India has released a draft steel policy for public consultation that sets an ambitious target of nearly tripling the country's steelmaking capacity to 604 million metric tonnes by 2047, while sharply cutting the sector's carbon emissions.
The draft, released late on Saturday, proposes raising capacity from around 220 million tonnes at present to 604 million tonnes by 2047, the centenary year of India's independence, as the country prepares for rising steel demand from infrastructure, construction and manufacturing.
Emissions and raw materials
The policy aims to cut the steel sector's average carbon-emission intensity to around 1.54 tonnes of carbon dioxide per tonne of crude steel by 2047, down from the current 2.54 tonnes. The reduction of nearly 39 per cent is intended to support India's broader commitment to achieving net-zero emissions by 2070.
Meeting the capacity target will require a substantial increase in raw-material supplies. The steel ministry projects iron ore demand at 772 million tonnes and plans to secure access to high-grade reserves by pursuing foreign assets and joint ventures, according to the draft document cited by Reuters.
The ministry also expects coking coal demand to reach 236 million tonnes, with the government planning to diversify its sourcing through what it describes as strategic global outreach and the acquisition of overseas assets.
A draft, not yet final
The document is currently open for public consultation, meaning the targets and measures could be revised before any final policy is adopted. Reuters had reported last week, citing the draft, that the policy would lay out plans to cut sector emissions and shore up access to iron ore and coking coal.
The proposed expansion comes as India seeks to strengthen its industrial base, though increasing capacity while lowering emissions will be a significant challenge for an industry that relies heavily on coal-based production. Investment in new facilities, reliable raw-material access and cleaner production technologies will decide whether the targets are met.
Sources:
India targets 604 MT steel capacity by 2047, plans to cut carbon intensity - Economic Times
India unveils steel policy aiming for 604 million tons capacity by 2047 - Reuters
The draft, released late on Saturday, proposes raising capacity from around 220 million tonnes at present to 604 million tonnes by 2047, the centenary year of India's independence, as the country prepares for rising steel demand from infrastructure, construction and manufacturing.
Emissions and raw materials
The policy aims to cut the steel sector's average carbon-emission intensity to around 1.54 tonnes of carbon dioxide per tonne of crude steel by 2047, down from the current 2.54 tonnes. The reduction of nearly 39 per cent is intended to support India's broader commitment to achieving net-zero emissions by 2070.
Meeting the capacity target will require a substantial increase in raw-material supplies. The steel ministry projects iron ore demand at 772 million tonnes and plans to secure access to high-grade reserves by pursuing foreign assets and joint ventures, according to the draft document cited by Reuters.
The ministry also expects coking coal demand to reach 236 million tonnes, with the government planning to diversify its sourcing through what it describes as strategic global outreach and the acquisition of overseas assets.
A draft, not yet final
The document is currently open for public consultation, meaning the targets and measures could be revised before any final policy is adopted. Reuters had reported last week, citing the draft, that the policy would lay out plans to cut sector emissions and shore up access to iron ore and coking coal.
The proposed expansion comes as India seeks to strengthen its industrial base, though increasing capacity while lowering emissions will be a significant challenge for an industry that relies heavily on coal-based production. Investment in new facilities, reliable raw-material access and cleaner production technologies will decide whether the targets are met.
Sources:
India targets 604 MT steel capacity by 2047, plans to cut carbon intensity - Economic Times
India unveils steel policy aiming for 604 million tons capacity by 2047 - Reuters
