The Climate Group has launched a global initiative to drive demand for net zero steel.
SteelZero is already supported by eight major steel buyers and specifiers from a range of sectors – these businesses include steel and construction firm BHC Ltd, consultancy Mace, renewable energy business Ørsted and real estate and investment group Lendlease.
The Climate Group, which is also responsible for schemes such as EV100 and RE100, has partnered with ResponsibleSteel on the programme, which encourages organisations to make a public commitment to procuring, specifying or stocking 100% net zero steel by 2050.
Steel is the world’s most widely used material and the sector is also one of the biggest emitters of carbon dioxide globally – its emissions account for up to 9% of all direct emissions from the use of fossil fuels around the world.
This figure is forecast to increase significantly in the next few decades, with end-use demand for steel projected to grow by almost 40% by 2050.
A recent report by CDP warns 14% of steel companies risk imminent financial losses if they do not decrease their environmental impact and suggests many from across the sector will have to transform to remain commercially viable.
Jenny Chu, Head of Energy Productivity Initiatives at international non-profit the Climate Group, said: “The steel industry is one of the largest contributors to climate change. We need to see much greater investment and progress to cutting emissions, but steelmakers also need to know their customers will buy new, cleaner products.
“By harnessing the collective purchasing power and influence of major steel-using organisations, SteelZero will send a critical demand signal that can shift global markets and policies towards sustainable production and sourcing of steel.”