JSW Steel selects BCG as partner for decarbonisation ambitions

09 August 2022 Consultancy.in 2 min. read

JSW Steel has unveiled its ambitious decarbonisation strategy for the coming years, and is working with consultants from Boston Consulting Group on delivering the roadmap.

Founded in 1982, JSW Steel is one of India’s and Asia’s largest manufacturers and exporters of coated steel. The company is part of JSW Group, an Indian conglomerate that also is active in sectors such as energy, minerals, ports & infrastructure, and cement.

As part of its long-term sustainability strategy, JSW Steel aims to reduce carbon emissions by 42 per cent by 2030, compared to the base year of 2005.

JSW Steel selects BCG as partner for decarbonisation ambitions

“We have an ambitious target of reducing our carbon emissions,” explained Seshagiri Rao, joint managing director of JSW Steel and chief financial officer.

The roadmap to deliver the ambition includes a rigorous target-setting exercise at an overall manufacturing level, devolving them into shop-level targets, and converting emission targets into actionable tasks on operating metrics.

To support the journey, JSW Steel has selected Boston Consulting Group as its lead consultant. “The collaboration is focused on applying digital and analytics to track, measure, simulate and enhance JSW Steel’s environmental performance,” said Rao.

As part of its remit, Boston Consulting Group will support the entire decarbonisation roadmap, including initiatives across the business and at manufacturing operations. The consulting firm will deploy its proprietary CO2 AI solution to monitor progress and plan for continuous improvement.

The consultants will also help JSW Steel with exploring new carbon-reducing technologies (such as the use of hydrogen, carbon capture and storage) and support the upskilling of JSW Steel’s employees with the aim of embedding a ‘sustainability culture’.

“This is our second strategic collaboration with JSW Steel following the successful digital transformation partnership. We are very excited to bring our capabilities and innovative solutions to JSW Steel’s sustainability agenda,” said Christoph Schweizer, the CEO of Boston Consulting Group.

According to a recent report, India’s iron and steel industry accounts for around 12% of the country’s total CO2 emissions. Demonstrating the need for greening domestic operations, globally this percentage hovers at around 8% of all carbon dioxide emissions annually.