India is preparing a package of incentives for the production of green steel

The package will include subsidies for companies that invest in green technologies

The Indian government is developing a special stimulus package aimed at accelerating the production of environmentally friendly steel in the country, Construction World reports.

The initiative is spearheaded by the Ministry of Steel and aims to move India towards sustainable industrial practices.

Key components of the stimulus package include promoting clean hydrogen and renewable energy sources for steel production, and providing financial incentives and subsidies to companies that invest in green technologies. In addition, it is planned to support the installation of electric arc furnaces.

The set of measures being developed is in line with India’s broader goals to minimize carbon emissions. In addition, the production of environmentally friendly steel using hydrogen and EAF will help the country reduce its dependence on imported coal, both coking and thermal.

As global demand for green steel increases, this package enables Indian manufacturers to remain competitive in international markets that are increasingly demanding low-carbon production.

It will be recalled that the Indian government plans to launch a national “green” steel mission by December of this year. A key aspect of the mission will focus on increasing the share of low-carbon metal products in public procurement.

As GMK Center reported earlier, India’s steel industry will require investments of approximately $283 billion to decarbonize existing plants.