sure fossil fuels might have a high energy to mass ratio and all that, but stores of energy like that, found somewhere on the earth just sitting there, waiting to be tapped, all have a problem; they're limited. on top of that, obtaining energy from them is usually harmful to the environment, although it seems like not too many people care about that. at least that stuff is gonna become quite scarce in the coming years.
yeah, hydrogen gas isn't readily available on our planet... maybe some day we can hook up a pipe line to jupiter or something like that.... hydrogen is of course by far the most abundant element in the universe.
but until then, whether we obtain hydrogen gas through vegetation or electrolysis of water or something along those lines, it can be a great way to store energy that ultimately comes from the sun into something that's portable (although at this point, the portability is somewhat limited, but i think those issues will be worked out soon enough).
i think the combustion of ethanol instead of pure hydrogen also brings up a lot of issues, but these are to me a bit more serious than the technicalities of storing hydrogen gas. For one thing, there are byproducts which have to be completely recycled somehow if its to be a truly sustainable fuel. Also, producing the ethanol in the first place would need a crazy amount of agricultural land, if you're hoping to power homes and vehicles with this stuff. i know we produce more than enough food on this planet, but supplying a significant chunk of our society's energy would be quite the added burden.
we just need clean ways of generating electricity, then we can use that electricity to store our energy in hydrogen gas that we get out of the ocean. after we burn the gas, the water vapour goes into the atmosphere and eventually rains back down on us. its a great way of taking energy from the sun and turning it into something that can move our cars around.