{"id":49357,"date":"2025-07-26T21:33:45","date_gmt":"2025-07-26T16:03:45","guid":{"rendered":"https:\/\/www.nextias.com\/ca\/?p=49357"},"modified":"2025-07-26T21:34:02","modified_gmt":"2025-07-26T16:04:02","slug":"green-steel-public-procurement","status":"publish","type":"post","link":"https:\/\/www.nextias.com\/ca\/current-affairs\/26-07-2025\/green-steel-public-procurement","title":{"rendered":"Public Procurement of Green Steel"},"content":{"rendered":"\n<p><strong>Syllabus :GS 3\/Economy; GS 3\/Environment&nbsp;<\/strong><\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>In News<\/strong><\/h2>\n\n\n\n<p>The Indian government is finalising a green steel procurement policy, potentially mandating that 25% of public steel purchases be low-emission &#8220;green steel.&#8221;&nbsp;<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>The goal is to create market demand and prevent green steel from being undercut by cheaper, high-emission alternatives.&nbsp;<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>What is Green Steel?<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li>It refers to steel produced using low-carbon technologies, primarily by replacing coal-based blast furnaces with hydrogen-based direct reduced iron (DRI) processes or electric arc furnaces powered by renewable energy.<\/li>\n\n\n\n<li>It aims to reduce greenhouse gas emissions from one of the most carbon-intensive industries globally.<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\">&nbsp;<strong>Importance<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>The steel industry accounts for 10-12% o<\/strong>f India\u2019s total emissions.\n<ul class=\"wp-block-list\">\n<li>Therefore, the sector\u2019s decarbonisation is imperative for India to meet its climate goals.<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter\"><img decoding=\"async\" src=\"https:\/\/lh7-rt.googleusercontent.com\/docsz\/AD_4nXf05lEtfYlwdFVAzyiDtywEgczSHEUssRTfjqFJNtWkBOWb0wjWtulkJf6pok_XJ6QddZW7lkW26PxvSBv3wh_WsPsDYtfnD8-kRcTyFfCkJTlEw7PN-eRCmYDfIsH0E72L-5jt?key=-jYmd31-jwkP22HPiVbKoQ\" alt=\"\"\/><\/figure>\n<\/div>\n\n\n<ul class=\"wp-block-list\">\n<li>Steel is foundational to infrastructure, automotive, and manufacturing sectors.\n<ul class=\"wp-block-list\">\n<li>Greening it ensures<strong> sustainable industrial growth.<\/strong><\/li>\n<\/ul>\n<\/li>\n\n\n\n<li>India became the <strong>world&#8217;s second-largest steel producer in 2018<\/strong> surpassing Japan and remained so since then.\n<ul class=\"wp-block-list\">\n<li>Transitioning to green steel can position it as a climate-responsible global supplier.<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Challenges<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Green steel production is&nbsp; more expensive than conventional methods.<\/li>\n\n\n\n<li>Hydrogen-based DRI and carbon capture technologies are still evolving and not widely commercialized.<\/li>\n\n\n\n<li>Producing green hydrogen requires massive renewable energy capacity, which is still under development.<\/li>\n\n\n\n<li>Lack of mandatory procurement norms and weak demand-side incentives hinder adoption.<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Steps Taken in India<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li>The Ministry of Steel has released a report titled <strong>&#8220;Greening the Steel Sector in India: Roadmap and Action Plan&#8221;<\/strong> in alignment with the recommendations of the 14 Task Forces constituted by this Ministry for this purpose.\n<ul class=\"wp-block-list\">\n<li>This report provides a comprehensive overview of the steel sector, discusses the various pathways for the decarbonisation of the steel sector and chalks out the strategy, action plan and roadmap for the same.<\/li>\n<\/ul>\n<\/li>\n\n\n\n<li><strong>Use of steel scrap <\/strong>as raw material reduces emissions by 58%.\n<ul class=\"wp-block-list\">\n<li><strong>Steel Scrap Recycling Policy, 2019<\/strong>, formulated by the Ministry of Steel envisages to enhance the availability of domestically generated scrap. Motor Vehicles<strong> (Registration and Functions of Vehicles Scrapping Facility) Rules September 2021<\/strong> of Ministry of Road Transport &amp; Highways envisages to increase availability of scrap in the steel sector.<\/li>\n<\/ul>\n<\/li>\n\n\n\n<li><strong>The National Solar Mission<\/strong> launched by the Ministry of New and Renewable Energy in January, 2010 promotes the use of solar energy and also helps to reduce the emission of steel industry.<\/li>\n\n\n\n<li><strong>Perform, Achieve and Trade (PAT) scheme<\/strong>, under National Mission for Enhanced Energy Efficiency, incentivizes steel industry to reduce energy consumption.<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Conclusion and Way Ahead&nbsp;<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Green steel is essential for India\u2019s climate goals and industrial growth.&nbsp;<\/li>\n\n\n\n<li>Through coordinated policies, innovation, and investment, India can become a global leader in sustainable steel production.<\/li>\n<\/ul>\n\n\n\n<p>Source :BS<\/p>\n","protected":false},"excerpt":{"rendered":"<h3><strong>In News<\/strong><\/h3>\n<li class=\"ms-5\">The Indian government is finalising a green steel procurement policy, potentially mandating that 25% of public steel purchases be low-emission &#8220;green steel.&#8221;\u00a0<\/li>\n<p><\/p>\n<h3><strong>What is Green Steel?<\/strong><\/h3>\n<li class=\"ms-5\">It refers to steel produced using low-carbon technologies, primarily by replacing coal-based blast furnaces with hydrogen-based direct reduced iron (DRI) processes or electric arc furnaces powered by renewable energy.<\/li>\n<li class=\"ms-5\">It aims to reduce greenhouse gas emissions from one of the most carbon-intensive industries globally.<\/li>\n<p><a href=\"https:\/\/www.nextias.com\/ca\/current-affairs\/26-07-2025\/green-steel-public-procurement\" class=\"btn btn-primary btn-sm float-end\">Read\u00a0More<\/a><\/p>\n","protected":false},"author":15,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[21],"tags":[],"class_list":["post-49357","post","type-post","status-publish","format-standard","hentry","category-current-affairs"],"acf":[],"jetpack_featured_media_url":"","_links":{"self":[{"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/posts\/49357","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/users\/15"}],"replies":[{"embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/comments?post=49357"}],"version-history":[{"count":3,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/posts\/49357\/revisions"}],"predecessor-version":[{"id":49377,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/posts\/49357\/revisions\/49377"}],"wp:attachment":[{"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/media?parent=49357"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/categories?post=49357"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/tags?post=49357"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}