Commercializing fuel cells and shifting to hydrogen for motor fuel could generate 675,000 new jobs over the next 25 years, according to a study DOE sent to Congress yesterday. Jobs will be created or preserved in manufacturing and assembly, fuel production, repair, recycling, and construction, with the majority created at auto shops and dealerships.
This is encouraging news and particularly valuable in the context of our current economic anxiety. From the analysis, it’s clear that fuel cells offer substantial job creating potential. It’s also clear that the faster the transition takes place, the faster the jobs are created.
The authors analyzed two scenarios, one in which 89% of new vehicle sales are fuel cell vehicles and 5% of US power is fuel cell generated by 2035, and a second in which fuel cells account for 20% of vehicle sales and 2% of power generation. More than three times as many jobs are created in the more aggressive scenario. The study evaluated transportation, stationary and portable power sectors.
The fuel cell industry has been supporting an extension of the fuel cell installation tax credit in collaboration with the solar and wind industries, whose credits are also scheduled to expire December 31. Certainly the study supports the conclusion that credits like these have tangible value as an economic stimulus.
It’s interesting that a study done in Europe a couple of years ago reached a comparable conclusion, projecting 500,000 jobs by 2030. The Europeans, however, recognized that those countries that commercialize first will win many of these jobs early on, and they are investing accordingly via an ambitious new Fuel Cell and Hydrogen Joint Technology Initiative. It’s still an open question whether U.S. policy will keep pace.
According to the DOE report, “If U.S. companies are able to forge a lead in hydrogen technologies, U.S. global competitiveness will be fostered. The movement to hydrogen in particular could well be an opportunity for U.S. automotive firms to recapture market share lost to foreign multinationals in recent years.”
The study evaluated regional effects, and found that a fuel cell transition could produce more than 100,000 new jobs in 41 industries in the five Upper Midwest States, the traditional center of auto manufacturing.
The study, Effects of a Transition to a Hydrogen Economy on Employment in the United States (pdf available here), was ordered by Congress in Section 1820 of the Energy Policy Act of 2005, and conducted by RCF Economic and Financial Consulting, under a competitive contract. While noting the usual uncertainties, RCF called the estimate “a reasonable measure of the potential opportunities that hydrogen presents to U.S. employment. ”
One wishes that release of the report had come earlier - the data could have been useful during the months it took for final approval from OMB and DOE.
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October 2, 2008 @ 11:10 pm
Philip A. Block says...
A very good article. But, I would say that many of the people reading it are probably already cognizant of much of the information in the article. How do you get it to those people in Congress? I have written my two senators and congressman (Georgia) and dide not received anything in return but a format letter touting nuclear power (a 20th century obsolete technology). I have written Boortz, Limbaugh, Hennity, Cain, and still all I hear from them is wind (pun intended), solar, and again, nuclear power. A couple of years ago I visited my alma mater’s (a small school) electrical engineering dept. and inquired of a professor why there was no provision for a course in Fuel Cells, but one for nuclear power. I received a sarcastic answer “what about hydrogen?” and he turned and walked off from me. This, from a PhD who is a graduate of the University of South Carolina where much research on Fuel Cells and hydrogen is going on. Also, Columbia, the capital of SC is touting itself as an H2 capital. A group of scientists from the Savannah River plant has set itself up outside the government property to pursue research on H2. All this, and yet the general public is being brainwashed about everything but the one big answer, H2.
October 7, 2008 @ 5:07 pm
Richard P. Horwitz says...
My son wants to replace his house heater. It’s not an emergency, but was told it should be done in the near future. What are the possibilities of replacing the heater for the house & hot water plus electric for the entire house with an FC? Can it be done now, or is it too expensive or not feasible at this time?? This has been done in Japan.
October 7, 2008 @ 11:25 pm
Philip A. Block says...
Interesting. It is being done in England and areas of Europe and, as you mentioned, in Japan. It is the wave of the future. UTC has just expanded their energy division for the future design of buildings powered by Fuel Cells and, again, the future where most commerical buildings and shopping centers will be powered by Fuel Cells. You may check with the Dept. of Energy for further info. Also, you may check with Logan Energy, located in Atlanta, Ga., a company that specializes in installing commercial Fuel Cell units, for additional info. Sorry to say, the U.S. appears to be dragging their feet in this and other areas of Fuel Cell installation. U.S. power companies are, to my knowledge, doing little or nothing in this area. My personal opinion is that they see the handwriting on the wall that the day will come when the 20th century concept of the central power plant will be made basically obselete by Fuel Cells. That is why they want to resurrect nuclear power so they can drag out the inevitable (and get the public to pay for it) and keep THEIR little enclaves of power. One of the main arguments is cost, but scale of operation will eventually solve that. Another reason, again, my opinion, is that corporate execs. today are basically lazy, are not Thomas Edisons, and do like to venture into uncharted waters that may jeopardize their positions. Also, many engineers in the U.S. power industry do not like new technology that may force them to abandon old ideas and ways. They are comfortable with what they have, so don’t make waves. Look into it, you may get something going. Maybe an idea for a new business–installation of the units.
November 2, 2008 @ 4:27 pm
electric heater water says...
electric heater water…
Well spoken. I have to research more on this as it is really vital info….