Ratan Tata has invested $15 million towards a research project at Massachusetts Institute of Technology (MIT) to use hydrogen from water as a fuel for cars.

The project being conducted by MIT professor Daniel Nocera aims to generate hydrogen by splitting water and storing it safely in cars.

“The challenge is to develop an eco-friendly and efficient energy at low-cost as an alternative to depleting fossil fuels. Water and hydrogen as an alternative source of energy can help us in reducing greenhouse gases in the atmosphere,” scientist C.N.R Rao and chairman of the scientific advisory council to the prime minister of India said.

While several people have attempted water-powered cars in the past, those attempts haven’t found mainstream acceptance because it takes more energy to release hydrogen from water than the hydrogen that is eventually released.

Critics also say that filling a gas tank with water diminishes the potential fuel economy of the car, because of the added weight being dragged around. But given that water is easily available and doesn’t produce any CO2 emissions — we’re in full support of more research into using it as an alternative fuel source.

Tata has previously invested money into MDI’s air car, though that car hasn’t seen the light of day yet. Tata also makes the cheapest mainstream car available at about $2,000.

There’s no guarantee that this research project will yield anything but a concept car, but an increase in R&D towards alternative sources of fuel – is the first step towards finding a solution to our dependence on oil.