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Decarbonization in the Brazilian Steel Industry: overcoming challenges and embracing opportunities with hydrogen and biofuels

Written by Corporate
Published 05/07/2024 às 18:59
emissions reduction, emissions mitigation, carbon reduction
Decarbonization in the Brazilian Steel Industry: Challenges, Opportunities and the Role of Hydrogen and Biofuels'. - PHOTO: ©2024|milena.almeida@gotcha.com.br

A decarbonisation of the Brazilian steel sector emerges as a crucial topic in discussions about the future of the industry and sustainability. Faced with the global urgency for more environmentally friendly practices, the replacement of traditional methods with innovative technologies, such as the use of hydrogen, is being evaluated as a potential solution for iron production. These advances not only aim to reduce environmental impacts, but also represent significant opportunities for modernization and sector growth.

One of the main focuses of these initiatives is the decrease in emissions of CO2, essential to achieve international climate goals. During discussions with experts, viable alternatives and approaches to emissions mitigation have been extensively explored. A decarbonisation It is not only a measure of environmental responsibility, but also a strategy to strengthen the competitiveness of the Brazilian steel industry on the global stage. The importance of decarbonization, therefore, goes beyond preserving the environment, being a driver of innovation in the steel production chain.

In a symbolic vote on June 12, the Senate's Special Committee on Green Hydrogen approved the bill that establishes the legal framework for the exploration of low-carbon hydrogen in Brazil. This change is imperative. Although emissions from the mining-metallurgical sector represent only 3,4% of total greenhouse gas emissions in Brazil, according to a study [by Accenture](https://www.accenture.com/content/dam/accenture/final /industry/natural-resources/document/Accenture-Descarbonizacao-Na-Mineracao-Brasileira.pdf), mining and steel companies are committed to reducing this number. They seek to occupy spaces for debate, innovation and partnership, aligning themselves with the society's expectations in contributing to decarbonization processes on multiple scales.

Regulatory pressures and decarbonization outlook

The search for cleaner and more efficient production methods is not just a reaction to regulatory and environmental pressures, but a vital strategy to maintain the industry's competitiveness in the future. According to the Accenture study, shareholders, investors and consumers are beginning to see the mining-metallurgical and steel sector not only as a major emitter of greenhouse gases, but also as a guardian of sustainable raw materials. To contribute to this innovative scenario in the steel industry, ABM – Brazilian Association of Metallurgy, Materials and Mining will include a panel and a round table on decarbonization in the steel industry.

Events and lectures on decarbonization at ABM Week

The panel entitled 'Viability of hydrogen for the decarbonization of the ironmaking chain in Brazil' will take place on September 5th, bringing together executives, professionals and researchers to debate solutions to reduce carbon footprint in basic industry. As assessed by global experts, hydrogen will play a crucial role in the decarbonization of industry. In addition to being a CO2 reducer in iron and steel production processes, renewable hydrogen will be needed in several other sectors.

Consultant Helênio Silva, from Paul Wurth/SMS Group, who will coordinate the panel alongside consultants Vânia Lúcia de Lima Andrade and José Murilo Mourão, highlights the importance of the debate, especially as it occurs at a strategic moment. The meeting is expected to be extremely useful, bringing insights and solutions on decarbonization.

Speakers and Topics Covered on the Panel

Organized by the ABM Mining, Reduction and Agglomeration Technical Committees, the panel will feature four speakers who will present a overview of decarbonization in Brazil and around the world. Maria Emilia Peres, leader of integrated offers for climate, sustainability & equity at Deloitte, will talk about the use of hydrogen to decarbonize the Brazilian steel chain. Professor Pasquale Daniele Cavaliere, from the University of Salento, Italy, will address the direct hydrogen reduction in high quality pellets.

Thiago Campos, senior technical sales manager at Paul Wurth/SMS Group, will talk about the competitiveness of the direct reduction route using H2 + electric arc furnace for the Brazilian steel industry. Mario Feltrin from Air Liquide's global engineering network will discuss the viability of hydrogen and alternatives for decarbonization in the steel industry.

Alternatives to decarbonization with biofuels

The round table 'The use of biofuels in the decarbonization of the Brazilian steel industry' will also take place on September 5th. Steelmakers will share their strategies, opportunities, cases already implemented and regulatory challenges in the use of biofuels (biomass, biomethane/biogas and vegetable oil) to reduce emissions. The Energy and Utilities Technical Committee organizes the round table, which will have as speakers Roberto Luis Prosdocimi Maia, from Usiminas, Marcos Prudente, from Gerdau, André Frias, from Ternium, Marcos Meyer, from ArcelorMittal Brasil, and André Dezanet, from Vallourec Forestry.

Carlos Sadao Shiratsu, coordinator of the round table and consultant, together with Eder Quental, technical manager at Gerdau, highlight the importance of exploring various routes for decarbonization in the Brazilian steel industry, highlighting the relevance of biofuels in mitigating harmful emissions. To find out more, visit: [ABM Week 2024](https://www.abmbrasil.com.br/por/evento/abm-week-8-edicao).

Source: © milena.almeida@gotcha.com.br

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