Counting on … day 80

5th April 2024

Green Steel 

Steel manufacturing produces more CO2 than any other heavy industry, comprising around 8% of total global emissions. 

Traditionally steel is made in a blast furnace where the iron ore is he@ted at high temperatures together with coal. As the coal burns it produces carbon monoxide which bonds with and removes oxygen in the iron ore so purifying it to produce metallic iron. The carbon monoxide binding with oxygen becomes carbon dioxide and is one of the main sources of carbon emissions. Other sources of emissions will vary depending how the furnace is heated etc. 

The industry is developing various ways of producing steel without – or with reduced – carbon dioxide emissions – known as green steel.

Replacing coal with hydrogen: Green steel can be produced by using hydrogen to remove the oxygen from the the ore – producing water (H2O). Ideally this would be green hydrogen – ie hydrogen produced using renewable energy. This method of producing steel requires heating the furnace to a higher temperature.

Reusing existing steel: steel can easily be recycled in arc furnaces powered by electricity – which ideally would be electricity from renewable energy sources with no carbon dioxide emissions.

Around 30% of the world’s steel is made from recycled steel. However steel cannot be recycled endlessly without loss of quality. Each time it is recycled the proportion of unwanted elements such as copper, nickel and tin increases. On the other hand steel has  long in-use life which means that the amount of steel made available for recycling does not at present keep up with the growing demand for more steel. Our modern economies are big users of steel!

(For more detail see https://theconversation.com/green-steel-is-hailed-as-the-next-big-thing-in-australian-industry-heres-what-the-hype-is-all-about-160282)

Which ever form of green steel is produced, the availability of large amounts of renewable energy is going to be critical. 

As important will be the way the transition is managed as furnaces are large and highly expensive pieces of kit – ie needing substantial investment – and can take years to install which in some instances has led to workers being laid off – as is proposed at the Tata steel works in Port Talbot. (https://www.theguardian.com/uk-news/2024/mar/25/tata-port-talbot-job-losses-labour-subsidy?CMP=Share_iOSApp_Other). 

Other important issues to address are how steel is used – with product design ensuring a long life, whether other materials could be used – timber for example in building construction, and how effectively scrap  steel is collected and recycled.

Further reading – https://www.bbc.co.uk/news/business-64538296

Counting on … day 1.208

3rd November 2023

Another industry highly dependent on energy is the steel industry. Traditionally that has come from coal, but electric furnaces are providing a less environmentally damaging alternative, producing what is termed ‘green steel’. Providing investment to enable British based steel plants to switch is becoming an election issue. The Guardian reported that “Labour is promising to invest £3bn in smoothing the green transition should it win power at the next election. This is substantially more than the offers made by Mr Sunak’s government to Tata Steel and the Chinese Jingye Group, the respective owners of the Port Talbot works and British Steel. As Sir Keir pointed out, with the right kind of backing and vision from Westminster, domestic steel production can become a crucial component in meeting Britain’s clean power targets. That, in turn, will help protect good, well-paid jobs in regions that desperately need them. Britain is set to require more, not less, steel as it builds net zero machinery and infrastructure at pace. That can be a catalyst for industry renewal, if a committed government shows the drive and imagination to make it so. New public procurement rules, for example, could ensure the use of clean British steel in the manufacture of wind turbines, rather than reliance on imports from abroad.” https://www.theguardian.com/commentisfree/2023/oct/24/the-guardian-view-on-labour-and-the-steel-industry-how-to-forge-a-better-future?CMP=Share_iOSApp_Other

Nothing is straight forward. To add to this story, it seems that switching to electric furnaces has to further knock on effects. First the furnace needs fewer people to operate it, so the switch comes with redundancies. We should be aspiring to a just transition to net zero which means we should be looking to create jobs for those facing redundancy. This could involve reskilling people for work in the green sector eg building and installing wind turbines, heat pumps, solar panels, etc. Second – and which is a positive really – electric furnaces don’t produce steel from iron ore but by recycling steel and iron.