California’s flagship hydrogen energy initiative announced Tuesday an immediate pause in its work in the wake of the Trump administration’s cancellation of $1.2 billion in federal funding last month.
What happened: The Alliance for Renewable Clean Hydrogen Energy Systems, a public-private project to build a network of hydrogen plants and infrastructure across the state, announced that it is pausing all hydrogen hub activities in response to “recent changes in federal funding priorities.”
Why it matters: After California was the hardest-hit state in a wave of Trump administration energy funding cuts, many Golden State organizations vowed to push forward regardless. The abrupt pause at ARCHES is an early indication that President Donald Trump’s award withdrawals are having a significant on-the-ground impact.
Context: The Department of Energy in July 2024 made ARCHES the first of seven hydrogen hubs across the country to receive bipartisan infrastructure law funding, with a promised award of up to $1.2 billion. The goal of the initiative was to build a network of clean hydrogen production sites to decarbonize public transportation, heavy-duty trucking and port operations by 2 million metric tons per year.
