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Renewable Energy Directive
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The deployment of large volumes of renewables represents a key challenge for the management of the grid and needs to be balanced also with the objective of providing competitive and secure energy. In this sense, it is important to accelerate the integration of renewables in the market in
order to foster cost-effective solutions. The regulatory framework shall address and minimize the impact of regulatory costs related to decarbonisation and the promotion of renewables on the competitiveness of energy intensive-industries and promote innovative low carbon solutions that can contribute to the energy and climate targets, taking exposure to international competition fully into account.
Due to the high share of energy costs in total production costs, EU steel companies operate processes very close to the thermodynamical limits of the current technologies. Deeper emissions reductions are only possible with the deployment and roll out of breakthrough technologies (including steel recycling, carbon capture utilisation and storage, process integration, and electricity/hydrogen-based metallurgy) that require, among others, access to abundant and competitive low carbon energy sources, including hydrogen and electricity. The application of these technologies at industrial scale will contribute to creating new business models where energy carriers will play a key role (e.g. cooperation between the steel and chemical sector to convert carbon reach gases into fuels or feedstocks and/or to replace carbon with hydrogen as reducing agent in steelmaking).
Therefore, it is essential that all low carbon energy sources that can contribute to emissions reductions are promoted according to the technology neutrality principle and regardless of their specific use (i.e. as energy carrier or as reducing agent).
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Brussels, 22 March 2024 – The future of a strong and resilient EU can only be forged with steel made in Europe. Europe-made low-carbon steel has a strategic role as it enables a net-zero economy, but today it faces strong headwinds from high energy prices, unfair competition, global overcapacity and growing unilateral carbon costs. The year 2023 has recorded the lowest European crude steel production levels ever, with a number of idled plants and dire impact on workers. Ensuring the enabling conditions for the short-term viability and the decarbonisation of the steel sector urgently needs to be at the top of the EU agenda. This is the message delivered by the European Steel Association together with a number of high-level representatives of the sector on the occasion of the Clean Transition Dialogue on Steel in the presence of the Executive Vice Presidents of the European Commission, Maroš Šefčovič and Margrethe Vestager.
Uses, limits, and realistic potentials of demand-side response from the European steel industry along with a broad set of framework recommendations for an EU policy
Antwerp, 20 February 2024 – Today 73 industry leaders spanning almost 20 industrial sectors presented ‘The Antwerp Declaration for a European Industrial Deal’ to Belgian Prime Minister, Alexander De Croo and Commission President, Ursula von der Leyen. The declaration underlines the commitment of industry to Europe and its transformation and outlines urgent industry needs to make Europe competitive, resilient, and sustainable in the face of dire economic conditions.