News & Events

ResponsibleSteel publishes second annual Progress Report

ResponsibleSteel is fast becoming the reference tool to drive the demand, policy, and finance levers necessary for the steel industry’s transition, providing a sustainability roadmap that customers, communities, investors, and workers can all get behind.

ResponsibleSteel’s annual Progress Report provides an opportunity to measure and report on the progress of our programmes, celebrating our milestones and identifying areas for learning and improvement.

In this second ResponsibleSteel Progress Report, we track the development of new work undertaken in 2024, the growth of ResponsibleSteel's membership, and the progress of our certification programme as we look toward 2030 and beyond.

2024 was a challenging year for the industry, but despite setbacks, we continued to see real determination and progress.

In 2024, we saw a 34% increase in the number of Certified Sites, bringing the total up to 87. And we saw the first sites complete re-certifications, a true testament to the enduring value of ResponsibleSteel certification. Critically, the first Certified Steel was also launched on the market – 2.4 million tonnes produced by U. S. Steel’s Big River Steel site – marking a new era of progress.

This Progress Report examines the growth of ResponsibleSteel’s certification programme and membership in 2024, as well as featuring other highlights from the year, including:

  • The launch of the International Production Standard Version 2.1
  • The launch of a draft Chain of Custody Standard
  • The publication of our report, Charting Progress to 1.5°C through certification
  • Insights into the value of ResponsibleSteel membership and certification from our 2024 Membership Survey

Looking to the future, we continue to build on work begun in 2024 to build a market for responsibly produced, near-zero steel by engaging with and mobilising policymakers, investors, and buyers of steel.

Read the full report to find out more about our progress in 2024 and plans for 2025.

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Steel Safety Day: Strengthening safety in a high-risk industry

Steel Safety Day is a reminder that safety must be a shared value across the global steel industry. Established to reduce accidents, it highlights the risks workers face daily, from heavy machinery and extreme heat to hazardous materials, and reinforces our collective responsibility to protect them.

In 2023, World Steel Association (worldsteel) members reported 61 fatalities globally, representing a global fatal frequency rate (FFR) of 0.017, the lowest on record.  While this demonstrates progress, steelmaking remains a high-risk industry compared to other sectors. According to worldsteel, on average, 20% of incidents have the potential to lead to serious injuries or fatalities. Without strong safety frameworks, the risks associated with working in the steel industry can have devastating consequences for workers, families, and wider communities.

ResponsibleSteel members are making strong headway in fostering a culture of safety. At Arvedi AST, safety is a shared responsibility from leadership to the frontline. HSE Manager Fernando Camponi explains:

"In Arvedi AST, over the last few years, major efforts have been directed towards increasing the health and safety culture at every level, from management to workers, with particular reference to the key role of supervisors. As an example, we can mention the 'STAR' (Safety Training and Review) project, through which the most expert supervisors check on site the correct application of all safety operating instructions by all workers, providing, if necessary, for their revision or updating."

Meanwhile, Outokumpu has embraced technological innovation to enhance safety. Thorsten Piniek, VP of Health & Safety, comments:

"Safety of our people is our first priority. During 2024, we maintained world-class safety performance. We have implemented a structured way of doing safety behaviour observations and learning from each other across the organisation. Last year, our preventive safety actions were up 5% since 2023, so our people have done a fantastic job! In addition, our three safety robots utilising AI helped us reduce our employees' exposure to hazardous areas."

There is also a financial benefit to investing in health and safety. A 2017 study by the Institute for Work & Health in Canada found that employers investing in occupational health and safety in the manufacturing sector earned on average an estimated return of 24%.

As technology advances, so does our ability to prevent harm within the steel sector. But lasting progress relies on culture: empowering workers, building trust, and making safety the priority and default. A sustainable steel industry must first and foremost be a safe one.

At ResponsibleSteel, health and safety are core to our International Production Standard, as they are fundamental to a sustainable industry. The Occupational Health and Safety (OHS) principle embedded in our Production Standard ensures that the safety of workers is prioritised at every level of steel production. A sustainable industry must be safe for the people who power it, and without proper protections in place, there can be no true social or environmental progress.

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Join us at our upcoming Annual General Meeting

We are pleased to invite ResponsibleSteel members to the 2025 Annual General Meeting (AGM) of ResponsibleSteel Ltd on Monday, 19 May 2025. The meeting will be held online via Microsoft Teams.

Time:

  • AGM: 12:00 – 12:30 (GMT+1)
  • Members Meeting: 12:30 – 13:30 (GMT+1)

Agenda:

  1. Chair’s Report
  2. CEO’s Update
  3. Financial statements and reports
  4. Announcement of the results of the election of Directors

Registration in advance is required to attend the AGM and Members Meeting, and members must be up-to-date with their membership fees to be able to join and participate in any votes. We encourage all members to register and participate in the call.

The AGM will be followed by a Members Meeting, during which we will explore the latest developments around ResponsibleSteel and what’s in store for the rest of the year. Members will also have the chance to ask questions and provide input on a number of topics.

If you have any questions or would like to register, please contact our membership team.

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Earth Day 2025: Advancing sustainability in the steel industry

Earth Day is a moment to reflect on our relationship with the planet, and a call to protect the ecosystems and communities that sustain us. As we face accelerating climate and environmental crises, it’s clear that good intentions are not enough. Real progress requires meaningful, measurable action.

Steel is an essential part of modern life, supporting everything from clean energy systems to the infrastructure around us every day. But the way that steel is produced comes with a heavy environmental and social footprint. It’s one of the most emissions-intensive industries, and its impacts on land, water, and people are significant. At ResponsibleSteel, we believe that the future of steel must be aligned with the future of the planet. We unite businesses, civil society organisations, sustainability experts, and other industry stakeholders around a shared vision: that steel can—and must—be produced in a way that is environmentally and socially responsible. Our work is grounded in a set of shared principles that reflect the full scope of sustainability, including climate action, biodiversity protection, responsible resource use, and respect for human rights.

For example, our Biodiversity Principle aims to ensure that sites actively protect nature by respecting conservation areas, avoiding harm to high-value habitats, and following the mitigation hierarchy to reduce impacts. Sites are expected to assess biodiversity risks and aim for no net loss, and even a net gain, where critical habitats are involved. Our Water Stewardship Principle calls for a clear understanding of how water is used and shared in each location, with strong planning to protect water quality, support local communities, and safeguard stressed resources. By setting clear expectations like these across our Production Standard, we’re helping drive the changes the steel industry needs.

Earth Day is a reminder that environmental and social responsibility are inseparable. Steel may not be the first thing that comes to mind when we think about nature or climate, but it plays a central role in shaping both. The transformation of the industry is already underway, and must continue apace, driven by accountability, urgency, and collaboration. We don’t produce steel, but our work ensures that when it is made, it’s done with consideration for people and the planet. Because a thriving Earth requires responsible progress in every sector, including steel.

Learn more about how we’re supporting change here.

