South Coast Air Quality Management District

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Issue RFP for Development and Demonstration of Distributed Hydrogen Refueling Stations Within South Coast Air Basin

SYNOPSIS:

Automobile manufacturers have announced intentions to introduce fuel cell vehicles in the 2004-05 timeframe. Key challenges that remain are the cost of the fuel cell vehicles and the infrastructure to refuel early-introduction fuel cell vehicles. The objective of the proposed RFP is to develop and demonstrate packaged systems to generate and dispense hydrogen. These systems could facilitate the development of distributed stations for refueling fuel cell vehicles introduced in the Basin. Total funding for this RFP will not exceed $700,000. Significant cost-sharing is expected and has been required in the RFP. It is expected that there will be multiple awards from this RFP.

COMMITTEE:

Technology, August 25, 2000, Recommended for Approval

RECOMMENDED ACTION:

Approve issuance of RFP # P2001-17 to solicit proposals to develop and demonstrate distributed hydrogen refueling stations within South Coast Air Basin in an amount not to exceed $700,000 from the Clean Fuels Fund.

Barry R. Wallerstein, D.Env.
Executive Officer

Background

The federal Clean Air Act Amendments of 1990 classified the South Coast Air Basin as "extreme" nonattainment for ozone, and "serious" nonattainment for fine particulate matter (PM₁₀) and carbon monoxide. As discussed in the AQMP and its updates, to enable this region attain federal and state air quality standards, substantial number of zero-emission vehicles (ZEVs), including fuel cell vehicles, are needed in this Basin. Major automobile manufacturers are currently pursuing the development of fuel cell vehicles, which are expected to be introduced into the market by the middle of this decade. Among the key concerns that need to be addressed is the refueling infrastructure for such vehicles. This RFP will facilitate the demonstration of the technological feasibility of such refueling stations.

AQMD is a member of the California Fuel Cell Partnership, which includes the major automakers, fuel suppliers and public agencies. The objective of the Partnership, established in April 1999, is to demonstrate fuel cell vehicles in controlled fleet applications prior to their introduction in 2004. This RFP, issued outside the Partnership, is however consistent with the Partnership’s goals of introducing 20 fuel cell vehicles in year 2000, and 50 vehicles in year 2003. These vehicles will be first demonstrated at the Partnership’s West Sacramento facility. However, automakers intend on expanding the demonstration to Southern California.

Proposal

The objective of this RFP is to solicit cost-shared proposals to install and demonstrate stand-alone hydrogen refueling stations within the South Coast Air Basin. These stations will support the early introduction of hydrogen-fueled fuel cell and hybrid internal combustion vehicles in the context of a distributed hydrogen infrastructure. The project is expected to be of an 18-month duration.

Proponents are expected to design, fabricate and integrate the proposed hydrogen refueling system into an "all-in-one" compact, easily transportable package, such as a standard shipping container. Projects requiring substantial R&D work will be discouraged. These skid-mounted, modular systems would provide for hydrogen generation, purification, drying, compression, dispensing, and preferably storage for fast fill. Several hydrogen production technologies are envisioned as likely candidates, including steam reforming, partial oxidation (both thermal and catalytic) and water electrolysis. Steam reforming and partial oxidation could turn existing natural gas distribution pipelines to a distributed hydrogen supply at the dispensing site. Similarly, water electrolysis could rely on electricity and water lines for a distributed hydrogen system.

Subsequent to approval of this item at the August 25, 2000 Technology Committee meeting staff made changes to the RFP to respond to the need to generate a pathway for natural gas fueling stations to convert to hydrogen fueling stations in the future. Up to 5 out of the 70 technical points may be added to proposals which include natural gas conversion.

Outreach

In accordance with the AQMD’s consulting and contracting policies, a public notice advertising the RFP and inviting bids will be published in the following publications:

1.	Antelope Valley Press	10.	La Opinion	19.	Precinct Reporter
2.	Black Voice News	11.	La Voz	20.	Rafu Shimpo
3.	Chinese Daily News	12.	Los Angeles Daily News	21.	Riverside Press Enterprise
4.	Eastern Group Publications	13.	Los Angeles Sentinel	22.	San Bernardino Sun
5.	El Chicano	14.	Los Angeles Times	23.	Santa Clarita Signal
6.	Excelsior, The	15.	M/W/DVBE Source	24.	State of California Contracts
7.	Inland Empire Hispanic News	16.	Orange County Register		Register
8.	Inland Valley Daily Bulletin	17.	Palm Springs Desert Sun
9.	Korea Central Daily	18.	Philippine News

Additionally, potential bidders will be notified utilizing the Los Angeles County MTA and Cal Trans Directories of Certified Minority, Women, Disadvantaged and Disabled Veterans Business Enterprises; the Inland Area Opportunity Pages Ethnic/Women Business & Professional Directory; AQMD’s own electronic listing of certified minority vendors; and AQMD Purchasing’s mailing list. Notice of the RFP will be mailed to the Black and Latino Legislative Caucuses and various minority chambers of commerce and business associations; and placed on the Internet at AQMD’s Web site [http://www.aqmd.gov, "Business and Job Opportunities" icon] and AQMD’s bidder’s 24-hour telephone message line (909) 396-2724.

Benefits to AQMD

The proposed project is included in the March 2000 Update of the Technology Advancement Plan under 2000M4-2, "Development and Demonstration of Distributed Hydrogen Production and Refueling Stations." The proposed project addresses the air quality objectives stated in the AQMD’s AQMP which heavily rely on the expedited implementation of zero-emission vehicles to achieve air quality standards in Southern California. Projects developed under this RFP will ultimately assist in expediting the implementation of fuel cell vehicles, which are advanced zero-emission vehicles. This, in turn, would lead to direct reductions in NOx, VOC, CO, PM, toxics and global warming emissions from light-duty and medium-duty vehicles.

Resource Impacts

This project is included in the March 2000 Update of the Technology Advancement Plan. Sufficient funds are available from the Clean Fuels Program Fund, established as a special revenue fund resulting 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 sources to support projects to increase the utilization of clean fuels, 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.

Attachment

RFP # P20001-17: Development and Demonstration of Distributed Hydrogen Refueling Stations Within South Coast Air Basin

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