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The IRA will let the market decide and dictate how the hydrogen economy will grow,” Marsh concluded

The Infrastructure Investment and Jobs Act also includes $1 billion for a Clean Hydrogen Electrolyse Program that will reduce the cost of green hydrogen, and the Department of Energy’s Hydrogen Shot program is working to reduce the cost of green hydrogen from $5/kg to $1/kg.

Plug also recently entered into a strategic partnership with Nikola to purchase 75 Nikola Tre FVECs to transport their liquid hydrogen tankers. Nikola claims the Tre FCEV has a range of 500 miles, and that the first units will enter Plug’s fleet in 2023.

In return, Plug will give Nikola a liquefaction system in Buckeye, Arizona to produce 30 tons of hydrogen per day, along with an agreement to supply the truck maker with 100-125 tons per day. Nikola plans to bundle the vehicle, fuel and service into one fee and has its own energy company. They have also been chased by the cost advantages that the IRA offers.

“The law is expected to provide significant benefits to Nikola through production and investment tax credits, direct wage determinations and other incentives expected to reduce the costs of hydrogen, distribution infrastructure and trucks for Nikola and our customers,” said Michael Lohscheller, president. from Nicholas. said.

Plug’s fleet customers
Marsh cites Walmart as the motivating factor for Plug to develop all of its solutions.

Walmart was the one [ons] asked to become more vertically integrated to meet their needs,” Marsh recalled. In order to choose Plug as their hydrogen supplier, the chain retailer wanted hydrogen fuel, fueling stations and aftermarket service, Marsh continued.

Amazon has also signed an agreement with Plug for 30 tons of green hydrogen per day or 11,000 tons per year.

He also said Plug is developing charging stations for electric vehicles powered by fuel cells.

This is enough fuel to power 30,000 forklifts or 800 heavy trucks annually.

“We already have more than 70 fulfillment centers equipped with hydrogen storage and delivery systems, enabling us to begin using green hydrogen to replace fossil fuels,” Dean Flourten, VP of Global Engineering at Amazon, said via a pre-recorded message. “And by 2025, we plan to add 20,000 fuel cell forklifts in 100 fulfillment centers.”

By the end of the decade, as Plug production grows and theoretically drops in price, much of Amazon’s fleet could rely on fuel cells.

“We are exploring and testing the use of other hydrogen applications, such as hydrogen-powered trucks and vans in our middle and last mile fleet,” Flourten said, adding that “freight is a difficult part of the logistics industry. We are decarbonizing.”

Another Plug customer, FreezPak Logistics, a New Jersey-based cold chain company, is nowhere near Amazon’s scale, but has the same end goals.

“We have decided that hydrogen fuel cells will change our businesses,” said David Saoud, co-CEO of FreezPak, who spoke at the symposium with his brother.

The company has been a Plug customer since 2014 after seeing a fuel cell forklift at a New York farmers market.

“My brother and I looked at each other like we need this thing tomorrow,” Saoud said emphatically. They now have 100.

He credits the move with giving FreezPak a clear competitive advantage, as speed is critical in cold chain transportation.

“We achieved a 100% increase in productivity,” Saoud said. “And it’s really amazing to see a forklift being charged in 90 seconds as opposed to charging a lead-acid battery which takes 10 hours.”

Additionally, when electric forklifts would reach the end of the load, they would drop from 7 mph to 4 mph, while fuel cell forklifts are more consistent.

According to Saoud, FreezPak has reduced electricity costs by almost a third since switching to hydrogen. The change also opened up 5,000 to 10,000 square feet. more storage space per facility for products previously used to store spare batteries.

“Our real estate costs about three times as much as dry storage, so every inch of that storage is very expensive,” Saoud added.

FreezPak currently has hydrogen infrastructure at three facilities, with eight more to come following a new deal with Plug. There are four facilities under construction, with another 15 possible by 2030. FreezPak will also purchase an additional 400 fuel cell forklifts.

Now Saoud is waiting for the day when the fleet’s 50 trucks can switch to hydrogen, which would significantly increase their investment, since the hydrogen infrastructure will already be in place at the facilities.

“Diesel is very expensive and the maintenance of it [FCEV’s zal] fall,” he said.

“We can use these tractors to maintain the ports,” Saoud added. “It’s huge for tax breaks because I know the ports want clean energy, like California.”

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