News & Events

BlueScope Vietnam earns first ResponsibleSteel certification in Southeast Asia

The NS BlueScope Vietnam Phu My site is the company’s third site certification following BlueScope Port Kembla in 2022 and Western Port last year.

The site began construction in 2002 and opened its doors two years later in 2004. At the time, it was the first metal coating line in Vietnam to apply zinc and aluminium technology to its products. Now, the site produces 187,000 tons of coated and uncoated cold-rolled coil annually and employs over 200 workers and contractors.

Annie Heaton, CEO of ResponsibleSteel commented, “What singles the certification of BlueScope Vietnam out is that it is the first certification in the country, the first in Southeast Asia. This demonstrates real leadership.”

Obtaining ResponsibleSteel site certification is the latest step in NS BlueScope Vietnam’s broader plan to implement responsible practices and urge its partners and suppliers to do likewise in order to build a more sustainable steel community. In 2022, NS BlueScope Vietnam was also the first coated steel manufacturer in Vietnam to earn the Singapore Green Building Council’s ‘Green Label’ certification.

Mr. Vo Minh Nhut, President of NS BlueScope Vietnam, stated, “This is a proud milestone in our sustainable development journey aligned with NS BlueScope's ESG standards, further affirming that we are not only a technology leader in the pre-painted steel industry but also a pioneering business in ESG practices. We sincerely appreciate the support and companionship of our esteemed partners during this time, which has motivated us to continue growing and increasingly contribute towards building a sustainable and thriving business community.”

Extensive interviews with the site’s workers also emphasised the site’s focus on risk management, health and safety, and employee engagement including issue resolution and grievance, feedback and support mechanisms, training and development opportunities, reward and recognition mechanisms, and support with flexible working arrangements. Notably, at the time of the audit, 41% of the site’s workers and contractors were female and the importance placed on promoting diversity and fostering an inclusive workplace was clear.

The BSI audit team commended the site’s commitment to becoming ResponsibleSteel certified, noting the effort made to align with the ResponsibleSteel International Standard including expanding and revising some of the site’s existing policies and procedures. The auditors particularly highlighted the strength of the site’s water stewardship and stakeholder engagement programmes. NS BlueScope Vietnam has also set a target to reduce GHG emissions (scope 1 and 2) by 30% by 2030 against a 2018 baseline.

Click here to view BlueScope Vietnam's certificate and audit summary.

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ResponsibleSteel publishes first-ever Annual Progress Report

Over the last eight years, ResponsibleSteel has gone from strength to strength. During that time, ResponsibleSteel has built up a thriving community of over 150 members and created the first-ever International Standard to drive the responsible production of net-zero steel, globally.

We’re driving industry progress

We now have certified sites in 14 countries employing over 220,000 workers and producing over 120 million tonnes of steel. In this first annual Progress Report, we take stock of the enormous strides ResponsibleSteel and our members have made to deliver on our shared mission and celebrate our collective achievements.

We also look forward as we build momentum toward some exciting announcements coming up this year. Version 2.1 of the ResponsibleSteel International Standard will be published this month and a new Downstream Chain of Custody Standard later this year. Most significantly, we expect the first steelmaking sites to achieve ResponsibleSteel certified steel this year, a global first for the industry.

We’re recognised globally

ResponsibleSteel continues to be recognised as a leader amongst sustainability initiatives, most notably by the IEA in their second report to the G7 on ‘Emissions Measurement and Data Collection for a Net Zero Steel Industry’ and more recently, Lead the Charge in their ‘Assessment of Third-Party Assurance and Accreditation Schemes in the Minerals, Steel and Aluminium Sectors’. And as more initiatives focusing on steel sustainability emerge, we’re playing a critical role in convening the sector and driving industry alignment to accelerate a net-zero future.

Come with us

This is only the beginning. We have a long journey ahead of us, but with the support of our members and stakeholders, we will continue to work to drive industry progress.

Read our full 2024 Progress Report here.

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April 2024 Newsletter

This month has been busy for our certification programme. SIJ earned the first certification in Slovenia and three years on from the first certifications back in 2021, sites are now beginning to undergo re-certification against the Standard. And we have a lot more coming up in May, kicking off with a joint webinar with SteelZero and culminating in our AGM and the launch of Version 2.1 of the Standard.  

In this newsletter, you will find updates on:

- Standards developments

- New certifications

- Upcoming audits and events

- Public consultation reminder

Click here to view ResponsibleSteel's April 2024 newsletter.

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Revisions to ResponsibleSteel’s Principle 10: Greenhouse Gas Emissions and Climate Change

Following a 12-month test phase and a public consultation, ResponsibleSteel has introduced revisions to Principle 10 of the ResponsibleSteel International Standard including revised Progress Levels to assess steel decarbonisation and encourage increased recycling rates.

The launch of additional requirements for greenhouse gas emissions in September 2022 as part of the ResponsibleSteel International Standard Version 2.0 was a crucial step in driving industry progress towards near-zero steel. The Principle 10 Progress Levels were designed to not only accelerate the production of low-emissions steel by individual steelmakers, but to also drive the decarbonisation of the entire global industry and avoid a dash for scrap that would deliver no net gains.

Currently, there is no reliable data on the average emissions across the steel industry. As part of the work on Principle 10, ResponsibleSteel developed a unique dataset to enable the evaluation of emissions from any tonne of steel produced anywhere in the world with any level of scrap content. Reviewing and refining this dataset and revising our decarbonisation thresholds ensures the ResponsibleSteel Progress Levels remain the reliable benchmark for steel globally.

During the test phase for Principle 10, the ResponsibleSteel Secretariat tested the rigour of the Progress Level requirements by convening a working group of steelmakers. The proposed revisions to Principle 10 subsequently underwent a public consultation to obtain additional stakeholder feedback. We’re now pleased to announce that these revisions have been finalised and accepted by the ResponsibleSteel Board of Directors.

