Fleet hydrogen interest increasing due to electric van issues, AFP says

Date: Thursday, January 25, 2024   |   Author: Sean Keywood

Some fleet operators are starting to take hydrogen more seriously as a potential fuel option because of difficulties they have encountered operating electric vans, according to the Association of Fleet Professionals (AFP).

The organisation’s chair, Paul Hollick, said that the forthcoming arrival of the Vauxhall Vivaro-e Hydrogen on the market was providing fleets with the potential opportunity to follow a multi-fuel zero emissions strategy.

However, Hollick did note that several major challenges remained with hydrogen vehicles.

He said: “Ever since I’ve been involved in the fleet industry, hydrogen has been the ‘five years from now’ solution for zero emissions. Historically, it has never been quite ready for adoption and the promise it represents of almost compromise-free travel never quite materialises. Now, however, we are seeing a handful of fleet managers – all van operators – start to take hydrogen seriously. 

“This doesn’t mean that the many complications surrounding hydrogen have gone away. For example, clean production of the fuel – known as green hydrogen – remains expensive while there are probably fewer than 15 public stations across the UK. 

“These facts in themselves present fleets with some very real, day-to-day problems to solve.”

Hollick said that issues some fleets were encountering with battery electric vans included finding that their range and payload was unsuitable for their needs.

He continued: “There are also operational issues ranging from poor towing ability through to practical difficulties such as charging out of hours. Against this backdrop, especially for businesses with strict zero emissions corporate targets, hydrogen looks like an option worth trying.”

Hollick did caution that a further potential issue with hydrogen van adoption was residual value uncertainty.

He said: “Remarketing a vehicle for which there is effectively no refuelling infrastructure is always going to be difficult. 

“It’s worth bearing in mind here the experience of Swindon, which had two hydrogen filling stations a few years ago, leading to local fleets dipping a toe in the water with available hydrogen cars. Both closed and those fleets were effectively left with nowhere to go.”

Hollick said that to become a serious national option in the UK, hydrogen really needed substantial government backing similar to the kind seen in Germany. 

 He said: “That means both support for the purchase of new vehicles and the creation of a viable national network of green hydrogen stations. 

“Our view is that when it comes to early adoption, as with electric vehicles, production availability and technology tends to follow the places where there are incentives. However, that just doesn’t look like it’s happening in the UK in any meaningful way, certainly under the current government. 

“Until then, we’ll be watching the few fleets that are actively adopting hydrogen with a high degree of interest. Some of the most prominent are AFP members and we hope to share their experiences and their developing best practice over the coming months and years.”

 



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