Ford of Canada announced on Thursday announced the delivery of the first hydrogen-fueled vehicles for fleet use in Canada.

The demonstration project, valued at $8.5 million, was funded by both Ford of Canada and the Canadian government's Industry Canada, which spent $4.2 million towards the development of the buses. The Canadian Senate will use three buses as shuttles in Ottawa with a seven more being prepared for used in other regions of the country.

"The hydrogen internal combustion engine project will help Ford of Canada demonstrate the commercial viability of using hydrogen as a safe and clean alternative to fossil fuels,' said Bill Osborne, President and CEO of Ford of Canada.

Ford of Canada, which made the engine, worked in conjunction with several other Canadian companies that worked on various aspects of the buses. Hydrogen internal combustion engines produce nearly zero emissions.

Canada Ford Motor Company