Hydrogen is the most abundant element in the known universe. The idea of powering society with clean fuel in the form of hydrogen was first proposed over 30 years ago. Yet a lack of timely UK government support, appropriate regulatory frameworks and other factors have contributed to the failure of several fuel cell and hydrogen companies and infrastructure initiatives since as far back as the 1990s.

Furthermore, the sacrifice of hydrogen on the altar of conventional, established energy sources and technologies has led to losses to the tune of tens of millions of pounds incurred by backers, as well as inhibiting the much touted ‘hydrogen future’.

A history of hydrogen – Zetek Power
Zetek Power or the ‘Zero Emission Technology Company’ was incorporated by entrepreneur Nicholas Abson in the late 1990s, and focused on developing and manufacturing alkaline fuel cells (AFCs) for stationary power generation, marine applications and fleet vehicles. After becoming fascinated by fuel cells, Abson secured private investment to rebuild Elenco when it entered administration, growing it from two to 250 employees at its peak, and rebranding it as Zetek, which would go on to become Europe’s largest fuel cell company of the time, pioneering AFC powered Hackney cabs in 1998.

In July of that year, Zetek launched its ‘Millennium Taxi’ in central London, with support from MPs. A motion appeared on the House of Commons website, stating: ‘That this House offers its best wishes to the Zero Emission Vehicle Company on the launch of its first ZEVCO Millennium Taxi on 30th July; notes that the zero-emission alkaline fuel cell technology by which the cab is powered reacts hydrogen and oxygen together electrochemically, not by combustion and therefore produces no noxious pollutants; gives its best wishes to ZEVCO in its campaign to introduce its technology into vehicles in the public service and captive fleet sector; and calls on the government to give its full support to this innovative technology which is at the forefront of the environmental revolution in transport.’

However, according to Steve Norris, a former Zetek Director and MP: ‘Although City Hall did recognise the value of Zetek’s work in fuel cells, support from that quarter was mainly vocal rather than material – the attitude seemed to be, “This is all very interesting but where is it leading?"… there were uncertainties about hydrogen being commercially useful given the cost of freezing and compressing it in order to transport it.’

Added to this, the company’s plans to float on the NASDAQ and New York stock exchanges were derailed by the September 11 tragedy. Technology stocks slumped, and the event caused Zetek’s lead investor, a major energy company, to pull out, followed by others. Ultimately, Zetek was unable to secure either the public or institutional investment it needed to continue to fund its R&D and operations – a major blow for the hydrogen economy. The company went into liquidation circa 2002 and was dissolved in 2009.

Cenergie UK
Cenergie UK was a fuel cell manufacturer that operated in the 2000s. Again, despite attracting much interest from private financiers, the company suffered from a lack of public funding in the UK under a Labour government, and from EU grants in France, where it operated an energy from bio-waste pilot project. Its HQ was in Dagenham, London, where it had an R&D facility making advances in non-noble catalyst development and materials technology, to produce low-cost AFCs and expedite mass manufacture.

Cenergie elicited a lot of interest from the national press, but reporting was nevertheless steered towards what Tony Blair’s government intended regarding expanding nuclear power in a bid to meet CO₂ reduction targets. Moves included the government amending planning laws to enable faster nuclear build with less scope for public opposition.

Lena Malmberg, Cenergie’s then Head of Investor Relations, recalls how it successfully attracted private investors, but that Labour’s outlook on hydrogen was a setback and how, surprisingly, she found limited R&D and grant funding support in her native Sweden.

She points out that: ‘It made sense not only to focus on fuel cells in transportation, but also look to stationary power, which Cenergie epitomised in its Total Utility Solution model for decentralised energy production. Cenergie’s fuel cell generators were modular and could be upscaled to supply an entire community. Maintenance by qualified engineers would have ensured the safety, efficacy and operation of such plants without passing the buck to the uninitiated consumer – who would be liable under an individual hydrogen powered boiler route.’

The historic failure of innovative companies such as Zetek Power and Cenergie highlights the challenges facing fuel cell and hydrogen companies in the absence of adequate government support. Overall, there is a body of evidence to suggest that the hydrogen economy would have happened much sooner had hydrogen received consistent and expeditious backing from governments, and had the public been educated as to its advantages, reinforcing what environmental activists had been warning of for decades.

