India's Steel Industry Goes Green with Hydrogen
India, Friday, 11 April 2025.
India is swapping out fossil fuels for green hydrogen in its steel industry by 2025. This shift is set to slash emissions and boost sustainability, marking a significant environmental win.
The Green Shift Begins
India’s steel industry is shifting gears to green hydrogen in 2025, aiming to cut emissions and enhance sustainability. With fossil fuels on the way out, pilot projects are already getting the ball rolling to meet decarbonisation goals set by the government and industry leaders [1][2].
The Mechanics of Transition
By 2025, several steel plants plan to mix hydrogen into conventional gas-based direct reduced iron (DRI) processes [3]. Meanwhile, India’s efforts extend towards expanding domestic hydrogen production from renewable sources like wind and solar amid ambitions to scale this hydrogen-heavy steel production over the next decade [1].
Economic and Environmental Leap
The green hydrogen movement is financially backed by significant investments like the SIGHT scheme, funneling billions into hydrogen transition [2]. Eventually, the goal is to reduce the cost of hydrogen-based steel production, making it competitive with traditional methods by 2040 [5]. This shift is vital as the steel sector alone clocks in at around 7% of total global CO2 emissions [4].
Driving Technological Innovation
Key players in the steel industry are actively innovating to incorporate hydrogen into their systems. Companies like Midrex and Tenova are leading this change, adapting technologies to fit hydrogen usage, which makes the transition more feasible and appealing for adoption [1][3].
Policy and Market Dynamics
The National Hydrogen Mission and supportive government policies are critical levers in this transformation. Integrating green hydrogen not only saves the planet but positions India as a frontrunner in a new-age steel trade, where sustainability sets the market pace [1].