This paper intends to propose a novel control algorithm for utilizing a polymer electrolyte membrane fuel cell (PEMFC) as a main power source and batteries as a complementary source, for hybrid power sources for distributed generation system, particularly for future electric vehicle applications. The control, which takes into account the slow dynamics of a fuel cell (FC) in order to avoid fuel (hydrogen and air) starvation problems, is obviously simpler than state machines used for hybrid source control. The control strategy lies in using an FC for supplying energy to battery and load at the de bus. The structure is an FC current, battery current, and battery state-of-charge (SOC) cascade control. To validate the proposed principle, a hardware system is realized by analogical, circuits for the FC current loop and numerical calculation (dSPACE) for the battery current and SOC loops. Experimental results with small-scale devices (a 500 W PEM FC and 33 Ah, 48 V lead-acid battery bank) illustrate the excellent control scheme during motor drive cycles.