Monday, May 29, 2023
Green Reporter
  • Home
  • Biodiversity
  • Climate Change
  • Energy
  • Filmmaking
  • Food
  • Investment
  • Management
  • Sustainability
  • Technology
  • Transportation
No Result
View All Result
  • Home
  • Biodiversity
  • Climate Change
  • Energy
  • Filmmaking
  • Food
  • Investment
  • Management
  • Sustainability
  • Technology
  • Transportation
No Result
View All Result
Green Reporter
No Result
View All Result
Home Investment

Global shift to ‘green steel’ will require US$278B in investment by 2050: report

GrR by GrR
December 1, 2021
in Investment
0
Global shift to ‘green steel’ will require US$278B in investment by 2050: report
55
SHARES
238
VIEWS
Share on FacebookShare on Twitter

The global steel industry could be almost completely decarbonized by 2050 with an investment of US$278 billion in clean capacity and retrofits to existing production, according to BloombergNEF’s new report, Decarbonizing Steel: A Net-Zero Pathway. A move to green hydrogen, which BloombergNEF estimates will fall in price by 80% by 2050 and an increase in steel recycling are essential to the net-zero transformation. 

The report envisions 31% of steel could be produced using hydrogen by 2050, with recycling accounting for 45% of the market. A combination of carbon capture technology used to reduce emissions from remaining coal-fired plants and innovative processes using electricity to refine iron ore could make up the remainder of the market. 

Today, around 70% of steel is made in coal-fired blast furnaces, with 25% produced from scrap in electric furnaces, and 5% made in a newer, natural gas-fired process known as DRI (direct reduced iron). Converting to hydrogen would require more DRI plants and more electric furnaces. 

Decarbonization of the steel sector – which accounts for about 7% of human-caused greenhouse gas emissions – will not just affect the coal sector. Production of green steel from hydrogen and electric furnaces will require an enormous investment in clean energy, as well as a shift to higher-grade iron ore. The report notes that Russia and Brazil, which both have high-quality iron ore reserves and access to clean power could benefit, while Australia, which currently is the world’s largest iron ore producer, could lose out if it does not invest in equipment to upgrade its low-grade product. 

“The global steel industry is poised to begin a titanic pivot from coal to hydrogen,” said Kobad Bhavnagri, head of industrial decarbonization at BNEF. “Green hydrogen is both the cheapest and most practical way to make green steel, once recycling levels are ramped up. This transition will cause both great disruption, and great opportunity. Companies and investors don’t yet appreciate the scale of the changes ahead.”   

The report points to five key actions the steel sector should consider to achieve decarbonization: 

  • boost the amount of steel that is recycled, particularly in China, which hosts 57% of the world’s steelmaking capacity; 
  • procure clean energy for electric furnaces; 
  • design all new capacity to be hydrogen or carbon capture-ready; 
  • begin blending hydrogen in existing coal- and gas-based plants to lower the cost of green hydrogen; and 
  • retrofit or close any remaining coal-fired capacity by 2050. 

BloombergNEF notes that the US$278 billion investment required to decarbonize the steel sector is “relatively modest” compared to the estimated US$172 trillion cost of decarbonizing the global energy sector. It also notes that supportive policies such as subsidies for enabling technologies such as hydrogen and carbon capture tax credits (both part of the pending Build Back Better bill in the United States) and rising carbon pricing would help green steel compete with current production. 



Source link
Previous Post

NCNLA announces details for Green & Growin’ 22

Next Post

Meryl Streep Is Trump, Basically, in Don’t Look Up Clip from Netflix Movie

GrR

GrR

Green Reporter is a global source for news of sustainability, green industry, green technology, clear energy, sustainable food production, and green investments. Our aim is to deliver the best news and information to you.

Next Post
Meryl Streep Is Trump, Basically, in Don’t Look Up Clip from Netflix Movie

Meryl Streep Is Trump, Basically, in Don't Look Up Clip from Netflix Movie

  • Trending
  • Comments
  • Latest
Climate change in our backyard: Manitoba begins to grapple with the consequences – Winnipeg

Climate change in our backyard: Manitoba begins to grapple with the consequences – Winnipeg

August 10, 2021
Repsol starts marketing debut sustainability-linked bond sale

Repsol starts marketing debut sustainability-linked bond sale

June 29, 2021
Sustainability Ambitions Soaring at KCI

Sustainability Ambitions Soaring at KCI

December 6, 2021
Chris Pratt explains where the White Spikes originated

Chris Pratt explains where the White Spikes originated

July 3, 2021
Stop burning our rights! What governments and corporations must do to protect humanity from the climate crisis – World

Stop burning our rights! What governments and corporations must do to protect humanity from the climate crisis – World

Biden said to mull dropping corporate tax hike to fund jobs plan

Biden said to mull dropping corporate tax hike to fund jobs plan

Global investors pressure Asian utilities to cut emissions

Global investors pressure Asian utilities to cut emissions

Global inequity could derail path to net zero

Global inequity could derail path to net zero

What’s With A24’s Religious Obsession?

What’s With A24’s Religious Obsession?

August 12, 2022
Governor Hochul Announces Completion of $16 Million Affordable Housing Development in Monroe County

Governor Hochul Announces Completion of $16 Million Affordable Housing Development in Monroe County

August 12, 2022
EU ban on Russian coal enters into force

EU ban on Russian coal enters into force

August 12, 2022
Immune system insights and Thai climate calculator: News from the College | Imperial News

Immune system insights and Thai climate calculator: News from the College | Imperial News

August 12, 2022

Recent News

What’s With A24’s Religious Obsession?

What’s With A24’s Religious Obsession?

August 12, 2022
Governor Hochul Announces Completion of $16 Million Affordable Housing Development in Monroe County

Governor Hochul Announces Completion of $16 Million Affordable Housing Development in Monroe County

August 12, 2022
EU ban on Russian coal enters into force

EU ban on Russian coal enters into force

August 12, 2022
Immune system insights and Thai climate calculator: News from the College | Imperial News

Immune system insights and Thai climate calculator: News from the College | Imperial News

August 12, 2022

Recent News

What’s With A24’s Religious Obsession?

What’s With A24’s Religious Obsession?

August 12, 2022
Governor Hochul Announces Completion of $16 Million Affordable Housing Development in Monroe County

Governor Hochul Announces Completion of $16 Million Affordable Housing Development in Monroe County

August 12, 2022
EU ban on Russian coal enters into force

EU ban on Russian coal enters into force

August 12, 2022

Browse by Category

  • Biodiversity
  • Climate Change
  • Energy
  • Filmmaking
  • Food
  • Investment
  • Management
  • Sustainability
  • Technology
  • Transportation

Follow Us

  • Privacy & Policy
  • About Us
  • Contact Us
  • Advertise

© 2021 Copyright Green Reporter

No Result
View All Result
  • Home
  • Biodiversity
  • Climate Change
  • Energy
  • Filmmaking
  • Food
  • Investment
  • Management
  • Sustainability
  • Technology
  • Transportation

© 2021 Copyright Green Reporter