The Australian Government has announced the Hydrogen Production Tax Incentive (HPTI) as part of the Future Made in Australia package under the 2024-25 Budget. The HPTI, aimed at accelerating the production of renewable hydrogen, will offer a refundable tax offset of $2 per kilogram of eligible hydrogen produced. With an estimated support of AU$6.7 billion over 10 years, the initiative seeks to expedite the transition to renewable energy and achieve Australia's target of net zero greenhouse gas emissions by 2050. The HPTI will be administered by the Australian Taxation Office and the Department of Climate Change, Energy, the Environment and Water, with eligibility criteria focusing on local community benefits, industry investment, and workforce diversity. Tax offsets are explained to incentivize economic activities and boost emerging industries, with a refundable tax offset allowing cash refunds if the offsets exceed the tax liability. The eligibility criteria for the HPTI include location requirements, emissions intensity, facility capacity, and compliance with reporting standards. Although the HPTI aims to make Australia a competitive green hydrogen producer for export markets, concerns have been raised about the high costs of hydrogen export. Some experts suggest prioritizing domestic use of hydrogen for vehicle fuel and natural gas replacement. Overall, the HPTI and similar incentives are seen as crucial for advancing major renewable energy projects in the 2030s and 2040s.