‘The hydrogen economy is here’: Nikola Corp to source hydrogen from KeyState for zero-emissions trucks

By Cara Aungst

Photo: KeyState Energy.

Nikola Corp. is partnering with a handful of hydrogen producers within the U.S. and Canada to supply hydrogen that will fuel 7,500 heavy-duty, zero-emission trucks by 2026, the Wall Street Journal reported on Feb 11. The article said that one of their main suppliers in the mid-Atlantic region will be KeyState, Pennsylvania’s first carbon capture and storage project, which is being built in Clinton County.

“This news is a big step toward the clean hydrogen economy being realized,” KeyState CEO Perry Babb said in an exclusive interview with HappyValley Industry. “In most cases with clean hydrogen, the business case is very challenging. With the partnership between a clean hydrogen producer, KeyState, and a buyer, Nikola, we are one step closer to the hydrogen economy — it’s here at that point.”

Babb said that the facility will produce some of the world’s lowest-carbon, lowest-priced large-scale hydrogen for the mobility market.

“KeyState will produce over 30 million kilograms of hydrogen per year, which equates to about 30 million gallons of diesel. That would be more than enough for 900 hydrogen-powered trucks traveling 500 miles every day.”

"This news is a big step toward the clean hydrogen economy being realized."

The KeyState gas synthesis project will extract stranded gas from Marcellus Shale to manufacture hydrogen, ammonia and urea, and permanently store the resulting CO2 nearly a mile underground. The project is currently valued at $1.2 billion, with another half billion allocated for its hydrogen liquefaction facility.

In an earlier interview, Babb said that Pennsylvania was leading the charge in ushering in the hydrogen economy, and said that KeyState’s collaboration with Penn State was helping lead the way. Today he says, they are one giant step closer.

“The project will bring high-paying manufacturing jobs to Centre, Clearfield, Clinton and Cambria counties,” Babb said. “And this supply partnership with Nikola Corp. is a big step toward the clean hydrogen economy being realized.”

Outdoor recreation added nearly $14 billion to Pennsylvania’s economy in 2021; here’s what that means for Happy Valley

By Cara Aungst

Nathan Reigner is Pennsylvania’s first director of outdoor recreation. Photo: Provided.

In November, the Department of Conservation and Natural Resources announced that outdoor recreation contributed $13.64 billion to Pennsylvania’s economy, accounting for 152,000 jobs, and 1.6% of the Commonwealth’s gross domestic product.

It reported that Pennsylvania has the sixth-largest outdoor recreation economy in the nation — one that’s supported by a combination of exceptional recreational assets; generally diversified economy; and strong retail, manufacturing and tourism sectors.

Outdoor recreation is for everyone, and you don’t need expensive gear to do it. …  Just get outside — the world will open up, and your life will be better than you could have imagined.

“Outdoor recreation continues to be a thriving and significant industry within the Commonwealth and this data helps us better understand what we are doing well, while also providing guidance on where we can grow this industry for its own sake and to improve the lives of Pennsylvanians,” Pennsylvania Director of Outdoor Recreation Nathan Reigner said. “Unlike economic development through other industries, development through outdoor recreation also stimulates physical health, mental well-being, social cohesion and environmental sustainability.”

We reached out to Reigner, who was an assistant research professor in the College of Human Development at Penn State before becoming the first-ever director of outdoor recreation for the Commonwealth of Pennsylvania. We wanted to know how Happy Valley fits into this news, and where the region has opportunities to grow. As it turns out, we got a lot more than that, including a personal mission statement about the transformative power of outdoor recreation, a look into what’s driving those booming numbers and the “world’s best biking day.”

We read a recent article where you had a great quote about outdoor recreation as a way to increase livability. You said, “Quality of life is going to be the driver of development and vitality in small and medium-sized rural and industrial Pennsylvania towns, and quality of life is a product of outdoor recreation, historic preservation of our downtowns and the availability of cultural services, which are breweries, interesting restaurants, art and music festivals.” How does this directly impact the Happy Valley area?

