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New article on green steel

2019-09-02

Valentin Vogl and Max Åhman have published a new article in the proceedings of ESTAD (European Steel Technology and Application Days), titled "What is green steel? Towards a strategic decision tool for decarbonising EU steel". Read the abstract below and the full article here: https://portal.research.lu.se/portal/files/66962032/What_is_green_steel_P532.pdf

Abstract
The climate debate has sparked an interest for alternative steelmaking processes within the European steel industry. For the steel industry the Paris Agreement means it must undergo large-scale technological change. Public funding for research and demonstration projects has been successful in nurturing a variety of technology innovation projects, such as projects aiming to use renewable hydrogen in the direct reduction process, or to produce chemicals from steel off-gases via carbon capture and utilisation. If these technologies can be demonstrated successfully, their commercialisation will require further public support in the form of demand pull policy to create a market for these technologies in which they can mature and reach competitiveness. In respect of the large sums of public support required for the push and pull of climate-friendly steelmaking technologies, support decisions must be based on a project’s compatibility with climate goals and avoid carbon lock-in. The aim of this paper is thus to analyse the implications the Paris Agreement has for future investments in the EU steel industry. We do this by reviewing technological pathways and suggest a methodology to determine if investments are in line with climate goals. The methodology is based on the carbon footprint of steel and we review the main choices that have to be made in a life cycle analysis for alternative steelmaking processes. We conclude that the technological options to reach zero emissions by mid-century are limited. The early articulation of support for high-ambition investments has the potential to create stable long-term market expectations and form the basis of a demand pull for green steel. Our insights can inform policy makers to bring innovation policy in line with longterm climate goals.