H2 Green Steel is the first manufacturing company to join Exponential Roadmap Initiative as Climate Solutions Company

20 September 2023

H2 Green Steel, a Swedish industrial start-up focused on decarbonizing the steel industry, has been recognized by the Exponential Roadmap Initiative as a Climate Solutions Company. This recognition validates H2 Green Steel's commitment to delivering significant emissions reductions compared to traditional steel manufacturing methods.

The Exponential Roadmap Initiative is a collaborative effort aimed at accelerating climate action and solutions by scaling up innovative products, services, and projects. H2 Green Steel, established in 2020, is a prime example of a project aligned with this mission, as it was founded to drive the decarbonization of the steel industry. By earning the status of a Climate Solutions Company, H2 Green Steel not only adheres to the stringent criteria outlined in the 1.5°C Business Playbook of the Exponential Roadmap Initiative but also exceeds additional criteria.

Unlike established companies that set greenhouse gas reduction targets for their existing operations, cleantech companies like H2 Green Steel, building operations from the ground up, must meet different criteria. The Exponential Roadmap Initiative offers a framework for cleantech companies to assess and verify their ability to scale climate solutions exponentially. To be designated a Climate Solutions Company, a candidate must introduce a market offering that reduces emissions intensity by more than 50 percent compared to prevailing technology. In the case of H2 Green Steel, this reduction is an impressive 95 percent.

Henrik Henriksson, CEO of H2 Green Steel, emphasized the company's commitment to scientific principles and the fight against greenwashing. He stated, "It's in our DNA to accelerate change towards sustainable solutions and to scale them exponentially. When we start operations in Boden at the end of 2025, no other steel maker will have as small an environmental footprint as we do, but we hope all the others will follow quickly."

H2 Green Steel is currently constructing the world's first large-scale green steel plant. When the Boden plant commences operations, its carbon intensity is expected to be approximately 95 to 195 kg of CO2 per tonne of steel, including Scope 1 and 2 emissions. This is a remarkable improvement compared to the roughly two tonnes of CO2 emitted by blast furnace-based steel production. H2 Green Steel's timeline for starting green steel operations in late 2025 places it 15 years ahead of the current Science Based Targets initiative's 1.5°C-aligned steel roadmap. The company aims to set an example and inspire others to accelerate their efforts in reducing carbon emissions.

Additionally, H2 Green Steel commits to various criteria, including:

  1. Achieving a net-zero target for the Boden plant by 2040, encompassing its own emissions (Scope 1 and 2) as well as those of its suppliers (upstream Scope 3).
  2. Reducing the carbon intensity of its products (Scope 1 and 2) by half by 2035.
  3. Accelerating its decarbonization impact by establishing new sites and exploring additional industry verticals that leverage green hydrogen production in the coming years.
  4. Collaborating with organizations, including civil society groups, that are dedicated to advancing climate action.

Johan Falk, CEO of the Exponential Roadmap Initiative, expressed enthusiasm for welcoming H2 Green Steel as a member of the initiative and highlighted the company's role as a climate solutions leader. Falk emphasized that H2 Green Steel's business model aligns with the need to scale climate solutions exponentially, particularly those that significantly reduce emissions compared to business as usual.

H2 Green Steel's plant in Boden, Sweden, represents a groundbreaking endeavor as it integrates the production of green hydrogen, green iron, and green steel into a single, environmentally friendly process powered by renewable electricity. The plant features Europe's largest electrolyzer, which produces the hydrogen necessary for the direct reduction-reactor process a key step in achieving substantial emissions reductions. The plant's operations involve the conversion of hot sponge iron into liquid steel through an electric arc furnace, followed by continuous casting and rolling, as well as fining, contributing to a more sustainable and eco-friendly steel production process.


Source: prnewswire.com