The Supervisory Board of Austrian steel maker voestalpine AG took the first important decision on its path from the coal-based blast furnace route to steel production using electric arc furnaces powered by green electricity. In summer of 2022, voestalpine will start clearing the necessary construction areas and converting infrastructure at its two sites in Linz and Donawitz. The estimated investment costs during this first phase fall in the low triple-digit million-euro range. Next year the Supervisory Board will take the final decision to invest in the two electric arc furnaces, construction of which will begin in 2024. By early 2027, one electric arc furnace at each Linz and Donawitz site should commence operations. From today’s standpoint, the total investment costs will run to around one billion euros. Converting to EAFs allows carbon emissions to be significantly reduced, by around 30%. This corresponds to a saving of around 3 to 4 million tonnes of CO2 a year, or almost 5% of Austria’s annual carbon emissions.A market for green steel is emerging in Europe. A particular driver behind this development is the European automotive industry and greentec steel is the clear plan voestalpine has developed to decarbonize steel production, and is broadly ready to start. However, the corresponding framework conditions, such as sufficient quantities of renewable energy at competitive prices and efficient power grids, are needed if voestalpine is to adhere to this timetable.voestalpine has reduced its air emissions and energy consumption to the minimum technologically possible over the past decades. Only a radical technological transformation will allow any further significant reduction in carbon emissions. greentec steel is voestalpine’s contribution to achieving the climate goals. Specifically, in a first step from 2027, the steel and technology group is planning to gradually shift from the coal-based blast furnace route to steel production using green electricity. Over the long term, voestalpine’s mission is carbon neutral steel production using green hydrogen, for which it is already undertaking intensive research into promising breakthrough technologies.
The Supervisory Board of Austrian steel maker voestalpine AG took the first important decision on its path from the coal-based blast furnace route to steel production using electric arc furnaces powered by green electricity. In summer of 2022, voestalpine will start clearing the necessary construction areas and converting infrastructure at its two sites in Linz and Donawitz. The estimated investment costs during this first phase fall in the low triple-digit million-euro range. Next year the Supervisory Board will take the final decision to invest in the two electric arc furnaces, construction of which will begin in 2024. By early 2027, one electric arc furnace at each Linz and Donawitz site should commence operations. From today’s standpoint, the total investment costs will run to around one billion euros. Converting to EAFs allows carbon emissions to be significantly reduced, by around 30%. This corresponds to a saving of around 3 to 4 million tonnes of CO2 a year, or almost 5% of Austria’s annual carbon emissions.A market for green steel is emerging in Europe. A particular driver behind this development is the European automotive industry and greentec steel is the clear plan voestalpine has developed to decarbonize steel production, and is broadly ready to start. However, the corresponding framework conditions, such as sufficient quantities of renewable energy at competitive prices and efficient power grids, are needed if voestalpine is to adhere to this timetable.voestalpine has reduced its air emissions and energy consumption to the minimum technologically possible over the past decades. Only a radical technological transformation will allow any further significant reduction in carbon emissions. greentec steel is voestalpine’s contribution to achieving the climate goals. Specifically, in a first step from 2027, the steel and technology group is planning to gradually shift from the coal-based blast furnace route to steel production using green electricity. Over the long term, voestalpine’s mission is carbon neutral steel production using green hydrogen, for which it is already undertaking intensive research into promising breakthrough technologies.
