Unveiling of $7B Energy Program to Fuel California’s Growth and Revolutionize Los Angeles

Mayor Karen Bass praised the $7 billion federal program aimed at establishing seven regional Clean Hydrogen Hubs across the nation, including California. She highlighted the initiative’s role in promoting sustainability, climate resiliency, and job creation in Los Angeles.

According to Governor Gavin Newsom’s office, California will receive up to $1.2 billion from the program to develop hydrogen projects for public transportation, heavy-duty trucks, and operations at the San Pedro Bay. During a news conference at the Port of Los Angeles, Mayor Bass announced that a significant portion of the funding will be allocated to transitioning the port to zero-emissions by increasing the use of hydrogen-fueled trucks and cargo handling equipment. The funds will also support the Department of Water and Power in converting a natural gas plant into a hydrogen plant.

“Today is a special day for California and for Los Angeles,” said Mayor Bass. “The money we are receiving will help seed a robust green hydrogen market to assist in the pursuit of zero-emission operations. We know that we must protect and improve the health of communities directly impacted by port-related emissions and work towards a greener future while also ensuring that we create good-paying jobs.”

Gene Seroka, executive director of the Port of Los Angeles, expressed his support for the funding, stating that it will enable the purchase of hydrogen fuel cell-powered equipment for transportation throughout the port complex. Councilman Tim McOsker, representing the 15th District, which includes San Pedro, Wilmington, Watts, Harbor City, and Harbor Gateway, emphasized the funding’s potential to decarbonize the San Pedro Bay and improve air quality in surrounding communities.

In Long Beach, city and port officials also welcomed the investment and echoed the sentiments expressed by Los Angeles officials.

“By establishing a green hydrogen hub, we will now have the capacity to accelerate the production of renewable hydrogen that will clean our air, generate high-quality green jobs for our local communities, and help power California into the future,” said Long Beach Mayor Rex Richardson in a statement.

The U.S. Department of Energy announced the launch of its Regional Clean Hydrogen Hubs, also known as H2Hubs, to promote the large-scale adoption of low-cost, clean hydrogen. This versatile energy source can be produced with minimal carbon emissions or even without any emissions at all.

“Unlocking the full potential of hydrogen is crucial to achieving President Biden’s goal of American industry powered by clean energy,” stated U.S. Secretary of Energy Jennifer M. Granholm. “Today, we are moving from concept to reality – advancing clean, renewable hydrogen in California, which is essential to meeting our climate goals.”

Governor Newsom praised President Biden’s leadership and the Bipartisan Infrastructure Law, stating that California’s Hydrogen Hub will reduce pollution, boost the clean energy economy, and create numerous high-paying jobs. The hydrogen projects funded through this initiative are expected to reduce carbon emissions by up to 2 million metric tons annually, equivalent to the pollution of 445,000 gasoline-powered cars. Additionally, the hub is estimated to generate 220,000 new jobs, including 130,000 in construction and 90,000 permanent positions.

About 40% of the project benefits will be directed towards disadvantaged communities.

Newsom’s office stated that California secured the federal funding by submitting an application through its Alliance for Renewable Clean Hydrogen Energy Systems. This statewide public-private partnership aims to build the foundation for California’s renewable, clean hydrogen hub. Apart from California, H2Hubs will also be established in the Appalachian, Gulf Coast (Texas), Heartland (Minnesota, North Dakota, and South Dakota), Mid-Atlantic (Pennsylvania, Delaware, and New Jersey), Midwest (Illinois, Indiana, and Michigan), and the Pacific Northwest (Washington, Oregon, and Montana) regions, all of which will receive federal funding for their hydrogen projects.

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