The Hydrogen Economy
Why governments are betting on hydrogen as the missing piece of the energy transition, and the challenges of making it work.
The Hydrogen Promise
Hydrogen is the lightest element and the most abundant in the universe, and when burned or used in a fuel cell, it produces only water. This makes it theoretically the perfect clean fuel. By 2024, over 40 countries had published national hydrogen strategies, and governments had committed over $300 billion in subsidies and incentives for hydrogen development.
The appeal is clear: hydrogen can potentially decarbonize sectors where electrification is difficult or impossible. Steel production, cement manufacturing, long-haul shipping, aviation, and industrial heating all require energy-dense fuels that batteries cannot easily provide. Hydrogen could also serve as long-duration energy storage, absorbing excess renewable electricity and releasing it when the wind stops blowing or the sun goes down.
