Five new hydrogen fuel cell buses will enter service on route RV1 along the South Bank and Bankside next summer after bus company First received planning permission for a refuelling plant.
The Olympic Delivery Authority has granted planning permission for a hydrogen refuelling facility to be built at Temple Mills Lane, Leyton.
Work is due to begin early in the New Year and should be complete by summer 2010.
The five hydrogen hybrid fuel cell buses will join the fleet on route RV1 which runs between Covent Garden and Tower Gateway via the South Bank and Bankside.
The buses emit nothing but water vapour, helping to improve air quality and traffic noise in the areas they are operating.
'This is excellent news which secures the arrival of five zero-polluting hydrogen buses on London's streets next year," says Kit Malthouse AM, chair of the London Hydrogen Partnership and deputy mayor for policing.
"With the right refuelling structure, we can expand our use of hydrogen technology to provide cleaner fuel for transport and greener energy to heat homes and businesses.
"Hydrogen has massive potential to cut carbon emissions and improve air quality in the capital to enhance Londoners' quality of life."
Transport for London is applying for additional funding from the European Union to increase the hydrogen bus fleet to eight vehicles.
A trial of three hydrogen fuel cell buses on route RV1 between 2004 and 2006 proved successful.