Kapil Bansal
Partner, Energy Transition and Decarbonization, EY India
28 Jul 2025
Green steel is no longer optional—it is the key to decarbonizing India’s fastest-growing industrial sector.
In brief
India’s steel industry is at a pivotal moment, balancing rapid growth with sustainability goals.
Steel consumption is projected to nearly triple by 2050, making green steel demand a strategic priority.
Green steel demand in India is gaining momentum, driven by sectoral decarbonization needs, advancing technologies, and supportive policy mechanisms.
Embracing green steel aligns with India’s climate goals and positions the country to become a global leader in sustainable industrial development.
The steel sector is a cornerstone of the Indian steel market, contributing significantly to infrastructure and industry while also being a major source of greenhouse gas emissions. Currently, it accounts for approximately 8% of India’s total carbon emissions, underscoring the urgent need for decarbonization in the steel industry as the country pursues its climate goals. With India’s steel consumption standing at 136 million metric tons (MMT), projected to increase to 220 MMT by FY30 and further to 390 MMT by FY50, the growing demand is driven by key sectors—automotive, construction, and infrastructure—which together account for over 70% of consumption.
