Shell Ends Hydrogen Refueling Operations for Passenger Cars in California Due to Supply Issues

By February 8, 2024 2   min read  (324 words)

February 8, 2024 |

2024 02 08 12 04 22

Shell Oil Products US, operating under Equilon Enterprises LLC, has announced the immediate closure of its hydrogen refueling stations for light-duty passenger vehicles in California.

This decision, attributed to hydrogen supply complications and external market factors, signifies the oil giant’s exit from the light-duty hydrogen vehicle market in the U.S.

The seven stations affected by this closure are located across California, including two in San Francisco, and others in Berkeley, Citrus Heights, Sacramento, and San Jose. This move comes after Shell previously indicated a shift away from additional light-duty vehicle fueling stations in the state, alongside the abandonment of plans to construct 48 new hydrogen filling stations despite a $40.6 million grant.

Effective immediately, the following stations will be closed permanently:

Address City State
1250 University Ave Berkeley CA
6141 Greenback Lane Citrus Heights CA
3510 Fair Oaks Blvd Sacramento CA
551 Third Street San Francisco CA
1201 Harrison Street San Francisco CA
3550 Mission Street San Francisco CA
101 Bernal Road San Jose CA

Shell’s focus now shifts towards hydrogen solutions for heavy-duty mobility and the expansion of electric vehicle (EV) charging infrastructure for light-duty vehicles. This strategic pivot aligns with broader industry trends emphasizing the decarbonization of heavy transport sectors and the growing adoption of EVs for personal transport.

The closure also reflects broader challenges within the hydrogen fuel market, including issues of supply reliability and demand. With hydrogen-powered vehicles comprising less than 1% of California’s battery-electric vehicle registrations in 2023, market dynamics have underscored the niche status of hydrogen fuel for passenger cars.

Additionally, Shell’s decision comes amidst legal controversies involving Nel, a supplier of hydrogen refueling station equipment, which is facing a lawsuit over alleged defects in its products. This backdrop of operational challenges and strategic realignments highlights the evolving landscape of alternative fuel options for transportation, with companies reassessing their investments in light of market demand, technological developments, and infrastructure readiness.

Read the most up to date Fuel Cell and Hydrogen Industry news at FuelCellsWorks


Author FuelCellsWorks

More posts by FuelCellsWorks
error: Alert: Content is protected !!