BERLIN, Nov. 15 (Xinhua) -- The reduction of CO2 emissions by using hydrogen in steel production will be tested over the next five years, the German Ministry for Economic Affairs and Energy (BMWi) announced on Monday.
H2Stahl, a "living laboratory for energy transition," was launched at Europe's largest steel site in the German city of Duisburg, according to the BMWi.
The project will receive funding of 37 million euros (42.3 million U.S. dollars) to test the use of hydrogen in the blast furnace. BMWi said that this procedure could reduce CO2 emissions by up to 20 percent in the medium term, and "contribute to climate protection."
"Hydrogen is the key to green steel production and to the successful sustainable transformation of the industry," said Peter Altmaier, German Minister for Economic Affairs and Energy.
In June last year, the German government adopted its National Hydrogen Strategy (NWS), with the aim of establishing green hydrogen as a "key technology for energy transition through a rapid market ramp-up and thus making a significant contribution to achieving climate targets."
As part of a European hydrogen alliance, 62 large-scale hydrogen projects in Germany will receive public funding of more than 8 billion euros, the German government announced in May. (1 euro = 1.14 U.S. dollar) Enditem