Japanese motor giant Honda is hoping to have cars powered by fuel cells in mass production by 2018.

The company has always been keen to take the lead on environmental issues and sees fuel cell technology as a potentially lucrative market.

Honda president Takeo Fukui said plans were underway to begin a leasing arrangement next year, which could lead to full-scale production getting underway within a decade.

"In 2008, we will begin lease sales of a new fuel cell car," Mr Fukui told the Japanese news agency, Kyodo.

"By evolving a next model based on this, I think the level of technology will become very close to that of mass-produced ordinary vehicles within ten years or so."

Vehicles using fuel cells are already operated by municipal authorities in Asia, Europe and North America.

Honda itself has already leased a family of fuel cell vehicles to the authorities in New York, Las Vegas, San Francisco and Los Angeles.

The industry, governments and environmental groups hope that fuel cells can one day provide a viable, green energy source for all vehicles.


Ÿ Adfero Ltd