EU approves €128m aid for SSAB’s green transition
The European Commission has approved a €128-million Swedish measure to support its SSAB in transitioning its steel production in Luleå to a nearly zero-emission system.
The funding, made available through the Just Transition Fund, will accelerate the development of an electric steel mill utilising renewable hydrogen, with a capacity of 2.5 million tons of green steel slabs per year, set to begin production in 2029.
The initiative aligns with the European Green Deal and the REPowerEU Plan, aiming to reduce CO2 emissions and decrease reliance on Russian fossil fuels.
The project includes the installation of an electric arc furnace and other advanced equipment, expected to cut emissions equivalent to three years of fossil fuel-based operations.
The European Commission confirmed that the measure is necessary, proportionate, and safeguards competition by including a claw-back mechanism if the project generates extra revenues.
Attribution: The European Commission
Subediting: M. S. Salama
