This invention describes a complete sequestration of carbon (CO2 and CO) from coal burning plants. In this process, hydrogen can be generated which in turn permits the reduction in the cost of hydride synthesis. The hydrides store hydrogen for on-board application for automobiles and fuel cells. Hydrogen generation and synthesis of hydrides is accomplished by using an integrated approach in which coal is used as a fuel and carbon is sequestered in the process. The CO and or CO2 produced in coal burning power plants and the heat is used when available for producing hydrogen and hydrides. Carbon is used both as a reactant and as a fuel. Economically hydrogen production cost is comparable to or less than the current price of hydrogen produced from fossil-fuel with the added benefit of carbon sequestration and reducing global warming. Specific processes for synthesizing important hydrogen storage materials, hydrides are described. A hydrogen based automobile becomes viable as the cost of the hydrogen production and hydride synthesis is reduced. Although coal-burning power plant is specified here, any power plant, coal- or natural gas-burning, can be subjected to similar treatment.