Nel ASA awarded $7.71M for 3 hydrogen fueling stations in Europe
. . . The first station will continue the success of combining Proton PEM Electrolysis with a Nel H2Station, and follows the $8.3-million contract announced in September for Sunline Transit Agency in California.
This Proton PEM Electrolysis/Nel H2Station fueling solution will be built for NT Bene in Pärnu, Estonia and will have a hydrogen capacity greater than 400 kg/day.
In addition, Uno-X Hydrogen AS, a Nel ASA joint venture, has been awarded a grant from Enova SF, for two hydrogen fueling stations in Akershus, Norway. . . .
Let's calculate the COST (not price) of producing 1 kg of hydrogen (assuming this subsidy covers the entire construction cost for these stations):Assumptions:
- Cost to build one station: US$2.57M
- Estimated station lifetime: 10 years
- Total production during operating lifetime: 400 kg/day * 365 days/year * 10 years = 1.46M kg of H2
(EXTREMELY OPTIMISTIC ASSUMPTION since it assumes 100% demand and 100% production each and every day with no downtime.)
- O&M expenses during operating lifetime: US$250K/year * 10 years = US$2.5M
- Electricity required to electrolyze 1 kg of H2
: 50 kWh
- Electricity required to compress 1 kg of H2
: 15 kWh
- Industrial price of electricity in Estonia
: 0.0737 EUR/kWh * 1.18 US$/EUR = US$0.087/kWh
(EXTREMELY OPTIMISTIC ASSUMPTION since it assumes the industrial price of electricity does not increase above 2016 levels during the next 10 years.)
- Total cost of electricity to hydrolyze and compress 10 years' worth of hydrogen: 1.46M kg * (50 + 15) kWh/kg * US$0.087/kWh = US$8.26M
Optimistic bottom line COST per kg to produce hydrogen using these three stations: (US$2.57M + US$2.5M + US$8.26M) / 1.46M kg = US$9.13/kg
At a per-car consumption rate of approximately 1 kg of H2 each day, these three stations can fuel a fleet of only 1200 cars with this expensive H2. Tesla is threatening to build more Model 3 BEVs than this EACH DAY. Since this fuel is supposed to be used for trucks, buses, and cars, the actual fleet of cars refueled by these stations will be much lower than 1200.
If we assume there is a 1200-H2 FCV car fleet refueled by this infrastructure, each consuming 1 kg of H2 per day and lasting the same 10 years, then we understand that the refueling COST to drive EACH of these vehicles just under 200,000 miles is more than US$33K
. The PRICE to the consumer could (and SHOULD) be much higher than that. Of course the goal with H2 is to HIDE costs from the consumer by passing them on to taxpayers instead.
H2 for vehicle fuel is extremely expensive, which makes it nothing more than an unsustainable and environmentally-unfriendly taxpayer-paid subsidy for targeted industries.