Most commercially used hydrogen today is produced by steam reformation from natural gas. Efficiency is actually pretty good (about 80%, if I remember correctly). Electrolysis is slightly less efficient, but it is actually one of the more efficient methods to store surplus energy that cannot be used immediately (e.g. from solar cells or wind mills during off-peak times). I recently read an article about decentralized solar-powered hydrogen production sites that are currently running in Germany as part of a pilot program. Pretty cool stuff. With the cost of solar cells rapidly dropping, there may come a time where a lot of surplus electricity is available that needs to be stored somehow ...I think that's just the car itself, though, not including the hydrogen production, which in my understanding is REALLY inefficient through current means. I guess there are some biological/organic means of production being experimented with? Otherwise, I think the overall efficiency would be quite low.
For a fair comparison with battery-driven cars, you also have to consider their well-to-wall efficiency. Given that most electricity is today still produced from burning fossil fuels, EVs probably aren't all that efficient either if you look at the end-to-end process ...
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