UK government seeks £ 250m for clean metallurgy

The UK Department of Business, Energy and Industrial Strategy (BEIS) has requested assistance for a planned £ 250 million net steel fund.

According to BEIS, the fund "will support the UK steel sector to move towards zero decarbonization."

The government is looking for opportunities to help it develop a detailed work plan for the foundation, including feedback on potential barriers to realizing clean steel ambitions.

The UK has set a target to cut greenhouse gas emissions by 100% - from 1990 levels - by 2050 under the 2008 Climate Change Act.

According to BEIS, the main objectives of the proposed Clean Steel Fund are to help facilitate the transition to “reduced iron and steel production” to help the sector achieve net zero emissions (under the Climate Change Act) and to maximize “longevity and sustainability” in this sector, "drawing on years of experience and skills and seizing opportunities for pure growth."

“We also intend to create a new £ 100 million low carbon hydrogen fund to support the scale-up of low carbon hydrogen production,” BEIS said. "This could provide an opportunity to reduce carbon steel production and support broader efforts to decarbonize the industry."

UK Steel, an industrial group that advocates for steel production in the UK, has responded positively to the call for evidence.