Tata’s biggest green steel project, Port Talbot, receives a grid connection

National Grid has confirmed a new connection offer to support the installation of a 3.2 million-tonne electric arc furnace at Tata Steel’s Port Talbot steelworks, marking a significant step in the company’s emission reduction plans. Tata Steel has secured a grid connection from the Electricity System Operator (ESO), enabling the transition from the current blast furnace to an electric arc furnace. This shift aims to reduce emissions by 30% by 2030 and achieve net zero by 2045. Construction is set to begin by August 2025, and the facility will be operational by late 2027.

Tata Steel UK CEO Rajesh Nair expressed his enthusiasm, highlighting the importance of this milestone for modernising Port Talbot’s steelmaking operations. Industry Minister Alan Mak echoed this sentiment, noting the government’s commitment to the steel industry’s future and its support for greener steel production.

Nair emphasised that access to high-power electricity is crucial for sustainable steelmaking. The company has collaborated with ESO and National Grid for years to enhance power infrastructure, ensuring adequate electricity for the new furnace and future business growth.

Electric arc furnaces recycle scrap steel using electricity, are advocated for their potential to decarbonise steel production. The government has supported Tata Steel’s transition with a £ 500 million funding package and is considering similar support for British Steel. Despite the benefits, the transition may result in job losses due to the reduced workforce needed for electric arc furnaces. The Labour opposition has called for the inclusion of other green steel technologies, such as hydrogen-based methods, in the government’s support strategy.