Lead Forensics

There is a lack of UK green steel production

A report by the Energy and Climate Intelligence Unit (ECIU) has revealed that there are no UK green steel projects at the planning stage, compared to 23 in European Union countries.

A warehouse equipment manufacturer needs steel to manufacture trolleys, racks, packing tables and more that are essential to the efficient operation of a warehouse. Steel production is responsible for large carbon emissions which is why there is a global trend for green steel.

Many UK steel plants use gas to power steel production. These plants are expensive, in short supply and responsible for large carbon emissions. Green steel is produced using fewer carbon emission fuels.

In Europe, about ten plants are producing green steel using renewable energy and hydrogen. British steel manufacturers had planned to invest in greener steel production. UK Steel, the trade body for steel producers, says that steel manufacturers have been discouraged from switching from gas to lower carbon electricity because of the dramatic rise in industrial electricity prices.

Around 2% of the total carbon emissions in the UK are attributed to steel and iron production.

British Steel has asked the government for £1 billion for the adoption of green technologies to support the government’s net-zero carbon target by 2050. The company estimates that transitioning its Port Talbot plant to net-zero status will cost around £3 billion.

Businesses want to increase their use of green steel, but will source supplies from outside of the UK if domestic green steel is not available.

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