So, I got curious about the cost comparison to produce hydrogen......after listening to uninformed rants about the costs...so I wanted to do some numbers to see but it seems that someone already did it..
"Commercial Methods for the Preparation of Hydrogen"
"Steam Reformation vs. Electrolysis
As of 2010, steam reformation was the dominant method of producing hydrogen gas in the United States. At 65 to 75 percent efficiency at converting methane to hydrogen, steam reformation can produce more hydrogen than electrolysis. However, it requires much more energy than electrolysis.
It looks like it does make good financial sense to use on-site electrolysis to produce hydrogen instead of natural gas steam reformation.
"Hydrogen steam reforming, or steam methane reforming, is the process of harvesting hydrogen from methane gas. The process involves mixing the methane gas with steam that is heated to temperatures between 1,380 and 1,470 degrees Fahrenheit. This exposure produces a synthesis gas of hydrogen and carbon monoxide. The carbon monoxide is further exposed to steam over a chemical catalyst to produce more hydrogen gas and carbon monoxide. The resultant hydrogen is then treated to remove poisons and traces of carbon dioxide."
"In nonscientific nomenclature, water molecules consist of two hydrogen atoms and one oxygen atom. Hydrogen electrolysis uses a current of electricity to break apart molecules of water to harvest the hydrogen they contain. The current passed through the water can be generated from a number of sources. These include renewable ones like solar power, or electricity from fossil fuel powered plants."