Page 8 - Best of 2019 English

Annalena Baerbock (2nd from left), Federal Chair of the Green Party, was one of those keen to learn about SALCOS®. On hand to explain were (l to r) Executive Board Chairman Prof. Dr.-Ing. Heinz Jörg Fuhrmann; Dr. Jens Traupe, Head of Environmental Protection and Energy Policy; Sandrina Siever- dingbeck, Head of Group Strategy; and Alexander Heck, Head of Corporate Affairs
STIL: The drastic reduction of CO2 emissions has been enshrined in the EU with the goal of “climate neutrality by 2050”. What does this mean for in- dustry in general and the steel sector in particular? Prof. Fuhrmann: In a joint interview with “Die Welt” earlier this year, this was well expressed
by Dr. Patrick Graichen, director of the Agora Energiewende think tank: “This project has now reached the level of reunification or post-war reconstruction – it’s more than just making a few adjustments here and there.” I absolutely agree with this: a whole new basis is required for his- torically established and well-functioning systems of energy production and transport, freight and private transportation, industrial production and heat supply. Our entire society is to be decarbon- ized, moving away from fossil-fuel-based processes towards those that emit little or no CO2. This is the stated political and social aim to be implemented in defined steps by 2050. It is what the German government and the EU Commission have decid- ed: a mega-scale project which will leave virtually no stone unturned.
“SALCOS® – SAlzgitter Low CO2-Steelmaking” positions Salzgitter AG as a pioneer in the decar- bonization of the steel industry: we have developed a rapid-implementation strategy at an early stage in collaboration with partners such as Fraun- hofer-Gesellschaft and plant manufacturer Tenova, consistently focusing on CO2 avoidance with an innovative combination of industrially proven processes. Here we have coined the term CDA – Carbon Direct Avoidance. Virtually all competitors have now switched to our CDA approach.
Prof. Fuhrmann: Technically speaking we’re all
set and ready to go. Our SALCOS® concept is now well established in the public sphere as well as in professional circles and was recently highlighted by the Minister of Economic Affairs of Lower Saxony as a beacon project for the European steel industry. And speaking of Lower Saxony: it is the number one transformation state because it is home to offshore wind power, hydrogen storage and pipeline infrastructure, as well as numerous companies with future prospects. All we have to do is build on all this.
STIL: Do we have anything tangible to show for it right now?
Prof. Fuhrmann: Since quantitative availability of green hydrogen will be the key issue if we want to replace coal in the reduction process as a necessary element of crude steel production, we’re already taking the first concrete steps towards establish- ing our own hydrogen production. The order
for a PEM electrolysis system has already been awarded to Siemens, for example. Together with
a wind farm established by our partner E.ON at the Salzgitter site, this will form part of the “Wind Hydrogen” project – the first ever green sector coupling of energy and steel in Germany!
We're also working on innovative high-tempera- ture electrolysis, and together with partners such as Sunfire we’re looking into the extent to which this process is industrially scalable.
But one thing is crucial here – and again I agree with Agora Energiewende and others on this point: industry is further ahead than policymakers. The technical solutions are there, but the necessary political framework is lacking. Without them we can’t get started, because we can only act with entrepreneurial responsibility and make long-term investment decisions if we have a solid, reliable factual basis to start with.
STIL: What framework conditions can you cite here?
Prof. Fuhrmann: It takes a lot of electricity to pro- duce green hydrogen. This first has to be available in sufficient quantities from renewable sources. The current stagnation in the expansion of wind energy makes it doubtful as to whether this can
be achieved from domestic generation alone.
The price of electricity mustn’t be burdened by a renewable energy levy and high grid fees – unlike the situation we have now.
In addition to questions concerning the supply of electrical energy, there are many other issues
– after all, decarbonization is not progressing consistently at the international level. It’s being pursued as a major focus in Europe, and especially vigorously in Germany.
However, the “green” process routes of the future will require billions of euros of investment in new plant technology; the production costs of hydro- gen-based steel production will also be up to 60 %
STIL: Where do we stand with SALCOS®? 8 SALZGITTER INSIDE
Photo: Peter Lenke