Can US automakers survive the hybrid revolution?

We've come a long way in the last 10 years

Hybrid revolution. Some don't believe in such a thing. They believe that hybrid vehicles are a gimmick. That other technologies, such as EVs or fuel cell vehicles, are the real solution. Forget that Toyota is developing its fuel cell vehicles and hybrids around the Hybrid Synergy Drive - that Toyota's fuel cell vehicles will be fuel cell hybrid vehicles. Or, forget that many consumers might forever prefer a plug-in hybrid vehicle over an electric vehicle for any number of reasons.

Furthermore, I'd bet that within just 10 years most automobiles sold in the US will at least be mild hybrid vehicles.

Thus, the reality of the hybrid future isn't a question in my mind. It's a fact. The question I have is, can US automakers survive the hybrid revolution? The US automaker with the most aggressive - at least publicly - hybrid plans, GM, is bleeding billions by the quarter. Can GM afford to go hell bent for leather at fuel economy? Likewise, can GM and other US automakers afford not to?

Will the Big 3 still be here in 10 years, or will it be more like the Big 2? The Big 1?

Why not? Methanol fuel cell plug-in hybrids

Better than hydrogen?

Fuel cell stacks are shrinking. Lithium-ion batteries are getting lighter and more powerful. This combination alone means the need for hydrogen to power fuel cell vehicles is shrinking. Of course, where are the hydrogen pumps?

Already, automakers, such as Ford, are exploring hydrogen infrastructure gaps with plug-in hybrid functionality by developing plug-in fuel cell hybrid prototypes. This enables such a vehicle to use both hydrogen and electricity for power. Yet, what if hydrogen could be replaced with a fuel like methanol that not only can utilize a fuel cell, but also work within the current refueling infrastructure of America?

While many, including this writer, have consistently questioned biofuels, particularly ethanol, methanol seems to have some distinct advantages over other biofuels. Off the bat a fuel cell could double the efficiency of methanol. Add hybrid technology and another 30 percent in efficiency is achieved. Add plug-in functionality and little methanol would ever be needed, except for long trips, day-time refueling or other periods of high electricity costs.

Automakers are going to pursue biofuels, fuel cells, hybrid vehicles and EVs regardless of whom becomes the next President. Shouldn't the synergies of these technologies also be pursued?

FastMoney picks Toyota FCVs over Honda's

The new standard in fuel cell vehicles?

A year ago or so I thought that GM was the leader in fuel cell technology. However, in the last year, Honda has really kicked it up a notch with the latest iteration of the Honda Clarity. Yet, on FastMoney last night, Pete Najarian claimed that, just as with hybrid cars, Toyota would surpass Honda and everyone else with its fuel cell hybrid vehicles.

Recently, Honda pinned its technological future to cheap hybrids and fuel cell vehicles, completely dismissing plug-in hybrids and EVs, at least for now. Has Honda lost its technological edge in some way?

Toyota doubles range of fuel cell hybrid

Twice as much range as this FCHV

Toyota's latest fuel cell hybrid vehicle is now achieving a range of 516 miles compared to a previous range of 205 miles according to the AP. Additionally, the new fuel cell hybrid is able to start and run in weather as cold as -22 degrees, an important benchmark for fuel cell vehicles, which haven't run well in cold weather in the past. Toyota will begin leasing the new fuel cell vehicle in Japan later this year.

No respect: Fuel cell hybrid vehicles?

Honda's sad solar-powered fuel cell fantasy?

I'm a big fan of hybrid vehicles. Not long ago, however, I wasn't much of a fan of mild hybrids. Recently, the Chevy Malibu hybrid eased my case of mild hybrid angst, especially when coupled with GM's plans to soon make these BAS hybrids lithium-powered.

Now, it seems only fuel cell hybrid vehicles receive less respect than mild hybrids. Even GM's own, Bob Lutz, has announced his preference for plug-in electric vehicles over fuel cell vehicles, despite the billions GM has invested in fuel cell technology. On the other hand, Honda, the world's most efficient automaker, is aggressively and confidently moving ahead with fuel cell hybrids.

Obviously, there are huge technological obstacles to cost-effective fuel cell hybrid vehicles, but at one time the technical obstacles of reaching the moon seemed even more insurmountable. And, like the moon missions, striving towards fuel cell technologies has resulted in many technological insights, revelations and developments that have advanced electric drive trains and lithium batteries.

