Unlocking Economic Potential with Green Hydrogen Facilities in Washington
Washington State has embarked on an ambitious initiative to evaluate and develop green hydrogen energy facilities, aligning with the state’s clean energy goals. The Draft Programmatic Environmental Impact Statement (PEIS), released in January 2025 by the Department of Ecology, serves as a roadmap for potential green hydrogen projects across the state. This initiative aims to reduce greenhouse gas (GHG) emissions by supporting industries and communities with sustainable energy solutions.
The business opportunities presented by green hydrogen facilities are extensive. By 2045, the Clean Energy Transformation Act mandates that all electric utilities meet 100% of their retail load with non-emitting and renewable resources. Green hydrogen can be pivotal in achieving these goals by integrating into industrial production, transportation, and energy storage sectors.
Key industries likely to benefit include:
According to the PEIS, hydrogen is advantageous for applications requiring high energy density and rapid refueling, such as long-haul transportation and industrial processes. By 2030, the demand for green hydrogen in Washington could exceed 500,000 metric tons annually, driven by these sectors.
The Draft PEIS highlights green hydrogen’s capacity to attract significant investments in infrastructure development. Production facilities, battery energy storage systems (BESSs), and hydrogen storage facilities represent new opportunities for industrial growth. Strategic siting near industrial zones and freight corridors ensures compatibility with existing economic frameworks.
The economic ripple effects extend to job creation, particularly in engineering, construction, and operational management. For instance, constructing a single green hydrogen facility can generate hundreds of temporary construction jobs and dozens of permanent positions for ongoing operations. The projected economic impact of green hydrogen facilities across Washington is estimated to contribute billions to the state’s GDP over the next two decades.
Furthermore, the synergy between hydrogen facilities and battery energy storage systems can amplify the energy efficiency and reliability of the state’s power grid. These systems provide backup power, ensuring continuous operations and minimizing downtime during grid outages.
The PEIS also emphasizes compliance with local, state, and federal regulations. Businesses venturing into green hydrogen development must navigate requirements under the State Environmental Policy Act (SEPA), the Clean Water Act, and the National Environmental Policy Act (NEPA).
Washington’s regulatory framework supports streamlined permitting for clean energy projects, reducing bureaucratic delays and providing clarity for developers. For example, green hydrogen projects must adhere to emissions standards that align with the state’s goal of achieving net-zero GHG emissions by 2050.
Collaboration among private enterprises, local governments, and regulatory agencies is critical to the success of green hydrogen initiatives. Public-private partnerships can accelerate technology adoption, expand hydrogen refueling infrastructure, and support workforce development programs tailored to this emerging sector.
This draft report is now available for a 30-day public review and comment period, ending at 11:59 P.M.. on Thursday, February 6.
Stakeholders can comment on the Department of Ecology's study or register for an online public hearing on Jan. 23, Jan. 28, or Jan. 30.
