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Denmark pledges 400 million to Climate Fund

Announcing a 400 million kroner commitment at the UN Climate Summit in New York, PM Helle Thorning Schmidt said that "everyone must help" developing countries reach global climate change goals.

Denmark pledges 400 million to Climate Fund
Prior to her participation at the climate summit, Thorning-Schmidt spoke at the Clinton Global Initiative conference. Photo: Shannon Stapleton/Scanpix
In New York on Tuesday, Prime Minister Helle Thorning-Schmidt committed 400 million kroner ($69 million) to the UN’s Green Climate Fund.
 
Speaking at the UN Climate Summit, Thorning-Schmidt said Denmark’s contribution to the fund would help developing countries reach their climate goals. 
 
“Developing countries’ CO2 emissions have grown so much and are now so big that we can not reach our goals without doing something about it. Therefore, everyone must help,” she said after speaking at the summit, according to Ritzau.
 
 
The prime minister said that the new commitment will add to the more than two billion kroner ($345 million) Denmark has contributed to global climate goals. 
 
“This is an effort that has been acknowledged internationally, and I hope that with this we can help push other countries in the same direction,” she said. 
 
With the world failing to meet stated climate goals, Thorning-Schmidt has joined the leaders of 120 nations in New York City for the UN Summit Climate, where negotiations will begin on a new climate treaty that is hoped to be signed in Paris next year. 
 
France on Tuesday also committed up to $1 billion to the climate fund, which was set up at the COP15 talks in Copenhagen in 2009, when developed countries committed to mobilising funds for developing countries' efforts against climate change. 

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ENVIRONMENT

Sweden’s SSAB to build €4.5bn green steel plant in Luleå 

The Swedish steel giant SSAB has announced plans to build a new steel plant in Luleå for 52 billion kronor (€4.5 billion), with the new plant expected to produce 2.5 million tons of steel a year from 2028.

Sweden's SSAB to build €4.5bn green steel plant in Luleå 

“The transformation of Luleå is a major step on our journey to fossil-free steel production,” the company’s chief executive, Martin Lindqvist, said in a press release. “We will remove seven percent of Sweden’s carbon dioxide emissions, strengthen our competitiveness and secure jobs with the most cost-effective and sustainable sheet metal production in Europe.”

The new mini-mill, which is expected to start production at the end of 2028 and to hit full capacity in 2029, will include two electric arc furnaces, advanced secondary metallurgy, a direct strip rolling mill to produce SSABs specialty products, and a cold rolling complex to develop premium products for the transport industry.

It will be fed partly from hydrogen reduced iron ore produced at the HYBRIT joint venture in Gälliväre and partly with scrap steel. The company hopes to receive its environemntal permits by the end of 2024.

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The announcement comes just one week after SSAB revealed that it was seeking $500m in funding from the US government to develop a second HYBRIT manufacturing facility, using green hydrogen instead of fossil fuels to produce direct reduced iron and steel.

The company said it also hoped to expand capacity at SSAB’s steel mill in Montpelier, Iowa. 

The two new investment announcements strengthen the company’s claim to be the global pioneer in fossil-free steel.

It produced the world’s first sponge iron made with hydrogen instead of coke at its Hybrit pilot plant in Luleå in 2021. Gälliväre was chosen that same year as the site for the world’s first industrial scale plant using the technology. 

In 2023, SSAB announced it would transform its steel mill in Oxelösund to fossil-free production.

The company’s Raahe mill in Finland, which currently has new most advanced equipment, will be the last of the company’s big plants to shift away from blast furnaces. 

The steel industry currently produces 7 percent of the world’s carbon dioxide emissions, and shifting to hydrogen reduced steel and closing blast furnaces will reduce Sweden’s carbon emissions by 10 per cent and Finland’s by 7 per cent.

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