Asked by: Angus Brendan MacNeil (Independent - Na h-Eileanan an Iar)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, what his timeframe is for the allocation of the Clean Steel Fund; and what steps his Department has taken to ensure the effective allocation of that funding.
Answered by Nadhim Zahawi
The Department announced the Clean Steel Fund (CSF) in 2019 and it is currently in development. This policy will take time to design in order to be delivered effectively.
Based on previous evidence, complex decarbonisation projects have long lead-in times and take time to set up. Due to this and other factors, the steel sector indicated in response to the 2019 Call for Evidence that their preference is for the CSF to be launched in 2023. Other schemes are available to support the sector and are live now, including the Industrial Energy Transformation Fund.
Asked by: Angus Brendan MacNeil (Independent - Na h-Eileanan an Iar)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, what assessment his Department has made of progress in Europe on trialling hydrogen-based steelmaking; and what steps he plans to take to ensure that the UK keeps up with international developments in clean steel production.
Answered by Nadhim Zahawi
The UK is monitoring international progress on low carbon steel making trials, using hydrogen and other technologies, and is actively engaged in international initiatives to support industrial decarbonisation innovation, including the Mission Innovation platform and the Leadership Group for Industry Transition.
Decarbonising UK industry is a core part of the Government’s ambitious plan for the green industrial revolution. The Industrial Decarbonisation Strategy, published on 17 March, commits government to work with the Steel Council to consider the implications of the recommendation of the Climate Change Committee to ‘set targets for ore-based steelmaking to reach near-zero emissions by 2035’. The Steel Council offers the forum for government, industry and trade unions to work in partnership on the shared objective of creating an achievable, long-term plan to support the sector’s transition to a competitive, sustainable and low carbon future. Hydrogen-based steelmaking, Carbon Capture, Utilisation and Storage (CCUS), and electrification are some of the technological approaches being examined as part of this process.
The UK steel sector will be given the opportunity to bid into industrial fuel switching innovation programmes under the £1 billion Net Zero Innovation Portfolio (NZIP), which is intended to promote switching away from more carbon-intensive fuel sources. The Government has also announced a £250 million Clean Steel Fund to support the UK steel sector to transition to lower carbon iron and steel production, through investment in new technologies and processes.
Asked by: Angus Brendan MacNeil (Independent - Na h-Eileanan an Iar)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, what assessment his Department has made of potential additional policy measures needed to support future clean steel production in the UK.
Answered by Nadhim Zahawi
The UK is monitoring international progress on low carbon steel making trials, using hydrogen and other technologies, and is actively engaged in international initiatives to support industrial decarbonisation innovation, including the Mission Innovation platform and the Leadership Group for Industry Transition.
Decarbonising UK industry is a core part of the Government’s ambitious plan for the green industrial revolution. The Industrial Decarbonisation Strategy, published on 17 March, commits government to work with the Steel Council to consider the implications of the recommendation of the Climate Change Committee to ‘set targets for ore-based steelmaking to reach near-zero emissions by 2035’. The Steel Council offers the forum for government, industry and trade unions to work in partnership on the shared objective of creating an achievable, long-term plan to support the sector’s transition to a competitive, sustainable and low carbon future. Hydrogen-based steelmaking, Carbon Capture, Utilisation and Storage (CCUS), and electrification are some of the technological approaches being examined as part of this process.
The UK steel sector will be given the opportunity to bid into industrial fuel switching innovation programmes under the £1 billion Net Zero Innovation Portfolio (NZIP), which is intended to promote switching away from more carbon-intensive fuel sources. The Government has also announced a £250 million Clean Steel Fund to support the UK steel sector to transition to lower carbon iron and steel production, through investment in new technologies and processes.
Asked by: Angus Brendan MacNeil (Independent - Na h-Eileanan an Iar)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, with reference to trials, pilots and full-scale projects underway in countries including France, Austria, Germany, Netherlands, Spain, Sweden, Italy on using hydrogen to produce primary steel, what steps she is taking to ensure steel production in the UK keeps pace with international competitors on developing and using clean steel production technology.
