Last week, the U.S. Department of Energy announced the termination of 321 financial awards, affecting 223 projects, totally approximately $7.56 billion. The announcement comes after a thorough, individualized financial review, with the DOE determined that these projects did not adequately advance the nation’s energy needs, were not economically viable, and would not provide a positive return on investment of taxpayer dollars.
The awards were issued by the Offices of Clean Energy Demonstrations (OCED), Energy Efficiency and Renewable Energy (EERE), Grid Deployment (GDO), Manufacturing and Energy Supply Chains (MESC), Advanced Research Projects Agency-Energy (ARPA-E) and Fossil Energy (FE).
Among the awards that were terminated was the Pacific Northwest Hydrogen Association (PNWH2), a multi-state hub launched to establish a hydrogen economy, which lost $1 billion of federal funding in the cuts. The initiative was one of seven regional hydrogen hubs selected two years ago by the U.S. Department of Energy. The program’s goal was to kick-start the nascent hydrogen fuel sector, which aimed to provide clean energy for fossil-fuel intensive sectors including steel and cement manufacturing and long-distance transportation such as shipping and heavy-duty trucking.
PNWH2 shared a statement following the cuts expressing disappointment in the DOE’s decision, but hopeful that the opportunities in the PNW region will finish what was started- establishing a national benchmark for hydrogen production that brings economic opportunities to communities across the region. “The future of hydrogen is still being written by states, communities, and industries across the country. With or without federal support, this industry will continue to drive the innovation and infrastructure needed to fortify America’s energy economy.”
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