Hydrogen has a central role in helping the world reach net-zero emissions by 2050 and limit global warming to 1.5 degrees Celsius. Complementing other decarbonization technologies like renewable power, biofuels, or energy efficiency improvements, clean hydrogen (both renewable and low carbon) offers the only long-term, scalable, and cost-effective option for deep decarbonization in sectors such as steel, maritime, aviation, and ammonia. From now through 2050, hydrogen can avoid 80 gigatons (GT) of cumulative CO2 emissions. With annual abatement potential of 7 GT in 2050, hydrogen can contribute 20% of the total abatement needed in 2050.a This requires the use of 660 million metric tons (MT) of renewable and low-carbon hydrogen in 2050, equivalent to 22%b of global final energy demand.

Hydrogen is critical in enabling a decarbonized energy system. It facilitates the integration 

of renewably produced energy because hydrogen can store energy, provide resilience, and transport high volumes of energy over long distances via pipelines and ships. Hydrogen allows energy companies to tap extremely competitive, but otherwise “stranded” renewable energy in remote locations. This accelerates the energy transition as it allows more renewables to be built. Finally, because hydrogen can be produced from electricity and used as, or converted into, fuels, chemicals, and power, the production of hydrogen from electricity will connect and fundamentally reshape current power, gas, chemicals, and fuel markets.

In terms of end uses, hydrogen is critical for decarbonizing industry (e.g., as feedstock for steel and fertilizers), long-range ground mobility (e.g., as fuel in heavy-duty trucks, coaches, long-range passenger vehicles, and trains), international travel (e.g., to produce synthetic fuels for maritime vessels and aviation), heating applications (e.g., as high-grade industrial heat), and power generation (e.g., as dispatchable power generation and backup power).