Green steel may get a push with output, purchase mandates

The Centre is working on green steel mandates for the local steel industry, supported by government procurement and financial incentives, as the world's second-largest maker of the alloy seeks to prepare the sector for the future.

- Subhash Narayan

The upcoming National Green Steel Mission is likely to mandate steelmakers to make a fixed share of their overall output green, the people cited above said on the condition of anonymity. The government will also support green steel with a public procurement policy, as well as interest subventions and production-linked incentives (PLIs).

Green steel broadly refers to steelmaking with renewable energy, using technologies and equipment that emit less. The emission intensity of steel produced in India, at 2.54 tonnes of carbon dioxide per tonne of crude steel, is significantly higher than the global average of 1.91 tonnes, pointing to the need for decarbonisation to meet India's climate goals.

India's move to green steel also Firoz, a steel industry expert.