Western Australia's green steel opportunity
Client: Minerals Research Institute of Western Australia
ACIL Allen is at the forefront of Australia’s energy transition, advising clients from both government and industry of the economic, financial and policy implications associated with this opportunity. The release of the WA Government’s landmark report, Western Australia’s Green Steel Opportunity, is the latest example of how ACIL Allen is assisting governments and industry in understanding how the great energy transition is reshaping established thinking on Australia’s future economic opportunities.
ACIL Allen and its engineering partners, GHD, were engaged by the WA Government, through the Minerals Research Institute of Western Australia, in 2022 to examine whether the State’s emerging renewable energy advantages, combined with its abundant iron ore resources, create the opportunity for the State to move up the steel value chain, and become a producer of green steel.
In launching the report on 19 June 2023, the Premier of Western Australia highlighted the importance of the research in helping to understand how the State can move up the green steel value chain and diversify its economy.
ACIL Allen and GHD’s study was centred on understanding the possible development pathways to green steel in Western Australia, and the economic implications of these pathways. Importantly, the study highlighted how both natural gas and renewable energy produced in Western Australia provides an important pathway to support emissions reduction in steelmaking.
In addition to investigating the size of the opportunity for Western Australia, ACIL Allen also completed a comprehensive policy analysis to identify costs, benefits, issues and risks of particular development pathways and whether the State should take action to prepare for the transformation of its iron ore industry.