Answered by Nadhim Zahawi
The UK is monitoring international progress on low carbon steel making trials, using hydrogen and other technologies, and is actively engaged in international initiatives to support industrial decarbonisation innovation, including the Mission Innovation platform and the Leadership Group for Industry Transition.
Decarbonising UK industry is a core part of the Government’s ambitious plan for the green industrial revolution. The Industrial Decarbonisation Strategy, published on 17 March, commits government to work with the Steel Council to consider the implications of the recommendation of the Climate Change Committee to ‘set targets for ore-based steelmaking to reach near-zero emissions by 2035’. The Steel Council is a forum for Government, industry and trade unions to work together on the shared objective of creating a competitive, sustainable and low carbon future for the sector. Hydrogen-based steelmaking is one of the technological approaches being examined as part of this process.
The UK steel sector will be given the opportunity to bid into industrial fuel switching innovation programmes under the £1 billion Net Zero Innovation Portfolio (NZIP), which is intended to promote switching away from more carbon-intensive fuel sources. The Government has also announced a £250 million Clean Steel Fund to support the UK steel sector to transition to lower carbon iron and steel production, through investment in new technologies and processes.
Asked by: Christian Wakeford (Labour - Bury South)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, what assessment his Department has made of the opportunities to create new, highly skilled jobs through the decarbonisation of the UK steel industry.
Answered by Nadhim Zahawi
Levelling up and ensuring high-quality employment across every region of the UK is a key element in the Government’s Plan for Growth. It is estimated that the UK low-carbon economy could grow more than four times faster than the rest of the economy between 2015 and 2030 and support up to 2 million jobs. The Government will ensure that the benefits of our growing low-carbon economy are shared fairly in every region.
The Steel Council offers the forum for government, industry and trade unions to work in partnership on the shared objective of creating an achievable, long-term plan to support the sector’s transition to a competitive, sustainable and low carbon future. The UK steel sector will be given the opportunity to bid into industrial fuel switching innovation programmes under the £1bn NZIP portfolio, which is intended to promote switching away from more carbon-intensive fuel sources. The Government has also announced a £250 million Clean Steel Fund to support the UK steel sector to transition to lower carbon iron and steel production, through investment in new technologies and processes.
Asked by: Christian Wakeford (Labour - Bury South)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, what assessment his Department has made of the opportunities for hydrogen-based steelmaking projects to help level up the UK.
Answered by Nadhim Zahawi
The Industrial Decarbonisation Strategy, published on 17 March, commits to work with the newly constituted Steel Council to consider the implications of the recommendation of the Climate Change Committee to ‘set targets for ore-based steelmaking to reach near-zero emissions by 2035’.
Hydrogen-based steelmaking, CCUS (carbon capture, utilisation and storage),
and electrification are some of the technological approaches being examined as part of this process. The Steel Council offers the forum for government, industry and trade unions to work in partnership on the shared objective of creating an achievable, long-term plan to support the sector’s transition to a competitive, sustainable and low carbon future.
In order to support these efforts, the Government has announced a £250 million Clean Steel Fund to support the UK steel sector to transition to lower carbon iron and steel production, through investment in new technologies and processes. The decarbonisation of the steel sector and industry more widely will also be supported through the £1 billion CCUS Infrastructure Fund (CIF) and £240m Net-Zero Hydrogen Fund.
Asked by: Charlotte Nichols (Labour - Warrington North)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, when the Hydrogen Strategy will be published; and if it will include measures to use hydrogen to decarbonise the UK steel sector.
Answered by Nadhim Zahawi
The UK’s first ever Hydrogen Strategy will set out what is required to build a hydrogen economy fit for 2030, Carbon Budget 6 and beyond, whilst maximising economic benefits. It will also discuss the role of low carbon hydrogen as a leading option for decarbonising industrial processes. Alongside this, we will also consult on priority policies including a hydrogen business model, a low carbon hydrogen standard, and the £240m Net Zero Hydrogen Fund.
