Ene-Farms Use Hydrogen to Power Homes but Don't Come Cheap

Just as Toyota is working to replace the gasoline in its cars with hydrogen fuel cells, Japanese companies are leading the charge to convince homeowners they’re better off using hydrogen to power their lamps and TVs, too. The electricity is generated by so-called energy farms, or ene-farms, about the size of a refrigerator. They’re made by companies such as Panasonic and Toshiba and sold by leading utilities, including Tokyo Gas. Ene-farms dangle the promise that the most abundant element in the universe will offer a safer, cleaner, more efficient alternative to nuclear power or fossil fuels. Because a standard home unit costs about $16,700, most consumers have been hesitant to buy.

Since commercial sales began in 2009, more than 100,000 Japanese households have installed generators that use hydrogen. That’s a long way from where the government wants to be. Prime Minister Shinzo Abe has set a goal of 5.3 million hydrogen-powered homes, roughly 10 percent of Japan’s total, by 2030. “The use of hydrogen can contribute to saving energy, tackling environmental issues, and increasing energy security,” says Chihiro Tobe, head of the office promoting fuel cells at the Ministry of Economy, Trade, and Industry. On Dec. 27, Abe’s cabinet endorsed legislation that would cover as much as 350,000 yen ($2,970) per home ene-farm purchase, according to the newspaper Yomiuri Shimbun. The subsidy, however, is less than in previous years.