California Gov. Newsom directs development of new statewide hydrogen market
In a decision echoing the state’s zero-emission vehicle market development strategy, California Gov. Gavin Newsom this week directed the creation of a state hydrogen market development strategy to build up the renewable hydrogen market.
Newsom labeled the renewable hydrogen market as key to the state’s climate goals overall, but in particular a clean grid, carbon emissions reduction and air pollution cuts in general. California is also currently locked in competition to become a federally designated Hydrogen Hub, which would give it access to some of the $8 billion in funding from the Bipartisan Infrastructure Law. Meant to provide an all-of-government approach to the issue, these efforts will be led by the Governor’s Office of Business and Economic Development (GO-Biz).
On the federal side, the application of federal funding is being led by the public-private partnership Alliance for Renewable Clean Hydrogen Energy Systems (ARCHES).
“As a founding member of ARCHES, GO-Biz is eager to work with all stakeholders to create California’s first-ever Hydrogen Market Development Strategy,” Dee Dee Myers, senior advisor to the governor and director of GO-Biz, said. “Hydrogen has tremendous potential to not only grow our economy but also clean our air, create family supporting jobs, and lead the nation’s clean energy transition. The ARCHES model provides an incredible opportunity to accelerate this market and drive down cost for everyone—while unlocking critical community benefits.”
In addition to creation of a market development strategy, this new move from the governor’s office will identify shared strategies such as financing models, permitting modifications and procurement initiatives meant to help deliver projects. It clearly defines different agencies’ roles and responsibilities in the push, and will work to engage various stakeholders and communities on related questions of environmental and economic benefit.
“California is all in on clean, renewable hydrogen – an essential aspect of how we’ll power our future and cut pollution,” Newsom said. “This strategy will lay out the pathway for building a robust hydrogen market to help us fully embrace this source of clean energy.”