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Global Recycling Day: Analysing the role of scrap in steelmaking through the years

To mark Global Recycling Day, Matthew Wenban-Smith reflects on the history of steel recycling and what it tells us about the transition to a net-zero steel economy in the future.

When it comes to recycling, it is worth taking the long view. For the first few thousand years, iron and steel recycling meant reworking rather than re-melting. The development of the blast furnace around one thousand years ago made it possible to convert steel scrap into liquid metal. And the first commercial Electric Arc Furnace (EAF), capable of using 100% scrap, was built in 1906.

Smaller, less costly to build, and more flexible to operate than blast furnaces, the spread of EAFs through the 20th century was limited only by the availability of scrap and electricity.

In the US, as demand for new steel approached saturation and as the steel in infrastructure and buildings constructed 40 or 50 years previously became available for recovery and recycling, scrap-based EAF production began to replace blast furnace steelmaking, even as the blast furnaces themselves used more scrap. Blast furnace production peaked in 1969, and no new blast furnace has been built in the US since 1980 (Construction Physics, 2023). Today, around 70% of steel in the US is made in EAFs (American Iron and Steel Institute, 2021).

Figure 1. US steelmaking in the 20th century, published in the September 2020 issue of MetalForming magazine, originally published by Plazak in 2015 via Wikimedia Commons

The same pattern of increasing demand, met initially from primary production and then later through a growing reliance on scrap, is now playing itself out in Europe and China, is set to take off in south Asia, and it is to be hoped will roll out across Africa. Steel production globally is projected to peak in the second half of the 21st century, with scrap supply following 30 or 40 years after that.

The growth of scrap-based production has been driven by economics, of course, rather than by any concerns about the climate or greenhouse gas emissions – but that doesn’t make it any less welcome. A tonne of steel made entirely from scrap has around one-fifth of the greenhouse gas emissions of a tonne of steel made from iron ore.

Does that mean we can all relax, and recycle our way out of the climate crisis? Sadly not.

The American Iron and Steel Institute (AISI) estimates that the USA now recycles between 70% and 80% of all of its potentially available scrap (AISI, 2021). The World Steel Association (worldsteel) puts the global recycling rate even higher than that, at around 85% for end-of-life scrap.

Then why, despite these impressive recycling rates, is there currently only enough scrap to meet around one-third of the global demand for steel? The main reason is that scrap availability reflects the level of steel production a generation ago, rather than today. Steel production in 1985 was around 720 million tonnes. Today it is around two billion tonnes. Even without taking account of end-of-life recovery and furnace yield losses there is no way to make those numbers add up.

Image courtesy of Shutterstock

As demand for steel levels off in the future, a higher proportion of that demand will be met from scrap.  In its ‘Sustainable Development Scenario’, in which the end-of-life recycling rate rises to 90%, the IEA estimates that there would be enough scrap to meet 45% of the demand for steel in 2050 (IEA, 2020). That is something to celebrate. But to put it the other way around, it would mean that 55% of the world’s steel – perhaps 1.2 billion tonnes of it – would still be made directly from iron ore.

To have any chance of limiting climate change to ‘well below 2 degrees’ and at the same time respecting the aspirations of 9 to 10 billion people, two things therefore need to happen. Firstly, the vast majority of primary steel will need to be made using ‘near zero’ emission sources of iron – using hydrogen-based direct reduction iron (DRI), direct electrolysis, biofuels, carbon capture or other new processes. And secondly, the electricity used in steelmaking will need to be generated with near zero emissions, whether it is used to power electric arc furnaces, hydrogen production, or direct electrolysis.

Those are the twin challenges for policy makers, steelmakers and steel users, and they apply across the whole sector.

To meet those challenges, they, and we, need to be able to compare the GHG emissions performance of all steelmaking on a like-for-like basis, whether steel is made from 100% scrap, 100% primary iron, or from any ratio of inputs in between – an approach pioneered in the ResponsibleSteel Production Standard, and recommended by the IEA, German Steel Association and others.

So let’s hear it for the recyclers, but also for the ‘near zero’ power generators, and the ‘near zero’ iron innovators.

And for a successful transition to a net-zero steel economy.

By Matthew Wenban-Smith

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International Women's Day: Celebrating women working across the steel supply chain

In the second half of the twentieth century, women's participation in the global workforce grew remarkably. In the United States, female participation in the workforce surged from around 33% in 1948 to over 50% by the late 1970s (U.S. Bureau of Labor Statistics). Similarly in Europe, countries like France and Germany saw a rise from around 45% in the 1960s to over 60% by the 1980s (OECD, 2021). And in South America, Brazil also witnessed significant progress, with participation growing from approximately 18% in 1960 to 40% in 1980 (World Bank, 2020).  

Despite these advancements, industries like steel, mining, and metals remained predominantly male-dominated. A 2019 broad analysis of 66 global steel, metals, and mining companies revealed that women made up between just 3% and 29% of the workforce (S&P Global). Within the steel industry specifically, women account for only about 15% of the workforce, a figure that has remained largely unchanged over the past decade (World Steel Association, 2020). These figures illustrate the persistent challenges to achieving gender diversity within the steel and metals sectors, underscoring the need for continued progress.

As workplaces evolve and diversity initiatives gain momentum, more women are entering and excelling in traditionally male-dominated sectors. Their contributions are driving innovation, improving workplace culture, and challenging longstanding societal barriers.  

In recognition of International Women’s Day, ResponsibleSteel is spotlighting a few of the women who are driving change across the steel supply chain – celebrating their impact, resilience, and leadership and emphasising the need for greater diversity and inclusion in the metals sector.  

Above image courtesy of Borçelik


Elle Gatto

Assistant Team Leader - Finished Product Shipping, ArcelorMittal Dofasco

Elle has been with ArcelorMittal Dofasco for just over five years. As an Assistant Team Leader in Finished Product Shipping, she's passionate about working on the floor and ensuring steel moves efficiently. Her department is the last line of defense - she takes great pride in knowing that her role contributes to guaranteeing that only the highest-quality steel reaches customers. For Elle, being part of a team that keeps production running smoothly is rewarding and motivating, and she's looking forward to continuing to grow in the industry.

What is it like to be a woman in the steel industry?

"Being a woman in the steel industry has its challenges, but also presents unique opportunities for growth and leadership. It's empowering to contribute to an industry that is traditionally male-dominated, proving that diversity leads to stronger teams and more creative solutions. While there may be moments of being one of the few women in the room, I see it as a chance to break barriers and inspire the next generation of women in manufacturing and engineering fields."


Stefania Bonaiuti

Supplier Carbon Neutral, SKF

Stefania began her 28-year journey at SKF working in bearing product lines and later serving as the marketing manager for steel-related offerings. Currently, she focuses on Supplier Carbon Neutral deployment. Her career spans sustainability projects aimed at achieving net zero carbon emissions. Her experience in the steel industry and commitment to promoting sustainable practices continue to play an important part in advancing SKF's sustainability initiatives. She values the diverse perspectives women bring to the industry and actively supports gender balance and leadership development programmes at SKF.

