ABB India and Tata Steel have teamed up to create technologies that will reduce the carbon footprint of steel production. According to a statement issued by ABB India, the steelmaker's medium-term goal is to reduce carbon emissions in its Indian operations to less than two tonnes of Co2 per tonne of crude steel by 2025.

"Tata Steel Ltd and ABB India have signed a Memorandum of Understanding (MoU) for a project and will work together to co-create innovative models and technologies to help reduce the carbon footprint of steel production," a statement said.

Under the agreement, the two companies will focus on system-level assessments of Tata Steel's manufacturing plants and production facilities in order to evaluate and co-develop short and long-term options for energy efficiency, decarbonization, and circularity.

ABB and Tata Steel will investigate energy optimisation through the use of hydrogen as an alternative fuel for upstream processes, as well as energy reduction and substitution via fully integrated electrification and digital systems.

On an annual basis, the iron and steel industry accounts for approximately 8-9 percent of total carbon dioxide (CO2) emissions globally, while it accounts for 12 percent of total CO2 emissions in India.

As a result, in light of the commitments made at the COP26 climate change conference, the Indian steel industry must significantly reduce its emissions.