Renewable hydrogen remains costly and its availability is constrained. Only 10% of planned global clean hydrogen capacity for 2030 has identified buyers. This raises the question of which end-use sectors should be prioritised as deployment progresses.The paper examines how learning subsidies, targeted demand-side support and production incentives linked to end-use commitments can improve hydrogen allocation.
The deployment of clean technologies in hard-to-abate sectors is often hindered by high costs and investment risks. Carbon Contracts for Difference (CCfDs) have emerged to mitigate these risks, yet their design raises a central question: should support for competing clean technologies be technology-neutral or technology-specific?
