California to receive more than $12 billion for renewable hydrogen…

The U.S. Department of Energy and the Alliance for Renewable Clean Hydrogen Energy Systems, or ARCHES, agreed Wednesday to fund a renewable hydrogen center, according to California Gov. Gavin Newsom’s office. The state will receive an initial $30 million from the government, with future payments totaling $1.2 billion in federal funds from the U.S. Department of Energy, ARCHES said in a statement Wednesday. An additional $11.4 billion came from matching public and private funds, the release added.

Washington, Minnesota, Texas, Pennsylvania, West Virginia and Illinois will also host hydrogen centers and receive federal funding, according to the White House. Some of those centers will span multiple states. President Biden pledged $7 billion to fund the centers in seven states in October 2023 under the Bipartisan Infrastructure Law. California has recently demonstrated expertise in producing and using hydrogen fuel. Last week, the state unveiled what it said was the world’s first hydrogen-powered ferry in San Francisco Bay. Additionally, California-based Jobe Aviation announced that its prototype hydrogen-electric air taxi successfully flew 523 miles, with the only byproduct being water.

What will the hub do? The California hub is expected to launch a network of renewable hydrogen production plants to reduce fossil fuel use. By swapping gas for hydrogen in public transit, trucking and port operations, officials aim to reduce annual emissions by about 2 million metric tons. That would reduce about as many annual emissions as 445,000 gasoline-powered cars produce, according to a news release from Newsome.

Newsome’s office said the hub would create about 220,000 new jobs, about 40 percent of which would be permanent. At least 40 percent of the project’s benefits would go to disadvantaged communities through community-led investments and jobs that support families, his office added. ARCHES estimates civilians could save $2.95 billion annually in health care costs from improved air quality from hydrogen fuel.

How can hydrogen be used as fuel? Hydrogen can generate energy through an electrochemical reaction, rather than the combustion reaction that occurs when gas is burned in a car engine. Hydrogen fuel, considered a clean energy source, leaves behind only water, unlike carbon dioxide from fossil fuels. Hydrogen can also be produced using several methods based on solar and wind energy.

However, not all forms of hydrogen fuel production are considered clean energy processes. During the natural gas reforming process, natural gas is mixed with syngas, which consists of hydrogen, carbon monoxide, and carbon dioxide. When hot steam is added to the mix, a reaction begins and hydrogen molecules are formed. This process produces harmful gases such as nitrogen oxides, carbon monoxide, and volatile organic compounds. According to the Department of Energy, about 95 percent of all hydrogen is produced through the natural gas reforming process. Once produced, hydrogen fuel can be used to power everything from buses and cars to homes.

Dig deeper: Read Tobin Jacobson’s report on Biden’s introduction of a tax credit for hydrogen producers last year.