This new hydrogen refueling station in China has cracked the code for cheaper gas
Sanjay · Mar 18, 2024 04:35 PM
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China's new green hydrogen production and refuelling complex in Hunan now offers one of the world's cheapest hydrogen at RMB 35 per kilogram (~RM 22/kg), achieving near cost parity with diesel, according to newspaper Hunan Daily.
Built by Sany Hydrogen, the Sany Hydrogen Green Power Hydrogen Production and Hydrogenation Integrated Station is the first of its kind that is able to both produce its own hydrogen, as well as selling the result as fuel.
Photo: Hunan Daily
Sitting on an area covering 6,300 square meters, it can produce up to 180 kg of hydrogen per hour, with a total hydrogenation capacity of 2 tonnes per day.
In simple terms, this means that the facility can support simultaneous refueling of up to 4 vehicles at one go, for a total of "more than 100" vehicles per day.
Cost parity by self-manufacturing
Sany also makes hydrogen fuel cell trucks, as seen here
At the current going rate, the prices offered by Sany's station is among the (if not the) cheapest in China, where hydrogen fuel is typically sold for RMB 75/kg (~RM 49/kg), much higher than petrol or diesel. The company says that this makes the cost of refueling hydrogen trucks "basically the same" as one filled with traditional fuel.
The main trick in reducing prices comes from cutting down transportation costs. Hunan Daily reports that over 95% of all hydrogen refueling stations in China transport the fuel from elsewhere, and this, combined with the relatively small scale of the stations, result in an overall bloated cost.
Sany's flagship station circumvents the middleman and produces their own hydrogen on-site, with independently-developed electrolysers, running off zero-emissions solar power. For Sany, the company says that their hydrogen production costs are lower than RMB 30/kg (~RM 19/kg), which also means the company does not need to rely on state subsidies.
At this point in time however, Sany's RMB 37 million (~RM 24 million) station is only open to its own group companies, for use in its vehicles and other hydrogen-powered items.
China's investment into hydrogen
Part of the machinery at the station. Photo: Hunan Daily
That said, this doesn't mean that Sany's efforts is a one-man show – China is currently the world's leading supplier of green hydrogen, producing circa 25 million tonnes per year, or a quarter of the global output.
Its latest efforst are the planned development of five major hydrogen fuel cell vehicle demonstration city clusters in Beijing-Tianjin-Hebei, Shanghai, Guangdong, Henan, and Hebei.
With humble beginnings collecting diecast models and spending hours virtually tuning dream cars on the computer, his love of cars has delightfully transformed into a career. Sanjay enjoys how the same passion for cars transcends boundaries and brings people together.
