EU Approves German Aid for ArcelorMittal Gas Recycling
It was revealed on Tuesday that the European Union has approved a German government grant that will install ground-breaking emissions-reduction technology for one of ArcelorMittal’s steel plants. The executive’s argument is that the technology will help cut EU emissions overall - at least 20% below 1990 levels by 2020.
The grant aims at helping the steel firm develop Top Gas Recycling steelworks. This would reduce their emissions by some 16% in comparison to even the cleanest steel plants.
In a statement, the European Commission said that this is the first application of Top Gas Recycling technology ever on an industrial scale. They found that the environmental benefits from the aid will largely outweigh potential competition distortions, the statement added.
Top Gas Recycling technology allows the user to strip CO2 (carbon dioxide) out of the emissions that come from smelting steel. It then pumps the other emissions back into the smelter. However, the technology hasn’t been used on an industrial scale before, and this exercise will be very costly.
The European Commission’s statement said that the aid is necessary, because without it ArcelorMittal won’t be able to take it to an industrial scale. They took into account during their assessment that even if the price of carbon dioxide was to double, it would still be too low to trigger a Top Gas Recycling technology investment.
ArcelorMittal is only one player in a consortium of steep producers putting their knowledge together about emissions-reduction. Members of the consortium are expected to share what they know from projects like this for free, according to the Commission.
Recycle your old stuff!