The report, which was requested by the Massachusetts Legislature through a bill sponsored last November by State Rep. Barry Finegold, D-Andover, includes input from private companies, nonprofit organizations and the Massachusetts Technology Collaborative (MTC), a quasi-public agency responsible for developing new technologies in the state and managing funds for alternative-energy projects through its Renewable Energy Trust.

The report calls for eight key initiatives to encourage the development of fuel cell technologies in the state, as well as provide incentives for the commercial and residential deployment of such technologies in the area.

The overall budget for the five-year strategy requests $25 million to $30 million in support from the state, which would also be used to attract additional private investment and federal funding.

Several of the initiatives are already in process. The report calls for the creation of a nonprofit entity to represent the interests of the state's hydrogen and fuel cell-related companies -- a community that includes about 60 comppanies. That entity was created last year, when the MTC helped establish the Massachusetts Hydrogen Coalition, which contributed to the report.

"One of the primary goals of the program is to establish a fuel cell cluster in the state that will bring jobs to the area," said Brad Bradshaw, president of the Massachusetts Hydrogen Coalition. "This report helps provide a road map for how we are going to make that happen."

The MTC has experience in the development of nonprofit entities in specific industries. The group helped spawn organizations such as the Massachusetts Medical Device Industry Council, or MassMEDIC, as well as the Massachusetts Nanotechnology Coalition, according to Chris Kealey, MTC's spokesman.

The report also calls for the support of large-scale public demonstration projects aimed at helping educate the public about fuel cell technology. Cambridge's Nuvera Fuel Cells Inc. is a maker of fuel cell technologies. It is also a participant in the Massachusetts Fuel Cell Partnership program and has helped push the demonstration initiative into high gear last month with a fuel cell development program for commuter buses at Logan Airport, using $4.9 million in federal grants.

Other initiatives outlined in the report include the development of a Hydrogen and Fuel Cell Institute for research, rebates for fuel cell systems and tax incentives for fuel cell investments.

The development of a fuel cell cluster is not a new concept. Connecticut made a strong push in the mid-1990s to become a center of fuel cell technology and development and it is still home to several companies, including Proton Energy Systems Inc. in Wallingford, and FuelCell Energy Inc. in Danbury. The Connecticut General Assembly also passed legislation last spring requesting a similar road map from the Connecticut Center for Advanced Technology, to be delivered to the Connecticut Legislature by the first of the year.

According to the MTC, the Massachusetts fuel cell cluster is expected to be part of a larger cluster of alternative energy companies in the state.

"This isn't about the state placing one big bet on a single technology, but a way for the state to determine what technologies it can help," said Kealey.
Partnership plans

The Massachusetts Fuel Cell Partnership's key initiatives:

    * The nonprofit Massachusetts Hydrogen Coalition was established last year to represent the interests of the hydrogen and fuel cell business community in the commonwealth.
    * Install a matching grant program to help companies accelerate research, development and commercialization of fuel cell technologies. The state would match federal grants provided through various agencies.
    * Massachusetts Hydrogen and Fuel Cell Institute: a joint venture among local universities to serve as a focal point for research and education.
    * Encourage large-scale public demonstrations of technologies.
    * Include fuel cells under an existing rebate program that provides incentives and funding for commercial wind, solar and hydroelectric projects.
    * Support the Department of Telecommunications and Energy's Distributed Generation Collaborative to reduce the barriers of adoption of fuel cells as part of distributed generation systems.
    * Provide tax credits to businesses and individuals that invest in qualified fuel cell technologies.
    * Extend the job creation incentive payment currently available for life sciences companies to include hydrogen and fuel cell companies.