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The eight projects being planned for the Pacific Northwest Hydrogen Association (PNWH2 Association).

The Pacific Northwest Hydrogen Association (PNWH2 Association), a multi-state hub to establish a hydrogen economy, is now eligible for up to $27.5 million from the U.S. Department of Energy to launch phase 1 of its program.

The regional hub, which includes Washington, Oregon and Montana, is one of seven selected last year by the DOE and could receive a total $1 billion of funding over time.

This first phase of the project will additionally be matched by up to $125 million from industry partners.

“I look forward to seeing how this effort helps us decarbonize transportation and industrial sectors and create good-paying jobs for Washington workers and families for decades to come,” said Washington Gov. Jay Inslee in a statement.

Hydrogen is a versatile fuel dubbed the “Swiss Army knife” of clean energy. It can replace fossil fuels in hard-to-decarbonize applications, powering fuel cells and engines. But there is limited hydrogen production in the U.S. and the current supply is dominated by fuel made through dirtier processes. There is also a lack of infrastructure for transporting the fuel, as well as a small pool of hydrogen customers.

The Pacific Northwest effort is focusing on hydrogen applications for public transit, agricultural products, medium and heavy-duty transport and the electric power sector. The hub is targeting projects in eight areas across the three states, with most projects in Washington and Oregon.

“The jobs and training benefits to the community will be immense – an estimated 10,000-plus jobs while creating workforce education programs at all levels,” said Sen. Maria Cantwell, D-Wash. in a statement.

The first phase of the project should last a year and involves planning and analysis to make sure the concept for the region is viable technically and financially, and will include outreach to tribes, communities and other partners.

Editor’s note: Story was updated at 5 p.m. July 24 to add comment from Sen. Maria Cantwell.

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