What are your hopes for the future of the steel industry?

"Over the years, I have encountered many women in this field who brought diverse perspectives and innovative solutions, which are valuable in an evolving industry. Therefore, ensuring gender diversity remains crucial.

The future of the steel industry holds immense potential, rooted in sustainability, innovation, and inclusivity. Embracing cutting-edge technologies will enhance efficiency and reduce environmental impact. At SKF, we drive innovation with steel products that support our customers' sustainability goals. Collaboration within the industry and with other sectors is essential for sustainable change. We are proud to be part of initiatives like ResponsibleSteel, SteelZero, and RE100. By sharing knowledge and leveraging each other's strengths, we can tackle challenges effectively and drive the industry towards a more sustainable and prosperous future."


It's empowering to contribute to an industry that is traditionally male-dominated, proving that diversity leads to stronger teams and more creative solutions. - Elle Gatto, ArcelorMittal Dofasco

Tuana Çabuk

Production Engineer - Continuous Galvanizing Line, Borçelik

Tuana graduated with a degree in Mechanical Engineering. She has been working as a Production Engineer in the Continuous Galvanizing Line at Borçelik for two years. As a production engineer, she takes part in projects related to occupational safety, production processes, and quality performance of the lines she is responsible for.

What is it like to work in the steel industry?

"The steel industry is highly competitive and involves production processes that require advanced technology. As a result, it demands strong expertise in both engineering and production. Being actively involved in production processes and participating in various projects helps me to develop myself to be a better engineer. Since the steel industry is dynamic and requires technical proficiency, I believe that taking an active role in the manufacturing field, especially as a production engineer, provides a significant advantage.

Although the workforce is predominantly male, I take pride in contributing to the industry and promoting diversity as a female engineer. Gender diversity is a crucial issue, but I believe it should not be measured by having an equal number of men and women in every setting. Instead, it should be achieved by ensuring equal opportunities and a fair working environment for everyone. I feel fortunate to work in an organisation that supports this principle."


Dr. Ankita Gangotra

Senior Manager, World Resources Institute US

Ankita leads WRI's efforts to decarbonise the industrial sector through technology and policy innovation. Her work focuses on decarbonising the cement and steel industries, climate-oriented trade policies, green procurement standards, and fostering international cooperation. Ankita’s work includes advising U.S. policymakers and supporting industrial decarbonisation efforts in countries like India. Previously, she was a postdoctoral research fellow at Georgetown University, where she researched technology and policy options for industrial decarbonisation in the U.S.

What is it like to be a woman working on steel and heavy industry?

"I was apprehensive when starting work on the steel and industrial sector more broadly due to its male-dominated nature, but I’ve been inspired by the incredible women working on steel decarbonisation and their fierce advocacy. It’s been empowering to be surrounded by such passionate colleagues who are driving meaningful change. I hope we can accelerate the pace of steel decarbonisation while ensuring a just and equitable transition that benefits both communities and workers in the sector."


It's been very nice being a mentor and a point of call for other women. I like to think I've made other women in the industry proud. - Ashlea Muscat, BlueScope

Ashlea Muscat

Operations Manager Painting and Finishing Department, BlueScope

Ashlea joined the industry as a cadet in 2014 straight from university. After eleven years in the industry, she now runs the coil painting and finishing department at BlueScope’s Port Kembla Steelworks, looking after 126 people across 3 units and leading on day-to-day management, development, and process improvement across the department. Women now make up over 22% of BlueScope's site operators, a significant increase from 3% in 2017.

How did you get started in the steel industry?

"I first began in the industry as a cadet and I love all of the problem solving and challenging roles that I've held. It's been very nice being a mentor and a point of call for other women. I like to think I've made other women in the industry proud."


Aimee Boulanger

Executive Director, Initiative for Responsible Mining Assurance

Aimee has worked on mining issues for over 25 years, with substantial experience in directly affected communities. She has served IRMA’s leadership since 2011 and her role is to guide an organisation which is fully accountable to multi-stakeholder leadership, creating market value for more responsible business practices while ensuring credibility and accountability to all stakeholders.

What are your hopes for the future of the steel and mining sectors?

"I hope for a future where companies that create the products we rely on every day are valued not just for what they make, but for how they make it, ensuring that people, their lands, and their wellbeing are respected at every step. This means greater transparency in industries like mining and steel, so we acknowledge our shared impact and work together to reduce harm. And as we do, I hope we centre the voices of women—whose leadership, labour, and lives are so often overlooked—so that the benefits of industry are shared more equitably by all."


I hope for a future where companies that create the products we rely on every day are valued not just for what they make, but for how they make it... And as we do, I hope we centre the voices of women—whose leadership, labour, and lives are so often overlooked—so that the benefits of industry are shared more equitably by all. - Aimee Boulanger, IRMA

Angelica Olsson

Manager - Safety and Sustainability, Outokumpu

Angelica has worked her whole career in different types of industries. Before joining Outokumpu, she worked for several years in the paper industry as well as in the sawmill industry. She's held various positions, but she has the most experience in Supply Chain Management. She joined Outokumpu in 2018 and her first role was as a Safety Engineer for fire and security issues. Since 2022, she has worked as a Safety & Sustainability Manager.

What is it like to work in the steel industry?

"The steel industry has been by far the most interesting and challenging industry that I’ve worked in. The products we produce are fascinating and we all need to work every day to ensure that the way we produce steel is safe and sustainable. In my role as a Safety & Sustainability Manager, I’m fortunate to work with a great team of safety and sustainability engineers, and together we work hard every day, enabling our mills to produce safe and sustainable stainless steel. I really feel that the work we do makes a difference."


Marnie Bammert

Independent Consultant to ResponsibleSteel

Marnie is an independent consultant with 20 years of experience in developing, implementing and communicating sustainability certification and verification programmes. She has worked with ResponsibleSteel since early 2018. Marnie started her journey in the field of sustainability with oekom Research AG, a rating agency specialised in sustainable and ethical investments. She then moved to the Marine Stewardship Council (MSC), holding various positions including Deputy Director Europe. Since then, Marnie has worked as a consultant on projects ranging from protected areas to infrastructure, mining and nature-based solutions.

Why did you first begin working on the steel industry?

"People tend to focus on GHG emissions when discussing sustainability challenges of the steel sector. But the climate crisis cannot be solved in isolation. Working with ResponsibleSteel, I wanted to raise awareness for other important issues that the sector faces - human and labour rights, biodiversity, water stewardship, to name just a few. They are all connected to the climate question. I am proud to have played an instrumental part in creating the ResponsibleSteel Standard since it brings all of those issues together."


