Investors are showing strong support for hydrogen fuel cellsMarch 13, 2014
Stocks are surging for some fuel cell developers
Fuel cell stocks are beginning to surge ahead as several companies enter into ambitious and promising deals that could have a major impact on the fuel cell market as a whole. FuelCell Energy and Plug Power have been seeing a great deal of attention in the stock market recently, largely due to the moves that these companies have made in the business sector. Both companies have also been winning more government support, which has helped create a sense of certainty among investors interested in clean technology.
Demand for fuel cells is rising as the world becomes more interested in clean technology
The demand for fuel cells is on the rise. These energy systems have seen most of their attention come from the auto industry, but they can be used for much more than transportation. The telecommunications sector has been investing in the use of fuel cells for some time now, using these energy systems as both primary and backup energy providers. Fuel cells also generated some hype in the wake of Hurricane Sandy, where they were used to provide electrical power to communities that had been impacted by the natural disaster.
Fuel cell successes mimic those seen in the solar energy sector
The recent successes that the fuel cell industry has been seeing are quite similar to those seen in the solar energy sector. Companies like SolarCity and SunPower were able to attract more investor support as they became more involved with government projects and made partnerships in the business sector. With fuel cells become less expensive and more efficient, the parallels between solar power and the fuel cell industry are likely to continue.
Profitability remains a difficult goal to achieve
Commercialization and profitability has been an elusive accomplishment for the fuel cell industry as a whole. Fuel cells are expensive to produce, largely because of their use of platinum. This means that fuel cells must also be sold at a high price in order to ensure that their developers can make some sort of profit. Even the most successful fuel cell developers have yet to begin operating at a gain rather than at a loss.