Residents in Tokyo will get the chance to save up to 25 per cent on their energy bills next year thanks to fuel cell technology.

Tokyo Gas has announced plans to launch a fuel cell-based cogeneration system that will provide cheaper, cleaner heat and power.

The world's first commercial Residential Polymer Electrolyte Fuel Cell (PEFC) Cogeneration System was jointly developed with the Ebara Ballard Corporation and Matsushita Electric Industrial.

The system will be available in February.

"This system is an epoch-making product aiming to coexistence of comfortable life and sustainable improvement of reducing environmental load based on the key concept of life with synergy life of comfortableness and environmental-friendliness," Tokyo Gas said in a statement.

The system can provide up to 1 kilowatt of electricity, which is enough to supply around 60 per cent of the needs of a four-person Tokyo home.