ArcelorMittal establishes Strategic Partnership with Greenko

ArcelorMittal, the world's second-largest steel producer has announced a strategic partnership with one of India's leading renewable energy companies, Greenko Group. The partnership is for a project that will power the decarbonisation journey of ArcelorMittal Nippon Steel India.

The companies will work together for the construction of a “round-the-clock” 975 Mw of nominal solar and wind capacity. The project will be supported by Greenko’s hydro pumped storage project and will be owned and funded by ArcelorMittal. 

According to the statement, this will result in more than 20% of the electricity requirements at AM/NS India’s Hazira plant coming from renewable sources, which will reduce carbon emission by around 1.5 million tonnes per year.

The project will bring two benefits to AM/NS India, reduced electricity costs and reduced carbon emissions, and will bring an attractive rate of return on investment to ArcelorMittal, the statement said.

Steel companies are on an expansion mode in India, adopting new technology and processes to keep carbon emissions in check and companies are focused on growing.

The steel industry accounts for 7-9% of global emissions, and players around the world have set goals to reduce carbon emissions. ArcelorMittal has set a goal of reducing carbon emission intensity by 25% worldwide by 2030, with an estimated cost of US $10 billion.

AM/NS India aims to reduce operations to 8.8 million tonnes by 2023. In addition, Hazira's production capacity is planned to be expanded to at least 14.4 million tons, and Orissa's greenfield is expected to expand as well.