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Shell closes its light-duty hydrogen refilling stations in California

Shell closes its light-duty hydrogen refilling stations in California


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Life's always been tough on hydrogen fuel-cell electric vehicles (FCEV), and it's only getting tougher thanks to Shell announcing the closure of its retail refilling stations in California. Hydrogen Insight reported that the energy company ran seven stations for consumer FCEV owners, six of them shut down immediately because of "supply complications and other external market factors." One light-duty retail station in Torrance remains open at the time of writing while Shell tries to find a buyer (that would be the same one, pictured above, that Autoblog editor James Riswick found to be closed due to maintenance and ongoing parts shortages).

The moves leave Shell with three hydrogen stations in operation in California, exclusively for industry and heavy-duty vehicles. Shell will continue investing in that outlet for hydrogen, allotting $1 billion per year toward heavy duty H2 as well as atmospheric carbon capture and storage. On the consumer side, the focus will be on EV charging infrastructure.

The shutdown here comes two years after Shell did the same in the UK, and follows about six months of winding things down in California. In 2020, when a kilogram of H2 cost about $13, Shell proposed building 48 new stations in the state. California offered a grant of $40.6 million as incentive. Last September, Shell killed the plan and refused the grant money. Those funds, and $8 billion to be disbursed by the U.S. Energy Department in the Hydrogen Hub plan, couldn't overcome the difficulties in permitting for stations, high build costs, fickle machinery, and ensuring consistent supply.