Colombia is progressing towards establishing a robust clean hydrogen sector, with a focus on transitioning the oil refining and fertilizer industries currently reliant on hydrogen from fossil fuels. The BNamericas Intelligence Series report, titled 'Unlocking Opportunity in Latin America's Hydrogen Economy,' emphasizes the need to make low-emission hydrogen cost-competitive against its fossil-based counterpart. The absence of a carbon tax and ongoing government subsidies for crude oil are identified as factors impeding the transition to clean hydrogen, particularly in crucial sectors like transportation where pricing competitiveness with gasoline and diesel is essential. The report highlights a significant increase of 75% in clean hydrogen projects over the past year, showcasing a growing interest in the sector. Notable among these developments is the Cartagena Refinery H2 initiative, expected to become the largest green hydrogen plant in Latin America, with a production capacity of 800t/y starting in 2026. Other projects focus on green ammonia production for exports and the establishment of new renewable energy plants for hydrogen production. Despite the sector's potential, financing issues persist, with many projects relying heavily on private capital due to limited support from Colombian development banks, as outlined in the report. Colombia's strategy also includes blue hydrogen production from natural gas with carbon capture, but concerns arise regarding the feasibility of this approach given the diminishing natural gas supplies. The report underscores the importance of developing renewable energy infrastructure for the growth of the clean hydrogen sector. However, delays in wind and solar projects pose challenges to expanding electrolysis capacity crucial for hydrogen production. Overall, while Colombia's journey towards clean hydrogen presents significant opportunities, various obstacles like financing constraints, reliance on private investment, and feasibility concerns need to be addressed to foster a successful transition.