The European Commission has approved, under EU State aid rules, a €265 million ($28.3 million) Swedish measure partially funded through the Recovery and Resilience Facility (‘RRF’) to support Sweden-based H2 Green Steel company (H2GS) in setting up a large-scale green steel plant.
The measure will support H2GS’s project to set up a large-scale green steel plant in Boden, Sweden that will include the construction of one of the largest electrolysers in the world with a capacity of 690 megawatts; a direct reduction plant operating with renewable hydrogen; two electric arc furnaces; and cold rolling and finishing facilities.
The installations are set to begin operations in 2026 and are expected to produce 2.4 million tonnes of green steel annually. By using renewable energy throughout the manufacturing process, the project aims to neutralize up to 87% of greenhouse gas emissions compared to traditional steel manufacturing methods.
