Salzgitter AG, one of the leading steel producers in Germany, is taking serious steps in the energy sector as part of the transition to low-emission steel production.
The company will increase the production of environmentally friendly steel by using renewable energy sources at a new solar power plant with a capacity of 65 MW, built by Iberdrola in Germany, in the Saxony—Anhalt region.
The 15-year Electricity Purchase Agreement (PPA) signed between Salzgitter AG and Iberdrola guarantees a total of 900 GWh of electricity from renewable sources, which will be supplied directly to steel production. This energy will play a crucial role in the framework of SALCOS (Salzgitter Low Co Steelmaking), Salzgitter's carbon neutral steel transition program.
Annual output of 60 GWh - reduction of CO₂ emissions by 23,000 tons
The facility, covering an area of about 45 hectares and equipped with more than 92,000 solar panels, is expected to generate about 60 GWh of electricity per year, equivalent to the annual consumption of more than 20,000 households.
The clean energy supplied from the plant is expected to prevent emissions of more than 23,000 tons of CO₂ annually, which directly contributes to Salzgitter's goal of reducing the carbon footprint of steel production.
Local partnerships have strengthened the project
Regional companies, including Solarpro, P&Q and EMT, participated in the construction of the solar power plant. These local partnerships have contributed to both the development of the regional economy and improved the operational efficiency of the project.
With this agreement, Salzgitter AG is accelerating the transition to a renewable energy production model in the steel industry. The company emphasizes that this environmentally friendly energy supply, which will be integrated with hydrogen-based production processes in the future, is crucial for the security of environmentally friendly steel supplies to Europe.
Author: SteelRadar Editorial Team
Steelradar.com
