STEEL SCRAP RECYCLING POLICY

Prelims level : Infrastructure Mains level : GS-III Indian Economy & Issues Relating to Mobilization of Resources
No Set Found with this ID

Why in News?

  • Ministry of Steel has issued the Steel Scrap Recycling Policy.

Background:

  • Steel Ministry’s endeavor is to develop a globally competitive steel industry by adopting state of the art environment friendly technologies.
  • Ferrous Scrap being the primary raw material for electric arc furnace (EAF) and induction furnace (IF) based steel production, the policy envisages a framework to facilitate and promote establishment of metal scrapping centers in India. This will ensure scientific processing & recycling of ferrous scrap generated from various sources and a variety of products.
  • The policy framework shall provide standard guidelines for collection, dismantling and shredding activities in an organized, safe and environmentally sound manner.
  • Steel is a material most conducive for circular economy as it can be used, reused and recycled infinitely.
  • While iron ore remains the primary source of steel making, used or re-used steel in the form of Scrap is the secondary raw material for the steel industry.
  • Indian steel industry is characterized by the presence of a large number of small steel producers who utilize scrap with other inputs in EAF/IF for steel making.

Objectives:

  • To promote circular economy in the steel sector.
  • To promote a formal and scientific collection, dismantling and processing activities for end of life products that are sources of recyclable (ferrous, non- ferrous and other non-metallic) scraps which will lead to resource conservation and energy savings and setting up of an environmentally sound management system for handling ferrous scrap.
  • Processing and recycling of products in an organized, safe and environment friendly manner.
  • To evolve a responsive ecosystem by involving all stakeholders.
  • To produce high quality ferrous scrap for quality steel production thus minimizing the dependency on imports.
  • To decongest the Indian cities from end-of-live vehicle (ELVs) and reuse of ferrous scrap.
  • To create a mechanism for treating waste streams and residues produced from dismantling and shredding facilities in compliance to Hazardous & Other Wastes (Management & Trans boundary Movement) Rules, 2016 issued by MoEF & CC.
  • To promote 6Rs principles of Reduce, Reuse, Recycle, Recover, Redesign and Remanufacture through scientific handling, processing and disposal of all types of recyclable scraps including non-ferrous scraps, through authorized centers / facility.

Significance:

  • The availability of scrap is a major issue in India and in 2017 the deficit was to the tune of 7 million Tons. This was imported at the cost of more than Rs. 24,500 crores (approx.) in 2017-18.The gap between demand and supply is can be reduced in the future and the country may be self-sufficient by 2030.This is mainly because with the increase in consumption of steel in the recent past and ELVs, the generation of scrap is likely to be increased considerably.This scrap has to be channelized so that the same can be utilized for steel production in an environmentally friendly manner.
  • The scrapping policy shall ensure that quality scrap is available for the steel industry.

National Steel Policy 2017:

  • National Steel Policy 2017 (NSP-2017) aims to develop a globally competitive steel industry by creating 300 Million TPA Steel production capacity by 2030 with a contribution of 35-40% from EAF/IF route.
  • The availability of raw materials at competitive rates is imperative for the growth of the steel industry and to achieve NSP-2017 target. Thus, the availability of right quality of scrap, in adequate quantity is one of the critical factors for the future growth for both EAF/IF sector & primary sector.
  • Scrap based steel making technologies have been envisaged as one of the important options to reduce GHG emission intensity. This shall feature as an important initiative of the steel sector to minimize Green House Gas (GHG) emissions.
Share Socially