Big dreams breed innovation. Aren't fuel cell hybrids a big dream worthy of investment if not just to push the technological envelope?

Honda's bringing fuel cells home

Honda's plan to bypass the hydrogen highway?

There are now 2,200 homes in Japan that use fuel cells to convert natural gas into electricity and hot water. By 2020, Japan hopes to have one quarter of its homes powered by fuel cells (MSBNC). Who cares? Companies like Honda are planning to develop the fuel cell vehicle, such as the Honda Clarity, on the backs of similar home fuel cells.

Here in the US, decades of fuel cell promises have created fuel cell-haters, yet Japanese automakers are moving forward with fuel cell cars as if there is NO question fuel cells are the future, and home fueling stations appear to be a key to that future?

US automakers are already chasing Japan's hybrid cars. Are we going to chase their fuel cells, especially their home fuel cells as well?

2030: Fuel car cars powered by oceanic gardens?

Cheap, common fuel cell vehicles by 2030

Reasonably priced fuel cell vehicles should be available by 2015 and become cheap and common around 2030 according Nabil Kassem, professor at Stockholm's Royal Institute of Technology (KTH).

According to AutoBlogGreen, "Prof. Kassem stated that fuel cells are the most promising technology for our energy future, a future some call the Hydrogen Society. He not only envisions hydrogen in cars, but believes that fuel cells will have applications in micro power plants, household appliances, and in heating and air conditioning units. On the issue of cost, Kassem said that the moment hydrogen starts being produced on a large scale, it will become cost competitive. How will we obtain it? Kassem referred to a Japanese project that wants to create "oceanic gardens" where solar energy would be used to create electricity and then hydrogen."

Hybrids delaying fuel cell vehicles, other technologies?

The fuel cell killer?

The Motor Authority is reporting and backing up a report coming out of France that claims that hybrid vehicles are blocking fuel cell vehicles and other technologies. In addition, Motor Authority claims that clean diesel is much more fuel efficient than the Toyota Prius. Apparently, there are Prius-sized vehicles in France that achieve over 70 mpg in the worst stop-and-go traffic in Paris?

Likewise, it seems that America's hydrogen highway could be filling up tens of millions of fuel cell vehicles, the Motor Authority believes, if not for hybrids like the Prius. Oh, that's right, there is no hydrogen highway. And, let's forget that much of the electronics powering Toyota's fuel cell-killing Hybrid Synergy Drive also powers Toyota's FCVs. Isn't that odd?

Honda at NAIAS: Visionary or confused about fuel cell vehicles?

The Honda Clarity Fuel Cell Vehicle next to the Home Fueling Station

When it comes to hybrid cars, currently, there are just two players: Toyota and Honda. Yesterday, I covered my irrational disappointment with Toyota (more). Today, I'm going to cover my disappointment with Honda.

Unlike Toyota, Honda has nothing to lose and everything to gain when it comes to hybrids, and Honda plans to soon challenge the Toyota Prius with a new hybrid. So, was this new hybrid at NAIAS? No. Instead Honda's loud and clear message was about fuel cell vehicles. Read more....

Romney wants to save US auto industry

Not bashing Detroit

After winning the Michigan primary Mitt Romney said he was going to save the US auto industry by "substantially increasing our investment in basic science and research, particularly in energy technology, fuel technology, automotive and material science technologies" (See the video).

Yet it seems the science and technology is largely available, it's making it happen that's key.

Hybrid cars, plug-in hybrids, electric vehicles, clean diesel, cellulosic ethanol, and lightweight materials are here today, it's making these technologies cost effective that's the problem. In order to do that economies of scale are probably the most critical factor. Unfortunately, Mr. Romney doesn't seem to address this issue.

Of course tax subsides and incentives might work, but it seems a gas tax is the easiest path forward, yet not one candidate running for President will touch such an idea with a 1000 foot pole.

My prediction: It doesn't matter one bit who becomes President, foreign oil dependency is tightening its grip around America's neck and the grip is only going to get tighter, much tighter. Too many Americans and EVERY single candidate for President can't handle the truth of artificially low gas pump prices and foreign oil dependency. So get ready to start choking.

Honda focused on fuel cell vehicles not electric vehicles

A Honda fuel cell vehicle filling up at a solar-hydrogen station

Yesterday, President Takeo Fukui told Jiji Press that Honda was going to focus on fuel cell vehicles instead of electric vehicles because "Honda has no plan to develop automobiles that can be used only in limited areas."

