The Sheffield-based firm, which has developed an electrolyser system to convert electricity into hydrogen gas, said Sheffield City Council and the London Borough of Camden hav agreed to to test its transportable high-pressure refuelling unit, called HFuel.
The trials start in 2011 and will see two hydrogen-fuelled Ford Transit vans run on fuel generated by the portable refueller.
Sheffield City Council and London Borough of Camden join DHL Supply Chain, London Stansted Airport and the Forestry Commission who have recently signed agreements to join the Hydrogen On Site Trials (HOST) programme.
Participating companies will get one week's free trial of HFuel and two Ford Transits, and an option to lease both HFuel and vehicles for extra weeks.
Chief executive Graham Cooley said: "The HOST trials will form an important role in demonstrating the potential of ITM's HFuel technology to the local authority logistics sector marketplace over the next year and we expect companies from other sectors to be joining the HOST scheme in the near future."
Coun Andrew Sangar, Sheffield City Council's cabinet member for climate change, added: "Access to low carbon transport technology is an important factor in attracting businesses to the city, with commercial vehicles being a major contributor of carbon emissions. ITM's hydrogen refuelling trial firmly puts the city on the map for testing the latest clean fuel technology."