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PROPOSAL:

Execute Contract to Cosponsor Evaluation of Methanol Fuel Quality Specifications for Proton Exchange Membrane Fuel Cells

SYNOPSIS:

Numerous major auto manufacturers are developing proton exchange membrane fuel cell vehicles with on-board methanol reformers. One of the key issues for this technology is to ensure that fuel specifications are appropriate. dbb Fuel Cell Engine Corp., in conjunction with Ford and the American Methanol Institute, has proposed an evaluation of methanol fuel quality, including analysis of the fuel additives and materials present in the fuel supply infrastructure, the sensitivity of fuel cell and reformer catalysts to additives and other impurities, and potential alternatives for a commercial grade methanol fuel specification. Total project cost is $465,000. Total AQMD funding shall not exceed $205,000.

COMMITTEE:

Technology, March 26, 1999, Recommended for Approval

RECOMMENDED ACTION:

Authorize the Chairman to execute a contract with dbb Fuel Cell Engine Corporation to provide an evaluation of fuel quality requirements and recommendations for a proton exchange membrane fuel cell and its associated methanol reformer in an amount not to exceed $205,000.

Barry R. Wallerstein, D.Env.
Executive Officer

Background

The AQMP identifies the use of alternative clean fuels in mobile sources as a key attainment strategy. The ARB has also passed LEV regulations that require vehicles to comply with increasingly stringent emission standards, including zero emission vehicle (ZEV) standards. Major auto manufacturers are developing proton exchange membrane fuel cell (PEM-FC) vehicles as an important means of enhancing their technological options to comply with the ARB’s ZEV standards. The ARB has recently adopted an emission credit protocol which will allow manufacturers the option of obtaining partial ZEV credits for fuel cell vehicles, including those which utilize methanol reforming. DaimlerChrysler, Ford, Honda, GM and other auto manufacturers have indicated that the initial passenger car applications of PEM-FC vehicles will likely utilize methanol reformers in vehicles to be offered in high volume production starting in 2004. The leading PEM-FC was developed initially by Ballard Power Systems. Through a joint venture of DaimlerChrysler, Ford and Ballard, dbb Fuel Cell Engine Corp. (dbb FCEC) has been formed; it is internationally recognized as a technology leader in the development of PEM-FC systems for automotive application.

The FC technology chosen by DaimlerChrysler and dbb FCEC is based on the reforming of methanol to supply hydrogen to the fuel cell stack. Primary challenges in expediting the technology are to provide fuel which has the proper specifications for reformers, and to utilize reformer catalysts which are most suitable for the fuel quality expected and desired at retail refueling stations. The development of such a specification requires a balancing of the needs of the vehicle and the logistical and quality control realities of retail fuel distribution.

Proposal

The objectives of the proposed project are to identify the range of fuel quality additives and materials which may be present in the current methanol fuel distribution infrastructure; to assess the possible detrimental effects such fuel constituents may have on fuel cell operation and catalyst efficiency and durability; and to formulate alternative approaches to mitigate these undesirable effects. This evaluation is expected to contribute significantly to the understanding of the key fuel quality parameters and the sensitivity of specific catalyst formulations to existing and potential fuel specifications.

The proposed project will include the following:

1. A review to identify the compounds which may impede methanol conversion over copper zinc oxide catalysts, with a summary of the properties of these compounds and their probable impact when introduced in the reformer.

2. A detailed chemical analysis of available methanol samples from selected sites, spanning all commercial grades currently offered within the state. This information will help define the boundary conditions for the concentrations of various compounds which exist in retail grade fuel supplies.

3. An analysis of the fuel infrastructure distribution chain to determine if contaminants are avoidable through stricter quality control practices within the distribution system, or if their presence is indicative of a more pervasive and systemic problem.

4. An analysis of the additives which are currently used in commercial grade methanol will be undertaken to determine which additives are appropriate for application to PEM-FC vehicles. A variety of optional additive compounds or families of compounds will be identified to address possible concerns about flame luminosity, taste, fuel color, etc. A full chemical analysis will be conducted on each of the candidate additives.

5. A reformer degradation analysis will be conducted based on the full array of fuels, additives and potential contaminants. This testing will utilize dbb FCEC proprietary reformer evaluation hardware which allows for long term automated testing of small quantities of reformer catalyst. The results of this testing will be benchmarked and compared to pure reagent-grade methanol. An initial screening will be conducted to determine the optimal combination of fuel properties, additive packages and distribution procedures.

6. The key stakeholders in the supply and use of PEM-FC fuels will be organized, including industry and governmental agencies, to form a working group to help guide this study, respond to the results of this study, and formulate and evaluate alternatives.

