Hydrogen energy, as a zero-carbon emission type of energy, is playing a significant role in the development of future electricity power systems. Coordinated operation of hydrogen and electricity will change the direction and shape of energy utilization in the power grid. To address the evolving power system and promote sustainable hydrogen energy development, this paper initially examines hydrogen preparation and storage techniques, summarizes current research and development challenges, and introduces several key technologies for hydrogen energy application in power systems. These include hydrogen electrification technology, hydrogen-based medium- and long-term energy storage, and hydrogen auxiliary services. This paper also analyzes several typical modes of hydrogen–electricity coupling. Finally, the future development direction of hydrogen energy in power systems is discussed, focusing on key issues such as cost, storage, and optimization.