What is green steel and why do we need it?

Since climate change and global warming are increasingly important issues throughout society, the use of hydrogen to produce green steel becomes very relevant.

Steel production represents 8% of the total global CO2 emissions. Emissions from steel production must decrease for the industry to reach zero net emissions by 2050. Also, for countries to fulfill their commitments assumed in the Paris Agreement.

Today, most crude steel is produced using coal. Industrial furnaces are very high energy consumers and are based on fossil carbon as fuel. For every ton of conventionally produced steel, between 1.5 and 3 tons of fossil carbon are released into the atmosphere.

Thus it becomes more and more obvious that we have to change the way we produce steel. Alternative technologies are being developed in the last decades. Natural gas and hydrogen can be used for the direct reduction of iron ore (DRI-EAF). Companies and innovators from all over the world are researching electrolysis technologies and testing carbon capture in pilot projects. However, these technologies have not yet transformed the sector.

How is green steel obtained?

Green steel or neutral carbon steel is simply steel obtained with the lowest carbon footprint possible today, which will vary from producer to producer and will continue to evolve over time. This product can be obtained using green hydrogen generated from renewable energy sources, rather than fossil fuels.

The so-called green hydrogen, produced with electricity from renewable sources, only emits water vapor. Many consider it the energy solution of the future. All the more so as hydrogen can be stored for a long time, unlike, for example, wind or solar energy.

The production of green steel will depend on the technologies and infrastructure for the production and handling of green hydrogen on a commercial scale.

The global steel sector is a major emitter of greenhouse gases and is therefore under increased pressure in terms of decarbonisation.