Hitachi Selected for Tokyo Metropolitan Government Project "Joint Study Project for Promoting the Introduction of Local Production for Local Consumption Hydrogen Stations"

Hitachi, Ltd. (hereinafter, Hitachi) announces that its project for building and optimizing an Integrated Energy Management System (EMS: Energy Management System) for on-site hydrogen stations has been selected by the Tokyo Metropolitan Government's Industry and Labor Affairs Bureau for the "Joint Study Project for Promoting the Introduction of Local Production for Local Consumption Hydrogen Stations."

This project aims to accelerate the social implementation of hydrogen stations in urban areas by conducting feasibility studies to investigate and analyze their viability. Through these studies, Hitachi will verify the reduction of hydrogen production costs and improvements in business performance, thereby supporting the development of a universal business model.

Leveraging Hitachi Group's cross-organizational expertise, particularly in the energy sector, Hitachi will use the new business model established in this project as a stepping stone to accelerate the utilization of hydrogen, which is expected to solve energy challenges, and contribute to the realization of a decarbonized society.

*1 A type of hydrogen station that manufactures hydrogen on-site rather than transporting it from remote locations. *2 A solution that balances economic efficiency and environmental load reduction using energy control technology to supply electricity.

**Background** Hydrogen is expected to be a crucial energy source for achieving a decarbonized society, and various initiatives, including the TOKYO H2 Project, are underway in Tokyo. In the mobility sector, where hydrogen utilization is anticipated to lead, the development of hydrogen stations, essential infrastructure for fuel cell vehicles (FCVs), is progressing. However, particularly in urban areas, there is a supply shortage, with only about 150 stations nationwide, far short of the government's goal of 1,000 stations by 2030. Currently, traditional hydrogen stations primarily rely on transporting hydrogen manufactured remotely, leading to challenges such as CO2 emissions during transport, increased costs, and difficulties in achieving self-sustainability and commercialization. Furthermore, urban areas face significant constraints in installing renewable energy facilities, necessitating the establishment of a stable and economical system for manufacturing and supplying green hydrogen.

Hitachi has been developing an EMS that utilizes its control technology cultivated in the energy field. This EMS includes a demonstration of hydrogen manufacturing using green electricity from solar power at its Omika Works, a planning function to calculate the economic efficiency of hydrogen production (determining which resources to use, how much, and when to manufacture hydrogen based on demand), and sensing functions for necessary information to execute equipment control as planned. Through these efforts, Hitachi aims to achieve stable hydrogen manufacturing while considering economic efficiency and reducing environmental impact.

**Addressing Challenges** In this project, Hitachi will focus on the on-site hydrogen station model, where hydrogen is manufactured within the station premises, and undertake the following initiatives:

**Utilization of Energy Management System (EMS):** Integrally control multiple power sources such as grid electricity, solar power generation (PV), fuel cells, and storage batteries.

**Optimization of Hydrogen Production Costs:** Simulate multiple scenarios by considering demand, electricity prices, and power source composition tailored to the operational realities of hydrogen stations.

**Development of a Feasible Business Model:** CAPEX, OPEX, and various...