I envision a future for steel where much greater systems thinking, as well as intra- and inter- sector collaboration, drives progress - all enriched by the leadership of women. - Jen Carson, Climate Group

Jen Carson

Head of Heavy Industry, Climate Group

Jen Carson leads the strategy and growth of Climate Group's SteelZero and ConcreteZero. With a decade's worth experience working in the sustainability sector, she works to accelerate heavy industry decarbonisation. Jen joined Climate Group in 2021 after leading energy market research as an Associate at Delta-EE in Australia. Previously, she held various roles at Delta-EE, including creating its first cross-technology research service, as well as at The Carbon Trust, Dunelm Energy, and Kier Group.

What are your hopes for the future of the steel industry?

"I envision a future for steel where much greater systems thinking, as well as intra- and inter- sector collaboration, drives progress - all enriched by the leadership of women. By elevating the contribution of the demand side, and championing a competitive, decarbonised future, we will build a resilient steel industry that sets new standards for what is and isn't acceptable."

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JSW Steel achieves its first ResponsibleSteel certifications for four sites

JSW Steel has achieved Core Site Certification for its Vijayanagar, Dolvi, Salem and Tararpur sites - the group's first certifications against the ResponsibleSteel International Production Standard.

Over the last four decades, JSW Steel has gone from a single unit to a leading steel producer with operations across India and the US. The company's Vijayanagar site has the largest single-site steelmaking capacity in India, able to produce up to 13 million tonnes per annum. The certification of Vijayanagar along with three other sites means that JSW Steel now has 83% of its steel production in India covered by ResponsibleSteel Core Site Certification.

Jayant Acharya, Joint Managing Director of JSW Steel, commented, "The ResponsibleSteel Certification for our 4 sites is a testament to our unwavering resolve to future proof our business by addressing the emerging global challenges while we transition to a sustainable world. I congratulate the team of ResponsibleSteel, the certification body, the assurance panel, and the entire family of JSW Steel for achieving this milestone.  We are committed to certifying all our steelmaking sites by 2028."

JSW Steel serves customers across the automotive, machinery, construction, and engineering industries. Together, the four sites employ over 13,000 workers and 29,000 contractors.

Annie Heaton, CEO of ResponsibleSteel commented “Congratulations to JSW for achieving these four ResponsibleSteel certifications. By choosing to adopt an international standard which addresses not only emissions but a wide breadth of environmental and social issues, JSW is demonstrating ambition, foresight and leadership as a global industry player. This means being open to external monitoring, being ready to engage on opportunities for improvement with local stakeholders and laying the foundations for a responsible transition to near zero. As the second largest steel producing country globally, India has a real opportunity to emerge at the helm of the industry’s shift to sustainable practices. JSW's certifications mean that today we’re proud to have some 29% of India’s steel capacity certified against the ResponsibleSteel International Production Standard. We look forward to their next steps in deepening this journey.”

In addition to consulting workers and contractors as part of the audit, several external stakeholders were involved in the process. Representatives from local police, government, NGOs, schools, colleges, hospitals and citizen forums were invited to give input to the audit. Stakeholders had the opportunity to discuss the performance of the site in relation to health and safety, training opportunities, environmental issues, and the site's impact on the local community.

Take a look at the certificates and public audit summaries here.

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In conversation with IRMA and ResponsibleSteel: Exploring the role of standards in driving a responsible transition in steel and mining

ResponsibleSteel and the Initiative for Responsible Mining Assurance (IRMA) are collaborating on a joint project to better understand the social impacts of the net-zero transition for the steel and mining sectors and how standards can help guide good practice. This project is possible thanks to a grant from the ISEAL Innovations Fund, which is supported by the Swiss State Secretariat for Economic Affairs SECO.

We have asked the two project leads, Haruko Horii, Standards Manager at ResponsibleSteel, and Davidzo Muchawaya, Africa Regional Lead at IRMA, to answer a short Q&A for readers to better understand the project itself.

Q: Haruko, what is the vision for the project?

With this project, we want to understand the social impacts of the transition to net zero and what role standards can play in guiding good practice.

The term ‘just transition’ is used by different people in different ways. We need to determine what this looks like for the mining and steel sectors. What exactly is a just transition? Whose transition are we discussing? Workers, local communities or supply chains? What is the scope of transition? These are some of the questions we need to consider. 

Decarbonisation could have adverse social impacts such as job losses or displacement and significant effects on weakening the economic viability of affected communities. Initial research has shown that communities are facing significant social impacts caused by the transition to low-carbon practices. For instance, thousands of people have lost their jobs as a result of shifting from blast furnace technology to electric arc furnaces. These job losses have in turn impacted the wider community’s economic stability, community identity, and overall well-being. 

These are the types of issues we aim to identify through this project, assessing how voluntary sustainability standards (VSS) can address them, identifying gaps, and outlining steps for future, more detailed work that could lead to larger-scale initiatives. We’ll test our findings by engaging with workers, unions, business leaders, community organisations, and other relevant stakeholders to identify an agreed approach and create practical guidance for players in the mining and steel industry.

Image courtesy of IRMA

Q: Davidzo, what do ResponsibleSteel and IRMA have in common, and why are they collaborating on a just transition?

We believe in the power of collaboration and mutual recognition. This project is just one of many examples of how different voluntary sustainability standards can complement and leverage each other's work. Specifically, ResponsibleSteel leverages the assurance system of standards such as IRMA’s at mine site level, while focusing on the steel production aspects. Importantly, both ResponsibleSteel and IRMA were founded on a multi-stakeholder governance system, which has been recognised as a leading practice both by industry and NGOs. This model is recognised as best practice to ensure transparency, accountability, and inclusivity.

The collaboration specific to a just transition is born out of the necessity to ensure two hard-to-abate sectors, steel and mining, address the realities workers and communities are facing in our changing world as many existing mine and steelmaking sites face adaptation or closure. Given the varying impacts of decarbonisation across regions, IRMA and ResponsibleSteel are uniquely positioned to provide frameworks that apply across these different contexts since they are both standard-setting organisations operating globally. What is more, they are able to consider both decarbonisation and the potential social impacts of the transition at the same time.

Q: How do each of you respectively integrate just transition into your standards?

Haruko: Standards are going to play a critical role in promoting accountability during the transition ensuring they are fair and equitable. Although there is no explicit reference to a just transition in the current ResponsibleSteel International Production Standard, there are some elements to address the transition under Principle 4: Decommissioning and Closure, which requires consultation with key stakeholders to minimise any adverse impacts of site closures. In future, the scope of this principle could be expanded to address issues related to site closures, or the Production Standard could adopt a different approach by providing a just transition framework giving steel producers guidelines and tools to navigate an equitable transition with workers and affected communities. We plan to discuss these approaches with stakeholders in the next phases of the project. Integrating practices into the Production Standard will help ensure the industry’s transition is both environmentally and socially just.

