Governor Announces Historic Auto, Oil and Government Partnership
20 April 1999
Governor Davis Announces Historic Auto, Oil and Government Partnership To Demonstrate Fuel Cell VehiclesSACRAMENTO, Calif., April 20 -- In an important step forward for fuel cell electric vehicles, California Governor Gray Davis and industry leaders today announced a fuel cell vehicle partnership that will demonstrate clean transportation technology on California's roadways in the future. The "California Fuel Cell Partnership - Driving For the Future" makes the state home to a unique collaborative of auto manufacturers (DaimlerChrysler, Ford Motor Company), oil companies (ARCO, Shell, Texaco), a fuel cell company (Ballard Power Systems), and the State of California. The Partnership will advance a new automobile technology on the path toward practical, affordable and environmentally friendly transportation solutions for California and the rest of the world. Fuel cells create their own electricity through a chemical reaction between hydrogen and oxygen. Fuel cell vehicles offer zero or near-zero emissions with the driving range of conventional vehicles, along with higher fuel efficiency. This is the first collaboration ever between automobile companies, technology companies and fuel suppliers to demonstrate fuel cell vehicles under real day-to-day driving conditions. The partners encourage other automotive manufacturers and energy providers to join the project. The Partnership will place about 50 fuel cell vehicles on the road between 2000 and 2003. Ford and DaimlerChrysler will each initially provide five fuel cell passenger cars by 2001. The Partnership will work with California transit agencies to demonstrate 20 fuel cell buses. All the vehicles will be powered by Ballard fuel cells. In addition to testing the vehicles, the Partnership will also identify fuel infrastructure issues and prepare the California market for this new technology. Initial demonstration vehicles will run on hydrogen, directly from tanks on board the vehicles. Subsequent demonstration vehicles are likely to run on methanol fuel. Technology for other liquid fuels such as a cleaner form of gasoline will be evaluated. A key goal of the Partnership is to determine the best fuel infrastructure for the market entry of fuel cell vehicles, which could emerge as soon as 2004. "The demonstration of these fuel cell powered vehicles shows the advancements made over the last five years in fuel cell technology," said Firoz Rasul, President and Chief Executive Officer of Ballard Power Systems. "This collaboration between key stakeholders in the automotive industry, the State of California, and Ballard, represents a major milestone on the commercialization path of fuel cell vehicles." "This unique partnership brings together all the key players that can help make fuel cell vehicles a reality," said DaimlerChrysler Chairman Robert Eaton. "Fuel cells will have a better chance to enter the marketplace more successfully and at less cost because of the leadership and strong commitment these organizations are demonstrating today." "There's no point in offering technology that sits unused on dealer lots. We must offer customers environmental solutions that are affordable and convenient," said Ford Chairman Bill Ford. "Fuel cell electric vehicles have great potential to offer future families the same comfort as today's vehicles with zero emissions and increased fuel economy." Fuel Participation - A Key to Success A unique aspect of the California Fuel Cell Partnership is the early participation of fuel providers. ARCO, Shell and Texaco all will begin exploring the possibility of providing the fueling infrastructure needed for the consumer who will purchase a fuel cell vehicle in the future. They will also provide fuels for the test vehicles. "ARCO has a proud history of developing clean transportation fuels, and is pleased to be partnering with other innovative thinkers in seeking even cleaner energy sources for the 21st Century," said Mike Bowlin, Chairman and CEO of ARCO. Jack Little, President and CEO, Shell Oil Company, said, "Shell is most pleased to be a founding partner in this fuel cell demonstration program and help advance the implementation of cleaner vehicles and cleaner fuels in California. Shell is the leading international energy company in the supply of alternative clean fuels. We have committed $500 million to the development of renewable energy worldwide and have established a Shell Hydrogen organization to ensure that we have a leading role in the emerging opportunities presented by hydrogen power." "Joint industry pursuit of solutions to the unique challenges of fuel cell technology will bring the most effective and swift results. Through the formation of Texaco Energy Services, we plan to apply Texaco's leading edge expertise in fuel processing and global marketing of fuels to the new growth business of integrated fuel cell energy systems," said William M. Wicker, Senior Vice President of Texaco Inc. Fuel Cell Potential Fuel cell vehicles have the potential to compete with conventional cars in passenger space, performance, driving range, safety and cost. In addition, they will provide good fuel efficiency and lower noise, vibration and air emissions than vehicles powered by internal combustion engines. This combination makes fuel cells the most likely alternative technology to power the vehicles of the next century. For more information, please contact any of the following company representatives for interviews with the spokespersons listed below, or visit the Partnership's website: http://www.drivingthefuture.org. Questions And Answers - California Fuel Cell Partnership April 20, 1999 - Sacramento, California Q & A for Media, Public, and Website Distribution The California Fuel Cell Partnership makes California home to a unique collaborative of auto manufacturers, oil companies, a fuel cell company, and the State. This partnership will advance and evaluate a new automobile technology that could move the world toward practical and affordable environmental solutions. For the first time ever, automobile companies and fuel suppliers will join together to demonstrate fuel cell vehicles under real day to day driving conditions. The Partnership will place about 50 fuel cell vehicles -- cars and buses -- on the road between 2000 and 2003. In addition to testing the fuel cell vehicles, the Partnership will also identify fuel infrastructure issues and prepare the California market for this new technology. More information is available through the Partnership's website: http://www.drivingthefuture.org. 1. What types of vehicles will be demonstrated? A. The project will demonstrate fuel cell electric passenger cars and transit buses. The passenger cars may include DaimlerChrysler's NECAR 4 and Ford Motor Company's P2000 Prodigy. 