The US Treasury Department has released the Final Rule that defines the federal tax credit under section 45V of the 2022 Inflation Reduction Act, benefiting the green hydrogen industry. This tax credit covers various types of hydrogen, including green hydrogen produced via electrolysis systems powered by renewable energy. The rule aims to shift focus from natural gas towards cleaner hydrogen sources like green hydrogen, biogas, and biomass. It also emphasizes the importance of accounting for the source of electricity used in hydrogen production to qualify for the tax credit and avoid induced emissions. The new deadline for meeting accounting standards has been extended to 2030, supporting the industry's growth and competitiveness. Environmental organizations have praised the rule for providing clarity and certainty to green hydrogen producers, positioning them to compete globally. The Final Rule also addresses the energy and industrial security aspects by promoting a diverse and resilient hydrogen supply chain in the US. The Hydrogen Hubs program, funded by the Bipartisan Infrastructure Law, plays a crucial role in diversifying the domestic hydrogen supply chain through initiatives like water electrolysis. While natural gas stakeholders, like the American Petroleum Institute, welcomed the carbon capture stipulation in the rule as an opportunity for natural gas, the focus remains on advancing sustainable hydrogen supply chains. The rule's measures promote investment in cleaner hydrogen production and support long-term environmental and energy security goals.