Biden’s hydrogen hubs will get $7 billion: California, Houston, more

President Joe Biden and Secretary of the U.S. Department of Energy Jennifer Granholm will announce on Friday seven regional “hydrogen hubs” which are collectively eligible for up to $7 billion in federal funding, according to senior White House administration officials.

The hydrogen hubs are being funded from money included in the Bipartisan Infrastructure Law, which President Biden signed into law in November of 2021.

Hydrogen is the simplest element and the most abundant on earth, but it seldom exists on its own, so generally has to be split from other atoms (as in the case of water, or H2O). This can be done with an electrolyzer powered by electricity. Hydrogen can also be produced from natural gas in a process called steam methane reforming.

Hydrogen is currently used to make fertilizer and in various industrial processes, particularly in the petrochemical industry. But because hydrogen emits no carbon dioxide when burned for fuel, it is part of the Biden administration’s strategy for reducing greenhouse gases in industries like long-haul trucking, maritime cargo shipping, and airplane travel. Hydrogen is also seen as a potential energy storage vehicle to balance out the intermittency inherent in renewable energy sources, like wind and solar.

That said, hydrogen is only a good tool for reducing CO2 emissions if it can be produced with minimal emissions itself — today, that often does not happen. The new hubs will be focused on that goal.

The seven hydrogen hubs stretch across 16 states and are organized according to geographic regions that have a particular strength when it comes to developing and growing the hydrogen industry in the United States. The hubs are not single facilities, but refer to a collection of linked assets that will work together to develop the domestic hydrogen economy in the United States.

The $7 billion in federal funding will catalyze an estimated $43 billion in private sector investment, according to comments made by senior White House administration officials on a call with reporters on Thursday afternoon.

The federal funding will be dispersed as the regional hubs meet incremental stage-gate milestones, senior White House administrators said. But the manufacturing hubs are all going to spur job creation, a theme Biden has repeatedly advertised as a co-benefit of developing the clean economy.

The seven selectees are as follows:

Appalachian Hydrogen Hub: The Appalachian Hydrogen Hub encompasses parts of West Virginia, Southeast Ohio, and southwest Pennsylvania and will use the large quantities of natural gas in the region. It’s located in the industrial heartland and will provide hydrogen for industrial applications across the United States. It’s also at a transportation crossroads, which will allow the hydrogen to be readily transported.

California Hydrogen Hub: The California Hydrogen Hub spans from Southern California to Northern California and encompasses three ports: Los Angeles, Long Beach and Oakland. Ports are…