Davidzo: As for the IRMA Standard for Responsible Mining, multiple chapters and requirements articulate what best practices could and should be for mining operations wishing to ensure a just transition for workers and affected communities. A prominent example is the requirement to involve affected communities and stakeholders in the development, design, and implementation of the mine rehabilitation and closure plan. Going beyond minimum transparency, the IRMA Standard outlines a series of requirements dedicated to the adequate estimation and financing of mine closure and post-closure. Research shows that mining operations often leave behind environmental and social liabilities, without taking charge of costs associated with the rehabilitation or appropriate closure of the sites thereby foregoing an adequate transition.

Crucially, the role played by both ResponsibleSteel and IRMA would not be the same without their multi-stakeholder governance systems. Thanks to the decision making process that takes into account private sector players as well as rights holders and labour unions, they can ensure that the voices of all parties are heard and taken into account in an equal way - hopefully adding the “just” element to “transition”.

Image courtesy of Shutterstock

Q: Davidzo, who is the main audience for this project?

The main audience for this project is workers and labour unions, as workers are most directly affected by the transition. Operators, from mining companies to steelmakers, are also key since, as employers, their actions and decisions will be critical to the social impacts of the transition, alongside national and subnational governments. Local communities impacted by the transition, NGOs that aim to act in their interests and standard-setting organisations are also key stakeholders.

Q: Haruko, is there a specific geographic focus for the project?

While just transition challenges and opportunities vary from country to country and even from site to site, the project is truly global as it strives to bring the complexities of these different realities to light. We aim to engage with stakeholders across different regions during the project to hear about the realities of the transition in different contexts. More information on this to come!

To find out more about IRMA, visit responsiblemining.netTo find out more about the project background, visit this page on the ISEAL website.

Davidzo Muchawaya is the Regional Lead for Africa at the Initiative for Responsible Mining Assurance (IRMA), where she leverages her extensive 15-plus years of experience in responsible sourcing and sustainability to further IRMA's vision. This vision aims to create a world where the mining industry respects the human rights and aspirations of affected communities, provides safe, healthy and supportive workplaces, minimizes environmental harm, and leaves positive legacies. Davidzo's responsibilities include leading the development and implementation of strategies for regional outreach to extend and deepen engagement with a broad spectrum of stakeholders, such as civil society organizations, labour unions, and communities impacted by mining activities. Davidzo plays a role in facilitating the dissemination of IRMA's audit reports and implementing awareness initiatives to enhance understanding of the IRMA system among stakeholders.

Davidzo is currently co-leading an ISEAL-funded project that explores how voluntary sustainability standards can drive a responsible transition in the steel and mining sectors. The project aims to understand the social impacts of the industry's shift toward a low-carbon economy and the role of multi-stakeholder systems initiatives in ensuring a socially responsible transition.

Haruko Horii has 9 years of experience in the sustainability sector, including work with NGOs and a social auditing consultancy firm. In her previous roles with standard-setting organisations, she has worked on various social topics such as living wage, social impact assessment, and gender equality, while ensuring the team’s compliance with standard-setting best practices. Haruko is trained in social auditing (SA8000) and social impact assessment (IAIA). She has worked as a social auditor and consultant, assisting global companies in promoting human rights by developing social responsibility policies and strategies, and establishing assurance mechanisms through capacity-building activities, social audits, and assessments.

Haruko holds a Master’s degree in International Development from Wageningen University in the Netherlands.

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February 2023 Newsletter

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

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February 21, 2023
2023
Newsletter
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ArcelorMittal Warszawa Obtains ResponsibleSteel Certification

We’re proud to announce that ArcelorMittal Warszawa has recently earned ResponsibleSteel Certification. The site, after a successful audit carried out by auditors from DNV (Det Norske Veritas) Poland, received the certificate at the end of January confirming that the site had fulfilled the criteria required to earn certification against the ResponsibleSteel Standard.

ResponsibleSteel CEO Annie Heaton stated, “It’s inspiring to see ArcelorMittal’s continued dedication to achieving site certification for all sites across Europe, reflecting the company’s unswerving commitment to working with ResponsibleSteel to build a sustainable, net-zero industry. ArcelorMittal Warszawa is the 8th electric arc furnace steel site to be certified against the ResponsibleSteel International Standard and has demonstrated a keen sense of responsibility towards the environment as well as to the site’s workers and nearby populations. The site consults regularly with local stakeholders and organises community site visits. The site has also invested significantly in reducing pollution, particularly noise pollution, and has committed to a 35% reduction in CO2 emissions by 2030. We look forward to supporting them as they work to fulfil this goal.”

ArcelorMittal Warszawa is a state-of-the-art mini mill, located in Poland. It started operations in 1957, becoming a reputed producer of carbon and special steel long products. ArcelorMittal Warszawa’s production cycle is based on Electric Arc Furnace (EAF) scrap recycling. The company is producing increasing volumes of products branded  XCarb™ – (an umbrella brand that groups together all of the reduced, low, and zero carbon steel making activity of ArcelorMittal). Products manufactured by ArcelorMittal Warszawa are used in the automotive, machinery engineering, bearing and construction industries.

Commenting on the certification, Artur Gierwatowski, CEO of ArcelorMittal Warszawa stated, “This certificate is a great recognition for us at ArcelorMittal Warszawa but also a commitment to our stakeholders. Our customers, our employees and members of local communities expect us to produce high quality steel respecting the highest social and environmental standards. The ResponsibleSteel certificate recognizes that we are succeeding in doing it. This makes us very proud, and constitutes a commitment to further ArcelorMittal Warszawa’s sustainable development in coming years.”

The certification audits against the ResponsibleSteel Standard were performed between May and September 2022. They were designed to verify that the steel site’s activities meet a set of rigorously defined requirements, which auditors validate not only on the basis of documentation but also via a number of interviews with internal and external stakeholders. They take into account a broad range of social and environmental criteria including business integrity, relations with employees and communities, human rights and labour rights, climate change and greenhouse gas emissions, water management, waste and noise emissions, and biodiversity.

View the certificate here.

February 2, 2023
2023
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January 2023 Newsletter

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

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January 20, 2023
2023
Newsletter
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JSW Steel Joins ResponsibleSteel

JSW Steel, one of India’s leading steel manufacturers, has today joined ResponsibleSteel, the only global multi-stakeholder standard and certification initiative for responsibly sourced and produced steel.

JSW Steel is the flagship business of the diversified, US$ 22 billion JSW Group, which is expanding across markets with innovation, digitalization, and sustainability as its key anchors. With efficient integrated operations and a clear vision for the future, JSW is executing its strategic growth plan in line with the growing steel demand.

Annie Heaton, ResponsibleSteel’s CEO, commented, “We are delighted that JSW has joined ResponsibleSteel as a member and very much welcome the commitment to sustainability standards this represents. It is another great example of leadership in the steel industry, and particularly important to see this in India given its role in driving decarbonisation both at home and globally. By joining us, JSW is committing to achieving certification against the ResponsibleSteel International Standard, which in the world of decarbonisation and ESG has no equal. Certification of a steelmaking site requires hard work across the board to integrate not only decarbonisation plans into the site’s strategy but all material environmental and social improvements, which means investment and technological know-how plus a strong commitment from the company’s management and its employees. We look forward to working with JSW as they move forward on their journey of decarbonisation and sustainable development.”

