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CLIMATE

Danish government boosts electric cars, puts out fireplaces in extensive climate plan

The government presented a 38-point plan aimed at tackling climate issues and pollution in a major announcement on Tuesday.

Danish government boosts electric cars, puts out fireplaces in extensive climate plan
The climate plan was presented at BLOX in Copenhagen on Tuesday morning. Photo: Mads Claus Rasmussen/Ritzau Scanpix

Prime Minister Lars Løkke Rasmussen and five other ministers presented the so-called climate and air plan (klima- og luftudspil), officially titled ‘Together for a Greener Future’, consisting of 38 different measures aimed at seven overarching areas.

“The conservative government is ready to take part in the fight against polluting policies, so the future can be green,” Rasmussen said.

Elements of the plan, published by the Ministry of Energy, Utilities and Climate on Tuesday, include:

  • Phasing out the sale of new petrol and diesel cars by 2030
  • Zero carbon emissions and zero air pollution from buses in Danish cities by 2030
  • 80 million kroner to be invested in charging stations for electric cars
  • No registration fees for sustainable vehicles under the value of 400,000 kroner in 2019 and 2020
  • No diesel or petrol-fuelled taxis by 2030
  • Environmental zones in cities with increased requirements for transport and public vehicles
  • ‘Climate-friendly’ asphalt to be used on public roads
  • Fireplaces pre-dating the year 2000 must be removed on purchase of homes
  • Climate labelling on food products
  • Research to develop carbon capture and storage technologies for use in fields and forests

Minister for Energy, Utilities and Climate Lars Christian Lilleholt said at Tuesday’s press conference that the plan was ambitious but realistic.

“A strong effort is needed and that is what we are presenting today with this government proposal,” Lilleholt said according to DR’s report.

“We are facing a huge challenge nationally, globally and in general and that is why the government has put together this plan,” the minister added.

The climate plan was alluded to by Rasmussen during last week’s opening of parliament, when the PM announced the target of ending sales of new petrol and diesel cars by 2030.

Further elements of the plan, including labelling food with climate information, were subsequently released. Meanwhile, the government confirmed Tuesday that scrapping all old-fashioned fireplaces used to heat homes, which have a high relative impact on the environment, was a part of its climate plan.

A fund of 46 million kroner will be used to subsidise homeowners who wish to replace woodburning stoves predating 2000 with newer, greener models, DR reports.

Electric cars are set to become cheaper, should the plan be given parliamentary backing. The government has proposed a one-year postponement of a planned increase in registration taxes on electric and plug-in hybrid vehicles, while increasing tax deduction for green car owners to 40,000 kroner in 2019 and 77,500 kroner in 2020.

Uffe Elbæk, leader of the environmentalist Alternative party, wrote in a Twitter post that the government’s climate plan should have made more demands on the agricultural sector.

“When the government allows the agricultural sector to avoid contributing to green conversion, that is to the detriment of the industry itself. The longer we wait, the more expensive it will become. Instead, agriculture could take the lead and help develop climate solutions for Denmark and the rest of the world,” Elbæk wrote.

READ ALSO: Opinion: Overfishing in Danish seas is bad for the environment and the economy

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.

READ ALSO: 

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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