How to decarbonize global industry and achieve Paris targets

Technologies and Policies to Decarbonize Global Industry: Review and Assessment of Mitigation Drivers through 2070”  is an important research paper written by an international collaboration of 30 experts, including Chris Bataille of Simon Fraser University, British Columbia.  Just published in the academic journal Applied Energy, the paper argues that “Fully decarbonizing the global industry sector is a central part of achieving climate stabilization, and reaching net zero emissions by 2050–2070 is necessary to remain on-track with the Paris Agreement’s goal of limiting warming to well below 2 °C.”

decarbonization infographic

The importance of industry is apparent from this infographic from  Energy Innovation

Technologies and Policies to Decarbonize Global Industry”   is a detailed and technical article which identifies and evaluates supply-side technologies such as energy efficiency, carbon capture, electrification, and zero-carbon hydrogen as well as  promising technologies specific to each of the three top-emitting industries: cement, iron & steel, and chemicals & plastics. The paper also considers demand-side approaches including material-efficient design, waste reduction, substituting low-carbon for high-carbon materials, and circular economy interventions.

The discussion related to policy focuses on those which encourage innovative technology, as well as carbon pricing with border adjustments, and energy efficiency or emissions standards. It highlights the policies of China and India as well as low and middle-income countries, and concludes with a brief discussion of the need for a just transition, which closely resembles the ideas in  Low and zero emissions in the steel and cement industries: Barriers, technologies and policies  an Issue Paper written by Chris Bataille for the OECD Green Growth and Sustainable Development Forum in November 2019.

Regarding Just Transition, the article states:

“These principles will require policymakers to shape decarbonization policies to provide adequate timeframes for industrial transition and include workers and community representatives at all stages of the policy development and implementation process. A just transition will also require a better understanding of how social safety nets, such as unemployment insurance and government-supported training programs, should be utilized, where they fall short, and how they can be improved. The transition to green industry will be an iterative process, but it must be accelerated to address our growing list of social, economic, and environmental challenges.”

 

Visions for green steel production in Canada and internationally

CSPA_2_29_compressedThe Canadian Steel Producers Association released a “Climate Call to Action” for their industry on March 4 , with a goal to achieve net zero CO2 emissions by 2050.  The press release calls that goal  “the central plank” of their vision.  More details are explained in a 19-page document, Canada’s Steel Industry: A Sustainable Choice , which states:

“Canada’s steel producers have the aspirational goal to achieve net-zero CO emissions by 2050. This means that we must significantly reduce net CO emissions including through removal or offsets. In order to achieve this aspirational goal, we need to work with stakeholders, including suppliers, customers, and government, to implement transformational changes and breakthrough technologies. This includes significant capital investments, public-private partnerships, and policies that support the industry during the transition.”

The Statement emphasizes technological breakthroughs and trade policy, and the words “workers”, “jobs” or “labour” do not appear anywhere. The most relevant section relates to operational efficiencies and manufacturing processes:

“We have also adopted process control technology and other innovative technologies, such as robotics, to improve our process reliability, production yields, and overall production efficiencies to reduce losses and the amount of energy used to produce each tonne of steel. However, there is limited room for further improvement based on existing technology. The adoption of new technologies to further advance and optimize steel manufacturing software control systems will continue to drive improvements in our sector.”

Internationally:

A useful and related report is  Low and zero emissions in the steel and cement industries: Barriers, technologies and policies ,  an Issue Paper prepared for the November 2019 OECD Green Growth and Sustainable Development Forum. The paper is meant for international audience, though its author, Chris Bataille, is a prominent researcher at Simon Fraser University as well as at the Institute for Sustainable Development and International Relations (IDDRI) .  He calls for an industry transition based on  “well-designed policy packages and careful consultation with all parties involved and affected.”  Specifically,  regarding Just Transition, he states (p. 36) :

“To support change, we will need to make many modifications to existing institutions, and create new ones… A key element that is often overlooked is a transition plan for the management and labouring workforce, whose full support is required. This involves retraining for those already in the workforce, and redefinition of the curriculum in technical schools where electricians, pipefitters, heavy duty machinery specialists, etc. are trained. Oversight bodies are also required for the national transition plans, which have timetables of expected physical transitions against which they can measure progress and recommend policy adjustments and wholesale changes … At present, the UK Climate Change Commission, which recommends five year carbon budgets and parliamentary advice as required, is the best practise example of a national oversite body. It has no statutory authority to change policy, as this is the prerogative of the British Parliament, but it can monitor progress and recommend changes.”

Notably, one of the “asks” of  the Canadian Steel Producers Association visioning document is the creation of “ a Canadian steel climate council with key government departments to monitor and report on the progress of the sector’s climate strategy, to share practices, to engage with other stakeholders, and to evolve the plan as new information and insights emerge”.  (“Stakeholders” don’t include workers.)

