GHG Daily Monitor Vol. 1 No. 185
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Article 6 of 8
October 07, 2016

Steel Industry Emissions Must Drop Dramatically in 2-Degree Future, Report Says

By ExchangeMonitor

The steel industry contributes 6-7 percent of global greenhouse gas emissions and must reduce its output intensity by more than 70 percent by 2050 for the world to have a chance to limit global warming to 2 degrees Celsius, CDP said in a report Thursday. However, the production process of steel leaves the industry with a limited means of reducing its carbon intensity, according to the organization, formerly known as the Carbon Disclosure Project. “A range of projects are underway to develop technologies that could provide the deep decarbonization needed by the industry to achieve a 2 degree transition. However, most are at feasibility or piloting stages and not technically or commercially proven,” the report says.

Carbon capture and storage is often highlighted as one of the most potentially effective ways to reduce GHG emissions from steel manufacturing. However, as the report notes: “Adequate levels of funding for incremental and breakthrough emissions reduction needs to be a priority by companies and governments to ensure long term decarbonization targets are not missed. In particular, progress has been slow in realising the potential for carbon capture and sequestration (CCS), with no CCS pilots underway in the steel industry and little signs of near term progress.”

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