France – city cancels $33M order for hydrogen buses, turns out electric ones are cheaper to operate.
Hydrogen’s benefits for the automotive industry are still controversial. While certain sectors, including long-haul transportation, shipping, and aviation, are still betting on it as an optimal solution, in the long run, critics are claiming that battery-electric propulsion is the best way to go.
A French city seems to agree, as it made headlines after canceling a large hydrogen-bus order in favor of electric ones.
Hydrogen fuel cell buses have been around for years, but it seems that the costs of the related infrastructure and operations haven’t decreased enough to be considered accessible. The city of Montpellier, located on the southern coast of France, had ordered 51 new hydrogen-powered buses two years ago, as part of a clean energy project.
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The order added up to $33 million (€29 million), a cost that was supposed to be partially covered by EU funding, Clean Technica reports.
However, according to the French media, Montpellier’s new president decided to discontinue the project, saying that although the initial price of the hydrogen buses was smaller compared to electric versions, the cost of the operations would actually be six times higher.
A joint venture between two French companies was supposed to install a large-capacity electrolyzer, a solar power plant, hydrogen storage facilities, plus the refueling stations for the buses.
But all of the costs related to the production, storage, and distribution of the green hydrogen turned out to be much higher than the city was willing to pay. According to Electrek, the final operation cost for the hydrogen buses would be $1.08/km (€0,95), compared to $0.17/km (€0,15) for the electric alternatives. Thanks for staying up to date with Hydrogen Central.
Despite canceling the order for the 51 new hydrogen fuel buses, the Montpellier officials are not ditching the hydrogen technology completely. They are still hoping to operate fuel cell buses in two decades when the technology is expected to finally become more affordable. But, until then, electric buses will be roaming the streets of Montpellier.
City Cancels $33M Order for Hydrogen Buses, Turns Out Electric Ones Are Better, January 13, 2022
