In a significant move towards decarbonization, the Biden administration finalized requirements for the clean hydrogen tax credit, a key provision within the 2022 Inflation Reduction Act. The $3 per kilogram subsidy aimed to incentivize the production of clean hydrogen, a crucial element in reducing carbon emissions. However, the Treasury Department faced the challenge of striking a balance between supporting the emerging clean hydrogen industry and preventing potential misuse of the tax credit that could lead to increased emissions. The final guidelines retained key safeguards while introducing flexibilities to facilitate program administration and uptake. Notably, the 'three pillars' approach mandated stringent requirements for clean hydrogen production, emphasizing simultaneous clean energy generation to prevent reliance on fossil fuel power sources. The Treasury's compromise reflects a monumental effort to navigate the complexities of the hydrogen industry, receiving significant feedback from stakeholders and experts. Initial reactions to the final rules have been cautiously optimistic, with praise for providing a solid foundation for domestic clean hydrogen growth. Environmental advocates lauded the rules as a win for climate action, emphasizing the importance of the three pillars approach. Industry associations welcomed the clarity but expressed concerns over the rule's complexity. While the final rules mark a positive step towards clean hydrogen development, challenges remain as stakeholders continue to analyze the implications. With the potential for legal challenges and future policy revisions, the journey towards establishing a sustainable clean hydrogen industry in the U.S. is ongoing.