MECON Limited issues RFP for the use of hydrogen injections at dri pilot plants, in current blast furnaces and DRI vertical shafts

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MECON Limited, which is employed by the Steel Ministry as the planning agency, has issued proposals (RFP) for proposals (RFP) from potential bidders for the use of hydrogen in dri pilot plants, current blast furnaces and current DRI vertical shafts. The RFP document has been uploaded in the e-tender mode on tenderwizard, MECON website and central procurement portal on 11.06.2024 and the bid submission date is 08.07.2024.

Green hydrogen integration in steel sector

Steel production is an area that has the need and abundant potential to replace fossil fuels with green hydrogen. Green-hydrogen-based steel prices are expected to be competitive in the next few years, given the rapidly evolving technological scenario in the field of renewable energy and electrolyzers for hydrogen production. The National Green Hydrogen Mission under the Ministry of New and Renewable Energy is supporting and setting up pilot projects in the steel sector to assess the potential of use of green hydrogen in the steel industry. Under this mission, a budget outlay of Rs 455 crore has been made for the steel sector till the financial year 2029-30.

The following are the thrusts under the Scheme to consider assistance for development

The following are the thrusts under the Scheme to consider assistance for development/selection/validation of commercially useful technologies for the use of hydrogen in the steel sector:

Pilot project to produce DRI using 100% hydrogen using vertical shaft (Scheme-A).

Use of hydrogen in blast furnaces (Scheme-B) to reduce the use of coal/coke.

Hydrogen is injected into the vertical shaft based DRI making unit for the purpose of partially replacing the NG/other reducing gas and gradually increasing its proportion for the purpose of using maximum hydrogen (Scheme-C).

To advance technology and efficiency for the use of hydrogen in the steel making process, to support the deployment of hydrogen in the iron and steel sector, to examine the technical feasibility and performance of hydrogen in the production of iron and steel in real world management conditions, to evaluate the economic potential of the use of green hydrogen in iron and stew. read more

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