In a strategic move towards sustainability, Amazon is set to embark on a venture to produce its own hydrogen fuel to power vehicles at its fulfillment centers.
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A worker drives a fork-lift as goods are stored at the Amazon electronic commerce company's logistics center in San Fernando de Henares, near Madrid, on the eve of "Black Friday", on November 24, 2016.
Making Own Hydrogen to Power Vehicles
Amazon is gearing up to initiate the production of hydrogen fuel within its fulfillment centers, as reported by The Verge. The utilization of hydrogen in Amazon's warehouses is aimed at providing a cleaner-burning alternative to traditional fossil fuels.
Teaming up with hydrogen company Plug Power, the retail giant is set to implement its inaugural electrolyzer, a device designed to split water molecules for hydrogen production, at a fulfillment center situated in Aurora, Colorado.
The electrolyzer's primary role will be to generate fuel for approximately 225 forklift trucks stationed at the site, with the potential to extend its capacity to fuel up to 400 hydrogen fuel cell-powered forklifts, according to Plug Power.
This marks Amazon's inaugural attempt at on-site hydrogen production, and indications suggest that this move is just the beginning of a broader initiative.
Asad Jafry, Amazon's director of global hydrogen economy, stated that the introduction of on-site hydrogen production is expected to significantly enhance energy efficiency for specific locations and facility types.
As Jafry highlighted in a recent press release, he emphasized the pivotal role of hydrogen as a tool in Amazon's comprehensive strategy to achieve the decarbonization of its operations by the year 2040.
However, the actual environmental advantages remain challenging to quantify and are contingent upon the strategies adopted by policymakers and corporations like Amazon in shaping the hydrogen supply chain.
Facing Challenges
Hydrogen stands out as an environmentally friendly option due to its combustion process, which results in water vapor instead of greenhouse gas emissions. This characteristic has garnered attention from companies and governments striving to align with climate objectives.
Despite its potential, a critical challenge lies in the need to address the environmental impact of hydrogen production. Currently, the majority of hydrogen is manufactured using fossil fuels, predominantly through a reaction involving steam and methane.
Unfortunately, this process releases carbon dioxide, contributing to global warming. Additionally, methane leaks pose an additional concern, given that methane, also known as natural gas, is a more potent greenhouse gas than carbon dioxide.
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Plug endeavors to address these challenges through the use of electrolyzers for hydrogen production. Unlike the conventional method involving methane, Plug's approach utilizes electricity to separate water into hydrogen and oxygen.
When this electricity is derived from renewable sources such as wind or solar, the resulting hydrogen is termed "green hydrogen." Although this technique eliminates pollution, its cost remains significantly higher compared to the conventional, less eco-friendly hydrogen production methods.
Since 2016, Plug has supplied around 17,000 fuel cells for forklifts, distributed across more than 80 fulfillment centers throughout North America. However, the majority of the hydrogen used for these fuel cells is produced externally and transported to warehouses by Plug via truck.
To achieve genuinely green hydrogen, Amazon needs to ensure that its new electrolyzer operates on renewable energy. While the company is exploring the possibility of coupling it with on-site renewable energy generation, a definitive timeline for implementation is yet to be established.
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