The US government has announced plans to make $64 million available to fund research into the use of hydrogen as a fuel.

Samuel Bodman, the US energy secretary, said he hoped the research would one day help make hydrogen-powered cars a reality.

Hydrogen fuel cells could offer the US a means of reducing its dependency on fossil fuels and also have significant benefits for the environment.

"Since President Bush first laid out his vision for a hydrogen economy, we've witnessed incredible innovation and tremendous advancement," Mr Bodman said.

"We hope that through our ingenuity, investment and effort, hydrogen vehicles will someday be as commonplace as the cars we drive today."

Fuel cells have already been used in projects around the world, powering buses in cities in both Europe and Asia.

The breakthrough for private cars will come when a suitable method for the storage and transportation of hydrogen is identified.

The 70 US projects benefiting from government funding will focus on this issues and hydrogen production.