Reigner: Happy Valley is already doing this. It’s already out in front. The Happy Valley Adventure Bureau has doubled down on outdoor recreation and particularly adventure recreation. Clearwater Conservancy’s partnership with Centred Outdoors is a good example of outdoor recreation that drives public health and community health goals.

Centre County is competing for specialized employees, and access to high-quality outdoor recreation is a great way to attract talent. There’s mountain biking, paddling, climbing and fishing, and so much more. When I think of regions that are leaders and models in the state, Happy Valley is at the top of the list.

How is outdoor recreation a driver in Happy Valley, and how can we do better?

Reigner: There really are only a few gaps in the outdoor recreation business ecosystem that I can see. One of them is bike rentals. Lots of people come into Happy Valley without bikes, but cycling is one of the great ways to transport around the area. A rental business can be hard to operate — there’s capital expense and staff time, and it’s seasonal — but that’s one way to fill a gap on the business side of things.

Another opportunity could be to develop pipelines to get visitors to explore trails as part of their visit, for example on Sunday after a home game. It could connect travelers with outdoor assets like the Arboretum, [or] the valley-to-mountain project at Musser Gap. There are so many things to explore in the area.

Dr. Reigner was an assistant research professor in the College of Human Development at Penn State before becoming the first-ever director of outdoor recreation. Photo: Provided.

In December, the Department of Conservation and Natural Resources reported that the $13.6 billion that outdoor recreation added to the Commonwealth’s GDP is up 22% from 2020 and the increase of 2,000 full-time equivalent jobs is up 4% from 2020. What’s the reason for this increase?

Reigner: The dramatic increase is largely the result of economic emergence from the pandemic. That’s the primary driver there. I think it’s important to remember even before the pandemic — 10 years before — we were collectively concerned that we were loving our parks to death. Visitation was rising year after year. Forces like Instagram, low-cost air travel, experience-hungry generations and the diversification of outdoor equipment were all driving an increase.

Emerging from Covid-19 was more of a burst on top of a long-term trend of growth. I think it’s going to increase steadily into the future, but these dramatic swings were temporary effects that stemmed from extraordinary circumstances. I think that we’ll be seeing recovery to the long-term growth trend that we have seen in the past and expect again in the future.

I believe that when we engage and purposefully try to have these experiences in the natural environment, we are shaping our understanding of the world, our relationship to nature and others with the power and meaning of those experiences.

What’s your WHY? What led you to take on this pioneering role, and what’s your vision for what’s next for Pennsylvania, for outdoor recreation and for yourself?

Reigner: I have a mission statement that speaks to that: I believe that recreation experiences are powerful and meaningful. I’ve felt it in my own life. I believe that when we engage and purposefully try to have these experiences in the natural environment, we are shaping our understanding of the world, our relationship to nature and others with the power and meaning of those experiences. The more of us who have those experiences, the better we are as individuals and as a society.

The more pressure that we place on special places to have these experiences, the more difficult it is to deliver [the] health, economic, social and cultural benefits of them. That’s because there are real administrative and environmental constraints. But with innovative, integrated management, we can provide more experiences that are powerful and meaningful. We can help people be better and we can help society be better. So my mission is to flex constraints outward, get more people having more experiences and better our lives.

Reigner says that outdoor recreation is an industry with benefits: “Unlike economic development through other industries, development through outdoor recreation also stimulates physical health, mental well-being, social cohesion and environmental sustainability.” Photo: Provided.

You have a deep history with Happy Valley. What are some of the outdoor recreation things you like best about the area?

Reigner: Cycling is my home sport. My favorite thing in the world to do is to drive to Millheim, and park at the fire company carnival grounds. I’ll bike through Bald Eagle State Forest, come back through Poe Paddy and Coburn, and then go back to Elk Creek Cafe + Aleworks when they have outdoor live music. It’s one of the best days I’ll ever have.

When I think of regions that are leaders and models in the state, Happy Valley is at the top of the list.

Cross-country skiing is another favorite. I like to meet friends at Black Moshannon on a snow day. After work, we’ll go out for a loop on the Allegheny Front Trail. It’s dark, the snow is coming down, and our breath crystalizes in the air. I’m telling you, it’s amazing.

