Decarbonising Romania’s Industry

Under the ambitious framework of the European Green Deal, the need for deep industrial decarbonisation has been increasing in urgency. Emissions cuts in energy and resource-intensive manufacturing sectors are key to mitigate climate change, as well as to ensure competitiveness in a progressively low-carbon world. This is particularly important for Romania, where despite a trend of recent deindustrialisation industry contributes more to the economy, employment, and national greenhouse gas (GHG) emissions than the EU average.

The steel, cement and chemicals manufacturing sectors are central to Romania’s economy. Operational facilities in these sectors consume significant amounts of electricity, natural gas, and water, as well as specific feedstocks such as coking coal, steel scrap, and limestone. The production landscape is dynamic, with some facilities closing and others reopening or planning to increase their production. Against this background, the challenge of decarbonisation is significant: for national emissions to reach net zero by 2050, Romania’s industry will need to reduce its energy consumption in half, undergo massive electrification and a switch to hydrogen and biomass, improve material efficiency, and implement carbon capture and storage.

In the initial publication of this policy paper, Hoeganaes Buzău was classified as a steel producer. EPG later removed these references, as the plant does have an electric arc furnace, but uses it for the production of metallurgical powders rather than for steelmaking. (16.08.2023 update)

mihnea catuti - epg
Mihnea Cătuți, Head of Research 
Mihnea is the Head of Research at EPG, coordinating the research strategy and activities within the organisation. His expertise includes EU climate and energy policy and the transition in South-East Europe. He is also an Associate in E3G’s Clean Economy Programme, contributing to the work on industrial decarbonisation.

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