In this paper, a scheme is proposed whereby the United Arab Emirates government can achieve greater economic and environmental benefits associated with the introduction of proton-exchange membrane fuel-cell (PEMFC) vehicles in the transportation sector. Initially PEMFC vehicles would co-exist with the conventional internal-combustion (IC) vehicles and gradually increase in numbers until completely replacing IC vehicles by 2025. Our results predict that by 2025, the economic and environmental pollution caused by the business-as-usual approach (without PEMFC vehicles introduction) would cost $3.80 x 10(8) and 2.4x 10(8) kg, respectively. The total economic and environmental savings in the 20 years span would be $23x10(8) and 14.4x10(8) kg, respectively. In addition, the average annual cost of PEMFC vehicles is $5061 dollars per year, which is approximately $180 dollars less than IC vehicles.