Joint Agency Staff Report on Assembly Bill 8: 2023 Annual Assessment of the Hydrogen Refueling Network in California

The Joint Agency Staff Report on Assembly Bill 8: 2023 Annual Assessment of the Hydrogen Refueling Network in California is in accordance with Assembly Bill 8 (Perea, Chapter 401, Statutes of 2013). This bill required the California Energy Commission (CEC) and California Air Resources Board to jointly review and report on progress toward establishing a hydrogen-fueling network that provides the coverage and capacity to fuel vehicles requiring hydrogen fuel that are being placed into operation in the state. 

The CEC’s Clean Transportation Program has allocated nearly $257 million in public hydrogen infrastructure primarily for light-duty vehicles. California is expected to have 130 hydrogen refueling stations by 2027 with at least 7 stations capable of fueling medium- or heavy-duty vehicles. Last year’s report expected 175 stations, but a grant recipient cancelled a 2021 grant agreement to develop 50 new stations. As of November 6, 2023, 66 stations achieved open retail status, with 4 stations opening since the last report.  

The 66 open retail stations can serve nearly 58,000 fuel cell electric vehicles (FCEVs) when operating at capacity, more than the fueling needs of 14,809 light-duty FCEVs estimated to be on the road as of September 30, 2023. However, station downtime and recent hydrogen price spikes undermine the customer experience. Of the 66 open retail stations, 12 have been offline for more than 30 days. These open stations have operated at around 60 percent of their full capacity on average, due to maintenance, equipment failures, supply chain constraints, and hydrogen supply disruptions. The CEC is acting to address each of these barriers and improve station reliability.  

The CEC estimates 130 fully operational stations will have the capacity to serve nearly 188,000 light-duty FCEVs, which is sufficient to support projected FCEVs by 2029. Auto manufacturers have delayed their FCEV deployment projections by one year partially because of the factors cited above undermining the customer experience, decreases in the station count for the planned network, and lack of robust sales in California and globally. But there are new signs for hydrogen station development in the European Union, which harbor the potential for increased global FCEV sales. CEC and CARB staffs intend to continue evaluating the FCEV market as it evolves.