This week, California’s Alliance for Renewable Clean Hydrogen Energy Systems (ARCHES) and the U.S. Department of Energy (DOE) signed a $12.6 billion agreement to build and expand clean energy infrastructure across California.
The agreement will fund the creation of regional networks that produce renewable hydrogen as an energy source for manufacturing, vehicles, and generating electricity while reducing California’s reliance on fossil fuels.
ARCHES was one of seven awardees of the DOE’s Regional Clean Hydrogen Hubs (H2Hubs)—a program funded through the federal Bipartisan Infrastructure Law to catalyze a national network of clean hydrogen producers, consumers, and connective infrastructure.
ARCHES is the first of the seven H2Hubs to officially sign their agreement with the DOE.
The $12.6 billion agreement includes $1.2 billion from the DOE and $11.4 billion in public and private matching funds.
At full build-out, it is estimated that ARCHES DOE projects will create approximately 220,000 new jobs, including 130,000 in construction and 90,000 permanent jobs. The projects also aim to cut up to 2 million metric tons of carbon emissions annually—the equivalent to the pollution from 445,000 gasoline-powered cars each year. This would result in $2.95 billion per year in decreased health care costs due to improved air quality, particularly along transportation corridors, according to ARCHES.
ARCHES projects will span statewide, covering the full hydrogen lifecycle from production to use:
- **Renewable Hydrogen Production**: More than 10 sites will produce enough clean renewable hydrogen to fuel various projects and kickstart the greater hydrogen ecosystem.
- **Ports of Long Beach, Los Angeles & Oakland**: These projects will replace diesel-powered cargo-handling equipment with hydrogen fuel cell equivalents and associated fueling infrastructure.
- **Heavy Duty Trucks and Transit Buses**: ARCHES plans to build more than 60 hydrogen fueling stations for over 5,000 Class 6–8 fuel cell electric trucks and more than 1,000 fuel cell electric buses.
- **Clean Power**: Both the Los Angeles Department of Water and Power and Northern California Power Agency will transition key power plants to 100% renewable hydrogen.
- **Scripps Marine Vessel**: A first-of-its-kind hydrogen-powered marine research vessel will use liquid hydrogen to replace tens of thousands of gallons of diesel fuel per year.
ARCHES is a statewide public-private partnership designed to accelerate renewable hydrogen’s contribution to decarbonizing California’s economy. Founded by the California Governor’s Office of Business and Economic Development, the University of California system, the State Building and Construction Trades Council of California, and the Renewables 100 Policy Institute, ARCHES brings together state agencies, academia, industry leaders, and community organizations to advance renewable hydrogen technologies and infrastructure.