ResponsibleSteel is committed to continuously accelerating progress towards near zero on a global scale. The revisions to Principle 10 represent a 150 kg CO2e/t crude steel increase in the emissions intensity thresholds for Progress Level 1 on the high-scrap end of the scale. This revised Progress Level 1 and the corresponding changes to Levels 2 and 3, reflect the current state of steel industry emissions and the shallower gradient aims to encourage increased recycling rates within the bounds of end-of-life scrap availability. These revisions, as well as other revisions relating to waste energy and non-ferrous metal and ferro-alloy additives, will be incorporated into Version 2.1 of the ResponsibleSteel International Standard expected to be published in May 2024.

Decarbonisation Progress Level Data Table

ResponsibleSteel’s Progress Levels are designed using a scrap variable approach to reward improvement across both scrap-based and primary steelmaking (i.e. steelmaking using iron ore) to drive down steel emissions globally. Progress Level 1 represents a distribution of existing steel sites where approximately 50% sit ‘below’ the threshold while Progress Level 4 is designed to align with the near-zero threshold of the International Energy Agency (2021) and Levels 2 and 3 provide regular points of progress on the journey from Levels 1 to 4.

It’s time to pick up the pace. To ensure a 1.5C degree future, we need every steelmaking site in the world to have achieved Progress Level 1 and significant progress made toward Progress Levels 2 and 3 by 2030. And we cannot rely on the deep decarbonisation efforts of a select number of sites alone. We must work to move the whole industry towards near zero at speed.

For more details on the revisions to Principle 10, read our summary of Principle 10’s Consultation Outcomes. If you have any questions on the revisions or want to find out more about how ResponsibleSteel’s Decarbonisation Progress Levels are supporting steel makers on the journey to near zero, please contact standards@responsiblesteel.org.

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SIJ Group earns its first ResponsibleSteel site certification in Slovenia

SIJ Group (Slovenian Steel Group) has achieved ResponsibleSteel certification for its SIJ Acroni and SIJ Metal Ravne sites, placing Slovenia on the global map of responsible steel production.

SIJ is a leading producer of stainless steel and special steels in Europe and is one of Slovenia’s leading exporters. The certification covers two steel mills, both operating Electric Arc Furnaces (EAFs), as well as hot and cold rolling mills, and a forging shop.

“SIJ has long made efforts to be at the forefront of sustainable practice in the industry. SIJ’s first EAF opened in the 1960s, and today around 78% of its steel input is scrap. But sustainability must go beyond circularity, and beyond decarbonisation. Most recently as part of the certification audit process, SIJ has made real strides to meet ResponsibleSteel International Standard’s social and governance criteria, committing to strengthening and improving the protection of worker’s rights and health and safety systems,” said Annie Heaton, CEO, ResponsibleSteel.

SIJ is one of the largest employers in Slovenia and collectively, the newly certified sites employ over 2,600 workers. Since 2007, SIJ has invested over 800 million euros in new technology, aimed at streamlining processes, improving working conditions, and mitigating environmental impacts. The company has set a target of reducing emissions by 51% by 2030 against a 2020 baseline and aims to be carbon neutral by 2050 in line with the Paris Agreement. The group has also set targets in the field of occupational health and safety. By 2026, SIJ aims to have six sites operating in accordance with ISO 45001 for occupational health and safety.

Andrey Zubitskiy, President of the Management Board for SIJ commented, “Obtaining ResponsibleSteel certification represents a new sustainability milestone in the history of SIJ Group, following our transition to steel production based on circular economy principles four decades ago. We are now part of a select group of steelmaking companies worldwide that are setting standards for sustainable practices in our industry. It reflects our commitment to our employees, the community and the environment in which we operate.”

He continued, “Steel is the most widely used material in the world. With our products, we are a reliable partner for automotive, mechanical engineering, infrastructure, construction, power generation and other industries that require the assurance that the materials they use have been obtained through sourcing and production processes based on responsible practice. The goal of ResponsibleSteel is to satisfy such requirements with a management approach that combines economic development, social inclusion, environmental sustainability and transparent governance, in order to contribute to the creation of a more sustainable future for people and the planet.”

However, certification isn’t the end of the journey. ResponsibleSteel certificates are valid for three years. Around 12 to 18 months in, the sites will undergo a surveillance audit by the contracted certification body, AFNOR, which will involve additional stakeholder interviews and a review of the sites’ progress on any minor non-conformities that were identified in the initial audit.

As said by Dr Tadeja Primožič Merkač, Director of Quality, Sustainability and Corporate Management, SIJ Group. “While sustainability has always been an important topic for us, ResponsibleSteel has taught us to take a more management systems-based approach and has helped us improve our understanding of the importance of even better working conditions for employees and a culture of health and safety at work. Today, we are proud of our achievement, but we are aware that the path of sustainable development is a continuous process of learning and improvement, which we will demonstrate every year and a half through recertification.”

To find out more details on this certification, please read the audit summary here.
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March 2024 Newsletter

Please view the March 2024 newsletter by clicking the link below:

Click here.

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What’s coming up for ResponsibleSteel?

We have some exciting developments on the horizon which we’re keen to share with our members and stakeholders. Here are a few key moments to look out for in the next six months.

Standards  Development

Public Consultations

Two important public consultations started in mid-March – one on Principle 3 (responsible sourcing) of the International Standard, and one on a new draft Downstream Chain of Custody Standard. Learn more about the consultations here or visit our Standards Development page to submit your feedback.

Members and wider stakeholders can also join a webinar on 26 March to find out more about the consultations. Register here.

International Standard V2.1

We’re busy working to produce Version 2.1 of the ResponsibleSteel International Standard by mid-May. This will provide the green light for steelmakers in the race to achieve the first ResponsibleSteel Certified Steel – and for downstream businesses to line up to procure Certified Steel products.

