Rising oil and gas prices following the hostilities with Iran have narrowed the cost gap between green hydrogen and fossil fuels. This development is paving the way for wider adoption of the zero-emission fuel across Asia.

The Iran war has done in two months what years of climate policy could not: make green hydrogen look economically viable. Soaring oil and gas prices since February’s outbreak of hostilities have narrowed the cost gap between the zero-emission fuel and its fossil rivals, paving the way for wider uptake across Asia. The eight-week US-Israeli war on Iran, Tehran’s closure of the Strait of Hormuz and Iranian strikes on Qatar’s Ras Laffan liquefied natural gas (LNG) complex have sent Asian fuel...