Technology major Google has entered into a procurement agreement with Swedish industrial manufacturer Stegra to purchase Environmental Attribute Certificates (EACs) linked to green steel production in Boden, Sweden.
The contract covers EACs corresponding to a volume of up to 91,000 tonnes of near-zero emission steel in the first year, with scope to expand total volumes over the contract duration. Sourced via a “book-and-claim” accounting framework, the agreement enables Google to address steel-related emissions from its operations and data centre construction projects globally.
The EAC model decouples the environmental attributes from physical logistics, allowing buyers to fund lower-carbon production methods without requiring direct physical supply chain access. Stegra applies the certificate mechanism to non-prime steel generated during early production ramp-ups, which is produced using green hydrogen and renewable electricity under the same zero-emission process as prime output. Physical purchasers of the underlying steel are contractually prohibited from making environmental claims, preventing double counting.
Key operational metrics and strategic elements include:
- Procurement Volume: Up to 91,000 tonnes equivalent of green steel EACs in year one, with planned expansion over the contract term.
- Accounting Framework: Utilisation of a book-and-claim system to separate environmental attributes from physical steel delivery, securing early-stage cash flow for Stegra’s Boden manufacturing facility.
- Process Technology: Production underpinned by green hydrogen and renewable electricity inputs, drastically reducing embedded carbon relative to fossil-fuelled blast furnaces.
Adam Elman, Director of Sustainability for Google in Europe, the Middle East and Africa, stated: “Decarbonizing the most challenging sectors requires every tool in our toolbox. Alongside physical procurement, certificates are another vital mechanism. Having proven this model with clean electricity and expanded it to other areas like sustainable aviation fuel, we see green steel EACs as another promising lever to address industrial emissions and scale the clean technologies of the future.”
Henrik Henriksson, Chief Executive Officer of Stegra, commented: “There are some players globally that can help move markets towards decarbonized products in an impactful way. Google is naturally one such player. Beyond the call to action to increase the supply of sustainably produced steel, we are also grateful that the team at Google chose to work with Stegra and support our first years of operations in this way.”
