At a special event on Thursday, Sept. 4, Sierra Northern Railway (SNR) unveiled the nation’s first four-axle, hydrogen-powered, zero-emission switcher locomotive, designed, built, and tested in West Sacramento.
The locomotive, developed with Railpower Technologies, is the first in the United States built specifically for freight rail. Sierra Northern’s prototype replaces about 10,000 gallons of diesel annually. Statewide, California’s 260 switcher locomotives each consume an average of 50,000 gallons per year, according to industry estimates. Converting them to hydrogen power could cut more than 12 million gallons of diesel annually — the equivalent of removing nearly 20,000 cars from the road.
Sierra Northern Railway operates one of its key divisions in Oakdale; the unveiling ceremony on Thursday was staged in West Sacramento.
“This is a milestone not only for Sierra Northern but for the future of freight in California and beyond,” said Kennan H. Beard III, president and CEO of Sierra Northern Railway. “Hydrogen locomotives offer a proven, scalable way to deliver cleaner air while keeping goods moving efficiently.”
The project was made possible through a public-private partnership. The California Energy Commission awarded $4 million to design and demonstrate the prototype. In 2023, the California State Transportation Agency and the Sacramento Metropolitan Air Quality Management District provided $19.5 million to expand the fleet with three additional locomotives. Technology partners include GTI Energy, OptiFuel Systems, Railpower Tech, Ballard Power Systems, and the University of California, Riverside.
“This was a team effort,” said Michael Faust, President and CEO of Railpower. “The strong alliances have shown that hydrogen freight solutions are scalable, cost-effective, and ready for real-world use.”
The locomotive completed testing on March 27, 2025, and is now entering regular service. Sierra Northern plans to operate four hydrogen locomotives by 2027, with a long-term goal of converting its entire fleet and eventually commercializing the technology.
“This launch marks a pivotal moment in the rail industry’s transition away from diesel,” said Mike Hart, CEO of Sierra Railroad Company. “This demonstrates California’s innovation in delivering cleaner air for local communities while creating scalable solutions for the nation’s freight network.”
The company plans to leverage FastOx gasification technology, developed by its sister company Sierra Energy, to produce clean hydrogen fuel for its locomotives. This innovative system can convert waste into hydrogen, creating a sustainable fuel source while reducing dependence on landfills. Sierra Energy currently operates a 20-metric-ton-per-day gasification facility at Fort Hunter Liggett in California, where post-recycled waste is transformed into clean electricity—a model that can be adapted to generate hydrogen for freight rail.
Hydrogen power, already used in buses, trucks, and passenger rail, has now been adapted for freight through rigorous safety testing and redundant onboard systems that meet all state and federal standards. The project supports California jobs in engineering, construction, and operations while contributing to a growing clean energy supply chain that can scale nationally.
Sierra Northern Railway, headquartered in West Sacramento, operates freight and passenger rail across California with divisions in Oakdale, Ventura, and Fort Bragg. Founded in 1897, the company provides freight transportation, transloading, infrastructure development, and scenic passenger services.
Railpower Technologies, a subsidiary of Sierra Northern Railway, designs and manufactures low-emission locomotives across North America. Its platforms include hybrid battery and hydrogen fuel cell locomotives engineered for freight duty cycles.
Sierra Railroad Company includes Sierra Northern Railway, Mendocino Railway, Sierra Energy, and passenger services such as the Skunk Train and River Fox Train. The company has operated in California since the 19th century.