Upcoming Publications

Progress Report

ResponsibleSteel and its members have come a long way since its inception. In Q2, we will publish our first annual Progress Report using data on the scale and the impacts of certification to show progress towards our mission.

Certification Pathway to Net Zero by 2050  

Later in Q2 we’re aiming to publish our analysis on the extent of transition progress required over time for the steel sector to fulfil its Paris Agreement obligations. Not another trajectory, but a demonstration of net zero pathways through a new lens – that of the four ResponsibleSteel Progress Levels.

Upcoming Events

ResponsibleSteel will be participating in the SteelZero events in Washington D.C. on 24 April, Seoul on 21 May, and Brussels on 19 June, and we are looking at how to maximise value for our members during these events – more details to come shortly.

The ResponsibleSteel AGM will be held online on 22 May.

We will be participating in and running many more events during the year, and will publicise these as soon as more details are confirmed. In particular, we will also be engaging with stakeholders in India, Japan and Korea throughout the year to deepen our presence within these important markets.

Webinar Series

We will be offering members a set of ‘Meet the Expert’ webinars covering topics such as just transition, biodiversity, targets, downstream demand and much more. If you have a suggestion for a topic that you would like us to cover, please contact our new Head of Membership and Communications, Joe Woodruff.

ResponsibleSteel Groups

Members can also get involved with one of our groups:

Steelmakers Reference Group

The Steelmakers Reference Group is an opportunity for member steelmakers to engage in technical discussions around the Standards and Assurance Programme. Contact Rodrigo de Prospero, our Head of Standards and Assurance, for more information.

Civil Society Reference Group

The Civil Society Reference Group provides a forum to share ResponsibleSteel’s latest plans with civil society members and to seek their engagement, input and feedback. Contact Shiv Kumar, our Development and Innovation Director, for more information.

Finance Working Group

An opportunity for the finance sector and steel industry to come together to discuss how to effectively use the ResponsibleSteel Standard as a verification tool to raise capital to accelerate steel decarbonisation. Contact Shiv Kumar, our Development and Innovation Director, for more information.

Find out more

If you have any questions about the above, or suggestions for events, publications or webinars, please do get in contact with our new Head of Membership and Communications, Joe Woodruff.

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ArcelorMittal Tailored Blanks Zaragoza Earns ResponsibleSteel Certification

The site is ArcelorMittal’s fifth in Spain to become certified against the ResponsibleSteel International Standard, following the certification of sites forming the Asturias Cluster (Avilés and Gijón, Sagunto, Etxebarri and Lesaka) in 2022.

Located in the Pradillo II industrial area in Pedrola, 30 km from the capital of Aragón, ArcelorMittal Tailored Blanks Zaragoza is right in the centre of Spain’s automotive industry. The site is part of ArcelorMittal Europe’s Flat Products segment and receives galvanised steel coils from European sites which it processes to produce laser-welded blanks for the automotive industry. This technology provides a reduction in the weight of the vehicles, resulting in lower fuel consumption, while also enhancing safety for the users. In 2022, shipments amounted to a total of 5.2 million parts, with shipment volumes expected to rise to over 6 million parts this year.

ResponsibleSteel’s CEO, Annie Heaton commented, “This is an important step as we work to build a responsible steel value chain. ArcelorMittal Zaragoza’s galvanised steel coils come largely from existing ResponsibleSteel certified sites across France, Spain and Germany. So this certification is a real milestone for ResponsibleSteel, getting us one step closer to achieving certification across the value chain and giving Zaragoza’s automotive customers greater confidence that their steel has been produced in a way that respects both people and the planet every step of the way. As ArcelorMittal continues to work to certify sites globally, I look forward to seeing these links of the value chain continue to come together under the ResponsibleSteel programme to assure a full chain of custody from steel furnace to end use.”

The site underwent an independent audit conducted by DNV against Version 1.1 of the Standard. The site’s commitment to the health and safety of its employees and the preservation of local biodiversity were identified as particular strengths during the audit.

The site manager, Tomás Ramos, commented, “As a team, it has been a great satisfaction for us to achieve ResponsibleSteel certification. We were selected as the pilot plant among all the European subsidiaries in the Tailored Blanks division and, after all the efforts deployed, we have been able to deliver on this mandate. This certification would not have been possible without the engagement and professional commitment of all members of the team.”

He continued, “It has undoubtedly been a very interesting exercise and has enabled us to bring together, in a structured way, the complex and diverse range of activities that we have been implementing with our stakeholders. For us, the certification process has been an analytical journey across the Standard’s 12 principles and all its criteria and requirements. This exercise has enabled us to review all our actions and include the latest proposals to support the existing commitment to Sustainability, good Governance and the Health and Safety of all the parties involved in this project, which, ultimately, will ensure that the good results are shared by all.”

Read the public audit summary here.

September 17, 2023
2023
News
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Borçelik Gemlik Becomes First ResponsibleSteel Certified Site In Turkey

Borçelik’s Gemlik site has become the first in Turkey to become certified against the ResponsibleSteel International Standard. Borçelik, a joint venture of Borusan Holding and ArcelorMittal, is Turkey’s biggest galvanized flat steel producer.

Borçelik became a ResponsibleSteel member in 2020, joining ArcelorMittal and many other of the world’s leading steel producers. ResponsibleSteel currently has around 15% of global steelmaking capacity in membership. The Gemlik site has a production capacity of 1.5 million tonnes and employs over 1000 workers and contractors.

ResponsibleSteel’s CEO, Annie Heaton, commented, “This first ResponsibleSteel certification of a site in Turkey demonstrates Borcelik’s drive to be a leader in the Turkish steel industry, and more importantly, the company’s commitment to implementing the most rigorous criteria for sustainability. On an environmental level, the company has committed to achieving net zero by 2050 and the site already has several energy efficiency projects as well as wind and solar plants in the works to support this journey. The site has gone above and beyond to minimise environmental impacts including setting up its own water stewardship project to monitor water efficiency and prevent future scarcity while on a human level, the site has demonstrated a deep commitment to ensuring workers’ rights and safety and equality in the workplace.”

