Powered by a solar farm consisting of 750,000 solar panels, the steel plant in Pueblo will become “greener,” reducing carbon emissions.
EVRAZ Rocky Mountain Steel Plant in Pueblo, Colorado, USA, is entering a new phase as it becomes more environmentally friendly, Interesting Engineering reported on October 25. The plant, which currently recycles scrap metal to produce steel products, will become the first steel plant in the world primarily powered by solar energy.
The steel production process typically emits a large amount of carbon. (Photo: Maki shmaki/iStock).
A joint venture between Lightsource and BP is undertaking the Bighorn Solar project to build a 300 MW solar farm. The 750,000 solar panels of the farm will primarily be installed on a site of approximately 730 hectares owned by the plant.
The project was first announced in 2019 and has been partially operational. Lightsource and BP stated that it will begin full operations next month. The electricity generated will be sold to Xcel Energy. The steel plant has a power purchase agreement with this company until 2041.
The contract includes terms to ensure stable electricity pricing, a crucial factor in determining steel product prices, helping the joint venture compete with other steel producers that operate on coal. The contract also helps maintain 1,000 local jobs, where this steel plant is the largest employer.
“Projects like this can help companies operate more sustainably and protect jobs through the energy transition. Renewable energy can create a more competitive and sustainable business”, said Dave Lawler, BP’s president in the U.S.
The steel industry contributes approximately 2.6 billion tons of CO2 annually, accounting for 8% of global energy demand and 7% of energy-related carbon emissions, according to the International Energy Agency (IEA). This level of emissions is nearly equivalent to the total emissions of India in a year. The steel industry generates such significant carbon because its production process largely relies on coal, a fossil fuel that causes severe pollution.
For most of its operational time, the EVRAZ Rocky Mountain plant has also utilized coal. The Bighorn Solar project is expected to help reduce 433,770 tons of CO2 emissions into the atmosphere, equivalent to removing 92,100 cars from the road each year.
