerate the state’s future of renewable energy and the development of the Hydrogen Trail initiative to bring sustainable energy stations and clean hydrogen to Federally Recognized reservations and rural communities,” stated Bo Mazzetti, Chairman of the Rincon Band of Luiseño Indians, and ARCHES Board Member. 

“Formally signing this Cooperative Agreement with the Department of Energy to develop California’s Renewable Hydrogen Hub is a pivotal milestone on California’s march to carbon neutrality—economy wide,” said GO-Biz Director and Senior Advisor to Governor Gavin Newsom, and founding ARCHES Board Member Dee Dee Myers. “We are eager to put Californians to work building the future—a future powered by clean, renewable hydrogen that benefits all California’s residents.”

To learn more about California’s clean energy future, visit arches.org. 

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About ARCHES: The Alliance for Renewable Clean Hydrogen Energy Systems (ARCHES) is a statewide public-private partnership designed to accelerate renewable hydrogen’s contribution to decarbonizing California’s economy. ARCHES was founded by the California Governor’s Office of Business and Economic Development, the University of California system, the State Building and Construction Trades Council of California, and the Renewables 100 Policy Institute. ARCHES brings together state agencies, academia, industry leaders, and community organizations to advance renewable hydrogen technologies and infrastructure.