California has announced a massive hydrogen initiative that could see 100 refuelling stations and 2,000 hydrogen vehicles throughout the US state by 2010.

The state's Hydrogen Highway Network Blueprint Plan (CA H2 Net) calls for the development of a network of hydrogen stations throughout California in order to further the availability of the emissions free fuel.

Funding amounting to $53.4 million will be provided to match the money industry is expected to put up in order to build the 100 refuelling stations, of which around 40 already exist or are undergoing development.

Carmakers in the state would also have an added incentive to manufacture the hydrogen cars, since they will benefit from state grants of $10,000 per vehicle.

The proposed funding has yet to be approved by the California legislature but if passed would put California firmly in the lead on hydrogen fuel out of all the US states.