US DOE suggests low-carbon fuels, pilot programs for US steel sector decarbonization

The US Department of Energy is proposing several solutions to advance decarbonization targets in the US steel industry, including the use of alternative fuels and innovative pilot demonstration programs.

Among the suggested actions in its industrial decarbonization roadmap released Sept. 7, the DOE said US steel producers could "transition to low-and no-carbon fuels and expand industrial electrification" and "improve materials efficiency and increase materials circularity​" to achieve net-zero emissions goals.

The US steel industry could also consider pilot demonstrations to advance technologies such as iron ore electrolysis, the use of hydrogen in steelmaking and carbon capture and utilization storage, the department added.

"Iron and steel manufacturing is one of the most energy-intensive industries worldwide," the DOE said. "The use of coal as a feedstock in production methods, the chemical reduction of iron oxide, and the sheer volume of iron and steel produced has made the industry among the highest in [greenhouse gas] emissions."

Despite the energy intensity of global steel production, which is largely based on blast furnaces, 70% of steel produced in the US utilizes less carbon-intensive electric arc furnace technology, according to the Steel Manufacturers Association.

EAF operations produce twice the amount of steel with 75% less greenhouse gas emissions over blast furnace production, according to the SMA website.

Other industries

In its decarbonization roadmap, the DOE said general industry accounts for 30% of all energy-related carbon emissions in the US, second behind transportation (35%).

Within the industrial category, iron and steel production represents only 7% of industrial energy-related emissions but is considered among "five of the highest CO2-emitting industries where industrial decarbonization technologies can have the greatest impact across the nation," the DOE said.

The DOE also highlighted the petroleum refining, chemicals, cement and food and beverage industries as areas that could benefit most from continued decarbonization solutions.

"These industries represent approximately 51% of energy-related CO2 emissions in the US industrial sector and 15% of US economy-wide total CO2 emissions," the department added.

The American Iron & Steel Institute welcomed ongoing collaboration efforts between the domestic steel industry and the DOE.

"The American steel industry is a leader in decarbonization," AISI CEO Kevin Dempsey said in a statement Sept. 7 released in conjunction with a DOE event marking the release of the roadmap. "The innovations and investments that the industry has made, and continues to make, to produce steel with low carbon emissions intensity have made us the cleanest among the major steel-producing nations in the world."