Plug Power Inc. announced on Wednesday that it has successfully installed its first electrolyzer system at an Amazon.com Inc. fulfillment center. This milestone marks an important step for both companies in their efforts to enhance energy efficiency and sustainability.
Fueling Hydrogen-Powered Forklift Trucks
The newly installed proton exchange membrane electrolyzer system will generate hydrogen to power over 225 hydrogen fuel-cell powered forklift trucks operating at the Amazon site in Aurora, Colo. This move is part of Plug Power’s ongoing collaboration with Amazon, which has seen the deployment of more than 17,000 fuel cells to replace traditional batteries in forklifts across over 80 fulfillment centers.
Localized Hydrogen Production for Greater Efficiency
One notable aspect of this installation is that the hydrogen required for powering the forklifts will be produced on-site rather than being sourced externally and transported via trucks. Asad Jafry, Director of Global Hydrogen Economy at Amazon, expressed optimism about the benefits of localized production, stating that it will make hydrogen usage even more energy efficient for specific locations and types of facilities.
Market Performance
While Plug Power’s stock experienced a slight decline of 1.3% in premarket trading following this announcement, it’s important to note its recent three-day winning streak where it surged by an impressive 14.9%. On the other hand, Amazon’s stock has experienced significant growth throughout the year, with a remarkable increase of 82.6%. This performance positions Amazon for its best yearly outcome since its impressive 117.8% surge in 2015. Meanwhile, the S&P 500 has gained 24.4% over the same period.
In conclusion, the successful installation of Plug Power’s electrolyzer system at an Amazon fulfillment center signifies a significant advancement in their joint commitment to sustainable energy solutions. By producing hydrogen on-site, this partnership aims to improve energy efficiency and reduce environmental impact, setting a positive example for similar facilities worldwide.
