B4: TCO for a H₂ car could compete with a traditional ICE engine if refueling stations are not under-used
- About 24 to 32% of costs are driven by fuel cells. Cost reduction will help improve FCEV cars' competitiveness.
- Today’s FCEVs have a broader range per tank than most BEV (400–600 km vs. 250–400 km). However, TCO is higher.
- Acquisition and infrastructure cost are higher.
- Utilization of infrastructure is key for competitiveness of FCEV. For example, a 200 kg H₂ station at 10% adds a marginal LCOH of $13 per 100km vs. $4 per 100 km if utilized at 33%.
- In the long term, the TCO for FCEV will be comparable with BEV, which would have by then an extended range as well.
- Consumers could also value qualitative benefits in addition to TCO, such as charging time and infrastructure deployment.
4.2 Business models – Business cases
Note: The hypotheses are detailed in the appendix. Sources: “The Future of Hydrogen,” International Energy Agency, June 2019; Kearney Energy Transition Institute analysis