This report describes the progress on the DOE/ER/7566, 'South Carolina DOE/EPSCoR Research Implementation Proposal Cooperative Agreement,' between October 15, 2000 and October 15, 2002. The report includes a section of the Human Resources Development, a section on the accomplishments of the four faculty hired under this agreement, and a section that describes the National Science Foundation Industry/University Cooperative Research Center for Fuel Cells (NSF VUCRC). It is important to note that this DOE EPSCoR cooperative agreement lead to the infrastructure that allowed the College of Engineering and Information Technology to win the competitive award from the National Science Foundation for the NSF INCRC. The accomplishments of the five research projects have been described and documented in previous reports and numerous publications. Thus those accomplishments are not included here. Over 150 publications have resulted directly from this agreement. Another 200 publications and presentations have been produced by faculty related to this agreement. The five projects are: Project 1: Mathematical Modeling of Proton Exchange Membrane Fuel Cells; Project 2; Catalytic Cracking of Hydrocarbons; Project 3; Novel Fluorinated Electrolytes for Batteries and Fuel Cells; Project 4: Fiber-optic Chemical Sensors for In-situ Battery Diagnostics; Project 5: New Materials, Modeling and Design Tools for Capacitors and Batteries. In summary, over $12 million dollars in additional research funding was obtained as a result of the development of the infrastructure at University of South Carolina and Clemson University. These funds were either directly related to the research or leveraged from the research of the projects listed above.