Draft shows EU scraps steel emission label from "Made in Europe" law
A draft proposal revealed that the European Union had scrapped plans to include an emissions label for steel in its "Made -in Europe" legislation. The plan was originally intended to make green steel a central part of efforts to revitalize industries.
A last-minute amendment to a proposed law, officially named EU's Industrial Accelerator Act on Wednesday, would be a major blow for low-carbon steelmakers. The label would help make their products more attractive and visible to consumers.
EU officials said that some departments within the European Commission expressed concerns about the?label, stating it would increase bureaucracy in companies, when another EU product-labeling law is being drafted to?address steel emissions. The law's earlier drafts, which were reviewed by, included a label that would indicate the intensity of emissions from steel, as well as a method for companies to calculate it. The most recent draft of the law, which was reviewed by? On Tuesday, the?label was slashed.
Other measures could boost low-carbon steel
According to the latest draft, Brussels will instead include measures that support demand for low carbon steel through an EU Law on Sustainability Standards for Products. The proposal did not specify a date when it would be published.
The Industrial Accelerator Act is being repeatedly delayed, and the draft may change before it is published. The spokesperson for the European Commission declined to comment.
When public money is used to support technology, the law will mandate that a minimum percentage of these products be manufactured locally.
The latest draft seen by?included a requirement for steel purchased through public procurement to be at least?25% green steel. This was to help kick-start the demand for greener, more sustainable steel. Hydnum Steel, a low-carbon steel manufacturer, said that a label is needed right now and the EU shouldn't "let the perfect be the enemy to the timely".
It said that without this classification, "the impact of the measures designed to create leading markets will be delayed and vital investment towards European producers at this crucial?juncture" would not be directed.
Eurofer's spokesperson said that delaying the label would "risk pushing?decisions back in time at a moment when investors are looking for certainty". Many green steel projects in Europe have been delayed, or even failed because the technology is still new and costs are high. (Reporting and editing by Barbara Lewis; Kate Abnett)
(source: Reuters)
