Increase use of scrap in steel production: Kulaste

New Delhi: Union Minister Faggan Singh Kulaste on Thursday directed the domestic steel industry to increase use of scrap in their production, underscoring that carbon emission is a serious concern. India uses 30 million tonne (MT) scrap annually to manufacture steel, out of which 26 MT is produced domestically and remaining through imports. Currently, India's overall steel production stands at around 120 MT.

Steel sector must increase use of scrap in their steel production: Kulaste

"Carbon emissions are a concern. The steel sector must increase use of scrap in their steel production," Kulaste said at CII Steel Summit 2022.

"The industry must also adopt new-age technologies to lower their carbon emissions," said Kulaste. However, he did not speak on the quantum of scrap which steel makers must include in their production.

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'100% scrap using EAF /IF emit 0.4 to 0.8 tonne of CO2 per tonne of crude steel'

"100 percent scrap using electric arc furnace / induction furnace (EAF /IF) emit 0.4 to 0.8 tonne of CO2 per tonne of crude steel," Parth Kumar, of Centre for Science and Environment (CSE) said. On an average, 2.5 tonne of CO2 is emitted on manufacturing of every one tonne of crude steel, he added.

According to a ministry document, the iron and steel industry globally accounts for around 8 percent of total carbon dioxide (CO2) emissions on an annual basis, whereas in India, it contributes 12 percent to the total CO2 emissions. The steel ministry has also asked the stakeholders of the sector to develop a time-bound action plan to lower emissions in the steel industry.

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