Middle East and North Africa set to lead on green steel

22nd September 2022


The Middle East and North Africa (MENA) is in a prime position to emerge as a world leader in carbon-neutral or green steel, according to the latest research.

Green steel opportunity in the Middle East and North Africa, a study by the Institute for Energy Economics and Financial Analysis (IEEFA), says the region’s steel sector is dominated by direct reduced iron-electric arc furnace (DRI-EAF) technology. This releases lower emissions than the increasingly obsolete coal-fuelled blast furnace and basic oxygen furnace process, which was used in 71% of global crude steel production last year.

The DRI-EAF process, which uses syngas made from natural gas or gasified coal and electricity, could produce zero emissions if green hydrogen and electric arc furnaces were powered by renewable energy, the study says. MENA produced just 3% of global crude steel in 2021 but accounted for nearly 46% of the world’s DRI production.

“MENA has an established supply of DR-grade iron ore and its iron ore pelletising plants are among the world’s largest,“ said IEEFA’s steel sector energy finance analyst Soroush Basirat, who carried out the research. “MENA’s knowledge of this specific steel technology is an invaluable asset. This production knowledge, abetted by further work on iron ore beneficiation, pelletising and DR plants, is among the most important steel decarbonisation pillars, and will greatly assist MENA’s transition.

“Compared to other regions, MENA’s existing DRI-EAF capacity means no extra investment is needed for replacing the base technology. All new investment could be focused on expanding production of green hydrogen among other renewables. If it acts fast, MENA has the potential to lead the world in green steel production.”

The study also noted that MENA has formidable solar resources to aid the production of green hydrogen from renewable electricity. The World Bank found that MENA has the globe’s highest photovoltaic power potential capacity and could theoretically produce more than 5.8 kilowatt hours per square metre daily. The region is predicted to add 83 gigawatts (GW) of wind and 334GW of solar power by 2050, increasing wind and solar’s share of energy capacity from 1% and 2% respectively to 9% and 24%.

Image credit | Shutterstock

Subscribe

Subscribe to IEMA's newsletters to receive timely articles, expert opinions, event announcements, and much more, directly in your inbox.


Transform articles

Facing the climate emergency challenge in local government

It’s well recognised that the public sector has the opportunity to work towards a national net-zero landscape that goes well beyond improving on its own performance; it can also influence through procurement and can direct through policy.

19th March 2024

Read more

Dr Julie Riggs issues a call to arms to tackle a modern-day human tragedy

15th March 2024

Read more

Disgraced environmental consultant Peter Lovebrother is another month nearer retirement…

13th March 2024

Read more

The UK government’s carbon capture, usage and storage (CCUS) strategy is based on optimistic techno-economic assumptions that are now outdated, Carbon Tracker has warned.

13th March 2024

Read more

The UK’s new biodiversity net gain (BNG) requirements could create 15,000 hectares of woodlands, heath, grasslands, and wetlands and absorb 650,000 tonnes of carbon each year.

13th March 2024

Read more

The UK government’s latest Public Attitudes Tracker has found broad support for efforts to tackle climate change, although there are significant concerns that bills will rise.

13th March 2024

Read more

Multinational corporations are undermining their net-zero commitments with excessive air travel and no plans to reduce ‘the low hanging fruit’ of carbon footprints, a study by Transport & Environment has found.

13th March 2024

Read more

The UK government’s climate adaptation plans are ‘inadequate’ and falling ‘far short’ of what is required, the Climate Change Committee (CCC) has warned today.

13th March 2024

Read more

Media enquires

Looking for an expert to speak at an event or comment on an item in the news?

Find an expert

IEMA Cookie Notice

Clicking the ‘Accept all’ button means you are accepting analytics and third-party cookies. Our website uses necessary cookies which are required in order to make our website work. In addition to these, we use analytics and third-party cookies to optimise site functionality and give you the best possible experience. To control which cookies are set, click ‘Settings’. To learn more about cookies, how we use them on our website and how to change your cookie settings please view our cookie policy.

Manage cookie settings

Our use of cookies

You can learn more detailed information in our cookie policy.

Some cookies are essential, but non-essential cookies help us to improve the experience on our site by providing insights into how the site is being used. To maintain privacy management, this relies on cookie identifiers. Resetting or deleting your browser cookies will reset these preferences.

Essential cookies

These are cookies that are required for the operation of our website. They include, for example, cookies that enable you to log into secure areas of our website.

Analytics cookies

These cookies allow us to recognise and count the number of visitors to our website and to see how visitors move around our website when they are using it. This helps us to improve the way our website works.

Advertising cookies

These cookies allow us to tailor advertising to you based on your interests. If you do not accept these cookies, you will still see adverts, but these will be more generic.

Save and close