The site achieved certification following an independent audit conducted by CARES against Version 1.1. of the Standard. In addition to the site’s efforts to reduce its environmental impact, the site’s social governance was identified as a particular strength. Throughout the audit, the site repeatedly demonstrated its commitment to worker safety, growth and development.

Kerem Çakır, General Manager of Borçelik, stated that Borçelik has achieved significant progress towards the company’s sustainability goals. Çakır commented, “As one of the leading and pioneering institutions of our industry, we have been committed to sustainability and responsible business practices. We are very proud that the presence of this approach in all our business applications is confirmed with the ResponsibleSteel certification and we have achieved another first in our country with the certificate that we were awarded. As a responsible industry leader, we aim to inspire change in the steel industry and contribute to a more sustainable world in all areas.”

Serkan Ürkmez, Borçelik Sustainability Leader, added, “As Borçelik, we had undergone a very intense preparation period to comply with ResponsibleSteel standards. We worked together with our Sustainability Committee. The standard’s environmental and social expectations are really challenging. After this preliminary stage, we successfully completed a detailed and challenging 14-day audit process conducted by the leading independent audit firm UK CARES. At the end of this process, we are happy to be the first ResponsibleSteel site-certified institution in our country. We will continue to be an exemplary institution in our industry with our activities.”

Take a look at the audit summary here or read the press release here.

September 5, 2023
2023
News
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Accelerating Decarbonisation in India’s Steel Industry: The Challenges, the Tools and the Solutions

Now the most populous country in the world, India is also the second-largest producer of steel after China. According to the IEA, the Indian steel industry is projected to triple by 2050, making it the fastest-growing steel economy globally (IEA, Iron and Steel Technology Roadmap, 2020). The majority of India’s steel is used for domestic consumption – for infrastructure, transport, construction and consumer goods. Whether in airports or railway stations, steel use is increasing across India, and meanwhile, the expansion of renewable energy in the country, which also requires vast amounts of steel, is racing ahead at breakneck speed. This unprecedented growth in steel consumption is a vital part of India’s economic story.

But the steel industry also accounts for around 12% of India’s emissions, far more than the global average of 8%. So the country’s push to meet its net zero target by 2070 will rely heavily on the decarbonisation of its steel sector. Currently, almost half of Indian steel is produced via the traditional blast furnace route with the remaining being split between smaller less efficient induction furnaces and electric arc furnaces. Enormous efforts to decarbonise are already being made. Since 2005, emissions per tonne of crude steel in India have been reduced from around 3.1 tonnes to 2.5 tonnes. But the sheer amount of resources needed to accelerate decarbonisation remains huge.

There are many challenges. The lack of a transition fuel such as natural gas to accelerate the phase-out of coal is a significant issue. What is more, the use of the lower-grade iron ore found in India requires more energy for reduction. And while countries with long histories of producing and consuming steel – and all the associated emissions – now have the luxury of large stocks of scrap, India’s access to scrap is extremely limited today. A far more comprehensive plan is needed to reimagine the entire industry.

Deep thinking on the solutions is clearly happening within government. The Indian Ministry of Steel recently set up 13 task forces to investigate the policies needed to tackle the decarbonisation challenge from multiple angles: to improve energy and material efficiency, to enable the transition to renewable energies, to price carbon emissions, to stimulate green finance and, underpinning all these, to define the embodied emissions of steel.

Major steel companies are working to decarbonise at pace. Jindal Steel and Power has already committed to net zero by 2047, Tata Steel by 2045, and JSW by 2050. All of these are well ahead of the national 2070 target. But these ambitious targets require equally ambitious and comprehensive decarbonisation plans which will also accommodate rapidly expanding demand. To accommodate the steel growth foreseen in the Indian economy, the government is projecting a doubling in steel capacity by 2030, and much of the planning for this so far is via the traditionally emissions-heavy blast furnace route. Herein lies the challenge. Such companies will need to demonstrate how their new blast furnace investments can align with their net-zero targets. Investors are increasingly looking for transition roadmaps.

Whilst Indian steel companies may understand the technologies needed to reduce emissions, the processes are vastly more expensive, and so they need to see a clear business case: signals that their customers are ready to pay the premium on lower-emissions steel; facilitative policies from government to reduce costs and market incentivisation for technologies available in the near term; an effective price on carbon; preferential finance for decarbonisation projects. Such measures may all form part of steel company roadmaps to net zero.

Last month, as part of the 14th Clean Energy Ministerial in Goa, ResponsibleSteel brought together key stakeholders from the steel industry, downstream market, and government to discuss the role of the ResponsibleSteel International Standard in impacting policy, finance and the energy transition to accelerate decarbonisation in India’s steel industry at pace and scale. The event featured keynotes from the Secretary to the Ministry of Steel, the Secretary General and Executive Head of the Indian Steel Association, and ResponsibleSteel’s CEO. ResponsibleSteel also hosted a panel discussion on the challenges and solutions needed to achieve an equitable and just transition between representatives from the Ministry of Steel, JSW Steel and SteelZero. What’s clear is that to accelerate decarbonisation in India at scale and at speed, we need to share learning and build skills, not only to maximise scrap recovery but to drive demand and finance for low-emissions primary steelmaking on a vast scale.

This means clean energy at scale. India has already made rapid progress on renewable electricity, reaching a capacity of 168 GW in the last ten years. The Indian government has targeted 50% renewable electricity by 2030, with an unparalleled 50GW a year in the pipeline over the next five years – more than the US or Europe installed in 2022. There is also a lot of talk on green hydrogen. The Indian government aims to have 5 million tonnes by 2030. Both the achievements to date and the plans ahead are inspiring examples of ambitious government strategy.

