Sustainability

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 Industrial production of metals like aluminum and steel contribute approximately 2%[1] and 7%[2]of man-made global emissions respectively. With demand for these materials expected to rise over the coming decades, it is critical that sustainable methods of production are developed. When calculating industrial emissions, three scopes must be considered

· Scope 1 emissions are directly emitted during the production process for a material. One example is CO2 emissions released during operation of a basic oxygen furnace (BOF) in traditional steelmaking.

· Scope 2 emissions are created when generating energy used to create a product, such as the electricity used to melt steel in an electric arc furnace (EAF).

· Scope 3 accounts for all upstream and downstream emissions. These include everything from those emitted during the process of mining iron, to burning natural gas in a direct reduction unit, to transporting steel as a finished product

Scope 3 emissions are the by far largest contributor to total emissions in steel and aluminum manufacturing. Transitioning from using extractive processes to circular processes for aluminum and steel production could cut emissions by much as 96%[1] and 82%[3] respectively. According to WorldStainless, transitioning from 30% scrap in melts to 85% scrap can reduce steel emissions by 4.85 tons of CO2[3] per ton. 

“Every ton of scrap used for steel production avoids the emission of 1.5 tons of carbon dioxide, and the consumption of 1.4 tons of iron ore, 740 kg of coal and 120 kg of limestone.”[3] There are several competing approaches to make steel ‘greener’ but none is more effective than maximizing the recycled scrap metal percentage in melts. Many methods are in development to create DRI with fewer emissions, including using hydrogen, biochar, and carbon capture technologies. Each alternative minimizes yet still depends upon the generation of scope 3 emissions in transportation, mining, and reduction. ONLY SCAP-BASED STEEL CAN ELIMINATE THOSE EMISSIONS. 

All these alternative methods threaten to raise expenses by 10-50%[3]. But reducing emissions doesn’t have to come at the sacrifice of cutting costs. Roughly 1/3 of all steel and aluminum produced is already created from recycled metals[1]. In many places where scrap is abundant, like the United States, it is cheaper to use scrap vs DRI during production. More than 40 governments around the world have even enacted forms of carbon taxes or limits that further financially incentivize decarbonization processes[4]. With reliable, quality scrap, aluminum and steel mills can not only cut costs, but boost sustainability too.