Is There a Fuel Cell

1
Is There a Fuel Cell In your FUTURE?
Larry Blair DOE Consultant larry.blair_at_ee.doe.gov
IFMA 2009 Spring Conference May 15,2009
2
OUTLINE
Focus on US DOE Hydrogen Fuel Cell Program

• Fuel Cell Basics
• Benefits Hurdles
• Potential Markets
• Current Future Applications
• Opportunities Incentives
• Summary

3
Fuel Cells Defined

• Fuel Cells are electrochemical devices that
  convert the chemical energy of a reaction
  directly into electrical energy.

4
Types of Fuel Cells

• Polymer Electrolyte Membrane (PEMFC)
• Pros Low temperature operation, quick start, and
  high power density
• Cons Expensive catalysts
• Applications Transportation, stationary,
  portable power
• Solid Oxide Fuel Cell (SOFC)
• Pros Multiple fuel feedstocks, usable waste
  heat, and cheap catalysts
• Cons Slow start-up, poor transient response, and
  corrosion issues
• Applications Auxiliary power units, distributed
  generation
• Direct Methanol Fuel Cell (DMFC)
• Pros High energy density
• Cons Expensive materials
• Applications Portable and micro power
• Phosphoric Acid Fuel Cell (PAFC)
• Pros Low temperature operation and high
  efficiency
• Cons Low current and power density
• Applications Distributed generation
• Alkaline Fuel Cell (AFC)
• Pros Low temperature operation and high
  efficiency
• Cons Impurity removal

5
Why Hydrogen and Fuel Cells?

• Hydrogen can be produced from clean, diverse,
  domestic resources.
• Fuel cells are highly efficient and can greatly
  reduce energy use.
• (gt2x more efficient than internal combustion
  engines gt 80 efficiency possible with combined
  heat and power)

6
Fuel Cell Benefits

• Low / Zero Emissions
• High Efficiency / Low CO2
• Wide Range of Applications
• Fuel Flexible
• Quiet
• Simple
• High Quality Power

7
Achieving GHG and Oil reduction targets will
require either battery or fuel cell all-electric
vehicles
CO2 emissions mainly due to transportation and
electric power sector
8
H2 Fuel Cells Where are we today?
Production Delivery of Hydrogen
In the U.S., there are currently 9 million
metric tons of H2 produced annually gt 1200 miles
of H2 pipelines
Fuel Cells for Stationary Power, Auxiliary Power,
and Specialty Vehicles
The largest markets for fuel cells today are in
stationary power, portable power, auxiliary power
units, and forklifts. 52,000 fuel cells have
been shipped worldwide. 18,000 fuel cells were
shipped in 2008.
Fuel cells can be a cost-competitive option for
critical-load facilities, backup power, and
forklifts
9
Hurdles to Fuel Cell Commercialization
10
Markets and Applications
Stationary /Distributed Power
TransportationHeavy / LightDuty Vehicles
Portable / BatteryReplacement
11
Markets and Market Drivers
Stationary /Distributed Power
TransportationHeavy / LightDuty Vehicles
Portable / BatteryReplacement
12
Potential Early Market ApplicationCHHP
Co-production of electricity and hydrogen can
contribute to grid independence
and produce clean power and fuel
for multiple applications.
Combined heat, hydrogen, and power systems could
provide a viable approach to establishing an
initial hydrogen fueling infrastructure.
13
Early MarketsCombined Heat and Power
The unique characteristics of fuel cells make
them a key enabling technology for CHP in many
settings.

• BENEFITS OF DISTRIBUTED CHP
• Waste heat is used for space heating hot water
• Potential for significant reductions in GHG
  emissions
• Potential long-term cost savings
• Independence from the grid
• BENEFITS of FUEL CELLS for CHP
• Low OM requirements, less down-time
• Less fluctuation in efficiency across variable
  loads
• Zero emissions
• Low noise and vibration

• CHP fuel cell systems for critical load
  facilities...
• Provide high-quality, reliable, grid-independent
  power
• Improve the effectiveness of data center power
  use by 40

• Preliminary analysis of fuel cells for CHP shows
• Fuel Cell CHP applications could realize 20 50
  reductions in CO2 emissions.
• CHP fuel cells could be cost-competitive when the
  ratio of electricity price to fuel price (spark
  spread) is gt 3.

14
Early MarketsBackup Power
Fuel cells provide several advantages for
backup-power applicationsparticularly in the
telecommunications sector.

• Fuel Cells...
• Provide longer continuous run-time, greater
  durability than batteries
• Require less maintenance than batteries or
  generators
• Can be remotely monitored

Photo courtesy of ReliOn
Low-cost option for backup power
15
Early MarketsSpecialty Vehicles
Fuel cells provide several advantages for
specialty-vehicle
applications (forklifts, baggage-handling tugs,
etc.)

• FUEL CELLS ...
• Allow for rapid refueling much faster than
  changing-out or recharging batteries
• Provide constant power without voltage drop
• Eliminate space requirements of batteries
  chargers
• May provide substantial cost-savings over
  battery-powered forklifts

Photo courtesy of Hydrogenics
Low-cost option for pallet trucks
Photo courtesy of Hydrogenics
16
U.S. efforts to overcome obstacles Rebalancing
the Program
The Program is broadening its scope and balancing
its efforts to achieve a comprehensive approach
to fuel cells for near-, mid-, and longer-term
applications.
17
Market Transformation Projects
The Program is facilitating the early market
adoption of hydrogen and fuel cell technologies
across the federal sector.