But whilst renewable energy is core to the decarbonisation roadmap for steelmaking in India, the shift to green hydrogen in India is complex due to the limited reserves of natural gas as a transition fuel. In the meantime, alternative ways of thinking are emerging to avoid a costly wholesale switch to H2 based DRI before green hydrogen is available. Tata Steel has recently demonstrated the 24/7 injection of hydrogen in the blast furnace as a reductant and believes this could deliver a 15% to 20% reduction in CO2 emissions. With additional capital expenditure, the potential is as much as 30% or, some say, even more.

The industry has also shown promising progress on carbon capture from coal used in the blast furnace as an intermediate technology that can divert vast volumes of carbon emissions and produce methanol. Currently, pilots are demonstrating the potential to deliver 15-20% emissions reduction, with the potential thought to be higher. At present, however, the costs involved prevent it from being scaled as a viable source of methanol. Improving efficiencies in the processing of input materials is another element under development, with innovations emerging to enable lower-grade iron ores to be used directly for reduction without need for sintering, for example.

Efforts to maximise the use of scrap are also underway. JSW and Tata Steel have invested in scrap collection after policies were introduced in recent years to mandate the end-of-life recycling of vehicles and facilitate the growth of metal scrapping centres in India.

Finally, development of carbon capture and storage technology is hampered by high costs, a lack of market incentives and a lack of concerted research and development.  The potential for CCS in India has been subject to geological uncertainties, and yet the outlook may be more promising than once thought. For instance, basalts can mineralise captured carbon for effective and permanent storage. A recent study showed India has one of the largest onshore basalt formations in the world, and around 360GW CCS capacity in both basalts and deep saline formations, excluding no-go and densely populated areas (CEEW, 2023). Meanwhile, India’s annual emissions today are just over 3GW.

But underpinning all of this is the need for a common language for steel decarbonisation within countries and between countries. We need a consistent method of measuring and defining near-zero steel that is effective in driving down emissions globally. As Shri Nagendra Nath Sinha, Secretary for the Indian Ministry of Steel, stated, “It has to be clear, it has to be credible and it has to be standardised.” This is why ResponsibleSteel’s work is so critical. For Prabodha Acharya, JSW’s Chief Sustainability Officer, “Many customers are asking about green steel, and I don’t know what they mean by green steel, but when they ask for ResponsibleSteel we have a definitive standard… This is going to be the gold standard.”

It also has to be equitable. The ResponsibleSteel International Standard takes the approach of a ‘scrap variable scale’ to define decarbonisation progress levels. To incentivize decarbonisation in a way that is both effective and fair globally, not only in countries with the luxury of high scrap stocks.  To avoid a commercial ‘race for scrap’ with no net gain for the climate, rather than encouraging the decarbonisation of steel production across the board and particularly from iron ore. To drive the entire global industry to net zero.

As ResponsibleSteel’s CEO Annie Heaton remarked, “We need to rise above the interests of individual companies, of individual countries, and individual technologies to drive decarbonisation at a global level.” Shri Alok Sahay, Secretary General & Executive Head of the Indian Steel Association, believes ResponsibleSteel plays a vital role in creating a more equitable system. “To decarbonise, it’s vital that we foster partnerships. ResponsibleSteel can bring everyone together, and help build a level playing field.”

You can watch a recording of ResponsibleSteel’s event at the Clean Energy Ministerial here.

August 31, 2023
2023
Editorial
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August 2023 Newsletter

Please view the August 2023 newsletter by clicking the link below:

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August 31, 2023
2023
Newsletter
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July 2023 Newsletter

Please view the July 2023 newsletter by clicking the link below:

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July 23, 2023
2023
Newsletter
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ResponsibleSteel in India: The First Movers Coalition In-Country Workshop, Surfacing Supply of Near-Zero Emission Steel

India is the world’s second-largest steel producer. The steel industry accounts for around 12% of India’s emissions and steel production is set to grow rapidly. This month ResponsibleSteel is in India to dive into the particular dynamics of the challenges in a country where the population uses one-third of the global average steel consumption per head.

As part of the Steel Breakthrough Agenda, we have been working with the First Movers Coalition to drive alignment and accelerate steel decarbonisation. The First Movers Coalition aims to pull forward the deployment of clean and deeply decarbonising technologies through its members’ commitments to procure 10% from near-zero sources by 2030.

We were delighted to participate in last week’s First Movers Coalition’s In-Country Workshop: Surfacing Supply of Near-Zero Emission Steel in New Delhi.

Our CEO, Annie Heaton, spoke about the practicalities of activating these commitments in the Indian context. Steel production is set to double by 2030. The challenge is immense. The major Indian steel companies are investing in technology innovation. Yet the conditions are not in place to accelerate deployment of decarbonisation projects.

Consolidated demand-side signals, reduced-cost finance, and ambitious and accelerated policy levers are all needed. But as Annie explained, “above all, a common carbon measurement standard and definition of near zero steel is needed to ensure these all work together.” The ResponsibleSteel International Standard has the potential to provide such a framework to drive equitable steel decarbonisation globally.

Shivakumar Kuppuswamy, ResponsibleSteel’s Director of Development and Innovation, also hosted a distinguished panel of guests who provided first hand observations of what it will take to accelerate steel decarbonisation in India. The panellists included Secretary Shri Nagendra Nath Sinha from the Indian Ministry of Steel, alongside Lenin D’Souza, Deputy General Manager of Mahindra, Sohanjeet Randhawa, Director for Sustainability Affairs & Group Communications for Volvo Group, Rajesh Goyal, Sr. Vice President of ReNew Power, Manish Chourasia, Managing Director of Tata Cleantech Capital Limited, and Mr Anand Parasramka, CFO at Saarloha Advanced Materials Limited – Kalyani Ferresta.

