The project involved partnering with the Shihor/Bhavnagar Steel Re-rolling Cluster, which comprises small and medium enterprises (SMEs) in the Gujarati steel industry.
The Shihor/Bhavnagar cluster has been making a significant contribution to Gujarat’s economy over the past few decades by recycling steel from the nearby Alang shipbreaking yard and creating employment in the region. However, like the majority of SME clusters across India, it is characterized by very poor energy and environment performance as a result of outmoded technologies.
After having worked very closely with the local industry for more than two years, IIP was able to successfully facilitate the design and commissioning of an improved steel re-rolling reheating furnace that allows coal savings of 30 percent as well as other benefits, like a more than 2 percent reduction in oxidation/scale losses.
In partnership with the Gujarat Pollution Control Board (GPCB), IIP organized a workshop in April to raise awareness about this new technology and encourage widespread adoption. Industry participants expressed their willingness to join this unique campaign, which has the potential to convert the local industry into a model SME cluster for energy efficiency – promoting sustainable industrial growth and significantly reducing local and global pollution. The Government of Gujarat is also supporting the initiative and offered support to the local industry, including the possibility of creating a revolving cluster modernization fund.