1.5° path

Emission reduction path that leads to global warming of 1.5° Celsius compared to pre-industrial levels; the target of the Paris Agreement.


Combination of avoidance, reduction and removal. The term is used only in “abatement curve.”

​Blast furnace

The blast furnace is one of the two predominant production pathways for steel, especially in Europe and Asia. The emissions of a blast furnace are more than twice those of an electric arc furnace.

Breakthrough technologies

Technologies that produce low-carbon steel in a radically different way from the conventional blast furnace, DRI or EAF technology.


State when a company’s activities have no net effect on the climate. This includes the removal from the atmosphere of residual GHG emissions that cannot be eliminated. Climate-neutral and net-zero are typically used interchangeably. Climate-neutral also takes into account regional or local bio-geophysical effects on the climate, although these do not exist for most companies.


State when a company’s activities remove more GHGs from the atmosphere than they emit.

Compensation ​(= neutralization)

Procurement of offsetting certificates for emission abatement elsewhere and the use of these certificates to reduce a company’s own carbon footprint. Offsetting cannot be deducted from the corporate carbon footprint but needs to be reported separately. It does not count towards the physical carbon reduction needed to comply with science-based targets.

Corporate carbon footprint (CCF)

Carbon emissions of a company in a given year along the entire value chain.

Corporate social responsibility (CSR)

Integration of social and environmental concerns into the business operations of a company and its interactions with stakeholders.

Direct reduced iron

Direct reduced iron is produced from iron ore via direct reduction. A gas or an elemental carbon usually serves as a reductant. In the past, this has typically been natural gas or coal. In the future, it may be hydrogen.

Electric arc rurnace

An electric arc furnace is one of the two predominant production pathways for steel. In the US, it is even more common than the blast furnace, which the chief pathway in Europe and Asia. The emissions of an electric arc furnace are around 45% less than those of a blast furnace.


Short for “greenhouse gas emissions.”

Environmental / social / governance (ESG)

Non-financial factors in a company’s strategy and reporting, an increasing focus of investors when evaluating company performance.

Greenhouse Gas Protocol

The GHG Protocol is the leading carbon accounting body and headed by the World Resources Institute. It closely collaborates with the Carbon Disclosure Project and the Science Based Targets initiative.

Greenhouse gases (GHGs)

Greenhouse gases include CO2, CH4, N2O, HCFs, PFCs, SF6, NF3. All GHGs are converted into CO2 equivalents.


The act of making false or misleading claims about the environmental benefits of a product, service, technology, etc.


Through the use of new technologies, hydrogen is a key vector that will allow GHG emissions from the iron and steel sector to be significantly reduced.

Life-cycle assessment

Assessment of the environmental impact of a product during its entire life cycle.

Paris Accord

Legally binding international treaty signed in 2015 to limit global warming to well below 2, and preferably to 1.5° Celsius compared to pre-industrial levels. To achieve this, countries aim to make the world climate-neutral by mid-century.

Product carbon footprint

Carbon emissions of a product during its life cycle.


The process of cutting emissions that are released into the atmosphere, i.e. through a process or activity that physically emits fewer or no greenhouse gases.


The process of physically removing or sequestering GHGs from the atmosphere as a result of a specific intervention, e.g. carbon capture and storage, or by growing forests.


Science Based Targets Initiative. The leading certification of corporate decarbonization targets. It collaborates closely with the Carbon Disclosure Project and the GHG Protocol.

Scope 1

Direct emissions from a company’s own facilities and from company vehicles.

Scope 2

Indirect emissions from purchased electricity, steam, heating and cooling for a company’s own use.

Scope 3 Downstream

Indirect emissions resulting from the use of the products (incl. distribution, end-of-life, etc.).

Scope 3 Upstream

Indirect emissions caused in the supply chain (purchased goods and services, transportation and distribution, business travel, etc.).

Well below 2 degrees (WB2D/1.5°C) Path

Emission reduction path that aims to limit global warming to well below 2 degrees Celsius compared to pre-industrial levels, as targeted in the Paris Agreement.

Zero-carbon Steel

Steel produced without any carbon emissions at all. This is a very high bar, and it is difficult to conceive of a production technology that could achieve this in the short term.

Interested in learning more?

Learn More About Green Steel


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