Global Clean Hydrogen Production Projections Plummet Amid IEA Warning

Clean Hydrogen Faces Reality Check as Global Production Projections Shrink In a blow to the clean energy sector, a new report from the International Energy Agency (IEA) reveals that global expectations for annual clean hydrogen production by 2030 are shrinking for the first time. As of 2025, about one million metric tons of low-emissions hydrogen were produced annually, accounting for less than 1% of total hydrogen production. According to the IEA's Global Hydrogen Report, released last year, global production was projected to reach 10 million metric tons by 2030. However, with major projects facing cancellations and delays, particularly in the US and Europe, these expectations are now being revised downward. "We're seeing a slowdown in the development of clean hydrogen projects globally," said Fatih Birol, Executive Director of the IEA. "This is due to various factors, including changes to tax credits and cuts in support for renewable energy in some countries." The US, which was once a leader in clean hydrogen production, is experiencing a significant slowdown. In 2022, the Biden administration introduced changes to key tax credits, making it more difficult for companies to secure funding for clean hydrogen projects. "Changes to tax credits have had a major impact on our ability to develop new clean hydrogen projects," said Emily Reichard, CEO of Hydrogen Fuel Cell Coalition, a US-based industry group. "We're seeing a significant reduction in investment and a slowdown in project development." Despite the challenges facing the global clean hydrogen sector, there are still bright spots. China, for example, has seen rapid growth in clean hydrogen production, with several major projects coming online in recent years. "China is leading the way in clean hydrogen production," said Zhang Yong, Director General of the Chinese National Energy Administration. "We're committed to increasing our production capacity and reducing emissions from industry." The IEA report highlights the need for governments and companies to work together to address the challenges facing the clean hydrogen sector. "The development of clean hydrogen is critical to achieving a low-carbon future," said Birol. "We must continue to support innovation and investment in this area if we are to meet our climate goals." As the global energy landscape continues to evolve, the future of clean hydrogen remains uncertain. However, with new markets emerging and innovative technologies being developed, there is still hope for growth and expansion. Background: Hydrogen has been touted as a key player in the transition to a low-carbon economy, with potential applications ranging from agriculture and chemicals to aviation and long-distance shipping. However, most hydrogen is currently produced using fossil fuels, making it difficult to achieve significant emissions reductions. Additional Perspectives: Industry experts point out that while the slowdown in clean hydrogen production is concerning, it also presents an opportunity for innovation and investment. "We're seeing a shift towards more efficient and cost-effective technologies," said Dr. Maria van der Hoeven, former Executive Director of the IEA. "This could lead to new opportunities for growth and expansion." Current Status: As of 2025, about one million metric tons of low-emissions hydrogen are produced annually, accounting for less than 1% of total hydrogen production. Next Developments: The IEA report highlights the need for governments and companies to work together to address the challenges facing the clean hydrogen sector. With new markets emerging and innovative technologies being developed, there is still hope for growth and expansion in this critical area. *Reporting by Technologyreview.*