Steel Scrap Recycling Policy | 09 Nov 2019

Why in News

The Ministry of Steel has issued the Steel Scrap Recycling Policy.

Key Features

  • Circular Economy in the Steel Sector
    • That is, utilising steel scrap emanating from vehicles and white goods (that have reached their end of life) for quality steel production.
    • This will reduce dependency on imports and decongest the Indian cities from End of Life Vehicles (ELVs).
  • Extended Producer Responsibility (EPR)
    • Automobile manufacturers will design vehicles keeping in mind the recyclability of the vehicle at the end of life.
    • The policy envisages a framework to facilitate and promote the establishment of metal scrapping centres in India.
  • Hub and Spoke model
    • The Hub and Spoke (H&S) model is used when there are multiple locations sourcing, with a central location called the ‘Hub.’ The location provides a single point of contact to the client, whilst the in-country extensions, called ‘Spokes’.
    • Under the Policy, formal and scientific collection, dismantling and processing activities for the end of life products, that are sources of recyclable (ferrous, non- ferrous and other non-metallic) scraps, are being promoted.
    • 4 collection and dismantling centres will cater to 1 scrap processing centre.
  • Focus on the Environment
    • The Policy will work on the Principles of 6Rs: Reduce, Reuse, Recycle, Recover, Redesign and Remanufacture.
    • It aims to reduce Green House Gas (GHG) emissions.
    • It also aims to create a mechanism for treating waste streams and residues produced from dismantling and shredding facilities in compliance with Hazardous & Other Wastes (Management & Transboundary Movement) Rules, 2016 issued by the Ministry of Environment, Forest and Climate Change (MoEF & CC).

Steel Scrap in India

  • Used or reused steel in the form of scrap is the secondary raw material for the Indian steel industry.
    • Iron ore is the primary source of steel making.
  • The current supply of scrap is 25 million tonnes from domestic unorganized scrap industry and 7 million tonnes from import of scrap.
  • The availability of raw materials at competitive rates is imperative for the growth of the steel industry and to achieve the National Steel Policy (NSP) 2017 target.
    • NSP-2017 aims to develop a globally competitive steel industry by creating 300 million tonnes per annum steel production capacity by 2030.

Source: PIB