Fuel cells: Out at GM, but in for the UK?

General Motors (OTC:GMGMQ) CEO Fritz Henderson has stirred questions about the future of the company's fuel cell vehicle development.

In 2007, the company said it was ramping up its research team for fuel cells, with an ultimate plan to have the vehicle in showrooms by 2012 (see GM fuel cell cars 'in showrooms by 2012' and GM ramping up for fuel cell car production).

But Henderson said in a Web conference with media yesterday that commercially viable fuel cell vehicles were "some considerable time away," calling for a new focus on financial efficiency in the development program as the bankrupt company seeks to cut costs.

Other automakers have been more optimistic. In October, Hyundai Motor (KSE:05380) said it plans to commercially produce its first hydrogen fuel-cell car starting in 2012 (see Hyundai plans fuel-cell car for 2012). And Honda began delivery of fuel-cell powered FCX Clarity sedans last summer (see Honda to make fuel cell cars 10 years earlier than thought).

Even startups are getting in the game. This week, UK-based Riversimple unveiled a new hydrogen-powered car, the designs of which will be open source, to allow entrepreneurs around the world to manufacture the two-seater prototype locally for free. The 6-kilowatt fuel cell in the car is made by Singapore's Horizon Fuel Cell Technologies, which used its technology in a plane earlier this month (see Horizon’s new fuel cells power stealthy aircraft).

According to the U.S. Department of Energy, fuel cell vehicles are expected to reach the mass market starting in 2010.

Today, a GM spokesman clarified to the Democrat and Chronicle newspaper that Henderson wasn't announcing any cuts to the program's budget.

"‘Efficiency’ can mean any number of approaches, including partnerships, etc.,," he told the paper. "Right now, our focus is on creating a business case that would make fuel cell vehicles financially viable. As with all new technology, it is expensive in the beginning.,"

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