Hydrogen to the present day 
In 2021, a report from the Hydrogen Council in the UK found that suitable government policies and regulations, underpinned by deep commitment to decarbonisation, play a crucial role in enabling and accelerating the growth of the hydrogen economy.

The same year, in the wake of Boris Johnson’s plan for a ‘Green Industrial Revolution’ pledging government would work with industry to generate 5 GW of green and blue hydrogen production capacity by 2030, across transport, industry and domestic power, Celia Greaves, CEO, UK Hydrogen and Fuel Cell Association, said she generally welcomed the strategy. However, she added that with the right support, a 20 GW green/blue mix could be deployed by 2030, observing: ‘The government will need to spend more than £240mn on funding the deployment of hydrogen.’ 

Not just governments, but powerful corporations that have historically been heavy emitters also have a responsibility to support sustainable solutions. That’s why Shell’s decision to close its hydrogen refuelling stations in 2022 struck a blow. It stated at the time that the installed ‘prototype tech had reached its end of life’. However, it was evident that the refuelling stations were simply not turning enough profit given the small number of fuel cell vehicles using them.

Shell had hydrogen facilities at Gatwick Airport, Cobham and Beaconsfield under operator Motive, owned by UK electrolyser maker ITM Power. The corporation had received funding through the European Fuel Cell Hydrogen Joint Undertaking (now known as the Clean Hydrogen Partnership) and the UK Office of Low Emission Vehicles (now called the Office for Zero Emission Vehicles) for all three stations. It is disappointing that despite an initial injection of funding from public and private sources, the number of hydrogen refuelling points in the UK has dwindled rather than increased.

According to Hydrogen Insight, only 11 public hydrogen refuelling stations now remain open in the UK, compared to 8,364 petrol stations and more than 57,000 public EV charging points.

It is disappointing that despite an initial injection of funding from public and private sources, the number of hydrogen refuelling points in the UK has dwindled rather than increased.

Steps forward
There is evidence of positive action, bringing hope to those who champion hydrogen as an energy carrier and fuel cell feedstock. US President Biden’s infrastructure plan includes significant funding for the development of a hydrogen economy. It includes $15bn for demonstration projects for climate-friendly hydrogen technologies, as well as funding for the development of hydrogen refuelling infrastructure.

Meanwhile, the UK’s AFC Energy’s L-series alkaline fuel cell toured the globe last year to power-up the Extreme E off-road racing team. CERES continues to perfect its solid oxide fuel cell which arose from research at Imperial College London 20 years ago. Hydrogen Utopia International (HUI) specialises in turning plastics that cannot be recycled into road fuel quality hydrogen and synthesis gas (‘syngas’) that can also be used as a low-carbon alternative to virgin fossil fuels.

Aleksandra Binkowska, CEO of HUI, comments: ‘Our unique thermochemical process is combustion free and sealed, emitting no noxious gases into the atmosphere. Our plants can be scaled from a site as compact as 1 hectare, with no unsightly chimneys. We can bolt onto existing waste management facilities. It’s a no-brainer pollution solution.’

Innovative technologies such as HUI’s circular model mitigating against both plastic pollution and climate change, bring hope for a multi-coloured hydrogen future.

At the recent World Hydrogen Summit in Rotterdam, Frans Timmerman, Executive Vice President of the European Commission, stated: ‘Europe is ready to move the hydrogen industry from niche to scale.' However, he added: ‘It is not enough to have targets. We know that we also need public financing to kickstart this market. That is why we’ve approved more than €20bn to develop a European hydrogen ecosystem.’

Encouragingly, the Hydrogen Council has just released a new report, Hydrogen Insights 2023, that tracks 1,040 projects globally, representing $320bn in direct investment between now and 2030, up from $240bn in 2022. The report highlights strong growth across the project funnel, with total investments increasing by 35% from May 2022 to January 2023.

Tom Linebarger, Executive Chairman and Chairman of the Board of Cummins and Co-Chair of the Hydrogen Council, comments: ‘It’s great to see ongoing momentum with hydrogen projects around the world. As we continue our quest to fight climate change, our focus needs to be on accelerating the action we take, right now.’

New movers, shakers and policymakers are attempting to advance the viability of hydrogen. Cutting red tape and showing faith in what could be a ‘wonder fuel’ could determine how quickly and how truly we attain net zero goals. Echoing the Latin proverb, a ‘hydrogen future’ belongs to the bold.