Citing overseas markets, short travel distance and recharging times Honda does not believe that short range electric vehicles provide an attractive solution worldwide.

Within 10 years Honda believes it could be mass-producing fuel cell vehicles, once an infrastructure for hydrogen fueling stations is resolved. To address that problem, Honda is focusing on home fueling stations that convert natural gas into hydrogen.

Recently, Honda showed off the second generation Honda Clarity FCX at the LA Auto Show, and the company plans to begin leasing a limited number of these fuel cell vehicles in 2008.

Why the Chevy Volt will succeed

It really is more than just a hype machine!

I'm not sure that there has ever been a concept vehicle that has resulted in more PR and hype than GM's Chevy Volt plug-in.

For instance, despite the fact that GM received the first and only lithium battery pack for the Chevy Volt just a few weeks ago, David Kiley of Business Week has already claimed that the Volt is "miles ahead" of Toyota and Honda. Yet, today there isn't one single Volt prototype that utilizes ANY of the potential Volt battery packs. There is still the potential - which will only be found in real world testing - that the battery packs currently planned just won't work.

Crazy!

But there is a change brewing in the world and I've been in a crazy sort of a mood since the LA Auto Show. Actually this current streak of insanity dates back a few weeks before the LA Show. That's when my belief in the automotive revolution changed, and I've since been reevaluating all my beliefs. Finish.....

Hydrogen Economy: Where's the buzz?

FCV's: Too much of a threat to the military-industrial Iron Triangle?

Fuel cell vehicles, such as the Chevy Equinox FCV, Honda FCX Clarity, and Toyota FCHV, captured a pretty big chunk of the spotlight at the LA Auto Show this year, but nobody really seemed to care.

Sure, fuel cell vehicles are expensive and there isn't yet a hydrogen infrastructure. In reality it would take 10's of billions dollars to kick start the hydrogen economy and to create enough tax incentives to make fuel cell vehicles affordable for consumers.

With such high costs, why not just focus on plug-in hybrid vehicles and pure electric vehicles anyway, the consensus seems to be saying these days.

How sad. How embarrassing for a country that used to be the world's leading auto manufacturer and technological leader. Does America have any future beyond consumption? Finish....

Is the Chevy Volt "miles ahead" of the Prius?

This Prius by Hybrids-Plus achieves more than 100 mpg, today

I just finished reading David Kiley's BW article, GM's Plug-In Push, which opens, "General Motors is developing a plug-in hybrid technology for its Chevy Volt that is miles ahead of Toyota and Honda."

Really?

I heard the same such sentiment several months ago regarding GM's hybrid vehicles, which many have called more advanced and more sophisticated than Toyota's hybrids such as the Prius. Perhaps, but still I have asked, what are the costs of GM's technology, will it be sold in a package that consumers want at a price they are willing to pay? (Finish)

Why hybrids are more important than diesel

The hot Mercedes diesel hybrid at the LA Auto Show

I just finished posting a comment to the Kicking Tires story regarding the Rand study which calls hybrids and clean diesel more beneficial than ethanol. Kicking Tires, however, focused on an element of the Rand study (earlier post) which, according to Wired Magazine, suggests diesel vehicles are better than hybrid cars.

Whether the world likes it or not, the world will eventually move beyond oil. As both diesel and gasoline require oil, both diesel and gasoline are dying fuels. So, how can diesel be a solution for the future? Are we going to start using tar sands that will make today's pollution seem like the good old days (1980s) of clean air? Please. (Finish)

Honda's visionary approach to fuel cell vehicles?

The key to Honda's green future?

Honda is a pretty cool company. Not only does Honda make some of the most fuel efficient vehicles - fleet wide - in the industry, they also make some pretty cool jet airplanes. Even more interesting, however, Honda now makes next generation solar cells.

Why would an automaker make solar cells?

I'm sure there are many reasons that Honda might make solar cells, but one interesting reason showed up at the LA Auto Show. (Finish)

Lease a Honda Fuel Cell Vehicle

Lease one in the Summer of 2008

Back in January at NAIAS, the Honda FCX fuel cell vehicle was one of the hottest-looking vehicles at Detroit's Auto Show. At that time, however, a hydrogen fuel cell vehicle just seemed too far into the future for me.

