HARRISBURG, PA — The future of Pennsylvania’s role in America’s clean energy transition may be hanging in the balance. Energy Future PA, a nonpartisan coalition focused on the state’s energy and economic development, is warning that the U.S. Department of Energy (DOE) may pull $1.7 billion in previously approved federal funding for two major hydrogen hub projects—a move that could upend years of planning and erase thousands of prospective jobs.
At the center of the dispute are the Mid-Atlantic Clean Hydrogen Hub (MACH2), encompassing eastern Pennsylvania, Delaware, and New Jersey, and the Appalachian Regional Clean Hydrogen Hub (ARCH2), stretching across western Pennsylvania, West Virginia, Kentucky, and Ohio. Both projects were announced in 2023 as part of the Biden administration’s ambitious $7 billion plan to build a nationwide network of clean hydrogen hubs—intended to jumpstart the production of hydrogen as a cleaner alternative to fossil fuels.
Now, according to a widely circulated DOE spreadsheet and corroborating reports, all seven regional hubs may face termination as part of a broader $23 billion rollback in federal clean energy spending. The Clean Air Task Force, an environmental policy organization, reported that more than 600 projects nationwide—ranging from solar installations to carbon capture pilots—could be cut.
Energy Future PA Co-Chairs Kate Harper, a former Republican state legislator, and Conor Lamb, a former Democratic congressman, issued a rare bipartisan warning. “It simply defies logic to pull back from critical investments in new energy production,” the two said in a joint statement. “If these federal funds are ripped away, the real losers will be Pennsylvania workers, businesses and communities.”
The hydrogen hub concept is central to the federal government’s decarbonization strategy. By using renewable energy or natural gas with carbon capture to produce hydrogen, supporters say the fuel could replace coal and oil in heavy industries like steelmaking and long-haul transport—sectors notoriously difficult to electrify. Advocates view hydrogen as a bridge technology that could preserve industrial jobs while cutting emissions.
Critics, however, have long questioned the economics and environmental benefits of hydrogen. Some environmental groups argue that most hydrogen today is still produced using fossil fuels, making it a “false solution” that prolongs dependence on natural gas. Fiscal conservatives, meanwhile, see the potential rollback as necessary belt-tightening amid record federal deficits, warning that many clean energy programs have underperformed relative to their cost.
Pennsylvania’s economic stakes are substantial. In addition to the hydrogen hubs, the leaked DOE list includes proposed cuts to several solar energy projects, a truck battery manufacturing facility in the Lehigh Valley, industrial electrification initiatives, and carbon capture pilots at U.S. Steel’s Mon Valley Works. Collectively, these projects represent hundreds of millions of dollars in prospective investment and job creation.
Proponents of the hydrogen hubs say cancellation would not only derail Pennsylvania’s clean energy ambitions but also weaken the state’s industrial competitiveness. “Hydrogen hubs were about more than climate,” said one industry analyst familiar with the projects. “They were about ensuring the U.S.—and states like Pennsylvania—stay ahead in advanced manufacturing and energy innovation.”
As Congress prepares to debate the DOE’s funding priorities, the issue has drawn unusual cross-party concern. While many Republicans have opposed federal spending on green energy, several in Pennsylvania’s delegation—along with moderate Democrats—may find common ground in preserving projects tied to job growth and regional investment.
Whether these hydrogen hubs survive could determine more than Pennsylvania’s place in the energy landscape—it could signal how committed Washington remains to its clean energy promises amid growing political and fiscal pressures. For now, the future of Pennsylvania’s hydrogen revolution remains uncertain, balanced precariously between ambition and austerity.
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