BOARD MEETING DATE: November 2, 2007
AGENDA NO. 33

RECOMMENDED ACTIONS:

Receive and file the attached report.

S. Roy Wilson
AQMD Representative to CaFCP

CALIFORNIA FUEL CELL PARTNERSHIP

Summary of Steering Team Meeting
October 23-24, 2007

West Sacramento City Hall
1110 West Capitol Avenue
West Sacramento, CA 95691

SUMMARY OF AGENDA ITEMS

• The Steering Team meeting was chaired by Jan van Dokkum, President, UTC Fuel Cells, with Roy Wilson, Riverside County Representative, AQMD Governing Board Vice Chair, serving as Vice Chair. The Decisions and Assignments from the June CaFCP Steering Team meeting were approved.
• Nico Boucamp, CaFCP presented the results of the energy company blind survey, projecting hydrogen supply through 2015. With transit agency supply included, the anticipated “supply” is better than expected, but this may be storage not accessible to drivers when they need it. Since there is skepticism whether these projections are realistic, the next step is to refine and resurvey if necessary, after Planning committee consideration.
• Several members shared short updates about their recent activities:
  • Ben Knight, Honda, reiterated their continued need for 350 bar hydrogen stations to support their next generation vehicles ready for deployment next year with improved efficiency, greater range, and consumer friendly packaging.
  • Bill Fitzharris, BP, mentioned their station opening in Florida with Ford and DOE, and their next stations in Sacramento in December and Burbank next summer.
  • Kyo Hattori, Toyota, highlighted their recent 350 mile drive from Osaka to Tokyo with their improved fuel cell vehicle using 700 bar hydrogen.
  • Peter Friebe, Daimler, described their ongoing cooperation with Chrysler for current and next generation fuel cell vehicles (FCVs), and new European Union funding for fuel cell vehicle and hydrogen activities.
  • Jan van Dokkum, UTC, highlighted 4 fuel cell buses deployed in Hartford CT with enhanced instrumentation for duty cycle data gathering. Fuel cell buses will also be highlighted at a Mayor’s conference in Seattle on Nov 1.
  • Roy Wilson, AQMD, described the software upgrades to Quantum hydrogen hybrid vehicles and additional tank on two vehicles to increase the range between refuelings. AQMD is also working with city of Burbank to upgrade their station to 700 bar.
  • Al Weverstad, GM, talked about their upcoming Chevy Equinox fuel cell vehicle deployment with up to 8 portable fueling stations.
  • Taro Hagiwara, Nissan, said they are focusing on long term strategies to reduce costs.
  • Tae Won Lim, Hyundai, mentioned operating fuel cell vehicles with hydrogen fueling in Korea since last September. A Hyundai FCV operated by AC Transit was involved in a traffic accident where the air bags deployed, but the hydrogen and high voltage systems shut down as designed.
  • Peter Ward, CEC, described the culmination of efforts on AB 1007 Alternative Fuel Plan.
  • Robert Brown, Ford, said that Ford continues to accumulate miles on vehicles in CA and is 60% complete with their new test lab in Michigan.
  • Duncan MacLeod, Shell, highlighted two stations in Shanghai and New York with West Los Angeles planned to open early in 2008, and Torrance and Irvine to follow.
  • Bill Chernicoff, DOT, focused on their development of a life cycle cost model which may help many members, and a new feedstock report.
  • Nicole Barber, Chevron, said that Chevron has provided 13,000 kg of hydrogen so far at AC Transit, and has developed on-site reforming technology deployed first at Chino, with next generation deployed at a National Guard facility in Michigan.
  • John Tillman, said that VW will deploy new FCVs in December with low temperature tolerant fuel cell stacks and a next generation vehicle planned for late 2008-09.
  • Harold Sanborn, NAC, highlighted successful contracting executed with Chevron, Hyundai, and UTC at the National Guard facility in Michigan.
  • Gerhard Achtelik, ARB, focused on efforts regarding AB 1505 and a new request for proposals totaling $7M for hydrogen stations in California.
• Alan Lloyd, HTAC, provided an overview of the Hydrogen and Fuel Cell Technology Advisory Committee report which will be presented to US DOE on October 26.
• Associate members provided updates:
  • Praxair executed a new fueling contract adding Honda at LAX with BP.
  • Distributed Energy (Proton), has 1000 electrolyzers deployed worldwide.
  • Ztek, is working on two systems in CA with testing soon.
  • PGE, San Carlos, co-funded with ARB, is waiting for reformer integration mid-late next year.
  • PowerTech Labs is validating 700 bar fueling protocols to help code & standard development.
  • PowerTech operates three 700 bar hydrogen stations in Canada.
  • Air Products has 77 stations that have provided 50,000 hydrogen fuelings; including lots of fuel for submarines and forklifts.
• Joan Ogden, UC Davis, outlined issues to consider during the transition from hydrogen and fuel cell vehicle demonstrations to commercial deployment. Breakout sessions explored key actions, policies, and incentives critical in the next five years in order to achieve the long term vision for hydrogen fuel cell vehicles, including the following: Incentives and government actions will be needed to implement societal benefits, unless a breakthrough consumer benefit is developed. Hydrogen and fuel cell vehicles will be one of several alternative fuels in the future. Technology and cost can be solved over time, but resources may become diverted. A series of small successes can help maintain long term support. Gaseous hydrogen may not be convenient enough for worldwide adoption; eventually, liquid fuel delivery in some form would be preferable over gaseous. Government investment in pipelines in urban areas may be needed, like government investment in HDTV standards and broadcasts before mass market retail sales of new TVs. Hydrogen and fuel cells may be implemented sooner in other markets rather than passenger vehicles. A common vision needs to be developed and a medium scale demonstration could be useful. The Planning Committee was asked to recommend further actions at their next meeting.
