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Appalachian hydrogen hub receives DOE award, a major step toward demonstrating low-carbon hydrogen production using carbon capture and storage

August 5, 2024 Work Area: Zero-Carbon Fuels

WASHINGTON – Last week, the U.S. Department of Energy (DOE) awarded the Appalachian Regional Clean Hydrogen Hub (ARCH2), led by Battelle, an initial tranche of $30 million of funding as a part of the Office of Clean Energy Demonstrations (OCED) Regional Hydrogen Hubs program — the first such funding for a hydrogen hub that will deploy carbon capture and storage to produce low-carbon hydrogen. 

“ARCH2 is the first hub to receive a Phase 1 funding award from OCED that intends to demonstrate large-scale hydrogen production from natural gas paired with carbon capture and storage,” said Sam Bailey, Appalachian Regional Hubs Manager at Clean Air Task Force (CATF). “To produce truly low-carbon hydrogen, funded projects must use natural gas demonstrated to have the lowest possible upstream emissions, capture CO2 at high rates, and be powered by zero-carbon electricity. CATF will work with other stakeholders to ensure that DOE assesses these project characteristics well to drive continued emissions reductions, especially within the natural gas value chain.” 

ARCH2 plans to utilize the region’s natural gas resources, as well as biomass and clean electricity to produce hydrogen at sites across West Virginia, Pennsylvania, and Ohio, while capturing and permanently storing CO2 emissions deep in geologic formations. ARCH2 also plans to use the produced hydrogen to help decarbonize the industrial and transportation sectors. 

There is overwhelming consensus among leading climate scientists, economists, and energy systems experts that carbon capture, removal, and storage technologies are essential tools needed to cut carbon pollution and address climate change. The United Nations’ Intergovernmental Panel on Climate Change includes carbon capture, transport, and storage in almost all of its decarbonization pathways and the International Energy Agency has stated it is “impossible” to reach climate goals without carbon capture.   

“Carbon capture and storage is a key technology that can enable low-carbon hydrogen production in Appalachia,” said John Thompson, Technology & Markets Director at Clean Air Task Force. “Department of Energy funded projects in ARCH2 will demonstrate how commercial carbon capture technology, included in project design from the start, can be economic and used to lower the carbon intensity of hydrogen from reformation, the benefits of which could help drive decarbonization efforts well beyond the region.” 

With funding secured, the hub’s first phase of development is anticipated to take up to 36 months. The project will establish an advisory group and a community benefits steering committee, which will offer recommendations to the board and help engage with the community and labor members involved in the project.  

“The Regional Hydrogen Hubs program offers a unique opportunity to demonstrate how an Appalachian hydrogen market can advance U.S. decarbonization goals by supporting hard-to-abate end uses in the region such as steelmaking, heavy transportation, and fertilizer production,” said John Carlson, Senior Northeast Regional Policy Manager at CATF. “We appreciate ARCH2’s commitment to sign memorandums of understanding with relevant labor organizations. We look forward to those MOUs successfully resulting in project labor agreements and ARCH2 demonstrating transparency and two-way engagement with communities as the hubs move into the next phase of deployment.” 

CATF has been a source of information for hub-related developments for regional and local governments, communities, industry stakeholders, and more. Read more about the importance of community benefits plans and CATF’s review of major carbon capture and storage projects

CATF also provides resources and tracks progress on the ground to show benefits from federal climate and clean energy investment through its resource hub.  


Press Contact

Steve Reyes, Communications Manager, CATF, [email protected], +1 562-916-6463

About Clean Air Task Force 

Clean Air Task Force (CATF) is a global nonprofit organization working to safeguard against the worst impacts of climate change by catalyzing the rapid development and deployment of low-carbon energy and other climate-protecting technologies. With more than 25 years of internationally recognized expertise on climate policy and a fierce commitment to exploring all potential solutions, CATF is a pragmatic, non-ideological advocacy group with the bold ideas needed to address climate change. CATF has offices in Boston, Washington D.C., and Brussels, with staff working virtually around the world. Visit catf.us and follow @cleanaircatf.

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