Royal Dutch Shell PLC will build seven fueling stations for hydrogen cars in California through a partnership with Toyota Motor Corp.
The stations will nudge the state closer to its goal of having 100 retail sites by 2024 where hydrogen fuel-cell vehicles can fill up. The California Energy Commission is considering $16.4 million in grants toward the stations, with Shell and Toyota contributing $11.4 million.
The Shell-Toyota partnership "shows there's a lot of interest and that the hydrogen market is poised to move forward rapidly," said Janea Scott, a member of the California commission.
Toyota plans to rely on hydrogen to all but rid its lineup of traditional-engine models by 2050. The lack of refueling infrastructure is a major hurdle to zero-emission cars catching on with consumers -- California has just 25 stations right now.
Shell already operates six hydrogen stations -- four in Germany and two in the Los Angeles area -- and will open a seventh near London's Heathrow Airport later this month.