WASHINGTON (WV NEWS) — The details of a long-awaited, multi-hundred million dollar economic development project centered in West Virginia have been announced.
The Appalachian Regional Clean Hydrogen Hub, also known as ARCH2, is among the seven regional hydrogen hub projects announced Friday by the Biden Administration which will each receive a portion of $7 billion in funding from the Bipartisan Infrastructure Law.
ARCH2 will consist of hydrogen pipelines, multiple hydrogen fueling stations and permanent CO2 storage infrastructure in West Virginia, Ohio and Pennsylvania, according to information from the Biden Administration.
The project’s share of funds is “up to $925 million.”
It is estimated to create about 3,000 permanent jobs, plus more than 18,000 positions during construction.
The $925 million in federal funding is expected to unlock up to $6 billion in additional private sector matching funding, according to West Virginia US Sen. Joe Manchin.
“This means West Virginia will be the new epicenter of hydrogen in the United States of America,” Manchin said. “We won the hub because of the hard work of countless individuals and organizations, and I could not be prouder to be making this announcement today.”
The seven regional hub projects announced Friday were picked from dozens of projects submitted to the U.S. Department of Energy.
“Our application process started out with 47 applications with many states involved. It was whittled down to 36 and we were in that group. Then it was whittled down to 12 and the expectation is that as many eight to nine will be funded,” Carmichael said. “So we feel very good about our opportunities here.”
Sen. Shelley Moore Capito, R-W.Va., who along with Manchin and Gov. Jim Justice is a member of the West Virginia Hydrogen Hub Working Group, called the announcement a “major win for the ARCH2 team and for future economic development and energy production in West Virginia.”
“Since we included language and funding for a hydrogen hub competition in the Infrastructure Investment and Jobs Act, and at every stage since, I consistently supported efforts to help make this project a reality. I’m thrilled for the ARCH2 team, and am so proud West Virginia will continue its tradition as an innovative, energy-producing state through a regional hydrogen hub.”
Charlie Burd, executive director of the Gas and Oil Association of West Virginia, thanked Capito and Manchin for backing the project.
“Securing a hydrogen hub in West Virginia is a clear win for our economy, workforce and environment and we appreciate the leadership from Senators Manchin and Capito who continue to be strong advocates of leveraging West Virginia’s energy resources for the shared benefit of all,” he said.
During the fifth annual Focus Forward energy symposium in Morgantown in April, Arria Hines, prime partner of ARCH 2, said the Hub has the potential to create a new industry in West Virginia.
“It’s multiple facilities — it’s not just one thing, it’s a hub,” she said. “In this hydrogen economy, we’re going to build on the workforce that we currently have that we know are used to working on very safety-conscience, high-risk areas such as coal and natural gas.”
Although state leaders and officials praised the project and its economic potential, a coalition of 32 environmental groups released a statement saying they see the Hub as “yet another false promise to Appalachian workers and families.”
“Climate change is real, but we should be investing in the cleanest, safest, fastest and cheapest energy sources first, not wasting money on uncompetitive energy projects” said James Kotcon, chair of the West Virginia Chapter of Sierra Club. “Bailing out fossil fuel companies with a hydrogen hub will only benefit the big investors that continue to ignore scientific and economic realities.”