The bill, said fuel cell advocates, would finally put fuel cells on par with other technologies such as solar power as an important alternative for the country's energy needs.

Lawmakers not only authorized nearly $2 billion over the next five years for more research and development, but provided $1.3 million for demonstration projects and set up a tax incentive program for customers who buy fuel cells for either vehicles or buildings.

"For the first time a modern Congress has endorsed a national program to pursue hydrogen and fuel cells as a mainstream strategy to try to get us off our addiction to oil," said Robert Rose, executive director of the U.S. Fuel Cell Council, which represents about 120 fuel cell-related businesses and organizations.

The Bush administration has backed hydrogen research programs in recent years. Cars running on fuel cells that produce energy by mixing hydrogen with oxygen are already on the road, and could be ready for the mass market in 15 years.

There are up to a dozen fuel cell and hydrogen energy companies that could benefit from the programs, which include $450 million for state and federal governments to buy fuel cells.

Jan van Dokkum, the president of South Windsor, Conn.-based UTC Power, said the tax incentives in the bill would help boost investment in the clean energy. He also noted that the bill would allow telecommunications companies to participate in the tax incentives - which was not allowed previously.

"Because fuel cells can provide assured power independent of the grid, this means it's more likely people will be able to use their phones even when the power goes out," he said.

Parts of the tax break legislation are based on bills introduced by Rep. Nancy Johnson, R-Conn., in the House and Sen. Joe Lieberman, D-Conn., in the Senate.

"Through greater use of fuel cell technology, we will improve our energy independence and protect our environment," said Johnson. "The incentives in the bill will help make hydrogen fuel cells a clean, permanent energy alternative for the future."

Rep. John Larson, D-Conn., who worked to get funding for research and development and the demonstration projects in the bill, said at least four major fuel cell companies in Connecticut would benefit from the programs.

"This is good news for us, but we need to do a lot more," said Larson, adding that he would like to see the states match the funding.