Several directives are stimulating the adoption of hydrogen and fuel cell technologies across the Federal government.  Sections 782 and 783 of the Energy Policy Act of 2005 authorize Federal agencies to procure fuel cell vehicles, hydrogen energy systems, and portable or stationary fuel cells.   Executive Order 13423, signed by President Bush in January 2007, directs Federal agencies to increase energy efficiency and reduce greenhouse gas emissions by 3 percent annually through 2015, relative to 2003 baselines.  This order also directs agencies to meet these goals through the use of renewable energy sources and the implementation of renewable energy generation projects.   DOE is implementing the executive order through activities at its sites and laboratories.

There are several areas in which fuel cell technologies may find early market acceptance.  The most alluring near-term markets are those in which available fuel cell products are cost-competitive with existing technologies and can provide additional benefits to the customer.  Currently, the most promising markets are backup power for telecommunications and emergency response, and forklifts in warehousing and distribution centers.  Adoption of hydrogen and fuel cell technologies across the Federal and state governments in these areas will act to stimulate the much larger industry markets.  For example, the Federal Aviation Administration (FAA) has 15,000 radio tower sites across the United States that require backup power.   Fuel cell penetration into this market could ultimately lead to penetration into the much larger telecommunications industry, which includes upwards of 250,000 telecommunication towers.   

In the near future, DOE Hydrogen Program plans to form a partnership with industry to provide financial assistance on early market fuel cell adoption projects.  Successful deployments and acceptance of fuel cells into these markets will help to play a large role in reducing fuel cell component and manufacturing costs.  This will in turn pave the road for less expensive hydrogen fuel cell vehicles, allowing for the first light duty vehicle fleets to be deployed for government uses over the next five years.