Firing Up a Greener Future: India's ₹5,000 Crore Clean Steel Plan

The Government of India is formulating a ₹5,000 crore scheme under the proposed National Mission for Sustainable Steel to accelerate the adoption of clean steel-making technologies and drive carbon emission reductions across the sector.

Speaking at the ‘FT Live Energy Transition Summit India’ in New Delhi, Steel Secretary Sandeep Poundrik stated that the scheme will be open to all steel manufacturers, with 75–80% of funds earmarked for secondary steel producers—a segment often lacking access to advanced decarbonisation technologies.

The initiative will offer performance-based financial incentives linked to the extent of carbon emission reduction achieved relative to previous baselines, encouraging innovation and measurable sustainability improvements.

“This mission supports India’s commitments under the Paris Agreement and contributes to our broader vision of becoming a net-zero economy,” said Poundrik, highlighting the steel sector’s role as one of the country's most carbon-intensive industries.

Expected to be launched in the coming months, the scheme will prioritize actual emission reductions over mere adoption of new technologies, ensuring a results-driven approach to decarbonising India's steel production landscape.

News by Rahul Yelligetti.