Govt. may launch policy on green steel mission
India's Push for Green Steel: Policy and Roadmap for Sustainable Manufacturing
India may soon adopt a procurement policy aimed at generating demand for “green steel” to encourage the steel industry to transition toward more sustainable manufacturing practices. Steel Secretary Sandeep Poundrik highlighted this initiative, signaling the country’s strong commitment to decarbonizing the sector. This move is in line with increasing global pressure, especially in response to the European Union’s impending 25% carbon tax on imports of steel, aluminum, and other goods.
The Ministry of Steel is set to launch a green steel mission, similar to India’s green hydrogen initiative. This mission will focus on policy development, incentives, and implementation strategies to support sustainable practices. Incentives for smaller steel producers are being considered to enable them to adopt environmentally friendly technologies. The steel ministry also aims to generate demand for green steel through a Green Public Procurement (GPP) policy, which will help facilitate the sector’s greening efforts.
A recent report, Greening the Steel Sector in India: Roadmap and Action Plan, outlines the country’s strategy for decarbonizing the steel industry. The report recommends setting up a specialized agency for bulk procurement of green steel, and creating a robust system for emissions tracking and green steel certification. Additionally, international collaborations and support for pilot projects, particularly in hydrogen-based steel production, are seen as critical steps toward achieving these goals.
With input from 14 task forces and over 200 stakeholders, the report identifies key areas for action, including energy efficiency, renewable energy, and carbon capture technology. It also emphasizes the need for collaboration with the Bureau of Energy Efficiency (BEE) to develop protocols for emission measurement, and urges the steel ministry to align its efforts with other sectors like refining and fertilizers that are also impacted by carbon taxes.
