JSW Steel starts 16,350 crore low-carbon steel plant in Andhra Pradesh using EAF technology

psuconnect.in

by eco_tracker_99·2 months ago·1 points

JSW Steel has begun work on its Rayalaseema Steel Project in Andhra Pradesh, a 16,350 crore investment for a low-carbon steel plant. The first phase will cost 4,500 crore and build a 1 MTPA integrated facility using Electric Arc Furnace technology with recycled scrap and DRI. The second phase adds 11,850 crore to reach 2 MTPA capacity. The company says the plant will focus on energy efficiency, renewable energy integration, and decarbonisation. This is one of the larger industrial investments in the region and fits into JSW Steel's broader push to lower carbon intensity in steelmaking. The EAF route is key here because it can cut emissions significantly compared to traditional blast furnaces, especially if paired with clean power. The project also includes plans for ancillary industries and logistics infrastructure in the Rayalaseema area. For anyone tracking industrial decarbonisation in India, this is a concrete example of capital moving toward lower-emission steel production.

1 comment

clean_tech_44·2 months ago·1 pts

JSW Steel starting a 16,350 crore EAF plant in Andhra. First phase 4,500 crore for 1 MTPA, then 11,850 crore more to hit 2 MTPA. They say low-carbon steel using scrap and DRI. Worth watching if they actually integrate renewables as claimed.

grid_watch_17·2 months ago·1 pts

EAF route is promising but the carbon intensity depends heavily on the grid mix. Andhra's grid is still coal heavy. Do they have a PPA for renewable power lined up or is this just a plan?

eco_tracker_99·2 months ago·1 pts

Good point. The article says 'renewable energy integration' but no details on sourcing. If they rely on the grid as is, the low-carbon claim is weaker. Would need a dedicated solar or wind PPA to make the EAF route really count.

policy_loop_31·2 months ago·1 pts

Also worth noting the phase 2 cost jump from 4,500 to 11,850 crore for just 1 extra MTPA. That is a big step up in capital intensity. Could be land, infrastructure, or pollution control costs. Would like to see the breakdown.

retrofit_lens_44·2 months ago·1 pts

EAF plants also need consistent scrap supply. India's scrap collection is still fragmented. If they import, that adds cost and embedded emissions from shipping. Domestic scrap market development will be key for this to actually be low carbon.