California lawmakers have reached a compromise that would allocate 15% of funds from a multibillion-dollar climate program to build hydrogen filling stations for cars and trucks. The agreement, which will be voted on by the state Senate and Assembly, would allocate about $106 million to build new hydrogen stations by 2030.
Although hydrogen vehicles only make up about 1% of zero-emission vehicles in California, funding is also available for medium- and heavy-duty trucks. However, there is uncertainty about the future market for hydrogen filling stations in this segment, as electric trucks also face strong competition.
The California Hydrogen Coalition, which includes companies like Chevron, Shell and Toyota, had originally sought larger funding. They initially proposed $300 million to build a state-run network of 1,000 gas stations with the goal of encouraging the purchase of zero-emission vehicles. Teresa Cooke, executive director of the California Hydrogen Coalition, said she was pleased with the agreement but stressed that more work needs to be done to advance hydrogen technology.
Gov. Gavin Newsom has expressed support for the funding agreement, highlighting its potential in combating climate change and reducing air pollution. But some critics argue that the funds are a waste of money for an industry that has failed to thrive despite years of subsidies.
Despite the growing popularity of electric vehicles, funding has been earmarked for hydrogen filling stations since 2013. The program will provide approximately $1.2 billion for zero-emission vehicle infrastructure by 2035 and provide more funding for battery charging stations.
To date, the California Energy Commission has spent $202 million on hydrogen fueling stations, resulting in the creation of 65 stations across the state. However, driving a hydrogen car outside of California remains a challenge as there is only one public hydrogen fueling station in the US, in Hawaii.
