The falling cost of producing hydrogen from renewable sources provides a promising avenue for emission reduction, according to research by Bloomberg New Energy Finance (BNEF). Governments globally are urged to allocate $150 billion in subsidies over the next ten years to facilitate the scaling up of renewable hydrogen production. This investment could help halve the cost of producing hydrogen using wind and solar power, making it a more viable option for industries looking to decarbonise. BNEF highlights the current small usage of carbon-free hydrogen and the high costs as barriers to wider adoption. The report emphasizes the need for policy coordination, private investment frameworks, and substantial subsidies to drive the transition to renewable hydrogen. Technological advancements have significantly reduced the costs of electrolyser technology, making hydrogen production more economically feasible. Industries like steel, shipping, and power generation are exploring the shift from natural gas to hydrogen to meet climate goals. The report envisions a future where hydrogen production costs are competitive with gas prices, contingent on government adherence to CO2 reduction targets. Initiatives in countries like Japan and Germany to establish hydrogen-powered infrastructure signal a growing global interest in this technology, with the potential for substantial environmental benefits.