The European Commission approves grant to support Salzgitter decarbonize its steel production
In Brussels, the European Commission has approved a $980 million German measure to help steel producer Salzgitter decarbonize its steel production processes by using hydrogen, including renewable hydrogen produced on site.
The measure contributes to the achievement of the EU Hydrogen Strategy and the European Green Deal targets, while helping reduce dependence on imported Russian fossil fuels, the commission said.
The aid, which will take the form of a direct grant, will support the construction and installation at the company’s site in the city of Salzgitter of a direct reduction plant and electric arc furnace which will replace one of the blast furnaces currently operated by Salzgitter. The measure will also support the construction and installation of a large-scale (100 MW) electrolyzer, which will produce approximately 9,000 tons of renewable hydrogen per year.
Once completed, the project is expected to avoid the release of 3.6 million tons of carbon dioxide annually.
Category: Policy
