32 | Plant & Works Engineering www.pwemag.co.uk August/September 2025 Special Focus Net Zero Decarbonisation isn’t a single switch. It’s a multidimensional evolution of technology, energy, economics, and policy compliance. In today’s industrial discourse, few words resonate more than decarbonisation. Yet in the metals industry home to some of the most energy-intensive and emissions-heavy processes on the planet, this term triggers more than just discussion. It demands transformation. The core question remains: Is decarbonisation just the latest buzzword, or is it a non-negotiable pillar of future competitiveness, compliance, and industrial resilience? Let’s be clear: Decarbonisation is no longer optional. It’s a strategic, scientific, and economic necessity. Why decarbonisation matters The metals industry, especially steel and aluminium production, sits at the centre of the global decarbonisation challenge. According to the International Energy Agency (IEA), steel alone contributes approximately 7-9% of global CO? emissions. Aluminium, heavily reliant on electricity often generated from fossil fuels adds significant weight to the carbon ledger. But the pressure to change doesn’t just come from regulators. It comes from everywhere: Government mandates like the European Green Deal and U.S. Inflation Reduction Act are tightening carbon limits and enabling green innovation through incentives. Carbon pricing mechanisms in regions across Asia and beyond are reshaping cost structures. Customers and investors are demanding accountability, low-carbon supply chains, and transparency like never before. Supply chains are fragmenting into “green tiers,” where low-carbon producers win contracts, financing, and long-term access to global markets. Decarbonisation is no longer about sustainability “optics.” It’s about operational continuity, market relevance, and economic durability in a rapidly changing world. Defining decarbonisation in the metals Industry At its core, decarbonisation is the systematic reduction or elimination of CO? emissions across industrial processes from ore extraction to final product formation. In the metals industry, this transformation touches every high-energy node: smelting, refining, casting, forging, rolling. These are processes historically powered by fossil fuels particularly coal and natural gas, cementing metals as among the top industrial carbon emitters globally. But decarbonisation isn’t a single switch. It’s a multidimensional evolution of technology, energy, economics, and policy compliance. What’s driving the decarbonisation push? Several converging forces are turning climate ambition into concrete industrial action: 1. Policy & regulatory acceleration Governments are laying down hard lines: emissions caps, disclosure mandates, carbon taxes, and cross-border adjustments like the EU’s CBAM are rapidly entering the operational calculus. 2. Investor expectations Capital markets are moving. ESG-aligned investors favour companies with clear carbon strategies, while access to green bonds and climate-linked loans hinges on decarbonization metrics. 3. Customer & market shifts OEMs in automotive, aerospace, and electronics now demand verified low-carbon inputs. Decarbonized metals are fast becoming a premium product class, tied to brand positioning and compliance in consumer markets. 4. Risk management Volatile energy prices and carbon cost exposure are redefining profitability. Lowemission operations mean greater resilience, more predictable margins, and reduced compliance risk. Pathways to industrial decarbonisation in metals The transition may be complex but it’s not vague. Here are the core pathways metals manufacturers can deploy today: 1. Energy efficiency & process optimisation Improving energy intensity per ton of output remains the quickest ROI decarbonisation move. Technologies such as AI-driven process control, digital twins, and advanced predictive maintenance can reduce energy waste, optimise furnace cycles, and eliminate downtime without the need for complete overhauls. 2. Fuel switching & renewable integration Electric arc furnaces (EAFs), when powered by renewables, offer a cleaner path than traditional blast furnaces. Meanwhile, green hydrogen is being piloted at industrial scale for direct reduced iron (DRI) processes. 3. Carbon capture, utilisation & storage (CCUS) For processes where emissions are unavoidable, CCUS is the lifeline. Capturing CO2 at the source and storing or repurposing it—into building materials or industrial inputs— Decarbonisation strategies shaping the future of the metals industry Decarbonisation is reshaping the metals industry, demanding more than compliance - it calls for technical innovation, operational change, and strategic foresight. From hydrogen steel to circular production, the race to cut emissions is defining competitiveness, resilience, and market access for heavy industry in a rapidly tightening net zero landscape. Prashanth Mysore, Senior Director, Global Strategic Business Development at DELMIA, reports.
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