The UK is monitoring international progress on low carbon steel making trials, using hydrogen and other technologies, and is actively engaged in international initiatives to support industrial decarbonisation innovation, including the Mission Innovation platform and the Leadership Group for Industry Transition.
Decarbonising UK industry is a core part of the Government’s ambitious plan for the green industrial revolution. The Industrial Decarbonisation Strategy, published on 17 March, commits government to work with the Steel Council to consider the implications of the recommendation of the Climate Change Committee to ‘set targets for ore-based steelmaking to reach near-zero emissions by 2035’. The Steel Council offers the forum for government, industry and trade unions to work in partnership on the shared objective of creating an achievable, long-term plan to support the sector’s transition to a competitive, sustainable and low carbon future. Hydrogen-based steelmaking is one of the technological approaches being examined as part of this process. The UK steel sector will be given the opportunity to bid into industrial fuel switching innovation programmes under the £1bn NZIP portfolio, which is intended to promote switching away from more carbon-intensive fuel sources. The Government has also announced a £250 million Clean Steel Fund to support the UK steel sector to transition to lower carbon iron and steel production, through investment in new technologies and processes.
Asked by: Ruth Jones (Labour - Newport West)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, what recent steps he has taken to support the steel industry in Wales.
Answered by Nadhim Zahawi
The Government is committed to a UK steel industry and a decarbonised future, supporting local economic growth and our levelling-up agenda. That is why the Government has provided over £500 million to the sector in recent years to help with the costs of electricity as well as announced a £250m Clean Steel Fund to support the sector’s transition to lower carbon iron and steel production. Moreover, our unprecedented package of COVID-19 support remains available to protect jobs and ensure that the industry has the right support during this challenging time.
The Government fully recognises the importance of steelmaking in Wales. In July 2020, the Government provided Celsa with a commercial loan, which secured over 1000 jobs, including more than 800 positions at the company’s main sites in South Wales. We also continue to work closely with Tata as it shapes its business strategy to support the future of high-quality steelmaking in Port Talbot.
Asked by: Alex Sobel (Labour (Co-op) - Leeds North West)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, how his Department is planning to allocate the Clean Steel Fund; and when that allocation will be announced.
Answered by Nadhim Zahawi
The Department announced the Clean Steel Fund (CSF) in 2019 and it is currently in development. This policy will take time to design in order to be delivered effectively.
Based on previous evidence, complex decarbonisation projects have long lead-in times and take time to set up. Due to this and other factors, the steel sector indicated in response to the 2019 Call for Evidence that their preference is for the CSF to be launched in 2023. Other schemes are available to support the sector and are live now, including the Industrial Energy Transformation Fund.
Asked by: Alex Sobel (Labour (Co-op) - Leeds North West)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, what assessment his Department has made of international progress on trials of hydrogen-based steelmaking; and if he will take steps to introduce a similar pilot in the UK.
Answered by Nadhim Zahawi
The UK is monitoring international progress on low carbon steel making trials, using hydrogen and other technologies, and is actively engaged in international initiatives to support industrial decarbonisation innovation, including the Mission Innovation platform and the Leadership Group for Industry Transition.
Decarbonising UK industry is a core part of the government’s ambitious plan for the green industrial revolution. The Industrial Decarbonisation Strategy, published on 17 March, commits government to work with the Steel Council to consider the implications of the recommendation of the Climate Change Committee to ‘set targets for ore-based steelmaking to reach near-zero emissions by 2035’. The Steel Council offers the forum for government, industry and trade unions to work in partnership on the shared objective of creating an achievable, long-term plan to support the sector’s transition to a competitive, sustainable and low carbon future. Hydrogen-based steelmaking is one of the technological approaches being examined as part of this process.
The UK steel sector will be given the opportunity to bid into industrial fuel switching innovation programmes under the £1 billion Net Zero Innovation Portfolio (NZIP), which is intended to promote switching away from more carbon-intensive fuel sources. The Government has also announced a £250 million Clean Steel Fund to support the UK steel sector to transition to lower carbon iron and steel production, through investment in new technologies and processes.