Net Zero Industry Tracker 2024 Steel

Infrastructure STEEL According to MPP , the steel sector currently relies primarily on fossil fuels, with 106 GW of coal power and 45 MTPA of natural gas capacity available, while the clean power and hydrogen capacity available is negligible.315 To meet the 2050 net-zero targets, the 2050 fuel mix for steel will need to look significantly different. Clean power will need to supply 26% of the energy required for production, necessitating 833 GW of installed clean power capacity. Hydrogen will need to provide 29% of the energy required, supported by advancements in hydrogen-powered production processes, requiring 48 MTPA of hydrogen capacity. To further reduce emissions, 853 MTPA of CCUS capacity will be required. Biofuels are expected to contribute to 6% of the 2050 fuel mix and will require a capacity of 458 MTPA. However, it is expected that 15% of the energy mix in 2050 will still come from unabated fossil fuels, due to the emission-intensive nature of steel production. Clean hydrogen production CO 2 transport and storage Current capacity used Less than 1 GW 833 GW 48 MTPA Less than 1 MTPACapacity required (2050) 853 MTPA Less than 1 MTPA Clean power generationInfrastructure for decarbonization capacity FIGURE 44 Source: Accenture analysis based on data from MPP . 8 Net-Zero Industry Tracker: 2024 Edition