Platform perspective: How development of a CCU cluster can aid Tata Steel in its sustainability pathway
As announced in the 2021 coalition agreement, the Dutch cabinet is in the process of constructing customised binding agreements with the largest industrial emitters in the Netherlands, including Tata Steel, on their sustainability pathway and the public investments required to achieve this. To support this process, the Ministry of Economic Affairs and Climate asked for an independent and well-grouded perspective on the possible action perspectives for the Dutch state towards steel production and the possible sustainability routes for Tata Steel. This report, published on the 28th of March 2024, can be read here.
The Platform has developed its own perspective on this issue. We see possibilities in the active development of a CCU cluster in the Netherlands: in which parties work together across sectors to transform CO and CO2 into various end products, carrying also great potential for sustainable steel production. Such clusters are already taking off in countries like the UK and the US. These markets have a dual approach: starting with accelerating the deployment of high TRL-technologies and market ripe or commercial concepts, while simultaneously supporting lower TRL-projects to enter the market. CO and CO2-point sources as available in steel production in the Netherlands are an important asset in the development of a CCU cluster. Companies such as LanzaTech already offer fully commercialised and economically viable technologies that can be seamlessly integrated into future iron and steel making technologies.
Making use of CCU can aid Tata Steel in their transition pathway towards green steel production, while also creating an additional business case. Especially when using commercially-ready technologies CO can immediately be deployed in various markets. One key example is the market for sustainable aviation fuels considering RefuelEU Aviation, which sets obligated targets for market parties starting in 2025.
The Platform perspective also outlines several synergies that could take place in a CCU cluster, in cooperation with parties such as LanzaTech, Torrgas, and the port of Amsterdam.
Download our full perspective on the right-hand side.