RenewableUK has expressed support for the government's consultation on the future of the climate change levy, particularly in the context of advancing clean hydrogen production. This move comes as the Labour party initiates a similar consultation to address concerns about the levy potentially impeding the growth of clean power and cleaner hydrogen generation. Director of Future Electricity Systems, Barnaby Wharton, praised the reform that would exempt electricity used in green hydrogen production from the levy, anticipating a substantial 58% reduction in production costs. The organization's report, 'Splitting the Difference,' underlined the significance of this exemption in cutting green hydrogen production costs. Green hydrogen, manufactured through high-tech electrolysers powered by renewable energy, is highlighted for its crucial role in decarbonizing hard-to-electrify sectors such as steel, chemicals, and shipping. Additionally, green hydrogen is noted for its contribution to enhancing energy system flexibility, enabling long-duration energy storage, and optimizing the utilization of increasing renewable electricity production.