Schafer is working with research scientist Gerardine Botte, director of the electrochemical engineering and research lab at Ohio University, to commercialize the ammonia converter that Botte developed and patented.

American Hydrogen has set up offices at the university's Innovation Center in Athens, Ohio, to manufacture its equipment.

The ammonia-derived hydrogen will dramatically bring down the cost of hydrogen-based electricity, Schafer said. Initial tests indicate they can produce a kilowatt hour of hydrogen for far less than $2. The Department of Energy has set $2 to $3 as a goal for a kilowatt of hydrogen. But Schafer is optimistic that the cost will dramatically come down: "I calculate 30 cents a kilowatt," he said.

COST OF ELECTRICITY

Electricity from Florida Power and Light now costs 12 cents a kilowatt hour. However, in other parts of the country, such as New England and California, energy costs are much higher, said James Fenton, director of the Florida Solar Energy Center. New England is paying 18 cents and San Diego is paying 32 cents during peak time.

Frank Neukomm, chairman of the American Security Resources, bought Schafer's company in 2005, bankrolling the fuel cell development.

"The design these guys came up with can be mass-produced and operate at a lower temperature," Neukomm said. "There is nothing more central to the security of the United States than energy security, and this can reduce our dependence on carbon-based resources."

Hydrogen power already is working across the country in out-of-the-way places.

Patrick Serfass with the National Hydrogen Association, a trade association, said hydrogen powers 200,000 to 300,000 cellphone towers in the United States, plus forklifts and airport tugs that pull baggage carts.

Major automobile manufacturers, including Honda, General Motors and BMW, have introduced a few hydrogen-powered cars.

"The cost of hydrogen systems now is high because they are not being produced in volume," said Serfass. "Energy costs are rising, and so it's a matter of time."

USED IN JAPAN

A residential one-kilowatt unit that runs off kerosene or natural gas is being used in Japan, Serfass said. The systems, made by Ballard Power Systems, can be used for heat, water and electricity and have reduced carbon dioxide emissions by 38 to 40 percent, he said, compared to the same amount of fossil-fuel-based electricity.

Schafer was spurred to investigate hydrogen power when the lights went out at his ranch in Imnaha, Oregon, five years ago.

"The electric company went down for 10 days and I lost a freezer of elk and was not a happy camper," he said. "I started looking for something I could use for electricity: photovoltaics, wind . . . and tried to buy a fuel cell. There was none available, so I got into the business."

Join the discussion

The Miami Herald is pleased to provide this opportunity to share information, experiences and observations about what's in the news. Some of the comments may be reprinted elsewhere in the site or in the newspaper. We encourage lively, open debate on the issues of the day, and ask that you refrain from profanity, hate speech, personal comments and remarks that are off point. In order to post comments, you must be a registered user of MiamiHerald.com. Your username will show along with the comments you post. Thank you for taking the time to offer your thoughts.

     Showing: Oldest first Newest first Most-recommended first Least-recommended first

@Nyx.AuthorDisplayName@ wrote on @Nyx.PostedAtTime@:

@Nyx.repliedToText@

@Nyx.replyAnswerText@

Reply to this Comment @Nyx.Recommender@ @Nyx.AbuseReporter@