Over the years, strong investments in R&D, innovative thinking and a close collaboration with our customers have allowed us to continuously reinvent and upgrade our offering many times over. Always improving, our aim remains constant – to boost productivity, ensure safety, and secure sustainable processes that drive growth. In all of this, we follow the UN Sustainable Development Goals and strive to use recycled raw material, fossil-free electricity and apply circular thinking in all we do. Now, driven by an ambition to make an even bigger difference for the world, we are taking this commitment to the next level. Based on our clear strategic roadmap, innovative technologies and available resources, we are well positioned to help further reducing climate impact for the benefit of all. We call it Carbon Neutral Now.
A good starting point
- 97 % recycled steel
- 100 % fossil-free electricity sources
- 95 % lower carbon footprint for steelmaking process vs global industry average
- 80 % below global average of cradle-to-gate footprint for hot-rolled products.
- 2 tonnes of CO2 below global average per 1 tonne of hot-rolled product, cradle to gate
- 55 % reduction in CO2 emissions from already low baseline since 2015
- Successful full-scale trials to heat steel with 100% fossil-free hydrogen and oxygen
We recently started an ambitious initiative towards achieving carbon neutrality across all Ovako’s operations with the concept to heat steel with fossil-free hydrogen, supported by several industrial partners as well as the Swedish Energy Agency. Our full-scale trials were successful, and we are convinced that the first full production installation will further prove the viability of the concept. Currently, through other initiatives, we have reduced our CO2 emissions by 55 % from our 2015 baseline and full implementation of hydrogen-fueled heating will enable us to further reduce our process emissions by a total of 80 % from our 2015 baseline – that is, an additional 50 % from their already low levels.
Our hydrogen investments to tackle climate change, complemented by several other actions, will be implemented just as quickly as they can be financed in order to achieve zero carbon emissions. However, the climate situation is so urgent that the world cannot wait for operational improvements on their own. That is why, effective January 1, 2022, we have decided that Ovako will sell products based solely on carbon-neutral steel production.
Read more about the path to carbon neutrality in the linked document.
Reducing climate impact – now
While we continue to achieve major milestones in carbon reductions, it is still our responsibility to take immediate action for the benefit of our customers and society. Starting in 2022, we bring our already very low carbon footprint to zero and buy voluntary carbon offsets. These are aligned with the UN Sustainable Development Goals, the Science Based Targets initiative (on the 1.5°C target level) and support the UN-led Race to Zero Campaign. The need for carbon offsets will be gradually reduced as we continue to invest in process improvements.