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UNDP to scale up energy efficient project for small steel units

Updated: Mar 26, 2014 12:44:00pm
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New Delhi, Mar 26 (KNN) With a view of reducing energy consumption by the small-scale steel units, the United Nations Development Programme (UNDP) is implementing the project – ‘Up scaling Energy Efficient Production in Small-Scale Steel Industry in India’ with the help of the Steel Ministry of India and Australian Agency for International Development (AusAID).

“Under the project, UNDO seeks to pilot energy efficient technologies in steel induction furnace units, located across India,” UNDP said today.

In this context, UNDP has invited bids from the units. “Baseline energy audit studies will be conducted in selected units. Further, the selected units will be given preference to become model units under the project and avail technical and financial assistance to implement energy efficient technologies in their units,” UNDP added.

The project aims to upscale energy efficient interventions in the steel re-rolling mills sector and other sub-sectors of the small scale steel industry in India. This will enable cleaner production in the units, including the induction furnace and also help the units’ mitigation of GHG emissions and lead to improvement in productivity, help the units in implementing energy efficient technologies.

Small-scale steel re-rolling mills produce 65 per cent of long steel products in India which is the world’s fourth largest producer of steel. Typically associated with high levels of pollution and inefficient resource use, these units consume one per cent of energy consumed in India.

“The partnership between the Ministry of Steel and UNDP has demonstrated that units which have adopted a series of measures to improve energy efficiency can save energy costs by 25-30 per cent and reduce greenhouse gas emissions by 25 per cent,” according to UNDP.

India has about 1,800 steel-rolling mills. They supply about 65 per cent of India's long product demand.

The Steel Ministry had earlier proposed a project on the same lines in its 12th Five-Year Plan document for energy efficiency improvement projects in the secondary steel sector by providing interest subsidy. However, this did not happen, according to a media report. (KNN/SD)
 

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