A hydrogen vehicle is an alternative fuel vehicle that uses hydrogen as its onboard fuel for motive power. The term may refer to a personal transportation vehicle, such as an automobile, or any other vehicle that uses hydrogen in a similar fashion, such as an aircraft. The power plants of such vehicles convert the chemical energy of hydrogen to mechanical energy either by burning hydrogen in an internal combustion engine, or by reacting hydrogen with oxygen in a fuel cell to run electric motors. Widespread use of hydrogen for fueling transportation is a key element of a proposed hydrogen economy Hydrogen may be used as a transport fuel for internal combustion engine vehicles and fuel cell powered vehicles. Hydrogen may also be used to power turbines or in fuel cells for stationary power generation. In the future, hydrogen fuel cells may power most modes of transportation as well as lighting, heating and everyday electrical appliances in our homes and businesses This paper deals with the preparation of hydrogen from Electrolysis method. The main objective of this paper is hydrogen gas is used in I.C engines. This paper also involves about the fuel cell Technology.