At the top of the FMC workshop’s agenda was the need for a strategy to capture CCUS potential as well as hydrogen growth, and the development of a carbon reduction incentive programme. On top of this, government-backed green bonds, low-interest debt, and risk-sharing processes were all suggested as interventions the government could support in order to drive the necessary investments in steel decarbonisation.

Next up, ResponsibleSteel will be hosting an event as part of the Clean Energy Ministerial in Goa this week. On July 22nd, we will be bringing together key stakeholders from the steel industry, downstream, and government, to discuss the role of the ResponsibleSteel International Standard in impacting policy, finance and the energy transition in order to accelerate steel decarbonisation in India.

Find out more about this and other upcoming events here.

July 17, 2023
2023
News
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In Conversation With CEO Annie Heaton On Our Achievements And What’s Next For ResponsibleSteel

This month marked one year since CEO Annie Heaton stepped in to lead ResponsibleSteel through a new phase, one of building momentum. Annie discusses what led her to join ResponsibleSteel, how her experience has shaped her vision for ResponsibleSteel, what achievements she has been most proud of over the last year, and what she sees as the next steps for ResponsibleSteel.

You spent almost a decade shaping ArcelorMittal’s sustainability agenda, why did you choose to join ResponsibleSteel?

One word: impact. I am inspired by the sheer scale of contribution the steel industry makes to our modern world, the ubiquitous utility of steel in the infrastructure of today and the technologies of tomorrow. I am even more inspired by the potential for tomorrow’s steel production to impact positively on people and the environment. At ArcelorMittal, I saw this potential at first hand, through a combination of leadership commitment, sound management, and innovative thinking. ResponsibleSteel has the potential to drive impact of a different magnitude.

Our well-respected standard and robust assurance system offer steelmakers a roadmap to improvement and a common language of assessment that their customers, communities, investors and workforce can all get behind. I firmly believe ResponsibleSteel will drive the next generation of steelmakers to truly maximise their contribution to a sustainable society.

What makes ResponsibleSteel unique?  

As the landscape of initiatives gets busier and busier, particularly in relation to climate, it is clear to me that ResponsibleSteel provides a much-needed common, consistent and credible thread between all these efforts, enabling all the work being done to be streamlined and accelerated. Our credibility is so valuable in today’s world of misinformation, false claims and greenwashing. That is why both businesses and not-for-profit organisations choose ResponsibleSteel.

And it’s not just about carbon. Responsible steelmaking goes far beyond climate change mitigation. The safety and well-being of the some six million people working in the industry, the millions more working in the supply chain and living in nearby communities, all need to be ensured. The impacts on biodiversity and our ecosystems of mineral and timber extraction as well as steelmaking need to be greatly improved. If in 30 years’ time, we have removed almost all emissions of greenhouse gases, but haven’t worked hard to support nature and people’s livelihoods, our future will be very bleak.

ResponsibleSteel is the only standard for steel that combines all the complexities of good social and environmental performance in one indicator across the value chain that everyone can look for: certification.

What is your vision for ResponsibleSteel?  

We are on the cusp of the next industrial revolution, and with this one, we have the luxury of being able to plan it. We have a tremendous opportunity to ensure every dollar we invest in new industry avoids unintended consequences for people or the planet. This means adhering to strong sustainability standards. I firmly believe when we look back at this period, we will see how good international sustainability standards such as ResponsibleSteel played a critical role in the transition. The application of good standards will ensure our transition is as focused and streamlined as possible. It will enable suppliers to align with customers, investors and policymakers, and ensure fair global trade and direct finance to where it is most effective. Good standards will catapult us towards society’s goals without discriminating against poorer countries. All these are outcomes I believe ResponsibleSteel will deliver.

So we are at a pivotal moment globally. We can transition our economies within the next 30 years or less if we create the right conditions. Both for steel and in all the industries steel serves. This is an enormous challenge, and it needs to be faced collectively. ResponsibleSteel works as a catalyst, providing steelmakers with the necessary framework to tackle critical climate and sustainability issues. We need to ‘win on carbon’. But we must win on people and the environment too. ResponsibleSteel is the tool to drive that success.

To achieve that, ResponsibleSteel has to be the most trusted global standard for steel. It’s an initiative working with the integrity, credibility and spirit of collaboration we need to maximise steel’s contribution to a sustainable world. When a site becomes certified against the ResponsibleSteel International Standard, people know it’s been through a rigorous process assessing how it manages its impacts on the environment and local communities, how it treats its workforce and how it drives improvements, both in its operations and in its supply chain. And if practices falter, people want to be sure that ResponsibleSteel’s assurance system will oversee and track the corrections needed.

How has your experience in sustainability over the past 30 years influenced your vision for ResponsibleSteel?  

I’ve enjoyed a wonderfully varied career working on everything from child labour to water scarcity, renewable energy to community engagement, finance to healthcare systems, and across many many different sectors. At one stage or another, I have spent time working on almost every aspect principle of the ResponsibleSteel Standard! And over the years I’ve learnt some valuable lessons. Firstly, that change is not inevitable. Nothing changes without vision and commitment. Secondly, that change is driven by the focused actions of stakeholders in pursuit of ambitious goals. With the right tools, we can drive change some may think impossible. Thirdly, that consulting people is a must. The outcomes of any project are enriched if one works with one’s ears open.

ResponsibleSteel must draw on all these elements to deliver on our mission, to drive the socially and environmentally responsible production of steel, globally. The commitment of our members is palpable. They believe in what we are doing, and how we’re doing it. They learn through the process too, both business and civil society members, because their common commitment to our purpose enables a safe space in which to discuss difficult issues. This is how they help us build the tools that are the right ones for the job. That is why steelmakers accept the enormous challenge of preparing for a ResponsibleSteel audit. I want to point out though, that our standard and certification scheme is not the only tool in the box: it’s vital that ResponsibleSteel works with other initiatives as they emerge to enable an ecosystem of tools that work together to deliver our common goals.

