Global primary energy demand is projected to increase by 1.7% per year from 2000 to 2030. Almost three-quaters of the increase in demand will come from the transportation sector. Fuel cell hybrid vehicle technology has the potential to significantly reduce energy and harmful emissions, as well as our dependence on foreign oil. In this paper, a systematic and logical methodology is developed and improved mainly to design light duty fuel cell hybrid electric vehicle. We investigated structure and characteristics of light duty FC hybrid vehicle carefully. It can easily be expanded to analyze vehicle-to-grid power connectable plug-in NeHEV. A fuel cell hybrid neighbourhood electric vehicle configuration has been studied in-depth utilizing the proposed methodology.