This report outlines a comprehensive strategy for the decarbonization of the steel sector. It includes key technological recommendations such as energy efficiency, adoption of renewable energy and green hydrogen, enhancing material efficiency, transitioning from coal-based Direct Reduced Iron (DRI) to natural gas-based DRI, utilizing Carbon Capture, Utilisation, and Storage (CCUS) technologies, and integrating Biochar into steel production to reduce reliance on coal.
Oct 1, 2024
The Ministry of Steel has recently released a report titled “Greening the Steel Sector in India: Roadmap and Action Plan” prepared based on the recommendation of the 14 task forces constituted by the Ministry of steel for defining a pathway towards decarbonization of the steel sector.
Minister of State for Steel and Heavy Industries, Bhupathiraju Srinivasa Varma, has commended the advancements in technology and material efficiency within the steel sector, highlighting its critical role in global production. He noted that global steel production has surged to nearly 2 billion tonnes, with total capacity reaching approximately 2.5 billion tonnes. India, as the second-largest steel producer, boasts a production capacity of 178 million tonnes and produced 144 million tonnes in FY24.
However, Varma emphasized the pressing challenge of CO2 emissions from the steel sector. Globally, the steel industry is responsible for around 8% of total emissions, with an average emission intensity of 1.89 tons of CO2 per tonne of crude steel produced. In India, this figure is significantly higher, with the steel sector accounting for roughly 12% of total emissions and an emission intensity of 2.5 tons of CO2 per tonne of steel.
In response to these environmental concerns, the Ministry of Steel has released a report titled “Greening the Steel Sector in India: Roadmap and Action Plan”. This report, developed based on the recommendations of 14 task forces, outlines a comprehensive strategy for the decarbonization of the steel sector. It includes key technological recommendations such as energy efficiency, adoption of renewable energy and green hydrogen, enhancing material efficiency, transitioning from coal-based Direct Reduced Iron (DRI) to natural gas-based DRI, utilizing Carbon Capture, Utilisation, and Storage (CCUS) technologies, and integrating Biochar into steel production to reduce reliance on coal.
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Minister Varma stated that the steel industry is at a pivotal moment, with future growth depending on digitization and sustainable production processes. These initiatives aim to reduce emissions and carbon footprints, positioning India as a leader in green steel production while ensuring long-term environmental and economic sustainability.
