Japanese companies aim to help build a hydrogen societyMarch 26, 2018
Japan’s hydrogen society is beginning to take form
A consortium of 11 companies have come together to help Japan realize its vision of establishing a hydrogen society. The consortium is now drawing attention to what it believes to a new investment opportunity. The opportunity involves jump-starting the construction of a comprehensive hydrogen network throughout Japan. The idea is to have investors share startup costs in order to mitigate financial risk. The problem, however, is that investing in the endeavor will be quite costly and whether or not investors will see any returns is uncertain.
New investment opportunity could help jump-start the development of new hydrogen fuel stations
The consortium aims to pool resources in order to build 80 new hydrogen stations throughout Japan over the next four years. This is only the initial goal of the new venture, however. The consortium hopes to continue building hydrogen stations through March of 2028 by adding more partners. This network of hydrogen stations would provide invaluable support to fuel cell vehicles. The Japanese government has been showing strong interest in these vehicles as they will likely form a strong foundation for the country’s emerging hydrogen society.
Japan continues efforts to achieve environmental sustainability
Japan is working to make hydrogen a very important energy source in the coming years. A hydrogen society is one that derives the majority of its electrical power from fuel cell systems. Japan believes that such a society is a viable option and could be an adequate way to achieve environmental sustainability. The major problem preventing the rapid formation of a hydrogen society is the high cost associated with fuel cells and hydrogen-based technologies. For instance, a single hydrogen fuel station costs approximately $4.7 million to develop.
Large companies are eager to see a hydrogen society take form in Japan
While the Japanese government may be unable to establish a hydrogen society on its own, there are many large companies that share the government’s interests. These companies, many of whom come from the auto industry, are eager to help build a hydrogen infrastructure in order to support the deployment of fuel cell vehicles. This infrastructure would also be used to provide the fuel needed for fuel cell systems that are being used by homeowners and businesses.