**Executive Summary**
This document is the response from the Ministry of Steel to Unstarred Question No. 2639 in Lok Sabha, addressing the National Mission for Sustainable Steel. The answer clarifies the status of the mission, pilot projects related to hydrogen in steel, and collaborations with the Ministry of New and Renewable Energy (MNRE). The answer was provided on December 16, 2025.
**Key Points / Main Content**
* **National Mission for Sustainable Steel:**
* The 'National Mission for Sustainable Steel' has not been launched by the Ministry of Steel.
* **Hydrogen Pilot Projects:**
* Four pilot projects for hydrogen use in the steel sector are currently operational, with a timeline of 24-45 months.
* **Collaboration with MNRE:**
* The Ministry of Steel is collaborating with the Ministry of New and Renewable Energy (MNRE) for successful implementation of pilot projects.
* MNRE has issued scheme guidelines for implementing pilot projects using Green Hydrogen in the iron & steel sector under the National Green Hydrogen Mission.
* A Project Appraisal Committee (PAC) has been formed, including representatives from various sectors, to evaluate projects and monitor progress; PAC recommendations are submitted to MNRE for approval.
* A Steering Committee, co-chaired by the Secretaries of Steel and MNRE, serves as the apex authority for monitoring and implementing the scheme.
* **Steel Sector Regulation:**
* Steel is a deregulated sector.
* The Government's role is that of a facilitator.
* The Government regularly monitors the overall steel scenario, including exports, imports, and prices.
**Impact Analysis**
**Ministry of Steel**
* **Impact**
* Responsible for implementing policies and pilot projects related to sustainable steel production, including hydrogen use.
* **Action Required**
* Continue collaboration with MNRE.
* Oversee the progress of hydrogen pilot projects.
* Facilitate the development of the steel sector.
**Ministry of New and Renewable Energy (MNRE)**
* **Impact**
* Key partner in promoting Green Hydrogen use in the steel sector.
* **Action Required**
* Provide scheme guidelines for Green Hydrogen pilot projects.
* Participate in the Project Appraisal Committee (PAC) and Steering Committee.
**Steel Industry / Steel Manufacturers**
* **Impact**
* Encouraged to adopt low-emission technologies.
* Potential beneficiaries of Green Hydrogen initiatives and pilot projects.
* **Action Required**
* Participate in pilot projects related to hydrogen use.
* Implement technological or process innovations for EU CBAM compliance.
**Academia and Research Institutions**
* **Impact**
* Involved in providing expertise and research support for sustainable steel initiatives.
* **Action Required**
* Collaborate with the Ministry of Steel and industry partners in developing sustainable steel technologies.
Key Entities Referenced
National Mission for Sustainable Steel: A 5,000 crore initiative intended to encourage low-emission technologies in the secondary steel industry, but has not been launched.
Ministry of Steel: The primary government body involved in steel sector policies, including collaboration with MNRE for Green Hydrogen initiatives.
Ministry of New and Renewable Energy (MNRE): Collaborates with the Ministry of Steel to ensure reliable and cost-effective Green Hydrogen and green power for steel sector decarbonisation.
National Green Hydrogen Mission: Mission under which MNRE has issued scheme guidelines for implementation of pilot projects for the use of Green Hydrogen in iron & steel sector
Project Appraisal Committee (PAC): A committee constituted with representatives from various entities to evaluate projects and monitor progress related to Green Hydrogen Mission.
GOVERNMENT OF INDIA
MINISTRY OF STEEL
LOK SABHA
UNSTARRED QUESTION NO. 2639
FOR ANSWER ON 16.12.2025
NATIONAL MISSION FOR SUSTAINABLE STEEL
2639. SHRI P P CHAUDHARY:
Will the Minister of STEEL be pleased to state:
(a) the manner in which the 5,000 crore National Mission for Sustainable Steel is
encouraging secondary steel players to adopt low-emission technologies and what
reductions in CO₂ intensity have been achieved so far;
(b) the details of the early results which have emerged from the seven and the timeline
for scaling hydrogen-based steel production commercially;
(c) the way in which the Ministry of steel is working with the Ministry of New and
Renewable Energy (MNRE) to ensure reliable and cost-effective Green Hydrogen and
green power for steel sector decarbonisation; and
(d) the details of the technological or process innovations by Indian Steel
Manufacturers demonstrate readiness for EU CBAM compliance and enhanced export
competitiveness?
ANSWER
THE MINISTER OF STEEL (SHRI H.D. KUMARASWAMY)
(a) ‘National Mission for Sustainable Steel’ has not been launched by Ministry of
Steel.
(b) At present, four pilot projects for use of hydrogen in steel sector are operational
with timeline of 24-45 months.
(c) Ministry of Steel is working with Ministry of New and Renewable Energy
(MNRE) for successful implementation of pilot projects in the following manners: -
(i) MNRE has issued scheme guidelines for implementation of pilot projects for
use of Green Hydrogen in iron & steel sector under National Green Hydrogen Mission.
(ii) A Project Appraisal Committee (PAC) has been constituted with the
representatives from Ministry of Steel, Mission Director, National Green Hydrogen
Mission, academia and steel industry. PAC is empowered for evaluation of projects
and monitoring the progress periodically. Recommendation of PAC is submitted to
MNRE for approval.
(iii) A Steering Committee under the co-chairmanship of Secretary (Steel) and
Secretary (MNRE) is the apex authority for monitoring and implementation of scheme.
(d) Steel is a deregulated sector, and the role of the Government is that of a
facilitator. Government regularly monitors the overall steel scenario including exports,
imports, prices etc.
*****