The European Commission (EC) has announced that it is to contribute €48 million to a new fuel cell project that should see 200 hydrogen-powered vehicles hit European roads over the next three years.

Private industry will also add funding to the initiative, which should total €105 million.

The EC also revealed that 27 zero emission buses have now covered more than one million kilometres since their launch in the summer of 2003.

The vehicles were part of the world's largest trial of hydrogen fuel cell buses. They have now carried more than four million people across nine European locations.

"This project marks a milestone in the history of clean transport energy technology and opens the way to a new era of sustainable transport systems," said energy commissioner Andris Piebalgs.

"The question is no longer whether this technology works, but when will it be competitive."

Its new hydrogen vehicle project is part of the EC's Hydrogen for Transport campaign.

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