Worldsteel , the global industry association, released its own position paper in 2020:  Steel’s contribution to a low carbon future and climate resilient societies , which emphasizes most of the same  themes of technology,  circular economy, energy efficiency, and a “level playing field” globally.  Worldsteel also recently published the Sustainable Steel: Indicators 2019 and the steel supply chain .

steel-arising-cover-01_1-1And from the U.K., academics at the University of Cambridge released  Steel Arising: Opportunities for the UK in a transforming global steel industry  in April 2019. The report was commissioned by GREENSTEEL Council which  “promotes sustainable production methods and a revitalisation of engineering and the economy” in the UK.  Steel Arising calls for  greening by “moving away from primary production towards recycled steel made with sustainable power.”  The report states: “Not only will this create long-term green jobs, it will lead to world-leading exportable skills and technologies and allow us to transform the highly valuable scrap that we currently export at low value, but should be nurturing as a strategic asset. With today’s grid we can do this with less than half the emissions of making steel with iron ore and with more renewable power in future this could drop much further.”

UK researchers call for absolute zero reduction policy, greening of the steel industry

absolute zeroAbsolute Zero , released by the University of Cambridge in November 2019,  warns that the U.K. will not reach zero emissions by 2050 without significant changes to policies, industrial processes and individual lifestyle choices – including closing all airports in the UK by mid-century.  (Perhaps the impact of this report can be seen in  the U.K. court ruling on February 27 that Heathrow airport’s third runway is a legal violation of the country’s climate change commitment under the Paris Agreement.)  Although Absolute Zero  was released in November 2019,  it was debated in the British House of Lords on February 6 , and was the subject of a Research Briefing by the House of Lords Library in support of that debate.

The prestige of the authors also may have contributed to the impact of its ideas. They are members of UK Fires (UK Future Industrial Resource Efficiency Strategy), a research  collaboration between the universities of Cambridge, Oxford, Nottingham, Bath and Imperial College London, and funded by the UK’s Engineering and Physical Sciences Research Council.  They contend that the UK should aim to reduce greenhouse gas emissions to absolute zero, rather than the “net zero” target specified in the Climate Change Act 2008 , and by the U.K. Committee on Climate Change in its report, Net Zero – The UK’s contribution to stopping global warming (May 2019) and its 2019 Report to Parliament of the  U.K. Committee on Climate Change (July 2019) .

Absolute Zero  also parts company with the Committee on Climate Change in its view that emerging technologies will not be scalable in time to meet emissions targets by 2050.  It builds its analysis on “today’s technologies”,  striking an optimistic tone while calling for fundamental changes in individual behaviour, government policy, and industrial processes. Some excerpts ….

“We need to switch to using electricity as our only form of energy and if we continue today’s impressive rates of growth in non-emitting generation, we’ll only have to cut our use of energy to 60% of today’s levels….

“The two big challenges we face with an all electric future are flying and shipping. Although there are lots of new ideas about electric planes, they won’t be operating at commercial scales within 30 years, so zero emissions means that for some period, we’ll all stop using aeroplanes. Shipping is more challenging: although there are a few military ships run by nuclear reactors, we currently don’t have any large electric merchant ships, but we depend strongly on shipping for imported food and goods….

“Absolute Zero creates a driver for tremendous growth in industries related to electrification, from material supply, through generation and storage to end-use. The fossil fuel, cement, shipping and aviation industries face rapid contraction, while construction and many manufacturing sectors can continue at today’s scales, with appropriate transformations……

“Committing to zero emissions creates tremendous opportunities: there will be huge growth in the use and conversion of electricity for travel, warmth and in industry; growth in new zero emissions diets; growth in materials production, manufacturing and construction compatible with zero emissions; growth in leisure and domestic travel; growth in businesses that help us to use energy efficiently and to conserve the value in materials…..

“Protest is no longer enough – we must together discuss the way we want the solution to develop; the government needs to treat this as a delivery challenge – just like we did with the London Olympics, ontime and on-budget; the emitting businesses that must close cannot be allowed to delay action, but meanwhile the authors of this report are funded by the government to work across industry to support the transition to growth compatible with zero emissions.”

steel-arising-cover-01_1-1The UK Fires collaboration officially launched in October 2019. It is building on previous  related research,  including the April 2019 report  Steel Arising  which it highlights on the UK Fires website.  Steel Arising   envisions greening of the UK steelmaking industry  by “moving away from primary production towards recycled steel made with sustainable power.”  It states: “Not only will this create long-term green jobs, it will lead to world-leading exportable skills and technologies and allow us to transform the highly valuable scrap that we currently export at low value, but should be nurturing as a strategic asset. With today’s grid we can do this with less than half the emissions of making steel with iron ore and with more renewable power in future this could drop much further.”