Prices spiked for a KG of Hydrogen fuel overnight at this California hydrogen refueling station.
A fuel cell vehicle owner got quite the shock earlier today when she found out that his price per KG of Hydrogen gas jumped from $16.99/KG to $17.49/KG overnight at her Woodland Hills Hydrogen refueling station. And although this is the only station at the moment reporting such a price hike, I expect other stations in the SoCal area to follow suit soon enough.
Back in June, Air Products, the main supplier of Hydrogen fuel in the SoCal area, announced that they’d be hiking up hydrogen fuel prices sometime soon.
According to Air Products,
These adjustments are in response to the cost impact associated with the continued low operating rates in the steel market, increasing operational costs and delivery costs associated with specific regional supply and demand imbalances. In addition to covering increases in operating expenses, Air Products continues to make significant investments aimed at improving the reliability, security, safety, and the cost efficiency of its operations.
With Honda Clarity and Toyota Mirai owners afforded $15,000 in Hydrogen fuel allowance, most FCV owners aren’t to worried about this price hike since someone else is footing the bill. But, a couple of FCV owners who drive close to the limit of their lease agreements are worried, and in some cases, are already paying for Hydrogen fuel.
The Honda Clarity FCV has a 20,000/year mileage cap over three years. At the end of the a Clarity FCV lease, Honda expects you to return your Clarity with under 60,000 miles.
Some quick maths, with a 5.5 KG tank capacity and reported ranges hovering around 300 miles per tank (and not the advertised 366 miles) $15,000 at the earlier $16.99 KG price would only get you up to 49,440 miles. If you drove up to that 60,000 mile limit, you’d have to shell out $3,289 of your own money to get to 60,000 miles. Obviously, these numbers are only worse at $17.49/kg.
So, if you’re a Clarity owner, if this price stays at $17.49/kg realistically you could only drive up to 15,593 miles a year if you wanted to squeak under $15,000 of total hydrogen fuel used.
Mirai owners aren’t affected by the hydrogen fuel price increase as far as fuel allowance goes as they’ve agreed to a 12,000 mile yearly mileage limit for their three-year leases.
With goals of hydrogen under $10/kg posed as a possibility last year, I wonder if the price per KG will creep towards that goal or just continue to rise.