The present work considers the impact of hydrogen fuel on the environment within the cycles of its generation and combustion. Hydrogen has been portrayed by the media as a fuel that is environmentally clean because its combustion results in the formation of harmless water. However, hydrogen first must be generated. The effect of hydrogen generation on the environment depends on the production process and the related by-products. Hydrogen available on the market at present is mainly generated by using steam reforming of natural gas, which is a fossil fuel. Its by-product is CO(2), which is a greenhouse gas and its emission results in global warming and climate change. Therefore, hydrogen generated from fossil fuels is contributing to global warming to the similar extent as direct combustion of the fossil fuels. On the other hand hydrogen obtained from renewable energy, such solar energy, is environmentally clean during the cycles of its generation and combustion. Consequently, the introduction of hydrogen economy must be accompanied by the development of hydrogen that is environmentally friendly. The present work considers several aspects related to the generation and utilisation of hydrogen obtained by steam reforming and solar energy conversion (solar-hydrogen). Copyright (C) 2011, Hydrogen Energy Publications, LLC. Published by Elsevier Ltd. All rights reserved.