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Bush wants more research money for hydrogen cars

WASHINGTON, Jan 30 (Reuters) - The Bush administration will seek a 43 percent increase in federal funds to develop cars that run on hydrogen fuel and eventually have in place the service station infrastructure that will support the vehicles.

The $227 million in total research money is included in the government's budget for the 2005 spending year to be released by the White House on Monday, said an Energy Department official.

The money is part of President George W. Bush's long-term initiative begun last year to reduce U.S. dependence on foreign oil by developing hydrogen-powered fuel cells to run cars, trucks, homes and businesses.

The emissions-free vehicles would also cut pollution as their only by-product would be water.

The administration wants to have the hydrogen cars in the market and available to consumers at an affordable price near the end of the next decade.

However, many environmental groups say that is too long and believe U.S. oil imports could be reduced quicker if the government significantly boosted the mileage requirements for new gas-guzzling SUVs, pick-up trucks and minivans.