Hydrogen, as an energy source and clean transportation fuel, has attracted significant attention from private investment and federal funding in recent years to decarbonize energy production. An often-overlooked aspect of hydrogen production is the large volume of water required to generate the fuel. Hydrogen production requires constant water as a feedstock for production and as a means of cooling. Hydrogen is seeing a growing interest and will be a key player in local economies, impacting real estate markets, employment, and potentially local water markets. This Market Insider provides a preliminary look at the impacts of hydrogen production on water markets in the western United States. The article starts with background on the increased investment in hydrogen technology and then provides an analysis of the water market impact of hydrogen.