ArcelorMittal Nippon Steel India (AM/NS India), a joint venture between ArcelorMittal and Nippon Steel, two of the world’s leading steelmakers, is accelerating efforts to lower its carbon emissions by maximizing steel scrap utilization in its steelmaking processes.
AM/NS India will soon establish three dedicated scrap processing centres – one at the flagship plant in Hazira and the other in Ahmedabad in Gujarat; and one at Khopoli, Maharashtra – by December 2024 with an estimated investment of Rs 100 crore, as part of its comprehensive roadmap that focuses on increasing scrap mix utilisation. The company has also set up dedicated teams to implement the strategy. Post-commissioning of these facilities, AM/NS India plans to establish more such units in strategic locations.
AM/NS India has reduced its CO2 emissions intensity by nearly 32% towards the end of CY2022 (compared to 2015 levels). Through increasing scrap mix contribution along with other levers such as greening the grid power consumption, AM/NS India aims to further reduce its emissions intensity.
With a current steelmaking capacity of 9 MTPA, AM/NS India sees substantial potential for maximising the use of steel scrap during steelmaking to support its decarbonisation efforts. The company currently has a scrap mix of 3-5% of its total steelmaking capacity in the Electric Arc Furnace (EAF). This scrap strategy aims to achieve a 9% scrap mix by the end of 2025 and will be realised through a combination of the newly introduced Basic Oxygen Furnace and the existing EAF.
Mr. Dilip Oommen, Chief Executive Officer, ArcelorMittal Nippon Steel India (AM/NS India), said, “In line with our commitment to sustainability and guided by our brand promise ‘Smarter Steels, Brighter Futures’, we aim to significantly increase the scrap mix while simultaneously reducing dependence on steelmaking from primary raw materials like iron ore and coal. We will also substantially minimise the number of byproducts generated in our steel manufacturing process and reduce the environmental impact, besides promoting a more circular and sustainable approach to resource management.”
Beyond operational initiatives, AM/NS India is also actively engaging and collaborating with a range of stakeholders, including customers, policymakers and the scientific community, to explore ways to advance a secure and sustainable supply chain for raw materials. By nurturing these collaborative relationships, AM/NS India intends to act as a catalyst to expedite decarbonization efforts within and beyond the steel industry, contributing to India’s larger efforts to step up climate action and spur a sustainable, circular economy.
