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Buckeye gives final support to rezone Nikola property for hydrogen hub

Phoenix Business Journal

Nikola Corp. has received the approval needed from the city of Buckeye for its planned hydrogen manufacturing plant to support the infrastructure and growth of hydrogen fuel cell electric vehicles.

The Phoenix-based electric truck manufacturer has been working through the entitlement process with the city of Buckeye to start developing a hydrogen production hub on an initial 160 acres in the southern part of the city.

Buckeye City Council unanimously approved a general plan amendment and rezoning on Tuesday evening to allow for heavy industrial uses on 160 acres. The vote came about a month after Buckeye’s planning commission voted in favor of Nikola’s project.

No members of the public commented on the proposed land use changes during Tuesday’s meeting. Nikola will be required to receive site plan approval from Buckeye’s planning and zoning commission prior to development.

“This is an exciting project just from a technology perspective as well as an environmental impact, so I’m very excited to see this come to the city,” said Councilmember Clay Goodman, who represents district 6, during the Council meeting.

The 160 acres will be developed in multiple phases at 28702 W. Patterson Road just west of State Route 85 and the Lewis prison. A city representative said at the meeting that a final emergency response plan to the site will be required before a site plan is approved. The nearest home is more than a mile from the property, the city said.

Although the company owns nearly 1,000 acres in the same area, it will build the first facility on the initial 160 acres in part because Nikola (Nasdaq: NKLA) is trying to start production quickly, the city said. Future applications could go before City Council as Nikola builds out the property.

The new facility is part of Nikola’s plans to develop a large-scale hydrogen supply and dispensing infrastructure business for its trucks and for industrial, residential and commercial heating. Construction could occur over the next year and a half.

Nikola previously said it plans to produce between 150 and 300 metric tons of liquid hydrogen daily to store on site. It plans to expand in Buckeye as demand increases.

Fuel cells are powered by hydrogen and produce electricity onboard, according to the U.S. Environmental Protection Agency, which says that hydrogen can be used as fuel in various fuel cell electric applications to generate power while only emitting water and heat as byproducts. Hydrogen can run cars, factories and power plants.

The growth of electric vehicles and hydrogen fuel cell electric vehicles are part of national a push to reduce emissions by cars. Nikola and others are expected to benefit from federal incentives through the Inflation Reduction Act that was signed into law in August.

Nikola signs partnership for hydrogen station build-out

In separate news connected with Nikola’s hydrogen business, the company announced this week that it was partnering with Voltera to build out the hydrogen infrastructure needed to support Nikola’s vehicles.

Southern California-based Voltera, which builds, owns and operates EV charging and hydrogen refueling sites, will help Nikola’s Hyla brand develop up to 50 hydrogen stations across North America in the next five years.

The Hyla brand was unveiled by Nikola at the beginning of the year to provide infrastructure for its hydrogen fuel cell electric vehicles. Nikola has already said it intends to build 60 stations by 2026 under the Hyla name.

“Voltera’s expertise in building out zero-emission energy infrastructure will be a key enabler for Nikola’s first-to-market hydrogen fuel cell electric trucks and fueling infrastructure. Nikola and Voltera have a shared commitment to the rapid deployment of infrastructure which is key to enabling the transition to a zero-emission economy,” said Carey Mendes, President, Nikola Energy, in a statement.

Under the deal, Voltera will own and run the hydrogen stations, which will serve vehicles from various manufacturers, while Nikola will provide the hydrogen and expertise. Both companies said the partnership will help accelerate the adoption of zero-emissions vehicles on American roads.

“Voltera’s mission is to accelerate the adoption of zero-emission vehicles, by taking on the complex and costly nature of developing the necessary infrastructure,” said Matt Horton, CEO of Voltera, in a statement. “By partnering with Nikola, we are expanding our focus beyond battery-electric vehicle charging in order to dramatically increase hydrogen fueling infrastructure, reduce barriers for operators buying vehicles at scale to enable mass adoption of hydrogen trucks.”

 


Register for the Council’s upcoming Phoenix and Tucson tech events and Optics Valley optics + photonics events.


 

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