Over the last three decades, JSW Steel has grown from a single manufacturing unit to become India’s leading integrated steel company with a capacity of 28.5 MTPA in India and the USA (including capacities under joint control). Its next phase of growth in India will take its total capacity to 38.5 MTPA by FY25. The Company’s manufacturing unit in Vijayanagar, Karnataka is the largest single-location steel-producing facility in India with a capacity of 12 MTPA. JSW Steel has always been at the forefront of research and innovation. It has a strategic collaboration with global leader JFE Steel of Japan, enabling JSW to access new and state-of-the-art technologies to produce and offer high-value special steel products to its customers. These products are extensively used across industries and applications including construction, infrastructure, automobile, electrical applications, and appliances.

Seshagiri Rao, JMD & Group CFO stated, “The move to join ResponsibleSteel is to collaborate and work with other businesses in creating values, tools, and policies, to accelerate the growth of the steel industry in a sustainable manner and enhance sustainability within our supply chain, so that customers are confident that the steel they use has been sourced and produced responsibly at every stage.”

He continued, “At JSW we understand our responsibility towards making our planet better and are happy to join ResponsibleSteel to demonstrate our commitment through participating in the international certification programme.”

JSW Steel has set ambitious sustainability targets including reducing its specific CO2 emissions by 42% by FY2030 from 2005, aligning its target with the Sustainable Development Scenario (SDS) of the International Energy Agency (IEA) and India’s Nationally Determined Contributions.

Read the full press release here.

January 20, 2023
2023
News
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ResponsibleSteel joins ISEAL as a Community Member

We are delighted to announce that ResponsibleSteel has recently been approved as an ISEAL Community Member, joining a growing group of members committed to supporting and improving sustainable practices.

ISEAL supports ambitious sustainability systems and works to help members improve these systems to achieve maximum impact. ResponsibleSteel joins several ISEAL Community Members from the mining, metals and minerals sector and looks forward to having the opportunity to share knowledge and experience in order to develop and support sustainable growth in the steel industry.

Annie Heaton, ResponsibleSteel’s CEO commented, “As the only global multistakeholder standard for steel, our aim is to be a driving force in the socially and environmentally responsible production of net-zero carbon steel. We strive to ensure that our ResponsibleSteel International Standard is the most trusted standard for responsibly sourced and produced steel and a leading authority on ESG issues in the industry.”

She continued, “Obtaining ISEAL Community Membership is a critical step on this journey and will help us improve our systems and our credibility as a global standard. We plan to work towards becoming ISEAL Code Compliant over the next few years. We look forward to working with other members of the community and sharing knowledge and experience in order to ensure our work has the greatest impact possible.”

As the only global multi-stakeholder standard and certification initiative for responsibly sourced and produced steel, we are committed to continuously improving our Standard, maximising steel’s contribution to a sustainable world. The ResponsibleSteel International Standard covers a range of sustainability issues: climate change, pollution, and human rights concerns by taking into account both direct and upstream greenhouse gas emissions, air and water pollution, pollution from mining coal and iron ore, labour standards, and more.

ISEAL’s Executive Director, Karin Kreider, commented, “I am very excited to have ResponsibleSteel join ISEAL as a Community Member. Their standards address climate change, pollution, and human rights in various stages of the steel supply chain — the world’s most widely used material. I look forward to a fresh perspective from a new member in the mining and minerals sector and working together in the coming months and years.”

ISEAL members are sustainability systems and accreditation bodies dedicated to delivering benefits for people and the planet. They are committed to continually improving their systems and impacts through learning and innovation; collaborating with stakeholders and peers; and are transparent and truthful about how their systems work and how they measure their impacts.

We are proud to become an ISEAL Community Member and look forward to joining a growing number of sustainability initiatives that are working to drive positive change for both people and the planet.

January 16, 2023
2023
News
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ResponsibleSteel and global banks agree MoU for the rapid decarbonization of steel

As world leaders prepare to gather in Davos next week for the World Economic Forum, ResponsibleSteel is delighted to announce it has agreed an MoU with the Sustainable STEEL Principles Association (“SSPA”). This is a huge and positive step toward harmonization and greater collaboration between the two organisations and paves the way for the facilitation of the faster decarbonisation of steel.

Annie Heaton, CEO of ResponsibleSteel said, “With the clock ticking on climate change, we need pragmatic solutions to tackle climate change especially, in relation to heavy industry. These solutions need to be based on technological breakthroughs, innovation and creative problem solving. They also need to be global. None of this will be possible without a radical step change in how we finance these breakthroughs so industries like steel can decarbonize rapidly and be a force for good. The MoU between the SSPA and ResponsibleSteel signifies a continued determination by banks, the steel industry and wider stakeholders to achieve real progress towards net zero by 2050, and all the complexities which that entails.”

Steel decarbonization has come under the spotlight recently at global leaders’ meetings, for example COP26 and COP 27, which is right given the significant contribution of the industry to global greenhouse gas emissions. Amidst the proliferation of initiatives now focusing on steel decarbonization, this MoU signals a clear recognition that more work must be done to avoid a divergence of standards and work towards alignment, where possible.

Both the SSPA and ResponsibleSteel have pragmatic and expert pathways towards rapid sustainability. The SSP provide a framework for banks to assess the decarbonization of the steel companies within their portfolios, as well as the climate alignment of their steel lending portfolio. ResponsibleSteel provides an international standard for steel sites to be certified against.

Erik van Doezum, Global Steel Lead at ING and Chair of the SSP said, “The decarbonization of the steel sector globally requires significant investments to be made, and financing will be needed to facilitate these. Banks therefore will have to identify high quality decarbonization business plans, allowing them to guide their assets into investments compatible with a 1.5C future. Building consistent and transparent data via reporting requirements for the steel sector will be paramount to facilitating financing for the decarbonization of the sector. This will enable all parties – steelmakers, lenders and other stakeholders – to use and understand common measures of progress. That is why we believe that this MoU between Responsible Steel and the SSPA is important – it signifies the importance of collaboration towards those ends.”

Much analysis and scrutiny has gone into understanding the dynamics of the steel sector in the development of both the new ResponsibleSteel GHG requirements and those of the Sustainable STEEL Principles. The SSPA and ResponsibleSteel have now signaled a continuing desire to cooperate in the interest of complementarity between standards.

In addition to this MoU announced today, ResponsibleSteel is setting up a Finance Working Group (FWG) with key voices from the steel industry, global finance, investment and civil society. Its goal will be to facilitate dialogue including benchmarking carbon requirements within the ResponsibleSteel Standard and certification programme in order to facilitate capital flows to meet decarbonization requirements. The initial round of discussion will start this month and the FWG hopes to report on its recommendations by December 2023.

