Review - HR 6871 Introduced – Hydrogen Trucks

Last month, Rep Porter (D,CA) introduced HR 6871, the Hydrogen for Trucks Act of 2023. The bill would require DOT to establish a grant program to support “funding capital projects to purchase heavy-duty fuel cell vehicles and related equipment, including hydrogen fueling stations.” It would authorize $200 million per year through 2028 to fund the program.

This bill is very similar to S 648 (removed from paywall), which was introduced last March. No action has been taken on that legislation to date.

Moving Forward

Neither Porter, nor her sole cosponsor {Rep Bilirakis (R,FL)} are members of the House Science, Space, and Technology Committee, so it is unlikely that there is sufficient influence to see the bill considered in Committee. Since this legislation would increase spending and supports alternative fuel programs, it is likely to face significant Republican opposition. This bill is unlikely to be considered this session.

Commentary

While the cost of this bill is a potential political issue, the funding number is reasonable. According to one study, the cost of fuel-cell powered fright truck is between $200,000 to $600,000, so the proposed maximum funding per vehicle ($500,000) is well within that range. Assuming (for arguments sake) that the 20% cost share will go for overhead, etc., that means that if the funding were to go to just vehicles it would fund somewhere between 40 and 100 vehicles per year. Given the number of hydrogen fueling stations that will be needed to support these fleets, the number will be significantly smaller. That is not going to grow manufacturing capability very quickly.

 

For more details about this legislation, including differences from S 648, see my article at CFSN Detailed Analysis - https://patrickcoyle.substack.com/p/hr-6871-introduced - subscription required.

Review - S 648 Introduced – Fuel Cell Vehicles

Last month, Sen Coons (D,DE) introduced S 648, the Hydrogen for Trucks Act of 2023. The bill would require DOT to establish a grant program to support “funding capital projects to purchase heavy-duty fuel cell vehicles and related equipment, including hydrogen fueling stations.” It would authorize $200 million per year through 2028 to fund the program.

Moving Forward

Coons is not a member of the Senate Commerce, Science, and Transportation Committee to which this bill was assigned for consideration, but two of his seven cosponsors {Sen Hickenlooper (D,CO) and Sen Lujan (D,NM)} are members. This means that their may be sufficient influence to see the bill considered in committee. As I have mentioned with similar bills (here and here), I do not see anything other than the cost of the program that would engender any organized support. If a solution were found for the funding issue, I think that this bill would receive bipartisan support.

Commentary

While the cost of this bill is a potential political issue, the funding number is reasonable. According to one study, the cost of fuel-cell powered fright truck is between $200,000 to $600,000, so the proposed maximum funding per vehicle ($500,000) is well within that range. Assuming (for arguments sake) that the 20% cost share will go for overhead, etc, that means that if the funding were to go to just vehicles it would fund somewhere between 40 and 100 vehicles per year. Given the number of hydrogen fueling stations that will be needed to support these fleets, the number will be significantly smaller. That is not going to grow manufacturing capability very quickly.

 

For more details about the provisions of this bill, see my article at CFSN Detailed Analysis - https://patrickcoyle.substack.com/p/s-648-introduced - subscription required.

Bills Introduced – 3-2-23

Yesterday, with just the Senate in session, there were 37 bills introduced. Four of those bills may receive additional coverage in this blog:

S 646 A bill to amend the Energy Policy Act of 2005 to establish a Hydrogen Technologies for Heavy Industry Demonstration Program, and for other purposes. Coons, Christopher A. [Sen.-D-DE]

S 647 A bill to require the Secretary of Transportation to establish a grant program to support the use of hydrogen- or ammonia-fueled equipment at ports and to require the Secretary of the department in which the Coast Guard is operating to conduct a study, together with the Secretary of Energy and the Secretary of Transportation, regarding the feasibility and safety of using hydrogen and ammonia as fuels in maritime applications. Cornyn, John [Sen.-R-TX]

S 648 A bill to require the Secretary of Transportation, in consultation with the Secretary of Energy, to establish a grant program to demonstrate the performance and reliability of heavy-duty fuel cell vehicles that use hydrogen as a fuel source, and for other purposes. Coons, Christopher A. [Sen.-D-DE] 

S 649 A bill to require the Secretary of Energy to establish a hydrogen infrastructure finance and innovation pilot program, and for other purposes. Cornyn, John [Sen.-R-TX]

This is an interesting package of legislation that has obviously been coordinated between Cornyn and Coons. I will be watching these bills for language and definitions that address the security needs of any significant hydrogen technology supporting installation. Hydrogen is one of the DHS chemicals of interest that trigger a Top Screen reporting requirement. It will be interesting to see if this is taken into account in these bills.