• Duncan MacLeod, Shell, presented an update about current Shell activities and vision. Energy providers are concerned about CO2 management over time. Hydrogen, biofuels, and gas-to-liquid are the future fuel portfolio for Shell, and future vehicle platforms that will use liquid fuels, electricity, and/or hydrogen. Long term, hydrogen must become renewable. New hydrogen station in Shanghai this year is opening Nov 14 for Michelin Challenge Bibendum. Also, a new station in White Plains NY is opening Nov 13. The Shell station in West Los Angeles is planned to have an electrolyzer on the canopy with 350 bar by end of this year, 700 bar early next year if a study in progress shows that the canopy can handle extra weight. Also, Shell is committed to stations in Irvine and Torrance. New Energy World funding was approved by the European Union, providing $600M over 6 years cost-shared 50/50 with industry, in addition to German NOW funding $600M over 10 years.
• Reg Modlin, Chrysler, following the previously established rotation, was elected as the CaFCP Vice Chair for 2008, from among members of the automotive sector.
• The members participated in an exercise to prioritize needs from each of the four sectors; automotive, energy, government, and technology, in order to make progress.
  • The highest priority needs for the energy members are to be willing to take a longer term view (5-8 years) and share the risk. Continue working with DOE & other partners on codes & standards and meeting DOE goals. Be open to innovative uses and work with government to deploy early hydrogen stations. Early cooperation should be rewarded in the future.
  • The highest priorities identified for automakers are to strive to achieve 2010 targets. Provide good data to adjust future goals. Avoid sending mixed messages about priorities and progress.
  • In order to accelerate progress, government needs to provide more resources, share liability, and help communicate near, mid, and long-term progress and goals. Develop codes & standards supported by data from early demonstrations. Consistent funding is important to accelerate progress toward long term goals. Current annual state funding of $6M is considered insufficient to accelerate progress. AB 118 may provide a longer term funding mechanism through the CEC and ARB. Further discussion and refinements of sector needs will continue in the Planning committee, with periodic progress reports to the Steering committee from each sector.
• Catherine Dunwoody, CaFCP, reported on the status of the West Sacramento hydrogen fueling station, with legal responsibility proposed to be transferred from energy members to BKi, continued funding support from Chevron and Shell, but the West Sacramento station will become part of the 2008 CaFCP budget.
• Catherine Dunwoody, CaFCP reviewed CaFCP progress toward achieving 2007 goals, all on-track except the upgrade of the West Sacramento station to provide 700 bar hydrogen is delayed until contractual issues are resolved, and noted especially good participation regarding fuel cell bus operators and a survey supported by the California Transit Association.
• Chris White, CaFCP, presented an update on outreach, and reported an increase in visitors, especially on monthly Public Days in West Sacramento, and at Speed Fest in San Diego. Communications is focused on targeted outreach, and implementing outreach based on CaFCP surveys. Key events for next year will be discussed further by the communication team, and Ben Knight, Honda, indicated support for including events in southern California.
• Russell Vare, CaFCP, presented the final report from the station training project to simplify and consolidate a voluntary system for fueling and vehicle training, use consensus materials, and created a data base of individuals trained. This program will be reviewed annually, as an interim step to improve confidence leading to further improvements, such as credit card access and on-dispenser training.
• Jennifer Hamilton, CaFCP, provided an update, and proposed discontinuing development of a station safety handbook, since training materials for emergency responders fulfill current needs, and other resources are available to address questions regarding permitting and codes and standards.
• The members agreed to the request from the Hydrogen Executive Leadership Panel to incorporate Emergency Response materials developed by the CaFCP and its members in their materials, pending legal review by the CaFCP legal contractor.
• The program plan and budget for 2008 was approved. Budget for operating the West Sacramento station is not yet included, nor is funding for upgrading the station to 700 bar, due to uncertainty in member co-funding, and likely will be requested in the future from reserve funds.

The next CaFCP Steering Team meeting is scheduled for February 19-20 in Sacramento.

Additional information about the California Fuel Cell Partnership can be found at http://www.fuelcellpartnership.org.

Attachment (DOC 597kb)
CAFCP Quarterly Update