This past year has seen significant growth for ResponsibleSteel, what are the moments you have enjoyed the most? What achievements are you most proud of?  

The opportunity to work both with our members and wider initiatives across the world, exchanging ideas and looking for synergies, is what brings me to work every day with passion. It’s been great to see so many new members over the past year – our membership has grown by 20% in the past year and now stands at well over 140 members with a growing body of civil society organisations and 15% of the steel industry in membership. We have 58 certified sites to date across 5 continents covering 107mt of steel production, over 5% of the global industry, in just a few years.

Forum III was certainly one of ResponsibleSteel’s greatest achievements last year with over 200 people coming together in Memphis, and a proud moment for me and the team. Seeing how much leadership and critical thinking our members are demonstrating, across the value chain, across the generations, and across business and civil society, was so invigorating.

In the first part of this year, we established a Finance Working Group. This is a new space we are convening for investors and steelmakers to come together to look at how to remove the blockages to financing for steel decarbonisation. We’ve developed an ambitious work programme to do what ResponsibleSteel does best: facilitate multistakeholder dialogue with a view to developing practical solutions to drive progress.

One more highlight has been our first engagements in Asia. Shiv, our Development & Innovation Director, Ali, our Corporate Affairs Director, and I have been in India, South Korea, Singapore and soon Japan, engaging with shipping, automotive, energy, and finance sectors. These have really helped grow understanding of ResponsibleSteel’s mission in some of the world’s most significant steel making economies.

What comes across from all this is what an amazing team we have in the Secretariat, that has built and continues to build the organisation that we are today. The spirit of collaboration, thoughtful commitment and bold ambition is something I value immensely.

So what’s next for ResponsibleSteel?  

We have achieved a huge amount, but in many ways, we have only just begun. We are seeing applications for membership and core certification growing rapidly. We’re now preparing for the market for certified steel to take off so that sites can distinguish themselves for their progress towards responsible near zero. And the new downstream chain of custody rules I’ve mentioned will be critical in ensuring that claims about certified steel in the market are specific and reliable to ward against greenwashing.

ResponsibleSteel’s standards and certifications are only part of a wider ecosystem. So the work we do with other initiatives that credit ResponsibleSteel as the most trusted global standard is critical to ensure we are all pulling in the same direction as efficiently as possible. Leading examples of this are the collaborations we are working on with SteelZero and the First Movers Coalition to drive the right kind of demand signals for true and responsible decarbonisation.

We are also working on alignment across GHG measurement standards under the UN Steel Breakthrough agenda. Unless embodied emissions are measured using the same rules, the numbers will look very different, so this is critical. That is why we are working with worldsteel and other methodology initiatives to align on these rules so that datasets can be interoperable.

On near zero in particular I see some emerging consensus on the thresholds, and I expect to see this firm up in the months to come as measurement rules align. This will give off-takers and investors some clarity on how to look for assurance that a project’s future steel production will be recognised in the market as near zero, for example through ResponsibleSteel’s progress level 4 certification.

And since ResponsibleSteel certification covers the human and broader environmental considerations of steelmaking, these near zero plants have a very real opportunity to show they are responsible too. This after all is the real answer to the ubiquitous question, ‘What is green steel’?

Yet decarbonisation is not only about nurturing innovative near zero steel projects. It’s a transition, and the ResponsibleSteel Standard is designed specifically for this. We are saying to all steel sites: come on the journey, and use our progress levels as marketable stepping stones towards near zero. This is so important in high-growth countries like India, where new capacity needs to be developed. ResponsibleSteel certification ensures that at the very least, these are built at an emissions intensity that beats the global average (our level 1) and has a roadmap for timely reduction.

These are critical times, and we can all sense that momentum is building. The good work of ResponsibleSteel feels more important and more exciting now than ever.  We have the tools, and I believe that together we can drive the change some may think impossible. The hard work ahead will need collaboration, trust and commitment.

June 30, 2023
2023
Editorial
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June 2023 Newsletter

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June 30, 2023
2023
Newsletter
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Borçelik: Our Greatest Strength

“We see our human resources as our greatest strength.” Worker well-being is a crucial part of creating a sustainable industry. This means not only ensuring a healthy and safe working environment, but also providing the care, opportunities, and respect that every individual deserves and needs in order to thrive. Derya Demirer, Director of Human Resources and Corporate Communications for Borçelik, discusses the strides the company is making to promote equality, support professional growth, and put worker well-being first.

Borçelik, a special collaboration between Borusan Group, a leading conglomerate in Turkey, and ArcelorMittal, the world’s largest steel producer, proudly stands as Turkey’s biggest galvanized flat steel producer. We wholeheartedly embrace and endorse Borusan Group’s sustainability vision, which revolves around three key pillars: climate, people, and innovation. At Borçelik, we integrate initiatives aligned with these focal points into our core business operations, ensuring a holistic and responsible approach to our endeavours.

The Borçelik Technical Academy (BTA), established with the aim of supporting the professional development of Borçelik employees, is deeply committed to creating value for society. It welcomes individuals who are eager to enhance their expertise in the fields of metal, machinery, transportation, logistics, communication, chemistry, petroleum, rubber, and plastics. Moreover, BTA dedicates itself to designing a unique curriculum for technical high school students, empowering students to become highly skilled professionals and promoting diversity in the industry.

Gender equality holds immense significance for us at Borçelik. We are proud to lead the way in introducing innovative initiatives for our industry in Turkey. One such initiative is our “No Job Too Tough for Women” project, implemented in collaboration with the BTA, which establishes a comprehensive programme to enable female employees to work in the predominantly male-dominated steel industry.