Anything else you’d like to add?

Reigner: Outdoor recreation is for everyone, and you don’t need expensive gear to do it. That’s the big takeaway from this BEA data — participation spiked even as economic activity dropped. You don’t need the fancy stuff! Yes, it keeps you safe and comfortable, but it’s not necessary. If you have a stick and string and a license, you can fish.  If you have sneakers, you can hike!

Everybody can participate in outdoor recreation. Time spent photographing birds can be just as mind-expanding as the most dramatic extreme sports. Just get outside — the world will open up, and your life will be better than you could have imagined.

Americans are starting new businesses at record rates, and Pennsylvania is one of the best places to do it

By Cara Aungst

Photo: PA.gov.

Over Christmas break, a friend messaged me. As a fellow Happy Valley news junkie, he’s always good for sending on local and business headlines with “Have you seen this?!” commentary.

“Not good news,” he said about the just-released report that says Pennsylvania was one of the most “moved-out-of” states this past year.

We’ve all been trained well in the “if it bleeds it leads” mantra of journalism, so it’s easy to see a headline like that and run with it. But, fortunately, the real story is much more complex — and optimistic —  than a report from United Van Lines about how many moving trucks full of worn-out couches and scuffed coffee tables crossed state lines for a more humid climate.

First off, business is growing exponentially across the country, and in Pennsylvania. In mid-December, business pundit Scott Galloway sent out his chart of the week headed “A marker for optimism.”

“We’re living in one of the best times to start a business in over a decade."

“Americans are starting new businesses at record rates,” he said. “In 2021, there were 5.4 million new business applications. That’s 23% higher than 2020’s record. Looks like pandemic economics didn’t have the damaging effect you’d expect.”

“We’re living in one of the best times to start a business in over a decade,” he added.

(You can see the bullish chart for yourself below, courtesy of https://profgmedia.com/chart-of-the-week/)

Galloway’s numbers are from the U.S. Census Bureau’s business formation statistics. Drilled down to a state level, they show that business applications in Pennsylvania rose 54% from 2019 to 2021 and a whopping 113% in a 10-year period from 2011-2021.

Centre County saw a 21% rise in business applications from 2019 to 2021 and a 39% rise in the decade between 2011 and 2021.

Not only is business booming in Pennsylvania, but it’s a good place for business to boom, at least according to Forbes. In a ranking released Nov. 30, Forbes ranked the best states to launch companies, weighing factors that impact businesses and their ability to succeed, like business costs, business climate, economy, workforce and financial accessibility in each state.

It ranked Pennsylvania at No. 4, citing the Commonwealth’s availability of resources and funding for entrepreneurs.

“Total small business loan funding in Pennsylvania is double that of the national average at $27.7 million,” the report said. “Though this figure is dwarfed by California … Pennsylvania's funding is spread across fewer businesses, driving the average amount per business to be over 20% higher than California's and 17% above the national average.”

It added that Pennsylvania is quickly becoming a popular alternative to New York with a lower cost of living and a higher business survival rate — and an income tax that is one-third the amount of New York’s rate of 10.9%.

It also added that Pennsylvania’s business survival rate is higher than the national average — 83.3%, with the national average hovering at 80.6%.

“The startup industry will continue to be the driving factor for the Happy Valley region, with innovation and business growth for many years,” John Peterson, business consultant for Penn State Small Business Development Center, said. “We see healthy startup growth within technology, retail and service-based businesses.

He said that, during and coming out of the pandemic, the Penn State Small Business Development Center has experienced a surge in applications for its expertise and resources.

“We are at record levels helping clients, assisting them to gain capital formation and get businesses started, and clients served in our four-county footprint in Centre, Mifflin, Clinton and Lycoming Counties,” he said.

We here at HappyValley Industry are buckled in for 2023 and all it holds, from the threat of recession to moving trucks, thanks to incredible grit and innovation. And we’ll be bringing you stories of the year as it unfolds.