Tata Steel has marked a significant milestone in its journey towards sustainable steelmaking with the inauguration of its first scrap-based Electric Arc Furnace (EAF) facility at Hi-Tech Valley, Ludhiana. The facility, built with an investment of approximately ₹3,200 crore, boasts a capacity of 0.75 million tonnes per annum and is designed to achieve CO₂ emissions of less than 0.3 tonnes per tonne of steel. This development is a crucial step in Tata Steel‘s commitment to achieving Net Zero emissions by 2045.
The inauguration ceremony was attended by S Bhagwant Singh Mann, Chief Minister of Punjab, N Chandrasekaran, Chairman of Tata Steel, and T V Narendran, CEO & Managing Director of Tata Steel, along with other senior government officials and company representatives.
N Chandrasekaran, Chairman of Tata Steel, emphasised the importance of sustainability as a national imperative as India transitions towards a climate-resilient future. He stated that the Ludhiana Electric Arc Furnace reflects Tata Group’s long-term commitment to building a greener, more resilient industrial future.
T V Narendran, CEO & Managing Director of Tata Steel, highlighted the significance of the Ludhiana EAF in the company’s journey towards achieving Net Zero by 2045. He noted that the facility represents a rethinking of capital investment for the circular economy by backing technologies that reduce resource intensity while remaining globally competitive. He expressed gratitude to the Government of Punjab for its continued support and partnership.
The state-of-the-art facility is designed to support low-carbon steelmaking and will use nearly 50% renewable energy. It will utilise 100% steel scrap as raw material, sourcing approximately 40% of the scrap from Tata Steel’s steel recycling plant in Rohtak, Haryana. The plant will produce construction-grade steel rebar under the company’s flagship retail brand ‘Tata Tiscon’, enhancing Tata Steel’s market presence in the construction segment.
Over the past three years, Tata Steel, through the Tata Steel Foundation, has partnered with local communities in Ludhiana to foster constructive change in areas such as health, education, agriculture, and women empowerment. Initiatives include employability training for students at local Industrial Training Institutes (ITI), new livelihoods for women, installation of solar-powered streetlights, promotion of climate-resilient agricultural practices, and scholarship support for meritorious students.
Disclaimer: This article is based on a regulatory filing submitted to the National Stock Exchange of India (NSE).