At this year's LA Auto Show, Honda took a big step into the future announcing that the Honda FCX Clarity fuel cell vehicle will be offered for lease in the summer of 2008. For $600.00 per month - including maintenance and collision insurance - customers will be able to lease a an FCX Clarity for a term of 3 years

To start, you'll probably have to live in the greater Los Angeles ares, where hydrogen and fuel cell servicing facilities exist. Unfortunately, until the hydrogen highway is extended, fuel cell vehicles will be very limited.

My Second Equinox Fuel Cell Drive

This car kicks ass in LA traffic

I was able to take my second test drive of GM's Chevy Equinox fuel cell vehicle yesterday, and I have to say that all those writers that have focused on the 12 second 0 - 60 of this fuel cell vehicle just don't get it.

First, from 0 - 40 this car hauls ass. What more do you need in city driving? Second, the smooth seamless transmission, or lack thereof, makes the electric drive worthy of a slower 60 - the acceleration is just so smOOOth. Third, this vehicle is built on old fuel cell technology. The next generation of GM fuel cell technology will be lighter and more powerful, as will the battery. So, this car will see faster 60 times and better range.

GM's fuel cell vehicles will, as according to GM's plans, be ready by 2010. Will they be cost-effective? Will the hydrogen highway exist? Those are the real questions regarding GM fuel cell vehicles.

Hybrid Tax Credits & The Hydrogen Highway NOW

How Congress can empower America with an Energy Revolution

Global warming, foreign oil dependency, oil company profits, and especially CAFE are very common and important topics discussed regularly by many in Congress. Even Presidential candidates are one-upping each other with their CAFE plans.

Similarly, many environmental groups have also been particularly focused on CAFE. Yet, sadly, even the most stringent plan in Congress is going to do little to significantly affect either global warming or foreign oil dependence based upon America's history of year-after-year of increased fuel consumption.

And the other favorite of Congress, corn-based ethanol, might even be less effective than CAFE, or even harmful.

America needs an energy paradigm change, an Energy Revolution! (Finish)

Air Products continues push towards hydrogen economy

A Toyota fuel cell hybrid vehicle

Air Products has added the 5th hydrogen fuel station in Korea, making Korea - home of Hyundai - only second to the U.S. in total Air Product hydrogen fuel stations. Worldwide, Air Products has now built 70 hydrogen fueling stations in 12 countries, including 20 in the U.S.

Can the hydrogen economy and fuel cell hybrids ever become reality without serious help from the government?

Both Democrats and Republicans have done a lot of talking about foreign oil dependency and global warming, yet few have discussed the hydrogen economy. However, can great change to the current energy paradigm be achieved without embracing the hydrogen economy and fuel cell hybrid vehicles, such as the one pictured above (aside from going nuclear)?

Are utility companies afraid of the hydrogen highway?

Fuel cell cars: The greatest fear of power companies?

I've long been a huge fan of hybrid cars and, especially, of plug-in hybrid vehicles. For the last several years, I've believed that plug-in hybrids made fuel cell vehicles and, more important, the hydrogen highway irrelevant to a new energy paradigm. In fact, I started to believe that the hydrogen highway was the quickest path away from a new, clean and green energy paradigm.

Lately, however, I've been buying into the hydrogen economy, and I'm starting to wonder if utility companies and some of their plug-in hybrid-supporting friends are fighting against the hydrogen economy for all the wrong reasons. (Finish)

Daimler purchases fuel cell company?

Daimler ramps up fuel cell efforts?

Daimler has agreed to purchase Ballard Power Systems' automotive fuel cell division according to Reuters.

Few details have been released about the deal, but an announcement is expected some time this month. However, Ballard has responded to this story by claiming that a deal has NOT yet been finalized, but that the fuel cell company is in negotiations with both Daimler and Ford.

Time to jump start the hydrogen highway?

A fuel cell vehicle being filled with hydrogen

$10 - $15 billion. Sounds like a huge sum of money, doesn't it? Too much for the government to jump start the hydrogen highway, right?

Well, let's add a little perspective.

In 2006, ethanol subsidies reached $8 billion dollars, and within 10 years those subsidies could reach $25 billion per year (more). Even ethanol subsidies, however, are chump change. (Finish: Hydrogen Highway)

Hydrogen fuel cells versus battery electric vehicles

Are battery electric vehicles just as compelling as hydrogen fuel cell vehicles?

That's the argument that Gizmag makes for BW in the article, Is Hydrogen the Answer to Our Future Transport Needs?

