ArcelorMittal Brazil has embarked on two solar energy projects with a combined capacity of 465MW, set to meet 14% of its current electricity demands.
This development is a significant step towards its goal of decarbonising its energy consumption and progressing towards energy self-sufficiency.
The first initiative, a joint venture with Casa dos Ventos, builds upon a previously established partnership for a 554MW wind power project.
ArcelorMittal Brazil will own a 55% stake, while Casa dos Ventos will retain the remaining 45% stake.
The 200MW solar power plant will be located in Bahia, northeast Brazil, and will be operational by the end of 2025.
The second project involves a collaboration with Atlas Renewable Energy for a 265MW solar energy project in Minas Gerais, east Brazil.
Initially, this will be a 50/50 joint venture, with ArcelorMittal set to acquire full ownership upon the project's completion. This project is set for commissioning by the end of 2025.
Both projects are pending approval from CADE, Brazil's antitrust authority. These ventures are in line with ArcelorMittal Brazil's strategy to secure sustainable and low-carbon electricity sources.
Globally, ArcelorMittal is expanding its renewable energy footprint. In India, a 975MW renewable power project has begun commissioning.
This $700m investment will provide AM/NS India, a joint venture in the country, with 250MW of renewable power, potentially reducing carbon emissions by 1.5 million tonnes annually.
ArcelorMittal's partnership with Argentina's cement and energy group PCR has resulted in a 130MW solar and wind project. It is already operational and supplies more than 30% of the company's local electricity needs.
ArcelorMittal Brazil president and ArcelorMittal Brazil Long Products CEO Jefferson de Paula stated: “We understand that moving towards a low-carbon global economy and mitigating the impact of climate change are fundamental for a sustainable future.
“Securing a long-term supply of renewable energy is an important lever within our decarbonisation strategy in Brazil.
“In addition to ensuring the supply of our industrial plants with their own source of renewable energy, the investments aim to diversify our energy matrix, reduce operating costs and increase our competitiveness.”
