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Hydrogen Fuel – Is It The Future and Will It Overtake Electric?

May 26, 2025

Hydrogen is the most abundant element in the universe. It is also possible to produce hydrogen through splitting water molecules via a clean process that only produces harmless oxygen as a by-product.

With all this in mind, there is tremendous potential in using hydrogen as a fuel source. Hydrogen fuel may be able to replace petrol and diesel, and it could even overtake electric as the cleaner and greener choice for fleet managers.

This post is a brief introduction to hydrogen fuel – what is it, and how does it work? We will also take a quick look at the current state of hydrogen fuel in the UK.

What is Hydrogen Fuel?

Hydrogen can contain three times more energy per unit of mass than petrol. Burning hydrogen releases this energy, and when hydrogen burns in the air, it simply combines with oxygen to produce water. So long as no fossil fuels are used to burn the hydrogen, it can be one of the cleanest and cheapest ways to produce energy.

Types of Hydrogen Fuel

There are three types of hydrogen fuel:

  • Grey – This is the cheapest form of hydrogen fuel, but also the least eco-friendly, as it’s produced using fossil fuels and a process known as steam rotation.
  • Blue – This is also created using fossil fuels and steam rotation, but it’s a more eco-friendly approach, as the process involves capturing and storing the CO2.
  • Green – This is hydrogen fuel that was produced using a process known as water electrolysis, which uses renewable energy sources without the need of any fossil fuels. It’s the greenest and cleanest form of hydrogen fuel, but at the moment, it’s also the most expensive.

How Does Hydrogen Work as a Fuel?

Hydrogen can work as a fuel in an internal combustion engine, but it can also exist as a sort of battery known as a fuel cell.

  • Hydrogen Fuel – It may be possible to modify a vehicle’s existing internal combustion engine to run on hydrogen rather than petrol or diesel. Airbus is currently experimenting with using such a system to fuel their planes
  • Fuel Cells – Think of a fuel cell as a battery that does not run down, and that does not need recharging. Instead, it provides energy for as long as there’s a supply of fuel – such as hydrogen. Learn more about fuel cells, and how they work.

Is Hydrogen Fuel The Future?

There will need to be significant investment if hydrogen is ever to overtake petrol and diesel as a viable fuel source. Bloomberg New Energy Finance suggests an investment of $150 billion over the course of a decade may be necessary.

Above we mentioned the different methods for producing hydrogen fuel. Hydrogen’s potential as a clean energy source largely hinges on how viable it will be to produce large quantities of green hydrogen, as opposed to the less clean grey and blue varieties.

Another stumbling block is the fact that hydrogen molecules are much smaller than the molecules that compose other fuel sources. This can make leaks from containers and pipe networks more likely, and it can create certain challenges in designing adequate storage and delivery systems.

You can read a very detailed guide to the potential of hydrogen as an alternative fuel. In addition, take a look at this paper from Nature to learn more about the barriers and uncertainties of using hydrogen as a fuel source.

Are Governments Investing in Hydrogen Fuel?

In 2020, the European Commission announced a new strategy to realise the potential of hydrogen as a fuel source. And more recently, in April 2025 the UK government announced a series of new hydrogen powered projects.

These hydrogen powered projects intend to support the use of hydrogen in, among other things, clean power generation, brick making, glass manufacturing, and sustainable aviation fuel.

Looking to Switch to a Greener Fleet?

So we’re not quite ready for fleets of zero emission trucks running on clean, green, and inexpensive hydrogen energy. But if you’re looking to cut emissions from your fleet, we have some guides to help you get started:

Want to discuss the risk management and insurance implications of electrifying your fleet? Get in touch with our team of experts on 020 8290 9099 or email us at commercial.motor@anthonyjones.com.

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General enquiries:
020 8290 4560
info@anthonyjones.com

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