"Special Action Plan for Energy Saving and Carbon Reduction in the Steel Industry" requires comprehensive energy consumption per ton of steel should be reduced by more than 2% compared to 2023 by end 2025

On June 7, the National Development and Reform Commission and other departments issued a notice on the "Special Action Plan for Energy Saving and Carbon Reduction in the Steel Industry." It proposed that by the end of 2025, the unit energy consumption per product using blast furnace and converter processes in the steel industry should be reduced by more than 1% compared to 2023, the unit energy consumption per product smelted using EAF should be reduced by more than 2% compared to 2023, the comprehensive energy consumption per mt of steel should be reduced by more than 2% compared to 2023, and the self-generated electricity rate from residual heat, pressure, and energy should be increased by more than 3 percentage points compared to 2023. From 2024 to 2025, through the implementation of energy-saving and carbon reduction transformation and energy equipment updates in the steel industry, energy savings equivalent to about 20 million mt of standard coal and a reduction of about 53 million mt of carbon dioxide emissions will be achieved. By the end of 2030, the energy efficiency of major processes in the steel industry will be further improved, the energy efficiency of major energy-consuming equipment will basically reach advanced levels, the comprehensive energy consumption and carbon emissions per mt of steel will be significantly reduced, the energy use structure will be continuously optimised, and advanced energy-saving and carbon reduction technologies such as oxygen-enriched blast furnace technology and hydrogen metallurgy technology will achieve breakthroughs, leading to significant achievements in the green, low-carbon, and high-quality development of the industry.

Key tasks include:

1. Improve capacity control and output management. Strictly restrict the export of high-energy-consuming, low-value-added steel, pig iron, coke, and other products. Continue to implement crude steel output control in 2024. By the end of 2025, the capacity proportion of the steel industry at the energy efficiency benchmark level or above will reach 30%, and the capacity below the energy efficiency benchmark level will complete technological transformation or be phased out. 2. Improve the energy-saving and carbon reduction levels of new projects. 3. Accelerate energy-saving and carbon reduction transformation and energy equipment updates. Promote the implementation of updates and transformations for blast furnaces with a volume of 1,000 cubic meters or less. 4. Promote the utilisation of residual energy throughout the entire process. 5. Increase the proportion of EAF steelmaking. By the end of 2025, the utilisation of steel scrap will reach 300 million mt, and the proportion of EAF mills' output in total crude steel output is expected to increase to 15%. 6. Accelerate the development of new low-carbon smelting models. 7. Improve the level of digital management. By the end of 2025, the numerical control degree of key processes in the steel industry will reach about 80%.