Decarbonising hard-to-abate sectors calls for measures that can reduce emissions from both fuel combustion and different processes. These measures can yield incremental emission savings for abating emissions at scale. As the last frontier towards the net-zero goal, hard-to-abate sectors such as steel and cement manufacturing units must look to transition to scalable solutions that can offer energy saving opportunities and emissions reduction. In this study, we examine whether hydrogen can play a pivotal role in decarbonising steel and cement sectors. Studies indicate that hydrogen and carbon capture technologies are not silver bullet solutions to these problems. However, applicability and scale of implementation are areas that remain unexplored, especially in Indian conditions. This study estimates the amount of hydrogen that can be used in steel manufacturing and provides a series of options that can be incorporated alongside hydrogen to further amplify emissions reduction. Furthermore, it outlines proven ways of blending hydrogen with other fuels in cement manufacturing to increase the share of alternative fuel resources (AFRs) and reduce coal dependency.
Further, the study delves into rationalising the global and regional outlook for both steel and cement plants. It provides essential statistics such as production, installed capacity, energy consumption, and emissions intensity required to justify the current and projected growth of these sectors. The growing demand for these commodities has a direct impact on energy requirements and consequent emissions. Hence, there is an opportunity and a need for hydrogen as a decarbonisation measure. The thermal energy dependency of these sectors allows us to consider alternative options that can play a substitutive role in the interim, and possibly in the long run, with necessary design modifications. This report also introduces current technology routes and decarbonisation pathways in the steel sector to emphasise the role of the blast furnace–basic oxygen furnace. It further discusses options available to save energy and reduce emissions, including but not limited to energy efficiency, fuel substitution, and renewable energy.
Click here to read the Press Release
