Austria 31
being discussed in Austria. A societal problem that may hinder the transition is
the increasing income gap between cities and rural areas, as well as between rich
and poor (real income in the lower segments has declined over the last 20
years). The lowest quartile of equivalent income spends 5.7% on energy consumption while the highest quartile only spends 3.9% (Statistics Austria,
2018a). Possible increases of energy prices will thus be borne to a larger extent
by the lower- income group. Stakeholders also question the access to new technologies for low- income groups.
Process emission- free iron and steel transition pathway and
corresponding low- carbon electricity pathway
The desired low- carbon future and the corresponding transition pathways to get
there, as developed by stakeholders, are here synthesised and described for the
iron and steel sector and the energy sector.
The desired low- carbon future as a starting point for transition is characterised
by a highly efficient, yet still energy intensive, complex industry that produces
specialised, complex products. Companies are almost free of waste and there are
closed material cycles (including carbon). Most of the energy used is renewable
electricity, both domestic and imported (e.g. wind electricity from northern
Europe or PV from northern Africa). There are centralised and decentralised elements (storage as well as production) which are fully integrated and controlled via
digital technologies and artificial intelligence. Mobility is fully electrified and
multimodal. There are no individual cars anymore; instead cars are shared and coordinated via artificial intelligence. People live in denser spatial patterns, especially in cities, with short distance ways and in comfortable plus- energy houses.
Steel is likely to be still produced in Austria and in the same quantities as today,
but with a hydrogen- based technology with hydrogen being produced via renewable electricity (power to gas). Research co- operation on hydrogen production
and storage between the main Austrian steel producer, the largest energy supply
company, and the regulator ensures Austrian electricity supply are successful.
Policymakers on a national level are supporting these efforts. Steel production
with gas (methane) is planned as a bridging technology.
Technological advancements, however, will support not only decarbonisation but also improvements in general the quality of life. Austria will be characterised by a high R&D quota and innovation. In the industrial sector,
centralised solutions will still be needed as there is need for large amounts of
energy. Decentralised solutions are linked to stronger citizen participation
regarding a low- carbon economy. Therefore, national, regional, and local
policymakers will play a crucial role in ensuring these prerequisites for companies, individuals, or collectives producing renewable electricity.
In order to reach the desired future of deep decarbonisation in the steel and
iron sector, different technological options are proposed: hydrogen- based direct
reduced iron (DRI) and plasma- direct-steel- production (PDSP). Assuming
different timing of implementation and electricity costs, the macroeconomic
being discussed in Austria. A societal problem that may hinder the transition is
the increasing income gap between cities and rural areas, as well as between rich
and poor (real income in the lower segments has declined over the last 20
years). The lowest quartile of equivalent income spends 5.7% on energy consumption while the highest quartile only spends 3.9% (Statistics Austria,
2018a). Possible increases of energy prices will thus be borne to a larger extent
by the lower- income group. Stakeholders also question the access to new technologies for low- income groups.
Process emission- free iron and steel transition pathway and
corresponding low- carbon electricity pathway
The desired low- carbon future and the corresponding transition pathways to get
there, as developed by stakeholders, are here synthesised and described for the
iron and steel sector and the energy sector.
The desired low- carbon future as a starting point for transition is characterised
by a highly efficient, yet still energy intensive, complex industry that produces
specialised, complex products. Companies are almost free of waste and there are
closed material cycles (including carbon). Most of the energy used is renewable
electricity, both domestic and imported (e.g. wind electricity from northern
Europe or PV from northern Africa). There are centralised and decentralised elements (storage as well as production) which are fully integrated and controlled via
digital technologies and artificial intelligence. Mobility is fully electrified and
multimodal. There are no individual cars anymore; instead cars are shared and coordinated via artificial intelligence. People live in denser spatial patterns, especially in cities, with short distance ways and in comfortable plus- energy houses.
Steel is likely to be still produced in Austria and in the same quantities as today,
but with a hydrogen- based technology with hydrogen being produced via renewable electricity (power to gas). Research co- operation on hydrogen production
and storage between the main Austrian steel producer, the largest energy supply
company, and the regulator ensures Austrian electricity supply are successful.
Policymakers on a national level are supporting these efforts. Steel production
with gas (methane) is planned as a bridging technology.
Technological advancements, however, will support not only decarbonisation but also improvements in general the quality of life. Austria will be characterised by a high R&D quota and innovation. In the industrial sector,
centralised solutions will still be needed as there is need for large amounts of
energy. Decentralised solutions are linked to stronger citizen participation
regarding a low- carbon economy. Therefore, national, regional, and local
policymakers will play a crucial role in ensuring these prerequisites for companies, individuals, or collectives producing renewable electricity.
In order to reach the desired future of deep decarbonisation in the steel and
iron sector, different technological options are proposed: hydrogen- based direct
reduced iron (DRI) and plasma- direct-steel- production (PDSP). Assuming
different timing of implementation and electricity costs, the macroeconomic