2. How did this project come about? A. The project was developed cooperatively between the companies and government. It arose both from the request of ARB for a demonstration program and the fuel cell alliance's (between Ford/DaimlerChrysler/Ballard) interest in publicly investigating the feasibility and market potential of fuel cell technology. Fuel companies have joined since the availability of fuel is a key precondition for market entry of fuel cell vehicles. 3. Where will the vehicles be located? A. The transit buses will be located at one or more transit agencies. The project partners are in the process of obtaining transit partners for the project. The passenger cars will initially be operated by the manufacturers in several California locations. They will be tested under normal road conditions, both city and highway. 4. What is a fuel cell? A. A fuel cell is an electrochemical device that produces electricity efficiently, silently and without combustion. Hydrogen fuel (which can be obtained from methanol, natural gas or petroleum products) is combined with oxygen (from air) to produce electrical energy. 5. What is the difference between a fuel cell and a battery? A. Fuel cells and batteries are similar as they both deliver electrical power from a chemical reaction. However, in a battery, the chemical reactants are stored within the battery, are used up during the reaction and the battery must be recharged or thrown away. In a fuel cell, the reactants are stored externally to the fuel cell, so it will keep producing electricity as long as reactants (fuels) are delivered to the fuel cell. Therefore a fuel cell vehicle is refueled instead of recharged. 6. What is a fuel cell engine? A. Think of the fuel cell as the engine block in your car. As in the internal combustion engine, the fuel cell requires other systems to make it a complete energy source, including air, fuel and control systems. In a fuel cell vehicle, when using a fuel other than hydrogen, a fuel processor is required. An electric drive system, which consists of a traction inverter, electric motor and transaxle, converts the electricity generated by the fuel cell system to tractive or motive power to move a vehicle. 7. What are the maintenance costs of a fuel cell propulsion system? A. Real-life operating data is required to determine these figures, however, with substantially fewer moving parts; it is anticipated that maintenance costs will be lower than current ICE engines. Significant operating data from this vehicle demonstration as well as ongoing transit bus demonstration programs in Chicago and Vancouver will assist in determining maintenance requirements. 8. What are the operational costs of a fuel cell propulsion system? A. Operating costs will largely depend on the cost of fuel. Given the high efficiency of a fuel cell, costs could be low. This program will provide valuable information in selecting the most appropriate fuel for commercialization. 9. What further steps are required in the commercialization of fuel cells? A. Four major goals need to be achieved to commercialize fuel cell engines for automobiles. The first is to refine the development and size of the engine so that it can operate on a liquid fuel and not take away from the passenger and cargo space of the vehicle. The second is to reduce the cost of the fuel cell engine so that it is competitive with today's ICE. The third is to develop the manufacturing processes that will be required to produce fuel cells and fuel cell engines in automotive volumes. Depending on the choice of fuel, infrastructure investments will have to be made to support widescale introduction. 10. What are the environmental impacts/benefits of a fuel cell vehicle? A. Fuel cells emit little or no pollution, can provide increased fuel efficiency compared to ICEs, are compact and powerful, and provide rapid response to frequent power demands. They have the potential to be durable and easy to maintain. When a fuel cell electric vehicle is operated using hydrogen stored directly on-board, the vehicle produces zero emissions with only water as a by-product. Using methanol fuel and an on-board reformer to produce hydrogen results in zero emission of oxides of nitrogen and carbon monoxide and extremely small emissions of hydrocarbons. Very low emissions would also be obtained using gasoline and a gasoline reformer. These emissions are significantly less than those produced by today's conventional ICE vehicle. Fuel cell vehicles also have the potential to produce less greenhouse gases because of increased energy efficiencies. 11. How do fuel cell electric vehicles fit into the California Air Resources Board Zero-Emission Vehicle program? A. This is a voluntary program which aims to begin readying the market for FCEVs. Fuel cell electric vehicles are considered ZEVs if they are fueled with hydrogen that is stored on-board the vehicle. Fuel cell electric vehicles that use liquid fuels with an on-board reformer can have extremely low levels of emissions, and therefore can qualify for partial ZEV credit. 12. Is hydrogen a safe fuel? A. Like all fuels, hydrogen has energy and needs to be treated with respect. Because hydrogen is lighter than air it disperses very quickly. Hydrogen fuel cell vehicles will be built to provide the same level of safety as conventional vehicles. 13. Isn't it unusual for you to be working so closely together? A. Introducing such an entirely new technology requires great know-how and resources. By pooling our forces, we can accelerate and improve the development process. We have a shared vision on the potential of fuel cells as a practical solution to California's environmental issues and similar issues around the world.