A number of years ago, I thought I was going to become a disciple of the hydrogen economy, but the more I read about fuel cell cars, let alone the missing hydrogen highway, the more I felt that fuel cell vehicles were just a delay tactic to real fuel economy.

Thus, I embraced hybrid vehicles and the future of plug-in hybrid vehicles, which I have believed could make fuel cell vehicles, and the hydrogen highway, unnecessary. Lately, however, I am having second thoughts. (Finish: hydrogen versus electric)

Honda sees hybrid, fuel cell future

Not so sure about plug-in hybrids

By 2009, Honda will make a significant push into the hybrid vehicles market, greatly expanding hybrid production. The cornerstone of that production increase will be based upon a new family hybrid that will cost less than $2,000 more than a conventional vehicle.

Finish: Honda's hybrid future

Project Driveway: GM's real world fuel cell vehicle test

First large-scale market test of fuel cell electric vehicles

GM is launching the largest fuel cell electric vehicle fleet into the hands of regular people everywhere. O.K., not everywhere, but in LA, New York City, and Washington, DC, although this program will probably spread to other locations where hydrogen is available.

For three months, regular people will replace their current vehicle and, instead, drive a Chevrolet Equinox fuel cell vehicle.

The Equinox fuel cell vehicle is road-ready and expected to meet all applicable 2007 Federal Motor Vehicle Safety Standards. The Equinox also includes many safety features such as driver and passenger frontal air bags and roof rail side-impact air bags; anti-locking braking system (ABS); StabiliTrak stability enhancement technology and OnStar.

Thus, Equinox fuel cell drivers are not signing up for some crazy, dangerous experiment.

This test will go on for the next few years, as GM monitors these fuel cell drivers, noting their likes and dislikes and, of course, any technical problems. By 2010, if all goes well, GM is hoping that it could start selling next generation fuel cell vehicles at the same cost as gasoline-powered vehicles, and Project Driveway is meant to help achieve that goal.

GM demonstrates hydrogen fuel cell vehicle success

A shining example of fuel cell reality

Not more than a couple of months ago I was certain that hydrogen fuel cell vehicles were a boondoggle. Even if all the problems with fuel cell vehicles could be overcome, I believed, costs would still be too prohibitive to make such technology cost-effective.

And, then there is the hydrogen highway.

Yesterday, I test drove GM's Chevrolet Equinox fuel cell vehicle, and now everything has changed. Finish: GM's fuel cell reality

Test driving a fuel cell vehicle

The best hybrid vehicle?

I love hybrid cars, and the best hybrid car would be a fuel cell hybrid car.

Will fuel cell vehicles ever make sense? Will they ever be cost-effective? What about the hydrogen highway?

I've been hanging out with GM's fuel cell crew, and I have to say, they certainly believe that fuel cell vehicles make sense, and a lot sooner than you can believe. I'll have much more to say about that later.

Right now, I have to get ready to go drive a fuel cell vehicle.

By what year will fuel cell hybrid vehicles be produced?

Will fuel cell vehicles ever be a reality?

I know a few environmentalists whom both love hybrid cars and think fuel cell vehicles are a stupid idea.

Can you blame them? To some extent, fuel cell vehicles have driven America into greater and greater foreign oil dependency as fuel cell R&D was used to justify denying CAFE increases. Yet, after decades of promises, it appears mass-produced, cost-effective fuel cell vehicles might still be decades away. (Finish)

Washington doesn't give "a damn about Detroit"?

Reap what you sow?

This morning Angus Mackenzie wrote on his blog, "The main difference between the Japanese and American auto industries is that the Japanese government does what it can to help its automakers succeed, whereas in Washington, no-one gives a damn about Detroit."

Is this true? Is this a new or old phenomenon?

Since the 1970's there has been growing concern regarding foreign oil dependency. Thus, the last 5 or 6 Presidents have stated that America needs to do something to end foreign oil dependency to protect National security. For decades, however, U.S. automakers lobbied Congress to minimize any fuel economy regulations because such legislation might slow fuel cells - which have now been just around the corner for the last 3 decades. Yet, cost effective fuel cells and a hydrogen highway might still be decades away from cost-effective reality.

In the 90s, U.S. automakers were each given 100s of millions to develop the next generation of fuel efficient vehicles by the Clinton Administration. What did America receive in return from U.S. automakers for this investment of tax payer dollars?

Record sales of the biggest gas-guzzling , foreign oil dependency-increasing vehicles as Honda launched the Honda Insight hybrid and Toyota launched the Toyota Prius hybrid.

