The Pacific Environment report highlights California's historical success in emissions regulation for ships and its potential to lead in hydrogen production. California's initiatives like the Ocean-Going Vessel At Berth regulation demonstrate the state's commitment to reducing emissions by requiring shore power usage at ports for major vessel types. The report suggests creating financial incentives for zero or low-carbon maritime fuels to further drive sustainability in the maritime industry. While the production costs remain high, the state's designation as a 'hydrogen hub' by the US Department of Energy and the allocation of up to US$1.2 billion aims to boost hydrogen production and deployment. California's strategic position as a global trade hub underscores the importance of its efforts in decarbonizing shipping. Experts emphasize the need for both the US federal government and California to accelerate emissions reduction efforts and transition ships to cleaner fuels by 2040 to combat marine air pollution.