III、Project Objectives

　　The project will facilitate the commercial introduction of FCBs in China through three broad objectives: 1) determining the current technical and operational viability of FCBs and accumulating knowledge regarding their current and future potential cost and performance, 2) building the technical, operational, managerial and planning capacity for long-term use of FCBs, and 3) stimulating national-level awareness of FCBs and developing a coordinated strategy for the next phase of FCB commercialization in China.

　　The first objective will be achieved through the demonstration of twelve hydrogen-fueled FCBs that will be operated in the cities of Beijing and Shanghai over a period of 4 years, including a series of activities to accumulate a substantial body of technical and operating knowledge regarding FCBs. The decision to carry out simultaneous projects in two cities was made in order to maximize the chances for future wide-scale implementation of FCBs throughout China. The decision to demonstrate a minimum of 6 buses in each city was based on prior experience with the introduction of CNG buses in Beijing and in Shanghai. Guidelines will be established to evaluate the project performance, collect and analyze data, disseminate information within the technical, government and business communities in China, and share information with other international FCB project teams through newsletters and reports. Significant emphasis will be placed on an analysis of the lifecycle costs of FCBs based on their performance and operating costs as determined in this project.

　　The second objective of capacity building regarding the long-term use of FCBs will be accomplished by training a cadre of operators, technicians and managers within the two municipal transportation companies, creating a certification program for training future operators & technicians, preparing a public transit policy planning study, and stimulating FCB research and development through workshops and competitive research grants. The policy and planning study will include an assessment of the policies, programs and incentives needed to promote commercialization of FCBs.

　　The third objective of stimulating national-level awareness of FCBs and developing a coordinated strategy for the next phase of FCB commercialization in China will be accomplished through seminars focused on policy-makers, business leaders, investors, the media and other key actors. The project results will be presented at national and international conferences and publicized through a website, a newsletter, and the news media.

　　During Part II of the project, feasibility studies for follow-on FCB projects will be carried out for several cities, the conceptual design for a Chinese manufactured FCB will be developed, and a hydrogen production assessment will be performed. These studies and assessments along with the lifecycle cost analysis and the policy and planning study will support preparation of a strategy document for FCB commercialization in China. The strategy document will define a Phase III commercialization project and lay out a proposed course for Phase VI, the mass-production of cost-competitive FCBs in China.