In a move that reflects the growing shift towards electric vehicles (EVs), oil giant Shell has announced the permanent closure of seven hydrogen refueling stations in California. This decision leaves only three remaining Shell stations in the state, according to a report from Hydrogen Insight.

The closed hydrogen stations, located in Northern California cities like San Francisco, Berkeley, San Jose, and Sacramento, will cease operations this year. The company cited various market factors as the reason behind this move, following a decision to discontinue the expansion of its light-duty hydrogen station network in California in 2023.

Shell had previously planned to build and operate an additional 48 hydrogen refueling stations in the state, but those plans have now been canceled. The company's focus has shifted towards other initiatives, including the acquisition of EV charging company Volta charge in 2021, which is expected to significantly expand the Shell Recharge network.

Despite the closure of its hydrogen refueling stations, Shell remains committed to the EV market. In a partnership with Penske, Shell plans to deploy Level 2 electric truck charging stations in four U.S. states. This move aligns with the company's strategy to support the growing demand for EV infrastructure.

While Shell's decision reflects the current popularity of EVs, several automakers are still investing in hydrogen fuel cell technology. Stellantis Pro One and a joint venture between General Motors (GM) and Honda recently provided updates on their hydrogen fuel cell production projects. Additionally, Toyota anticipates producing more hydrogen vehicles than solid-state EVs by 2030.

As the automotive industry continues to evolve and consumers increasingly embrace EVs, the closure of Shell's California hydrogen refueling stations highlights the shifting dynamics of the energy transition. While hydrogen fuel cell technology remains a viable option, the rapid rise of EVs seems to be driving the industry's focus towards electric mobility.

With only three remaining hydrogen stations in California, Shell's decision serves as a compelling indicator of the ongoing transformation in the transportation sector. As more companies and individuals turn to EVs, the future of clean energy in transportation appears to be electric.