Clear room temperature ferromagnetism has been observed in ZnO powders prepared by microemulsion. The O vacancy (VO) clusters mediated by the VO with one electron (F center) contributed to the ferromagnetism, while the isolated F centers contributed to the low temperature paramagnetism. Annealing in H2 incorporated interstitial H (Hi) in ZnO, and removed the isolated F centers, leading to the suppression of the paramagnetism. The ferromagnetism has been considered to originate from the VO clusters mediated by the Hi, leading to the enhancement of the coercivity. The ferromagnetism disappeared after annealing in air due to the reduction of Hi