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The hyBit research project at the University of Bremen is disappointed by ArcelorMittal's decision to discontinue its transition to climate-neutral steel production at its Bremen site and warns of far-reaching structural and economic consequences.
The decision comes at a time when industrial policy decisions for the future must be made, with long-term consequences for Bremen as an industrial hub, emphasizes Torben Stührmann, head of the Resilient Energy Systems research group at the University of Bremen. “With rising EU emissions trading prices, production will become increasingly expensive without a green transformation. If decarbonization measures are not put in place, the plant will face closure by 2045 at the latest.” The expiry of EU emissions trading certificates could spell the end for the site as early as 2040.
Jutta Günther, President of the University of Bremen, stresses: "The hyBit research project, coordinated at the University of Bremen, is conducting in-depth research into climate-neutral production in the steel industry as part of a large network of academic institutions and companies. The project team has set itself the task of supporting the transition to green steel production with data, analysis, and innovation. This is what hyBit stands for, and strong cooperation between science, industry, and politics is still needed to complete this industrial transformation toward sustainability."
The importance of Bremen as a location is evident when you look at the international pressure to compete: The focus is on efficiently linking energy and material flows. The development of industrial symbioses is becoming increasingly essential in the face of global competition, for example in terms of electricity prices and skilled workers. hyBit studies on hydrogen transformation in Scandinavia, the Middle East, and North Africa indicate that although relocation appears attractive in theory, it is usually not feasible within the necessary time frame, or would not be expedient from the perspective of resilient value chains. Stührmann: “This makes it all the more important to push ahead with local solutions.” The aim of the 30 million euro hyBit research project is to analyze the optimal conditions for successful transformation and translate them into specific recommendations for action.
Early Intervention: Green Steel in 2040 Requires Decisions Now
“Long-term transformation requires decisions to be made early on. Green steel from 2040 onwards depends on investment now, as well as the development of a reliable hydrogen infrastructure. This cannot be achieved by ArcelorMittal alone," states Torben Stührmann. It would be short-sighted to reject the billions in funding promised by the federal government and the state of Bremen just because hydrogen is not expected to be used until the coming years. “The transformation of the steel industry is a key challenge for climate policy – both locally and globally.”
The hyBit Project
The Hydrogen for Bremen's Industrial Transformation (hyBit) project, funded by the German Federal Ministry of Research, Technology, and Space (BMFTR), has been supporting the transformation of Bremen's industrial port into a climate-neutral, sustainable, and resilient industrial location since the end of 2022. The aim is to provide a sound database and specific decision-making criteria for politics, business, and society.
19 partners from academia and industry who work together in a strong spirit of cooperation support the hyBit project consortium. Project partners include the Wuppertal Institute, the Bremen Institute for Production and Logistics (BIBA) at the University of Bremen, Fraunhofer IFAM (Bremen), Fraunhofer ICT (Karlsruhe), and Bremen City University of Applied Sciences, as well as other key players in Bremen's industry such as ArcelorMittal Bremen, swb, and BLG. Eleven research groups from the fields of technology, humanities, and social sciences are represented at the University of Bremen.
Torben Stührmann, University of Bremen, Research Group for Resilient Energy Systems, Phone: +49 421 218-64896, Email: fgres@uni-bremen.de
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