ANPEa demonstration by climate activists at Tata Steel, 24 June 2023
NOS Nieuws•vandaag, 16:47
Rob Coster
Economics reporter
Rob Coster
Economics reporter
Tata Steel IJmuiden is seriously considering a future in which it no longer produces its own steel using iron ore. The former blast furnaces would then limit themselves to melting down scrap and thus change into a recycling company. Tata outlines this scenario in a first report on the discussion meetings that the company has held with local residents about the company’s plans for the future.
Two years ago, Tata announced that it wanted to switch to making steel using green hydrogen instead of coal. This requires a lot of financial support, about which the company is discussing with the now outgoing cabinet. Meanwhile, the pressure on Tata is increasing due to the continuing nuisance of steel production for the immediate area. It is remarkable that Tata is now openly doubting that future with hydrogen.
In particular, the two coke gas plants that degas coal before it is used for steel production in the blast furnaces cause nuisance to people living near Tata. The environmental service of the province of North Holland is handing out one high fine after another to Tata and the Public Prosecution Service is conducting a criminal investigation into violations of environmental legislation by Tata.
Hydrogen will not solve nuisance in the short term
One of the problems of the hydrogen route for Tata is that the direct nuisance for the surrounding area will not stop for the next ten years. The company admits that despite the efforts and investments it makes, the coke gas plants will still cause nuisance for about ten years. Three weeks ago there was a large demonstration on the Tata site by Greenpeace and other environmental organizations.
The ongoing nuisance makes it difficult for the government to support Tata’s green future plans with one or more billions of euros of tax money. A day before the large demonstration at Tata, Minister Adriaansens of Economic Affairs and Climate announced that he “set high demands” on support for Tata. She also expressed her concern about the nuisance and the health effects for the population.
Tata said this afternoon that “a lot has changed” since the hydrogen plans were presented two years ago. The company points to deteriorating economic market conditions, inflation, the energy crisis, the nitrogen problem and additional climate measures taken by the cabinet.
Health becomes more important to Tata
Today, the company also expressly refers to critical reports from RIVM and the Dutch Safety Board about the dangers of production for public health. After the summer, Tata will provide more information about how it wants to make ‘green steel’. “We will also address the subject of health more emphatically than previously intended,” says a spokesperson.
NOS
The reason for Tata’s doubts seems to be that the switch to expensive hydrogen will be difficult in a globally competitive steel market and that government support is not guaranteed in the event of continued nuisance. Moreover, Tata can no longer ignore the criticism of the health risks of the production.
In addition to the transition from coal to hydrogen, the company is therefore also investigating the possibility of an electric oven. It must melt collected scrap into new steel. The former Koninklijke Hoogovens will then change from the largest coal user and emitter of CO2 into the largest recycling plant in the Netherlands. It is still unclear what this would mean for employment.
Unions want hydrogen
As far as the trade union FNV is concerned, the only route for Tata Steel is the current plan, which involves making ‘green’ steel using green hydrogen. “Saying goodbye to this route would not be acceptable to us,” says FNV director Cihan Lacin. “Even inquiring with the company itself does not give us the impression that a different route is promising.”
Greenpeace: “The sooner the better”
“A good development,” says Faiza Oulahsen, Head of Climate and Energy at Greenpeace Netherlands, the news that Tata Steel is seriously considering a switch to circular steel. “We’ve seen for some time that Tata Steel didn’t get any further than just talking about so-called green steel. They haven’t really put any effort into it. That the plans don’t get off the ground doesn’t surprise us.”
Greenpeace says it hopes that Tata will actually focus on recycling, but insists that “the most sickening parts” of the steel factory in IJmuiden close. “This is getting closer. In the time when we all hand in cans for the deposit, recycling is the step forward towards a circular industry. Because it is very important that making steel no longer has such a huge impact on nature, the climate and the health of local residents. The sooner the better.”
2023-07-20 14:47:50
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