January 12, 2023
2023
News
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ArcelorMittal Monlevade becomes certified against the ResponsibleSteel Standard

The ArcelorMittal site, located in João Monlevade in the state of Minas Gerais, has recently been certified against the ResponsibleSteel Standard following a year-long process involving a rigorous audit conducted by DNV (Det Norske Veritas).

Founded in 1937, the Monlevade plant produces long carbon steels with special characteristics for the manufacture of auto parts such as steel cords for tyres, bars for shock absorbers, helical springs, fasteners, steel wool, cables, and welds. Its steel is present in three out of four tires used in Brazil.

ResponsibleSteel CEO Annie Heaton commented, “this is an exciting accomplishment which has been a long time in the works. It’s a reflection of the dedication and hard work ArcelorMittal Monlevade has put in to ensure they are meeting the highest standards of responsible steel production. In addition to achieving carbon neutrality by 2050, they have set an interim commitment of reducing scope 1 and 2 emissions by 10% by 2030. They have also taken great care to meet the needs of workers and the local community and to implement practices which protect the surrounding natural environment.”

DNV Brasil’s auditors visited all the facilities of the Monlevade site and interviewed stakeholders and the site’s leadership to assess the operations and processes according to the principles of the ResponsibleSteel Standard. They interacted with employees, contractors, representatives of the City Council and social projects, and community leaders, among others.

“The ResponsibleSteel certification is one of the most complex to be achieved. It assesses governance standards, from decarbonization of processes to respect for human rights, local communities and employees, from the safety of employees and processes to the responsible use of natural resources,” explained Fabiano Cristeli, head of operations at ArcelorMittal Monlevade.

He continued, “the Biodiversity Master Plan, the high rate of water recirculation, which is 98.77%, as well as the suppliers’ training on conduct and anti-corruption policies outstood. Other actions were well rated in the report, including the fight against child labour, the preparation of teams of volunteers, and the support for social projects in the region, such as the Chords project, which consists of teaching classical music to children and youngsters.” The company’s goals of having 25% of women in leadership positions by 2030 and of being carbon neutral by 2050 also drew the auditors’ attention.

The Monlevade site will also be receiving investments of BRL 2.5 billion by 2024 to facilitate its expansion. The expansion is expected to increase production capacity from 1.2 million tons to 2.2 million tons of steel per year and create 650 jobs onsite, plus generate further jobs during the expansion process. The investment will enable the implementation of another sinter plant and a new blast furnace, in addition to other improvements. Following the expansion, the Monlevade plant will be one of the largest long carbon producers in the country.

The audit report was reviewed by an independent Assurance Panel and the certificate is valid for three years. It is the second one obtained by an ArcelorMittal operation in Brazil following the certification of the Tubarão site in March 2022. ArcelorMittal’s goal is to certify all plants in Brazil by December 2023.

Read the full press release here or watch the video announcement by ArcelorMittal South America Long CEO Jefferson de Paula here.

January 4, 2023
2023
Article
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December 2022 Letter

Please view the December 2022 letter from our CEO, Annie Heaton, by clicking the link below:

Click here.

December 16, 2022
2022
Newsletter
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Forum III Highlights

2022 has been a year of great progress for ResponsibleSteel and the steel industry more broadly. We have made huge strides in the last twelve months. And after three years, we were finally able to come together in person at Forum III in Memphis.

We had nearly 200 delegates from over 70 organisations around the world with speakers from leading steel companies, downstream consumers, financial institutions, and civil society. We were thrilled by the enthusiasm demonstrated and we are very grateful to everyone who participated.

We’ve put together a short video celebrating Forum III and sharing a few highlights from participants. Enjoy!

December 14, 2022
2022
Events
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The ‘Sliding Scale’: Setting Equitable Thresholds to Drive Global Steel Decarbonisation

This September the ResponsibleSteel International Standard Version 2.0 was launched following almost three years of development by ResponsibleSteel and its multi-stakeholder membership. It included exacting new criteria on both the responsible sourcing of input materials and on climate change and greenhouse gas (GHG) emissions. Recent years have seen numerous approaches suggested for how best to define the GHG emissions of steel production. This briefing paper situates the use of a ‘sliding scale’ to evaluate a steel production site’s progress on GHG emissions as a key measure to decarbonize the global steel industry. The ‘sliding scale’ is one component of the ResponsibleSteel International Standard.

Steel is one of the world’s most widely used materials. From buildings to bridges, from cargo ships to cutlery, electric vehicles to wind turbines – steel is at the foundation of contemporary societies and in the infrastructure needed to transition to more sustainable ones. Steel has pertinent impacts on both people and planet across environmental, social, and governance issues.

One such issue that is increasingly in the global spotlight is the steel sector’s contribution to climate change. Steel production is estimated to directly emit between 7% and 9% of global anthropogenic carbon dioxide emissions. Diverse actors and stakeholders are taking action to catalyze change and reduce the GHG emissions of the steel sector – civil society, governments, multilateral bodies, steelmakers, steel buyers, financiers, think tanks, academics, and many more.

While the proliferation of actors engaging in this issue is welcome and essential to achieving optimal outcomes, the challenge of steel decarbonisation is best served by the non-proliferation of standards. Common, consistent, and globally comparable definitions are needed.

Decarbonising steel and the ‘sliding scale’

Reducing the steel sector’s global greenhouse gas emissions to net zero will need the world to use less steel, use steel more efficiently, switch to alternative less emissions-intensive materials where possible, maximise the reuse and recycling of steel and, critically, decarbonize steel production itself.

Steel is made with iron-bearing input material through the reduction of iron ore and the recycling of scrap metal. Steelmaking sites use differing shares of these two input materials and consequently different sources of energy input. Iron ore based production – which makes up around 70% of today’s steelmaking – is far more emissions intensive than scrap based production, since stripping oxygen from iron ore is extremely energy intensive and today relies on fossil fuels. Innovative production methods, including those that use cleaner fuels such as hydrogen, are poised to reduce this emissions intensity, but the scale and cost of the transition has historically been prohibitive. In scrap based production, electricity is used and emissions are lower, meaning emissions can be reduced through the procurement of renewable electricity.

Significant demand side measures will be needed to reduce the consumption and therefore production of steel, but 1.5C scenarios still demonstrate the need for significant decarbonisation of steel production. For instance, the International Energy Agency’s (IEA) Sustainable Development Scenario, which outlines a trajectory compatible with the goals of the Paris Agreement, is based on the assumption that two-fifths of the emissions reductions from steel until 2050 occur from material efficiency.

Estimates suggest that about 85% of globally available scrap steel is recycled today. This number must be increased to as close to 100% as possible and the quality of steel reuse and recycling vastly improved, but it also reflects the fact that there is  limited and constrained room for growth of scrap steel, at least in the short term. It is well established that there is simply not enough scrap steel to meet demand today nor is there likely to be in 2050. For example, the IEA’s Sustainable Development Scenario, despite its assumption of significant material efficiency, projects total demand increasing from today to around 2 billion tonnes annually in 2050. In this scenario, scrap makes up 46% of iron bearing material, leaving the remainder to be met through iron ore. Additionally, some grades of steel currently require iron ore based production methods. This is not to say that both quantity and quality of scrap steel recovery, processing and use should not be systematically addressed and ameliorated. Rather, that new iron ore based steel will be needed to meet socio-economic needs and to transition to a low carbon future.

