Polish Cities Rally for Hydrogen Bus Subsidies Amid Cost Concerns
Poland, Wednesday, 15 January 2025.
Poland’s municipalities urge for subsidies to counter high hydrogen costs, with $655,000/year price gap versus diesel. They claim benefits for environment and economy, highlighting a financial challenge.
The Collective Push for Support
I’ve been following a significant development in Poland’s public transport sector, where 21 municipalities, including major cities like Warsaw, Krakow, and Wroclaw, have jointly petitioned the government for increased hydrogen subsidies [1]. The letter, addressed to Climate and Environment Minister Paulina Hennig-Kloska, outlines their struggle with the operational costs of hydrogen buses [1][2]. The timing is crucial as these cities face a staggering 15.32 = $15.32 price difference per kilogram between hydrogen and diesel fuel [2].
The Financial Reality
Looking at the numbers, I can tell you the situation is quite challenging. Cities operating hydrogen buses are facing an annual cost difference of up to $655,000 compared to conventional diesel buses [1][2]. What’s particularly concerning is that many municipalities didn’t adequately account for these hydrogen costs in their initial budgets [2]. Currently, they’re forced to rely on grey hydrogen, which isn’t even environmentally beneficial [2].
Infrastructure and Future Implications
The situation isn’t all doom and gloom though. This push for subsidies could potentially benefit the broader hydrogen infrastructure development. I’m particularly interested in how this might align with the ‘Hytruck’ project [1], which aims to establish a transnational network of hydrogen refueling stations in the Baltic Sea region. However, it’s worth noting that six Polish cities are currently operating or planning to introduce hydrogen buses, while many others are wisely pivoting towards battery-electric alternatives [2].
Strategic Reconsideration
Recent developments show some operators are already reconsidering their hydrogen strategies. For instance, Polenergia H2Hub Nowa Sarzyna has decided against signing a hydrogen supply contract with the city of Rzeszow [3]. This decision reflects the growing concerns about the economic viability of hydrogen buses without substantial government support [2]. With the Polish government currently funding 90% of the capital costs for hydrogen buses [2], the question remains whether this level of subsidy is sustainable.