In a major step toward a greener steel industry, national and local authorities in Italy have reached a historic agreement on the full decarbonization of the former Ilva steel plant in Taranto. The Ministry of Enterprises and Made in Italy (MIMIT) has announced that the deal, signed after a seven-hour negotiation, is designed to ensure sustainable production, environmental protection, and job security for thousands of workers.
Adolfo Urso, minister of Enterprise and Made in Italy, said, “For the first time in the history of the former Ilva, the national government, the regional government, and local authorities have reached an agreement to jointly address a crucial challenge for the national steel industry and, with it, for our country's entire industrial system. This is an important turning point, which will finally encourage investors to present their industrial plans, focusing on the green conversion of the sector: Italy will become the first country in Europe to offer a fully sustainable steel industry.”
Key measures in the plan
- Blast furnace replacement: gradual decommissioning of blast furnaces, replaced with electric arc furnaces (EAF).
- Environmental & health authorization: buyer must meet strict environmental and health requirements within set deadlines.
- National DRI Hub Development: evaluation of Taranto as a potential hub for direct reduced iron (DRI) production, ensuring sustainable feedstock for EAF operations.
- Reindustrialization of vacant lots: call for investment proposals to boost related industries and create new jobs.
- Support for local communities: potential measures for property owners in the Tamburi neighborhood and streamlining administrative procedures and refinancing the Regional Health Fund.
- Employment safeguards: active and passive labor market policies to protect jobs during the green transition.