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Energy & Environment Management in Steel Sector

Energy and Environment Management in Iron & Steel sector

Iron & steel industry in India are covered under the Environment Protection Act (EPA) as well as Environment Protection Rules & Regulations enacted & published by Ministry of Environment & Forest (MoEF&CC). At the beginning, the entrepreneurs are required to obtain statutory clearances from the Union/State Governments required under the EPA for setting up of any new iron & steel plants or its substantial expansion. Further, the steel companies are required to install specified pollution control equipments/facilities and also operate well within the prescribed Standards/Norms in respect of air, water and noise pollutions as also solid waste generation & utilization. These are monitored by Central/State Pollution Control Boards. MOS helps & facilitates formulation/amendment of Norms and standards.

Energy Management:

Energy consumption in most of the integrated steel plants in India is generally high at 6-6.5 Giga Calorie per tonne of crude steel as compared to 4.5-5.0 in steel plants abroad. The higher rate of energy consumption is mainly due to obsolete technologies including problems in retrofitting modern technologies in old plants, old shop floor & operating practices, poor quality of raw material viz. high ash coal/coke, high alumina iron ore etc. The energy consumption in steel plants is however, gradually reducing because of technological upgradation, utilisation of waste heats, use of better quality inputs, etc.

The Ministry of Steel, through various schemes and regulations, is facilitating reduction in energy consumption and emission of environment pollution in steel plants. Some of the steps /initiatives being taken by the Ministry of Steel through various forums and mechanisms are:

Steps/ Initiatives taken by the Government/ industry:

Charter on Corporate Responsibility for Environment Protection (CREP)

This is an initiative of Ministry of Environment & Forests/ Central Pollution Control Board (CPCB) in association with Ministry of Steel and the main/ major steel plants to reduce environment pollution, water consumption, energy consumption, solid waste & hazardous waste management etc as per mutually agreed targets with the purpose to go beyond the compliance of regulatory norms for prevention & control of pollution through various measures including waste minimization, in-plant process control & adoption of clean technologies. A National Task Force (NTF) has been formed for implementation of CREP recommendations. Ministry of Steel facilitates compliance of CREP action points in association with the steel plants. National Task Force (NTF) has recently been reconstituted

National Action Plan on Climate Change (NAPCC)

National Action Plan for Climate Change (NAPCC) has been launched in 2008 to address the Challenge at national level. NAPCC outlines 8 National Missions, one of them being the National Mission for Enhanced Energy Efficiency (NMEEE). Perform Achieve & Trade (PAT) is the flagship scheme under NMEEE. PAT is a market based mechanism through certifications of energy savings which could be traded. PAT has become effective from April 2012.

Total Energy Consumption in India in 2010 was estimated at around 450 Million Tonnes of Oil equivalent (Mtoe) of which around 135 Mtoe i.e. approx 30% was accounted for by the Industrial Sector. The Energy Consumption in Iron and Steel Sector accounted for nearly 33.7 Mtoe i.e. 25% of the total energy consumption in the Industrial Sector.

During PAT Cycle-I, (2012 – 2015), 67 Designated Consumers (DCs) with total Energy Consumption of 25.32 Million toe were covered which works out to 45% of total Energy Consumption in the Steel Sector ( 56 M toe).

Under PAT Cycle-II (2016-19), 71 Designated Consumers in Iron Steel Sector have been notified by Ministry of Power. The share of Energy Consumption in respect of the 71 DCs works out to 72% of total energy consumption in the steel sector.

Promotion of Energy Efficiency in SME Sector:

UNDP-GEF-MoS Project: “Energy Efficiency in Steel Re-rolling Mills” (2004-2013):

The project has been completed and implemented. It has facilitated low carbon technologies in 34 steel re-rolling mills (model units) to bring down energy consumption and reduce GHG emissions by 25-50%. This has helped in replication of the energy efficient technological interventions in many other steel re-rolling mills.

UNDP-MoS-AusAID Project: Up scaling Energy Efficient Production in Small Scale Steel Industry in India” (June 2013-June2016)

Aims to further replicate energy efficiency in steel re-rolling mills and expand the interventions to other SME Sector like induction furnaces. The project is completed covering 300 mini steel mills (inclusive of 5 Induction furnace units) are covered in IInd phase at the investment of 50 Crore from private sector against Rs. 20 crore of funding from Ministry of Steel, AusAid and UNDP.

Third Phase:

In the third phase for five years, 1100 units are proposed to be covered with approximate public funding of 108 crore from Ministry of Steel which will reduce 24 lakh tonnes CO2 per annum.

NEDO Model Projects for Energy Efficiency Improvement .

Government of Japan through Ministry of Economy Trade & Industry provides funds i.e as Overseas Development Aid (ODA) under its Green Aid Plan (GAP) through Department of Economic Affairs in GOI for setting up of energy efficient, environment friendly projects known as Model Projects in various sectors including steel. These projects are routed through and managed by NEDO (New Energy & industrial technology Development Organisation), Japan. Ministry of Steel is coordinating the projects undertaken in the iron & steel sector. So far the following three projects have been commissioned, two at Tata Steel and one project at RINL.

  • BF Stove Waste Heat Recovery: Completed at Tata Steel
  • Coke Dry Quenching: Completed at Tata Steel
  • Sinter Cooler Waste Heat Recovery: Completed at Rastriya Ispat Nigam Limited.

Further, two MoUs for two more Model Projects (i) Regenerative Burner System for reheating furnaces at Rourkela, SAIL and (ii) Energy Monitoring and Management System at ISP Burnpur, SAIL have been signed for implementation.

Iron & Steel Slag Utilization

The major wastes produced in integrated steel plants include BF Iron Slag Steel Melting Shop (SMS) Slag accounting for nearly more than half a ton for each ton of steel produced in ISPs. Most of the steel plants are utilising 100% of the iron slag produced (mostly in cement making and some portion as aggregate, both of which are permitted in BIS or IRC Standards Specifications) while others are closer to reach the 100% utilization.

The utilisation of SMS (particularly LD) slag is limited due to its

  • Phosphorous content
  • High Free lime content and
  • Higher specific weight.

To resolve these issues, Ministry of Steel has constituted a Task Force for promotion and utilization of Iron and Steel Slag. A meeting of the task force was held on 30th September, 2016 under the chairmanship of Joint Secretary (Steel), which was attended by all major steel plants in public & private sector and associations. In this meeting, all the issues related to slag were deliberated upon and action plans were evolved. Ministry of Steel has written to Indian Road Congress for development of codes and procedures allowing use of SMS slag as road aggregates, Research Designs and Standards Organisation (RDSO) for framing standard for use of iron and steel as rail ballast, Ministry of Environment and Forest & Climate Change for considering making mandatory the use of iron and steel slag in road making, rail ballast and also to all the ISPs for setting up of commercial plant to produce processed SMS slag.

Intended Nationally Determined Contributions (INDCs) for Indian Steel Industry

Government of India has submitted India’s Intended Nationally Determined Contributions (INDCs) to reduce the emissions intensity of its GDP by 33 to 35 percent by the year 2030 from the level of the year 2005. Accordingly, Ministry of Steel has submitted INDCs for iron and steel in sector to MOEF&CC to reduce GHG emission by adopting clean and green technologies