Furthermore, we actively engage in the Gender Lens initiative as a key participant within Borusan Group’s Equal Borusan Platform. Through this initiative, we implement a wide range of practices to foster gender equality. These include offering private health insurance with maternity coverage to both male and female employees, ensuring uninterrupted utilization of maternity and paternity leave, providing support programmes for maternity and postnatal care, granting leave on important occasions like the first day and last day of school for colleagues with children, organizing well-being activities, implementing hybrid work arrangements, and establishing an accessible Ethics Line to report any gender equality violations.

We also offer childcare assistance to our female employees with children aged 0-66 months. Moreover, we engage in the Borusan Equality School project initiated by the Borusan Group, which aims to raise awareness about equality. Through continuous gender equality-focused training programmes, we strive to foster awareness and understanding both within and beyond our company.

At Borçelik, we remain dedicated to our sustainability endeavours, focusing on climate, people, and innovation. We prioritize the well-being of individuals and embrace the concept of “Inspiring the Future by Inspiring the World.” Our dedicated efforts revolve around fostering the healthiest and safest work environments for our workers. Recognizing our workforce as our greatest asset, we have developed comprehensive programmes to enhance their competencies and promote their overall welfare. Central to our approach is the utilization of cutting-edge technology to continuously improve working conditions and establish a secure atmosphere within our facilities.

Through innovative solutions, we strive to create a workplace that ensures the safety and satisfaction of our employees. We are committed to conducting inspiring projects that set the benchmark across the industry.

By Derya Demirer, Director of Human Resources and Corporate Communications, Borçelik

Derya Demirer is an experienced Human Resources Professional who has an undergraduate degree in Industrial Engineering. Her areas of expertise includes performance management, talent and career management, organisational design and diversity and inclusion studies. She is currently working for Borçelik as Human Resources and Corporate Communications Director.

June 27, 2023
2023
Member Articles
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Jindal Steel & Power Joins ResponsibleSteel

Jindal Steel & Power has become the latest steelmaker to join ResponsibleSteel, demonstrating their commitment to our mission to be a driving force in the socially and environmentally responsible production of net-zero steel, globally.

Jindal Steel & Power (JSP) is an industrial powerhouse with a presence in steel, power, mining and infrastructure sectors in India and abroad. Led by Mr Naveen Jindal, the company’s success has been based on overarching goals to promote innovation, set new standards, enhance capabilities, and support company stakeholders.

ResponsibleSteel CEO, Annie Heaton commented, “We’re delighted to welcome Jindal Steel & Power to ResponsibleSteel. This is yet another prime example of the growing commitment of Indian steelmakers to building a more sustainable industry. As one of the largest steel-producing countries in the world, India has a critical role to play in driving steel decarbonisation. With JSP, we now have nearly 40% of India’s steelmaking capacity in our membership. We look forward to working closely with JSP as we continue to accelerate the rollout of the ResponsibleSteel International Standard globally.”

ResponsibleSteel steelmaking members commit to starting the certification process of at least one steelmaking site against the ResponsibleSteel International Standard within one year of joining. As one of the largest steel producers in India with a turnover of more than $7.6 billion, JSP has a significant presence in sectors like mining, power generation, and infrastructure. Through technologies like Coal to Liquid & Coal Gasification, JSP has worked to become a trailblazer and drive innovation in the steel industry.

Mr Bimlendra Jha, Managing Director for JSP stated, “By associating with ResponsibleSteel, JSP has reiterated its commitment to a more sustainable future by incorporating environment-friendly initiatives and technologies. JSP has been an ardent advocate and practitioner of sustainable development since its inception and is wholeheartedly committed to improving its sustainability performance. We aim to incorporate sustainability into our businesses by strengthening our economic, social & environmental pillars by mitigating the impact of our operations.”

June 7, 2023
2023
News
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Thyssenkrupp Materials Processing Europe Achieves First ResponsibleSteel Certification

Following an independent audit conducted by DNV, thyssenkrupp Materials Processing Europe’s El Puig site has successfully obtained ResponsibleSteel certification. This is the organisation’s first certification globally and is an unprecedented milestone as the first steel-cutting service centre to obtain the certification.

The El Puig Steel Service Centre was founded in 1989 as a joint venture and has belonged to thyssenkrupp Materials Processing Europe since July 2016. This achievement was the result of a collective effort by the entire El Puig team to fulfil the 12 principles of ResponsibleSteel’s International Standard Version 1.1, covering a wide range of ESG criteria.

Oliver Bensing Carvalhal, CEO of thyssenkrupp Materials Processing Europe S.L, said, “This ResponsibleSteel certification reflects our commitment to our environment as well as acts as a differentiating factor between our competitors and us and endorses our path to a sustainable and decarbonised production process for future generations. It is not an easy task, but this is what responsible management is about, combining economic development, social inclusion, environmental sustainability and transparency to contribute to creating a more sustainable future for people and the planet. This certification positions us as a reference steel cutting service centre worldwide.”

Thyssenkrupp has set targets for 2030 to reduce the sum of its direct emissions (Scope 1) and its emissions from purchased energy (Scope 2) by 30% compared to 2018. Furthermore, the company aims to reduce indirect emissions from its value chain by 16%.

ResponsibleSteel CEO, Annie Heaton, commented: “We’re delighted to have thyssenkrupp’s El Puig site join the growing ranks of ResponsibleSteel certified sites. This achievement, the first for thyssenkrupp Materials, demonstrates their commitment to our mission to drive the responsible production of net zero steel and the importance of managing sustainability impacts all along the value chain. The site has worked to create a culture which promotes worker safety and wellbeing and has made significant environmental strides. Most notably, El Puig has reduced its water consumption rate by 40% and has already made progress reducing emissions, having lowered CO2 emissions by 25.6% between 2017 and 2021.”

Read the public audit summary here.

June 2, 2023
2023
News
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May 2023 Newsletter

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May 24, 2023
2023
Newsletter
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