• Ongoing Projects include deployment of 39
  forklifts and 43 backup power systems.
• Projects involve the FAA, Postal Service, the
  Defense Logistics Agency, and other Department of
  Defense installations.
• Some projects include on-site renewable
  H2-generation.
• Planned Activities In FY 2009, the Program is
  planning to team with DoD and FAA to administer a
  multi-agency deployment program.
• Deployment of more than 60 backup-power units
  planned.
• Will incorporate additional renewable
  H2-generation systems.

Photo courtesy of Hydrogenics
All market transformation projects involve
extensive data collection and analysis to provide
information on performance and reliability in
real-world operation.
18
Technology Validation
Technologies must be validated in integrated
systems, under real-world conditions.
DOE Vehicle/Infrastructure Demonstration (four
teams in 50/50 cost-shared projects)

• Verified performance in 140 fuel cell vehicles
  and 20 hydrogen stations
• EFFICIENCY 53 58 (gt2x higher than gasoline
  internal combustion engines)
• RANGE 196 254 miles
• FUEL CELL SYSTEM DURABILITY
• 1977 hours, projected to 10 degradation (59,500
  miles)
• 1987 hours, observed, with more than 10
  degradation (59,500 miles)

• Additional projects include
• Demonstrating integration of renewable power and
  hydrogen production
• Data collection and analysis with other agencies
• DOTs Fuel Cell Bus Program
• DODs fuel cell forklifts

18
19
Deploying Fuel Cells at DOE Facilities
DOE intends to walk the talk by deploying fuel
cells at its facilities
the Program has begun to identify
opportunities.

• Ideal sites
• Require constant, consistent, reliable, quiet
  power
• Can effectively use waste heat for heating and
  cooling
• Would combine fuel cell installations with
  budgeted projects.

There are 19 DOE lab sites, with a potential for
about 50 80 MW of CHP.
20
Proposed Market Transformation Projects
Other projects would include deployments of
backup power, specialty vehicles,
and fuel cell busesby several
agencies.
20
21
New food market in Denham, MA 60,000
sq.ft.On- site power with 400 kW ultra-clean
fuel cell from UTC Power90 Electrical power
grid independent operation100 Hot water
CO2 Mitigation benefits planting 175 acres of
trees NO2 Benefits more than 90 cars off the
road per year 400,000 Grant from the state of
MA
22
Policies and Initiatives in the U.S.The American
Recovery Reinvestment Act (H.R.1)
This recent act provides incentives and
opportunities for hydrogen and fuel cell
technologies.
23
Policies Initiatives in the U.S. Federal Tax
Credits
Federal tax credits currently in place to support
the deployment of fuel cells in the commercial,
industrial and utility sectors.

• Business Tax Credit
• Applies to commercial, industrial and utility
  sectors.
• 30 of expenditures or 3,000/kW (whichever is
  smaller).
• Min capacity of 0.5 kW.
• Electricity only efficiency of 30 or greater.

or

• Combined Heat and Power (CHP) Tax Credit
• Applies to commercial, industrial, and utility
  sectors.
• Applies to systems up to 50 MW that exceed 60
  energy efficiency.
• Efficiency requirement waived for systems that
  use biomass for at least 90 of the system energy
  source (but credit may be reduced).
• Credit equal to 10 of expenditures.

24
The American Recovery Reinvestment Act
(H.R.1)Tax Credits
Some tax credits affecting fuel cells were
expanded.
25
Opportunities for Fuel Cells
Many provisions offer funding opportunities for
fuel cells, even if not specifically mentioned.
26
SUMMARY

• Hydrogen and fuel cells offer significant
  environmental, energy security and employment
  benefits - U.S. DOE Hydrogen Program working
  towards advancing technology to realize these
  benefits.
• The development path of hydrogen/fuel cells
  technology is a continuous one immediate
  markets already exist today to start taking
  advantage of technologys benefits.
• Scenario analyses conducted indicate that
  supportive policies could increase the
  technologys market share at costs that are in
  line with other policies that support national
  goals.
• Analysis has shown that government acquisition
  efforts allow federal government to play
  important role in reducing technology costs,
  supporting a domestic supplier base, and
  supporting development of infrastructure required
  for the transition to hydrogen.
• ORNL and NAS studies concluded incentives and
  policies are required to initiate the transition
  to hydrogen for transportation.
• Incentives in place or recently established offer
  many opportunities to further enhance RD and
  stimulate market development and transition to
  hydrogen for transportation.

27
Special Thanks to -

• DOE Office of Hydrogen, Fuel Cells and
  Infrastructure Technologies http//www1.eere.energ
  y.gov/hydrogenandfuelcells/
• Logan Energy
• www.loganenergy.com

28
Benefits of Hydrogen Fuel Cells
Studies have shown that hydrogen and fuel cells
can significantly reduce oil use and greenhouse
gas emissions.
Each technology scenario assumes sales of
vehicles using that technology will achieve 75
of total sales by 2100.
Source Dr. Sandy Thomas, NHA Transportation
Study, November 2008conducted using data and
models developed by his group, EIA and Argonne
National Laboratory.
29
Market Transformation
The Program is working to reduce the
non-technical barriers facing the
commercialization of hydrogen and fuel cell
technologies,
and to enable the federal
government to lead by example

• OBJECTIVES
• Enable federal agencies to implement fuel cell
  technologies
• Increase sales manufacturing volumes of fuel
  cells to achieve economies of scale
• Support development of national infrastructure
  and domestic supplier base
• Improve user confidence in fuel cell reliability

Recent increase in fuel cell investment tax
credit (to 3,000/kW) will help
accelerate progress.
29