Decarbonizing the Steel Sector: Focus on Energy Efficiency, Renewable Energy, and Carbon Emission Reduction
To decarbonise steel sector in the country in short term (FY 2030), reduction of carbon emissions in steel industry through promotion of energy and resource efficiency and enhanced use of renewable energy are the focus. For the medium term (2030-2047), Green Hydrogen based steel making and Carbon Capture, Utilisation and Storage are the focus areas. For long term (2047-2070), disruptive alternative technological innovations can help in achieving the transition to net-zero.
Further, the steps taken by Government for promoting decarbonisation in steel industry are as under:
(1). 13 Task Forces had been constituted with engagement of industry, academia, think tanks, S&T bodies, different Ministries and other stakeholders to discuss deliberate and recommend upon different levers of decarbonisation of steel sector.
(2). Steel Scrap Recycling Policy, 2019 enhances the availability of domestically generated scrap to reduce the consumption of coal in steel making.
(3) Ministry of New and Renewable Energy (MNRE) has announced National Green Hydrogen Mission for green hydrogen production and usage. The steel sector has also been made a stakeholder in the Mission.
(4) Motor Vehicles (Registration and Functions of Vehicles Scrapping Facility) Rules September 2021, envisages to increase availability of scrap in the steel sector.
(5). National Solar Mission launched by Ministry of New and Renewable Energy in January 2010 promotes the use of solar energy and also helps to reduce the emission of steel industry.
(6). Perform, Achieve and Trade (PAT) scheme, under National Mission for Enhanced Energy Efficiency, incentivizes steel industry to reduce energy consumption.
(7) The steel sector has adopted the Best Available Technologies (BAT) available globally, in the modernization & expansions projects.
8). Japan’s New Energy and Industrial Technology Development Organization (NEDO) Model Projects for Energy Efficiency Improvement have been implemented in steel plants.