Hydrogen's Fan Club Remains Small
Apr 04 - The Morning Call, Allentown, Pennsylvania
The estimated 1,000 people who attended the National Hydrogen Association's 16th annual conference in Washington, D.C., last week emerged with a wealth of technical data about hydrogen production, storage and use as fuel.
That's a tough question for the association's members to tackle, given how
fragmented the hydrogen industry is now.
No one knows for sure when hydrogen-powered cars, which turn hydrogen into
electricity using devices called fuel cells, will gain significant market share.
It's not clear how much it will cost to build a distribution network, though
widely varying numbers were reported at different sessions. It's not even
guaranteed that hydrogen will ever reach widespread use as a fuel, though
supporters insist that day will come.
One of the element's leading backers is Air Products and Chemicals of
Trexlertown, the world's leading supplier of hydrogen and a leading builder of
prototype fueling stations. Air Products was a sponsor of the conference, and
several of its employees were featured speakers.
None of the speakers, Air Products or otherwise, suggested quick solutions to
hydrogen's public relations problem. But the recurrence of that theme suggests
industry leaders have it on their minds, as much as the technical challenges.
"The public at large is a bit skeptical about \[hydrogen's\]
progress," said Carol Battershell of energy giant BP, formerly British
Petroleum. "The public has very tough questions."
Fossil fuels reign supreme
It's no surprise that America's drivers are taking a wait-and-see attitude
toward hydrogen. Gasoline, coal and other fossil fuels have held sway as the
country's main energy sources for more than a century.
During that time, alternative power sources have claimed small slices of the
market at best: Think of wind power or solar electricity. At worst, they have
failed and been written off, like electric cars.
But fossil fuels are no longer as abundant or affordable as they were decades
ago. The air pollution they cause has become too great to ignore. So has the
United States' reliance on oil from foreign countries, which hold the power to
tighten the supply channel.
That's where hydrogen comes in. The world's most abundant element, hydrogen
can be used to make clean electricity that powers cars, computers, even office
complexes. President Bush threw his support behind hydrogen two years ago,
pledging $1.2 billion through 2008 for research projects conducted by Air
Products and numerous other energy companies, carmakers and colleges.
All those studies agree on a single truth: Hydrogen has a long way to go
before it is ready for the mass market. That's especially true for use in cars,
hydrogen's highest-profile and biggest-stakes market.
Steve Chalk, manager of the U.S. Department of Energy's hydrogen and fuel
cell program, said the department will assess progress in 2015 and decide if
fuel-cell auto technology is worth commercializing. If hydrogen gets a
thumbs-up, the decade between 2015 and 2025 will see fuel-cell cars enter the
mainstream, will witness the construction of the plants, pipelines and stations
needed to get hydrogen fuel to America's neighborhoods.
"It's going to take another 30 years to have significant benefits,"
Chalk said.
It's less clear when companies such as Air Products can develop truly clean,
renewable sources of hydrogen: Most of today's industrial hydrogen is made from
natural gas.
Cost estimates to build the fuel network range from $873 million for a
bare-bones string of stations along interstate highways to $14 billion for a
more comprehensive plan.
Some believe that hefty price tag is putting off American drivers who,
despite gas prices topping $2 a gallon, see no immediate need to move away from
their old standby fuel.
"We have some societal issues ahead," warned Bill Reinert of Toyota
Motor Sales USA. "Three-dollar-a-gallon gas is not a reason to switch to
fuel cells. You'll drive smaller cars. You'll drive slower."
Americans' intransigence sets a tough hurdle for car companies, that say fuel
cell cars will not catch on unless they are comparable in price or performance
to gasoline cars.
Still others at the conference suggested glowing media reports may have made
Americans skeptical. Having heard about the wonders of hydrogen, they want to
know why they can't buy -- or at least see -- a car now.
Chances to see a fuel-cell car are rare outside a handful of major cities,
though the hydrogen conference showcased a fleet of hydrogen cars, buses, and
even a scooter.
Still other opposition could arise from self-serving reasons.
Pierre Rivard, chief executive officer of Canadian fuel-cell maker
Hydrogenics, said he feared union opposition when Hydrogenics installed fuel
cells in forklifts at General Motors' plant in Oshawa, Ontario. One fuel cell
power pack took the place of three battery packs, raising the possibility that
fewer union workers might be needed in the plant's battery storage and handling
office.
Rivard said the union has not raised objections to the fuel cells. But his
example raises the question of whether other unions, in similar circumstances,
might complain. Also, Hydrogenics has only converted two forklifts -- a small
percentage of the machines used at the Oshawa plant, and not a serious threat to
the union.
Hydrogen leaders concede that winning over average Americans will take time.
To do that, they plan demonstrations that will give drivers a better view of
hydrogen cars.
On Wednesday, Energy Secretary Samuel Bodman fleshed out a previously
announced program that will bring more fuel cell cars onto American roads.
General Motors said it will build 40 fuel cell cars to be distributed in four
states, splitting the $88 million cost with the Department of Energy.
DaimlerChrysler, meanwhile, will let consumers test fuel cell vehicles.
"The idea of motor vehicles powered by hydrogen seems to make more sense
to me than ever before," Bodman said.
Researching molecules
When not facing the challenge of hydrogen's public image, those at the
conference pondered countless ideas that show promise but, so far, fall short in
some significant way.
For example, Air Products Global Marketing Manager Karen Campbell spoke about
"non-hydrogen" approaches to hydrogen storage.
Most companies plan on storing hydrogen as a compressed gas or liquid. Air
Products is researching "chemisorption," or using a liquid chemical
solution as a carrier for hydrogen. The chemical carrier would bond with
hydrogen molecules.
But Air Products has yet to figure out what substance would work best. And
Campbell admitted, "There are many, many, many molecules that need to be
investigated."
If it can be made to work, Air Products' storage system would solve one of
the biggest problems facing hydrogen -- how to keep it on board a car so it does
not take up too much space, explode in an accident or evaporate when the car is
left sitting. The Department of Energy's Chalk called storage "the critical
challenge."
"Anything that can unlock the secret to hydrogen storage, we're going to
be chasing it," he said.
On the production side, Kevin Nguyen, senior fuel processing engineer at
ChevronTexaco, displayed a design for a hydrogen plant that may meet cost goals
set out by the Department of Energy. Nguyen's plant is relatively small, though,
and is not expected to reach field testing until next year.
Venki Raman, former head of hydrogen research at Air Products, said
production is also a vital area of research. Raman now heads Protium Energy
Technologies, a Lehigh Valley consulting firm. He spoke on Monday, the
conference's first day, at a financing forum where startup companies presented
their business plans.
"Every one of the small companies that presented on Monday was
presenting some sort of production technology," Raman said. "It just
goes to show you how important production technology is."
Of course, the conference was not entirely about tackling problems. It was a
venue to celebrate gains since last year's event, and to laugh at anecdotes like
the one shared by Shell Hydrogen Chief Executive Officer Jeremy Bentham.
"When I was last in Japan, I had an unusual experience," Bentham
said. "I actually saw a queue of fuel cell vehicles waiting to be
refueled."
And, from time to time, it was a chance for those in the business to remind
themselves why they work with hydrogen. In many cases, the engineers and
marketing directors at the Marriott Wardman Park Hotel were there because they
believe hydrogen, for all its faults, can still help save the world from a
pollution-choked fate.
"If nature is our mother, then we have been a reckless child," said
Craig Newhouse, national sales director for California fuel-cell maker Anuvu
Inc.
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