Nel Hydrogen US, a subsidiary of Nel ASA, has received a purchase order worth about $7 million for containerised PEM electrolyser equipment from Douglas County Public Utility District (DCPUD) in East Wenatchee, Washington. The system will be used to produce renewable hydrogen at a public utility site and is expected to be operational in the first half of 2027.

The project will be the first green hydrogen plant sold by Nel that will be owned and operated by a public utility. DCPUD says the electrolyser will help balance electricity demand by using excess power from its hydroelectric operation instead of forcing generators to ramp up and down frequently, reducing wear on turbines and associated equipment.

The stack units will be manufactured at Nel’s facility in Wallingford, Connecticut, while the project also reflects DCPUD’s role in shaping state legislation that allows utilities to produce and sell renewable hydrogen. The utility says the partnership will support its Wells Hydroelectric Project and help advance hydrogen adoption in the region.

The deal adds another US utility customer to Nel’s PEM order book and underscores how hydrogen projects are increasingly being paired with flexible power assets to provide both grid services and a higher-value fuel output.