CURRENT AFFAIRS | MARCH 2026
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Key points for GK section: India first country to define green steel taxonomy, five-star rating system, Net Zero 2070 target, HYBRIT project — factual recall for CLAT GK.
Key points for GK section: India first country to define green steel taxonomy, five-star rating system, Net Zero 2070 target, HYBRIT project — factual recall for CLAT GK.
India’s Green Steel Taxonomy — A Global First
- India became the first country in the world to define a formal green steel taxonomy
- Released by the Ministry of Steel
- Uses a five-star rating system based on CO2 emission intensity per tonne of crude steel
- Aims to incentivise steel producers to reduce carbon footprint
- Aligned with India’s Net Zero 2070 commitment (COP26 Glasgow)
Key Fact: India is the only major steel-producing nation to create a domestic taxonomy for classifying steel based on emission intensity. Neither China, Japan, nor the EU have equivalent systems.
Five-Star Rating System
| Rating | CO2 Intensity (tCO2/tonne) | Classification |
|---|---|---|
| 5 Star | < 0.4 | Ultra-Green |
| 4 Star | 0.4 – 0.8 | Green |
| 3 Star | 0.8 – 1.6 | Near-Green |
| 2 Star | 1.6 – 2.2 | Transitioning |
| 1 Star | > 2.2 | Conventional |
- Current Indian average: ~2.5 tCO2/tonne — mostly 1-star
- Global best (Sweden HYBRIT): < 0.1 tCO2/tonne
- EU average: ~1.5 tCO2/tonne
Steelmaking Routes — Emission Comparison
- BF-BOF (Blast Furnace): 2.5–3.0 tCO2/tonne — highest emissions, uses coking coal
- Coal-based DRI: 2.0–2.5 tCO2/tonne — unique to India (~28% of output)
- Gas-based DRI: 1.2–1.5 tCO2/tonne — uses natural gas
- EAF (Electric Arc Furnace): 0.4–0.8 tCO2/tonne — uses scrap + electricity
- Hydrogen-DRI: < 0.4 tCO2/tonne — green hydrogen route
CLAT Angle: “India first” facts (first green steel taxonomy), star-rating systems, Net Zero target (2070), and COP commitments are recurring CLAT GK themes. Also remember: BIS = Bureau of Indian Standards.
Transition Challenges for India
- Coal dependency: 70%+ of Indian steel relies on coal-based processes
- Cost premium: Green steel costs 20-30% more than conventional steel
- Green hydrogen availability: Currently negligible — Mission targets 5 MT by 2030
- Grid decarbonisation: EAF is only green if electricity is from renewables
- Scrap availability: India recycles only 25-30 MT of scrap vs 50+ MT potential
- Technology gaps: Hydrogen-based DRI still at pilot stage in India
- MSMEs: Small steel units (40% of output) lack capital for transition
Global Green Steel Initiatives
- Sweden — HYBRIT: World’s first fossil-free steel delivered in 2021
- EU — Green Deal Industrial Plan: Subsidies for green steel transition
- USA — IRA (Inflation Reduction Act): Tax credits for low-carbon steel
- China: Pilot projects with hydrogen but no formal taxonomy
- Japan: COURSE50 project — reducing BF emissions by 30%
Quick Revision Points
- India = first country to define green steel taxonomy
- Five-star rating — based on CO2 emission intensity
- 5-star requires: < 0.4 tCO2/tonne
- India average: ~2.5 tCO2/tonne (1-star)
- Net Zero target: 2070 (COP26)
- HYBRIT: Sweden — world’s first fossil-free steel
- BIS = Bureau of Indian Standards
Source: UPSC Essentials, The Indian Express — March 2026
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