Tata Steel Lands £500 Million UK Grant for Game-Changing Green Steel Project at Port Talbot

Tata Steel has signed a £500 million grant agreement with the UK government for its £1.25 billion green steel project at Port Talbot. This funding will help Tata Steel quickly move forward with installing an electric arc furnace at its Welsh steelworks.

The new furnace will cut the UK’s industrial carbon emissions by 8% and reduce Port Talbot’s emissions by 90%. This project aims to make Port Talbot a leading center for green steelmaking in Europe, according to Tata Steel’s CEO, T.V. Narendran.

The electric arc furnace will replace older coal-powered blast furnaces, which are becoming outdated. Electric arc furnaces use electricity to melt scrap steel, making them more environmentally friendly compared to blast furnaces that rely on carbon-heavy coke.

Tata Steel plans to start large-scale work on the project by July and expects the furnace to be operational within three years. The project will also involve a £750 million investment from Tata Steel itself.

To address job concerns, Tata Steel is offering support packages and retraining opportunities for employees who might lose their jobs due to the transition. The company has also reached an agreement with trade unions and will provide generous support to those affected.

Tata Steel’s stock ended slightly lower at ₹148.38 per share on the NSE, while the Nifty 50 index dropped 122.65 points to 24,918.45.