Representatives of the Defense Department were in Grand Forks on Monday to tour the research center.

"The EERC's focus on the practical and commercial application of hydrogen technology to fuel vehicles is a perfect match for the military," Hoeven said.

Ted Barna, assistant deputy undersecretary for the Defense Department, said the military uses 4 percent of the nation's fuel supply.

"It may come to one of those days where we become constrained on what we can do or what we're tasked to do because of our dependence on fuels," Barna said.

The university's research center is working on producing hydrogen from JP-8, a military grade of diesel fuel.

"Clearly, the military wants a domestic high-grade fuel they can count on," Hoeven said. "But it's not just the military, it's railroads, commercial carriers, and farm vehicles."

Hoeven has recommended that a $2.5 million state "centers of excellence" grant to be awarded to the school to help finance a hydrogen energy research building. He said construction should start on the facility next spring.