Government Plans ₹5,000 Crore Scheme To Boost Clean Steel Technologies & Cut Carbon Emissions

New Delhi: The government is working on a Rs 5,000 crore scheme to promote adoption of clean steel-making technologies, thereby reducing carbon emissions, Steel Secretary Sandeep Poundrik said on Wednesday.

The senior ministry official made the remarks while speaking to PTI on the sidelines of the 'FT Live Energy Transition Summit India' in the national capital."The proposal is under consideration for a National Mission for Sustainable Steel. It is a Rs 5,000 crore scheme," he said.

The scheme will cover all steel makers in the country, with 75-80 per cent of the fund earmarked for secondary players, Poundrik said.It aims to promote lower carbon emissions in steel production by encouraging the use of clean technologies and alternative materials, he added.

His comments assume significance as India is a signatory to the Paris Agreement and aims to become a net-zero country.Poundrik said that in the next few months, the scheme is expected to become operational.

Explaining the scheme, he further said, "Basically, this scheme is that you will get incentives depending on how much you reduce the emission...if you reduce your carbon emission as compared to your last year...What we are saying is to improve the technologies, but the output parameter we are measuring is decarbonisation."

Steel, a hard-to-abate sector, is among the largest carbon-emitting industries.According to official data, the domestic steel sector accounts for 12 per cent of India's greenhouse gas emissions with an emission intensity of 2.55 tonnes CO2 per tonne of crude steel, higher than the global average of 1.9 tonnes CO2.

Disclaimer: This story is from the syndicated feed. Nothing has changed except the headline.