Federal Officials Unveil Choices for First Seven Clean Hydrogen Hubs

Last week, The White House and the U.S. Department of Energy announced the latest steps in a long-term plan to grow low-cost, clean hydrogen. In today's episode, we take a closer look at the joint announcement.

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About the authors:
Lisa Rushton
Jeffrey S. Whittle

Transcript

Welcome to Womble Perspectives, where we explore a wide range of topics, from the latest legal updates to industry trends to the business of law. Our team of lawyers, professionals and occasional outside guests will take you through the most pressing issues facing businesses today and provide practical and actionable advice to help you navigate the ever changing legal landscape.

Welcome to Womble Perspectives. It’s October 17, and we’re halfway through cybersecurity month.

Over the past few weeks, we’ve brought you tips on what to watch for when it comes to cybercrime. But what do you do if you’re the victim?

First things first, secure your devices. Change all your online passwords and access codes, especially for bank and financial accounts. Next, you’ll want to freeze your credit report to ensure that nobody can open new accounts in your name, and keep an eye on your bank accounts and credit card statements. 

Lastly, document everything and report the fraud to the FTC and the FBU’s Internet Crime Complaint center.

Even the most vigilant among us can fall victim to cybercrime. It helps to be prepared for if and when that happens. Now, on to the show.

Late last week, the government announced some exciting news in the clean energy space. The White House and U.S. Department of energy announced the latest steps in a long-term plan to grow low-cost, clean hydrogen.

The joint announcement identified seven regional clean hydrogen hubs which will receive a combined $7 billion allocation under the Bipartisan Infrastructure Law. Most of the funds will target electrolysis-based green hydrogen production, although the well-established Houston hydrogen corridor will utilize both green and blue hydrogen. Once the hubs are operating at full capacity, federal officials hope the hubs collectively will produce more than three million tons of clean hydrogen annually—or nearly one-third of the 2020 U.S. clean hydrogen production goal. 

In addition, federal officials hope the clean hydrogen hubs will eliminate 25 million metric tons of carbon dioxide emissions. That’s an amount roughly equivalent to combined annual emissions of more than 5.5 million gasoline-powered cars. Such efforts are necessary if the U.S. is to reach its stated target of net-zero greenhouse gas emissions by 2050, according to the Biden Administration.

Federal officials say this public investment in the hydrogen hubs will spur approximately $40 billion in private investment and create tens of thousands of new jobs. 

The hub locations are as follows:

The Gulf Coast Hydrogen Hub, which is also called the HyVelocity Hydrogen Hub will be centered in the Houston region, the energy capital of the U.S.

The Mid-Atlantic Hydrogen Hub, known as the Mid-Atlantic Clean Hydrogen Hub, or MACH2; covering Pennsylvania, Delaware, New Jersey).

The Appalachian Hydrogen Hub known as ARCH2, which stands for Appalachian Regional Clean Hydrogen Hub; covering West Virginia, Ohio, and Pennsylvania).

California Hydrogen Hub, named the Alliance for Renewable Clean Hydrogen Energy Systems, or ARCHES in California.
The Heartland Hydrogen Hub, for Minnesota, North Dakota, and South Dakota.

Midwest Hydrogen Hub, known as Midwest Alliance for Clean Hydrogen, called Mach H2; covering Illinois, Indiana, and Michigan).

and The Pacific Northwest Hydrogen Hub, or PNW H2, for Washington, Oregon, Montana).

The Bipartisan Infrastructure Law includes $65 billion in clean energy investments in total.

Obviously, last week’s announcement is just a start as much more work needs to be done before these sites are in operation and producing clean hydrogen. But the announcement and allocation of funds are an important step in the development of America’s clean hydrogen economy and for the renewable energy sector as a whole. 

Womble is closely monitoring the progress of these project and will provide additional information as it becomes available.

Thank you for listening to Womble Perspectives. If you want to learn more about the topics discussed in this episode, please visit The Show Notes, where you can find links to related resources mentioned today. The Show Notes also have more information about our attorneys who provided today's insights, including ways to reach out to them.

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