If it has a higher efficiency for obtaining and burning hydrogen than existing methods he likely would have publicized that fact. Ergo, it is likely no more efficient than other means so Federal funding is sought to research marketable applications which would result in proceeds to his university. The univeristy isn't funding it so that's a clue....
Good point. For any given grant there might be a hundred applications. Out of those maybe twenty five will make the first cut. Out of those they might like to fund ten, but will ultimately have money to fund one or two. Getting grant funding, the question mark guy notwithstanding, is a dog eat dog game, and even if you get it, they have this annoying tendency to (sometimes) want results.