Today, America is bent over an oil barrel, and America's foreign oil dependency problems are certain to get far worse before they get better. Thus, can Detroit really blame Washington and America for being a little disappointed?

Indian automakers chasing green

Tata Motors: Tomorrow's green leader?

"Indian vehicle makers are joining the global race to make less-polluting greener vehicles, teaming up with international firms and pouring money into research that could result in commercially viable technologies quickly," Reuters claims this morning.

Bio-fuels, hybrid cars, fuel cells and more. India's emerging automakers are thinking big, and they are thinking green.

American automakers, pay attention. Years of declining U.S. marketshare have been balanced by Europe, Asia and emerging markets. Even worse, the future for U.S. automakers seems pinned to China and India - markets where local automakers are fiercely trying to catch up to the big boys of the auto world.

Once, the Big 3 laughed off the challenge of Japanese automakers and compact cars. Will U.S. automakers make the same mistake again regarding hybrid cars and other fuel efficient and green technologies?

Fuel cell assisted hybrid vehicles?

Forget fuel cell vehicles, think fuel cell assisted?

"Versa Power Systems, Inc., a leading developer of environmentally friendly Solid Oxide Fuel Cells (SOFC) that generate clean electricity in compact form for a range of applications, today announced that a bench-top study of its technology in combination with an advanced battery validated the performance of a hybrid engine under conditions simulating the rigors of a commercial truck's operation."

Imagine plug-in hybrid vehicles with small fuel cells to extend the range of such hybrid vehicles. They wouldn't require a hydrogen highway, and they would be far cheaper than a fully hydrogen powered fuel cell vehicle. Oh, yeah, and they could wipe out foreign oil dependency.

Are plug-in hybrids the key to fuel cells?

Forget fuel cell cars?

GM is once again on the fuel cell crazy train.

"After years of intensive research and development, General Motors Corp. says it now is ready to concentrate on finding a way to produce hydrogen fuel cell powered vehicles for the mass market." (more)

Haven't they been doing this for decades?

While GM has achieved impressive results with fuel cell vehicles, the costs of this technology are still astronomical, and then there is still that little problem - the hydrogen highway. Where is it?

Thus, might not plug-in hybrid vehicles be the key to fuel cells? Couldn't a small fuel cell increase the performance of such hybrids, while making fuel cells significantly smaller and significantly cheaper?

Today, aren't full fuel cell vehicles a great R&D exercise, but PR nonsense?

Hybrid vehicle battery wars?

Not your father's battery

Many call hybrid cars an interim technology to the hydrogen economy, to fuel cell vehicles or to pure electric vehicles. Much like Toyota, I believe the hybrid powertrain is the future, not some temporary technology.

For starters, hybrids make hydrogen powered vehicles more efficient. Hybrids could integrate smaller, therefore cheaper, fuel cells into automobiles - making fuel cell vehicles much more cost-effective. Hybrids can also extend the range of electric vehicles, while also providing a plethora of fuel options to electric vehicles when electric power is either unavailable or more expensive than an alternative fuel.

Nonetheless, whether hybrids are just an interim technology or not, the key to the hybrid future, as well as the key to these other alternative vehicles, is significantly influenced by battery development, particularly lithium-ion batteries. Thus, the flurry of news regarding.... (Finish hybrid vehicle battery wars)

GM Sequel hits 300 mile fuel cell mark

300 miles on one tank of hydrogen

"With this drive, General Motors has reached another important milestone toward the commercialization of our fuel cell vehicles, by achieving the range expected by today's consumers," said Larry Burns, GM vice president, research & development and strategic planning. "And we did it while producing zero emissions, as a hydrogen fuel cell vehicle only emits water. In addition, the hydrogen produced at Niagara Falls, used to fuel Sequel, was derived from hydropower - a clean, renewable resource. This means that the entire process - from the creation of the hydrogen to the use of the fuel in the vehicle -- was virtually carbon dioxide free."

While an important fuel cell milestone, GM - and all automakers - still face another monumental obstacle regarding fuel cell vehicles: where will the hydrogen come from?

Then there is the cost of these vehicles, and we're not just talking fuel cell costs. Brake-by-wire, wheel hub motors, lithium-ion batteries, advanced aluminum framework - all of these are not standard, production ready systems. So, even if a hydrogen highway, or some other fuel network can be developed, it might still be decades before such vehicles cost less than $100,000 per vehicle.