The scarcity of scrap combined with its lower emissions profile and the ability of steel plants to incrementally increase scrap input together mean that emissions intensity alone is an insufficient measure to drive the decarbonisation of the steel industry. Incremental increases in scrap usage can significantly lower the emissions profile of steel production at a given steelmaking site, but it is important to be mindful of only serving to shift around the finite supply of scrap from one producer to another.

For the steel customer aiming to contribute to decarbonizing the industry, how can they help to drive industry wide decarbonization? Of course the first principles of design and material efficiency are central, as is driving and enacting genuine high-quality circularity within their operations and supply chain. Selecting steel products according to their emissions intensity alone would drive demand towards steel with higher scrap shares. This could simply cause the finite volumes of scrap to be reallocated, without decarbonizing the industry as a whole.

Setting variable thresholds for embodied GHG emissions that take account of the share of scrap input resolves this issue, and provides effective benchmarks for steelmakers whatever level of scrap they use, and so drives the structural, physical decarbonisation of the steel industry. The ResponsibleSteel Standard V2.0 defines quantitative performance levels for the GHG emissions intensity of crude steel production. It gives four levels ranging from the basic threshold to the near zero threshold. Approaches taking account of the variable amounts of scrap used in production have been dubbed the ‘sliding scale’.

Illustration based on ResponsibleSteel International Standard Version 2.0

Underpinning the ResponsibleSteel scrap-variable GHG thresholds are the accounting rules within its International Standard V2.0 which ensure the consistent and transparent measuring of GHG emissions at the site level. These rules, together with the thresholds, provide a tool for decision makers that reflect a number of principles ResponsibleSteel believes are essential to the establishment of an international standard to drive global steel decarbonization:

Comparable. Specifying the emissions from mine to crude steel production, the standard uses a boundary common to every steelmaker, to ensure comparability of steel production from one producer to another, anywhere in the world and no matter their level of integration. Consistent accounting rules enable ‘apples for apples’ consideration of the GHG emissions embodied in steel.

Stable but adaptable. The ResponsibleSteel International Standard V2.0 also includes a five-yearly review of the specified thresholds, enabling them to be revised with the objective “to achieve the fastest global transition to a near zero steel sector”. This ensures a level of predictability and stability to the thresholds, whilst also leaving flexibility to tighten the requirements and the level of ambition as our understanding of the 1.5°C challenge evolves. The ‘sliding scale’ itself does not prescribe how much steel should meet what level by when. Rather it provides simple graduated measures of progress towards near zero that can be used as an effective tool by customers and governments to achieve their ambitions. Various scenarios provide indications of what is needed, the Mission Possible Partnership’s Carbon Cost scenario for example, identifies the need for 170 million tonnes of annual near zero iron ore based production to be online by 2030 if the industry is to stay on track for a 1.5°C future.

Technology agnostic. The ‘sliding scale’ approach is technology agnostic – it assesses performance by the progress a site makes on GHG emissions. It rewards sites making decarbonization investments across technology measures and means that, regardless of the availability of scrap metal or production technology route, producers can be incentivised to reduce emissions through ever higher levels of recognition.

Equitable. Furthermore, the sliding scale ensures that the standard is globally comparable and non-discriminatory. Steel is produced – and needed – across the world and yet the availability of scrap is geographically uneven. Countries with longer histories of large scale steel production and so greater existing stocks of steel – in cars, buildings, ships – have greater opportunities to recycle steel and therefore produce steel from scrap. In practice, this means that countries that today have growing steel demand – which historically has been closely linked to social and economic development – face the greatest obstacles to meeting demand with steel from scrap. While scrap is an internationally traded commodity, it is increasingly seen as a strategic resource and can be subject to export restrictions.

For further information on the rationale for a ‘sliding scale’ approach, see the article ‘Achieving Net Zero in the Steel Sector’ in Chatham House’s Sustainability Accelerator, and the IEA’s (2022) recent report to the G7.

A vital piece of the puzzle

Sustainable development focused. The ‘sliding scale’ is not a silver bullet. ResponsibleSteel’s strategic mission is to drive the production of net zero steel globally that is both environmentally and socially responsible. The ResponsibleSteel International Standard Version 2.0 requires steelmaking sites to operate responsibly across 13 principles that incorporate the full spectrum of environmental, social, and governance issues relevant to the steel sector. The Standard was developed by ResponsibleSteel and its multi-stakeholder membership aiming to follow ISEAL Codes of Good Practice.  Certification against the Standard is backed by a robust assurance programme. To date, steelmaking sites across five continents representing over 100 million tonnes of production capacity and over 157,000 workers have been site certified.

Complementary. An effective ‘sliding scale’ complements rather than replaces other measures and performance requirements on decarbonisation and greenhouse gas emissions. The ResponsibleSteel International Standard V2.0 takes a multifaceted approach to climate change and greenhouse gas emissions. Alongside variable performance thresholds and among other requirements, it mandates both science-based targets at the corporate level (with strategies and plans at the site level) and, at higher levels of certification, it requires product carbon footprints for steel sold from a site. Net zero targets drive and reward forward planning, and science-based targets ensure the early investments required to deliver GHG emissions reductions within 5-10 years. Data on product carbon footprints can be used by customers to measure emissions in their supply chain and reduce emissions on a company, project and product level, while the ‘sliding scale’ ensures those products are contributing to global climate goals. It can also complement minimum scrap thresholds for products and measures to maximise material efficiency, the reuse, and the recycling of steel.

Scrap-variable thresholds have been included in ResponsibleSteel’s climate change and GHG emissions approach to ensure that the Standard is comparable, enabling apples for apples consideration of steel production globally, stable but adaptive, technology agnostic, equitable, sustainable development focused, and complementary to other measures and performance requirements. These principles, among many others, are vital to setting effective and common definitions. The ‘sliding scale’ enables policy makers, steel buyers, and financiers to match ambition with real, physical decarbonisation of the steel industry – globally. It should be used as a key measure of GHG emissions performance for steelmaking.

December 9, 2022
2022
Editorial
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November 2022 Newsletter

Please view our November 2022 newsletter by clicking the link below:

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November 30, 2022
2022
Newsletter
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Shaping the future of responsible steel

We are at a critical juncture in the steel industry. We have the opportunity to create real, long-lasting change for both people and the planet.

ResponsibleSteel is working to drive the creation of a net zero industry with sustainability at its core. We are a community with members from across the steel value chain and civil society. And we are proud to have around 13% of the global steel industry in membership and certified sites on 5 continents covering the production of over 100 million tonnes of steel.

It’s time to build momentum and work together to shape the future of the industry.

November 14, 2022
2022
News
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