International Energy Agency releases a policy brief titled ‘Standards for a Net Zero Iron and Steel sector in India’

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Policy brief focuses on standards for low and near zero emissions steel, including emissions measurement methodologies, definitions or emissions thresholds.

Benefits of Standards for low and near zero emissions steel
- Increased acceptance of emission-related measures by producers due to simplified process.
- Help policymakers to reduce duplicating efforts and minimise trade barriers.
- Help countries to set a common verification approach and improve emissions understanding across various actors.

Initiatives to standardize Steel Sector
- India
  - Steel Scrap Recycling Policy, 2019.
  - Perform, Achieve and Trade scheme under National Mission for Enhanced Energy Efficiency, incentivizes steel industry to reduce energy consumption.
  - Ministry of Steel formed 14 Task Forces to support development of its “Roadmap for Green Steel”.
- Global
  - In 2021, COP26 launched Steel Breakthrough, under Breakthrough Agenda focussing on definitions and emissions measurement methodologies.
  - Steel Standard Principles at COP 28 in 2023, for development of low/near-zero emissions steel definitions and measurement methodologies.

Measures required to standardize Steel Sector
- Setting clear timelines for emissions reduction, measurement methodologies and defining near zero steel.
- Creating markets for low-emissions materials and products, developing novel emissions reduction technologies.
- Developing policies to support commercial-scale low emissions production, and mobilising finance and investment.

India is second-largest steel-producing country, accounting for 7% of total crude steel production.
Steel production is highly reliant on coal, used as reducing agent to extract iron from iron ore and provide carbon content needed in steel.

It is the largest coal consumer and is responsible for 7–9% of global Greenhouse Gas emission.
India’s Steel industry accounts for 12% of carbon dioxide emissions and are expected to double by 2030 due to infrastructure push of government.