SEATTLE (Scrap Monster): The leading steelmakers in India have urged the country’s government to provide federal funding and other necessary economic aids to help the domestic steel industry meet the carbon emission reduction targets. The industry aims to achieve net-zero carbon emissions by 2070. Also, it seeks to reduce emissions from 2.6 tonnes of carbon dioxide per tonne of crude steel output in 2020 to 2.4 tonnes by 2030.
The Indian Steel Association (ISA), in a statement issued ahead of the Union Budget 2022, sought federal subsidies and tax incentives to source latest green technologies. It also urged the Central government to make it mandatory for government-backed construction projects to source a designated quantity of steel exclusively from low-carbon producers.
Tata Steel noted that low carbon footprint could be enabled through government incentives for low carbon technologies, state funding for green pilot projects and market for steel made by green technologies.
The steel sector needs policy and public support to adopt deep decarbonisation technology, which tend to be considerably expensive, noted JSW Steel. AM/NS India- the joint venture steel project between ArcelorMittal and Nippon Steel too forecasts high operating costs for low carbon steel plants, at least in the short to medium term.