Decentralized hydrogen production at refuelling stations has great potential to accelerate market introduction of hydrogen-powered vehicles. Based on the outcome of the previous NEMESIS project under FP6 the overallobjective of the proposed NEMESIS 2+ project is the development of a small-scale hydrogen generation prototype capable of producing 50 standard cubic metres of hydrogen per hour from diesel and biodiesel atrefuelling stations. Reduction of hydrogen production costs and an increase of reliability and efficiency of the hydrogen generation system will be the major objectives. Special emphasis will be placed on liquid desulphurisation prior to the catalytic conversion step. Based onthe promising results from the NEMESIS project, a desulphurisation module based on liquid adsorption forcontinuous operation will be built and tested with fossil diesel, biodiesel and biodiesel blends. Thereby severe problems relating to catalyst deactivation can be avoided or at least minimized. This will be supplemented bythe development of sulphur-tolerant reforming and water gas shift catalysts and the development of catalyst regeneration strategies. The liquid desulphurisation module will be connected to a reformer module based on amodified steam reforming technology owned by HyGear. By a subsequent water gas shift stage and a pressureswing adsorption unit a hydrogen purity of 5.0 (99,999%) is achieved. In order to be able to run on liquid fuelsas well as on off-gas from the hydrogen purification unit, a dedicated dual fuel burner will be developed within NEMESIS2+. Once the prototype modules (desulphurisation module, multi-fuel catalyst, reformer module) are integrated into the prototype unit the system will be tested for at least 1000 hours. Work will be completed by a techno-economic evaluation of the prototype hydrogen generation system (Cost analysis, Study on integrationinto refuelling stations).