Agreements with Tata Steel on CO2 reduction and improving the living environment | News item

News item | 15-07-2022 | 15:45

Tata Steel Netherlands wants to emit 5 megatons less CO2 by 2030 and promises to be climate neutral by 2045. In addition, additional ambitions for improving the living environment have been included in the new Expression of Principles. This letter of intent was signed today by the province of Noord-Holland, the Ministry of Infrastructure and Water Management, the Ministry of Economic Affairs and Climate and Tata Steel. Although the statement of intent (Expression of Principles) is not binding, this statement of intent is indicative. The document serves as a framework for the customized agreement between the government and Tata Steel.

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Agreements with Tata Steel about CO2 reduction and improving the living environment

Reducing CO2

An important part of making Tata more sustainable is reducing CO2 emissions. In the letter of intent, Tata Steel Netherlands expresses the ambition to emit 5 megatons less CO2 by 2030 and to be fully climate neutral by 2045. In September last year, Tata Steel decided to switch from the underground storage of CO2 to the production of green steel with the Direct Reduced Iron production process. This process is more sustainable and cleaner than the current way of making steel, and uses green hydrogen in the production. The transition to this way of producing steel is complex, as the entire steelmaking process has to be adapted and existing blast furnaces replaced.

Minister of Economic Affairs and Climate, Micky Adriaansens: “We want Tata Steel to become cleaner faster. Reducing CO2 emissions and limiting the impact on the living environment: with this declaration of intent, the company and the government set out their ambitions. We are now elaborating this further in the tailor-made agreements with the company. An important milestone. Together with the province of Noord-Holland, the State Secretary and I are investigating how we can support the plans.”

Improving environmental and health situation by 2030

The amended letter of intent includes additional ambitions for reducing the company’s impact on the living environment. For example, it has been agreed that Tata Steel Netherlands will conduct research into further improving the environmental and health situation prior to the transition in 2030. Part of this research is the earlier closure of the most polluting business activities, such as the Kooksfabriek 2.

State Secretary for Infrastructure and Water Management, Vivianne Heijnen: “I believe that the future of Tata Steel can only be clean and sustainable. That is made very clear in this letter of intent. Including additional ambitions for improving the living environment for 2030. We keep a finger on the pulse so that the ambitions become reality. Improvements are needed for the climate, the environment and the health of local residents.”

Realizing the ambitions together

The government, the Province of North Holland and Tata Steel underline the importance of more sustainable and clean steel production for the Netherlands. In the letter of intent, the governments indicate that they are prepared to investigate how the plans and projects to transform the company into a more sustainable and clean steel factory can be supported. In addition to any necessary financial support, it also involves timely decision-making about permit applications and the realization of the necessary hydrogen infrastructure. Attention is also paid to the nitrogen issue.

Jeroen Olthof, deputy of the Province of Noord-Holland for Liveability, Environment and Health: “It is important for the inhabitants of the IJmond that we make joint agreements in the declaration of intent about the switch to sustainable steel production and that health is part of this. The Expression of Principles is a great first step, which should be worked out as soon as possible in an implementation program.”

This declaration of intent determines the direction that will be further elaborated in the coming period in the binding customized agreements between Tata Steel and the government.

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