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Strategies for reducing carbon emissions

The steel industry produces 7-8% of CO emissions created by humans (almost two tonnes for every tonne of steel produced), and it is one of the most energy-consuming industries on earth. There are several carbon abatement and decarbonization strategies in the steelmaking industry, which on the basic manufacturing process used. Options fall into three general categories: switching the energy source from fossil fuels to wind and solar; increasing the efficiency of processing; and innovative new technological processes. All three may be used in combination.

"Green steel" is the term used for manufacturing steel without the use of fossil fuels, that is, zero-emission products. However, not all companies claiming to produce green steel meet this criterion. Some merely reduce emissions. Australia produces nearly 40% of the world's iron ore, and the government, via the Australian Renewable Energy Agency (ARENA), is helping to fund many research projects involving direct reduced ironmaking (DRI) to increase green steel and iron production. Large companies such as Rio Tinto, BHP, and BlueScope are developing green steel projects.

CO emissions vary according to energy sources. When sustainable energy such as wind or solar are used to power the process, either in electric arc furnaces or to create hydrogen as a fuel, emissions can be reduced dramatically. European projects from HYBRIT, LKAB, Voestalpine, and ThyssenKrupp are pursuing strategies to reduce emissions. HYBRIT claims to produce true "green steel".