Germany is attempting to achieve greenhouse gas neutrality by 2045, but in 2021, German industry generated approximately 181 million tonnes of CO2 equivalents. This means that industry is responsible for about a quarter (specifically 24 percent) of the total national greenhouse gas emissions. About two thirds of these industrial emissions are generated by the energy-intensive sectors, with the steel and cement industries alone responsible for half of emissions.
Effecting decarbonisation in areas with process-related emissions and high process temperatures is particularly difficult. In order to successfully implement decarbonisation in these cases, we urgently need innovative technological approaches and stable political frameworks in the long run. They offer industry the necessary planning reliability for the required investments.
This is what the DekarbInd project exactly focuses on. Researchers at the Fraunhofer Institute for Systems and Innovation Research (ISI) and the Wuppertal Institute collaborated on this project, which included developing the central aspects of decarbonisation roadmaps specifically for the steel and cement industries. Over a period of two years, multiple workshops were held where stakeholders from various backgrounds including business, industry, associations, socio-economic groups, politics, authorities and science were able to participate and interact. The foundations for both roadmaps were laid by developing shared visions, explaining possible paths towards transformation, identifying sponsors and obstacles and fleshing out specific measures and fields of action.
The roadmap developed for the steel industry is based on the vision of achieving decarbonisation by 2050, while keeping the sector globally competitive and maintaining its high social prestige. Despite their high cost, the construction of direct reduction plants powered with green hydrogen is seen as particularly promising for transformation. In addition, the plan is to increase the use of scrap in steel production and to further advance decarbonisation in electric steel production.
Currently, the main obstacles to transformation are the lack of a defined regulatory framework and the fact that “green steel” does not have one generally accepted definition. Specific targeted measures should be taken in order to master these challenges. For example, the EU programme “Fit for 55”, which stipulates mandatory legislation on reducing net greenhouse gas emissions by at least 55 percent by 2030, could be defined more precisely in some areas. Introducing uniform standards for measuring the CO2 intensity of steel products would also be helpful, not least because it promotes the development of priority markets for green steel.
The shortage of resources such as hydrogen is another challenge. This might be solved by expanding supply by incorporating international markets. To address the shortage of high-quality scrap, which is mainly caused by business models with inadequate recycling concepts and the poor recyclability of end products, measures such as improved product regulation and more intense promotion of research and development could prove helpful.
Additional factors like digitalisation and the use of artificial intelligence could contribute to making production processes more efficient overall. The key fields of action in the medium and long term are the continuing adjustment and further development of statutory provisions and frameworks.
In addition to the forward-looking roadmaps, researchers in the DekarbInd project also developed a comprehensive assessment scheme that focuses on the current application of climate-neutral technology in more depth. Dr Ali Aydemir, the project leader of DekarbInd at Fraunhofer ISI, explains: “In addition to purely technological and economic criteria, ecological, social and systemic aspects are taking on an increasingly important role for industrial technology. The Excel-based decision-making instrument we developed in this project isn’t really a typical assessment scheme; instead, it’s intended to help you take long-term developments into account and identify potential limitations and conflicts early on.”
The scheme’s application has three phases: In the first step, different technologies or technical solutions are recorded. In the second step, these are subsequently compared, for example “low-carbon technologies for steam generation”. In the third and final step, the results are categorised, visualised and interpreted in order to highlight both the positive and the problematic aspects of the technology investigated.
The comparative technology analysis factors in criteria such as service life, technical availability and efficiency. The findings of such analyses are intended specifically for the experts that will ultimately evaluate the results.