Benefits to AQMD

The results of this study will help expedite the design optimization and implementation of fuel cell reformer technology and appropriate fuel quality safeguards essential for the commercial launch of thousands of PEM-FC vehicles planned for 2004. The study will provide key data needed for the adoption of a fuel quality specification, as well as identify fueling components and supply procedures which will be necessary to accommodate PEM-FC vehicles. A standardized fuel specification will also help ensure the durability of fuel reformers once they are placed in widespread commercial and private use.

The early commercialization of PEM-FC vehicles will result in significant emission reductions relative to their gasoline counterparts. By helping establish the baseline data for a standardized fuel cell grade fuel, the study will also help reduce the uncertainty and cost in the design and implementation of a retail fuel distribution network The low temperature reforming utilized in the PEM-FC system planned by DaimlerChrysler does not emit CO or NOx emissions, and has HC emissions of 50 percent less than the Super Ultra Low Emission Vehicle (SULEV) standards adopted by the ARB. For the 40,000 PEM-FC vehicles planned for early commercialization by DaimlerChrysler alone, NOx emissions would be reduced by over 130 tons per year, with over 10 tons of HC emission reductions per year.

Upon assessment of the results of this study, a follow-on effort may be considered to facilitate a consensus among fuel suppliers, automotive manufacturers and regulatory agencies for the establishment of an appropriate fuel specification. Such a study would include an assessment of specific fuel supply storage methods, materials compatibility, and the potential for on-board vehicle fuel filtering and/or cleanup.

The proposed project is included in the November 1998 update of the Technology Advancement Plan under Project 98M3-1, "Development of Fuel Cell Balance of Plant Technologies Related to Fuels, Fuel Storage and Handling, and Fuel Processing."

Sole Source Justification

Section VIII.B.2 of the Procurement Policy and Procedure identifies four major provisions under which a sole source award may be justified. This request for a sole source award is made under provision B.2.d.(1) other circumstances, including projects involving cost-sharing by multiple sponsors. It is in the best interest of the AQMD to cosponsor the proposed project. Participants and sponsors in the project include dbb Fuel Cell Engine Corporation, DaimlerChrysler, Ford Motor Company, the American Methanol Institute and Methanex Corporation.

dbb Fuel Cell Engine Corp. is the principal proponent of this project. They were founded in 1997 through a joint venture with DaimlerChrysler, Ford Motor Company and Ballard Power Systems to develop automotive fuel cell systems. The company has locations in Canada, Germany and the U.S. Their Poway, California office is the center for their North American and Asian efforts related to automotive fuel cell applications engineering. This work has already resulted in the development of the world’s largest methanol based PEM fuel cell engine, a 100 kW engine built for Georgetown University. The dbb FCEC team will support the proposed project through their demonstrated expertise in proprietary PEM-FC methanol reforming systems and long-term reformer testing hardware.

DaimlerChrysler is a leader in the research, development, production and commercialization of PEM-FC vehicles, and is a highly capitalized major automotive manufacturer. As the parent and founding member of dbb FCEC, they can provide technical expertise for assessing all key facets of reformer sensitivity to fuel quality effects. Their input to dbb FCEC will provide helpful technical perspectives on the data obtained from this study.

Ford Motor Company has been an active member of the alliance which formed dbb FCEC. Ford also aims to commercialize automotive PEM-FC systems; they have extensive experience in fuel system design, methanol additive requirements, and on-board material compatibility requirements. Ford also brings over twenty years of experience in methanol vehicle technology, as well as being a highly capitalized major automotive manufacturer. Ford will support the program through their contribution to the fuel quality analysis of both additives and contaminants, as well as materials compatibility issues as they relate to on-board fuel storage and distribution.

Methanex Corp. is the world’s largest producer of methanol. They have established a formal cooperative agreement with Ballard Power Systems to support the commercialization of PEM-FC vehicles. Methanex has production plants on four continents which convert natural gas to methanol, and accounts for over 25% of the global methanol market of 11.4 billion gallons (34 million tons).

The American Methanol Institute (AMI) is the national trade association for the North American methanol industry. Its affiliated research support organization, the American Methanol Foundation (AMF), will provide direct funding support for the project.

Resource Impacts

The total amount of AQMD funding for the proposed project will not exceed $205,000. The table below describes the proposed funding to complete the project:

This project is to be funded from the FY 1998-99 Budget. Sufficient funds are available in the FY 1998-99 Budget from revenues received from the state-mandated Clean Fuels Program. The Clean Fuels Program, under Health and Safety Code Sections 40448.5 and 40512 and Vehicle Code Section 9250.11, establishes mechanisms to collect revenues from mobile and stationary sources to support projects to increase the utilization of clean fuels in both sectors, including the development of the necessary advanced enabling technologies. Funds collected from motor vehicles are restricted, by statute, to be used for projects and program activities related to mobile sources that support the objectives of the Clean Fuels Program.

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