The Inflation Reduction Act includes the Section 45V Clean Hydrogen Production Tax Credit to support renewable energy and decarbonization efforts. The tax credit aims to make clean hydrogen economically viable by offering financial incentives tied to low lifecycle emissions. Released on January 3, 2025, the final rules by the Treasury and IRS require that lifecycle GHG emissions do not exceed 4 kg CO2e per kg of hydrogen. The key provisions include up to $3 per kilogram of hydrogen produced, adjustments for emissions intensity, and incentives for prevailing wage adherence. Stakeholders' feedback has been positive, with flexibility for existing facilities and diverse feedstock options. The rules are expected to drive investment in clean hydrogen infrastructure, promote innovation in low-emission technologies, and align with the Biden administration's clean energy leadership goals. Concerns from environmental groups call for stricter thresholds to prevent greenwashing, while the long-term viability of hydrogen depends on cost reductions, policy support, and technological advancements. The tax credit is seen as a pragmatic framework for balancing economic and environmental objectives, with potential future uncertainties depending on political changes.