The European Commission is working on a Delegated Act for low-carbon fuels, a significant move for the clean hydrogen market post the Hydrogen and Decarbonised Gas package adoption in May 2024. Deloitte's study examines the impact of regulatory design on hydrogen market uptake. Clean hydrogen is vital for EU climate goals, with regulations, definitions, and certification schemes needing establishment. The Act will define rules for low-carbon fuels like hydrogen, essential for certification and market development. Sustainable production is crucial to achieve emission savings and meet net-zero targets by 2050. Hourly grid emissions accounting can optimize electrolyzer use and reduce emissions. Competitiveness among hydrogen supply pathways will vary by technology, country, and regulatory frameworks. Grid-based hydrogen is expected to dominate in the EU, leveraging renewable integration. Natural gas-based hydrogen faces uncertainties but could play a role. Hydrogen imports are crucial for the EU and must meet stringent environmental standards. Clear regulatory frameworks are necessary to unlock market opportunities and ensure climate targets are reached, focusing on balancing various production routes within existing regulations.