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Industrial Deep Decarbonisation

Decarbonisation

Goal

Stimulating global demand for low carbon industrial materials by: 

  1. Encouraging governments and the private sector to buy low carbon steel and cement, and
  2. Sourcing and sharing data for common standards and targets

Overview

Decarbonisation

The Clean Energy Ministerial Industrial Deep Decarbonisation Initiative (IDDI) is a global coalition of public and private organisations who are working to stimulate demand for low carbon industrial materials. In collaboration with national governments, IDDI works to standardise carbon assessments, establish ambitious public and private sector procurement targets, incentivise investment into low-carbon product development and design industry guidelines.

Coordinated by UNIDO, the IDDI is co-led by the UK and India and current members include Canada, Germany and United Arab Emirates (UAE). The initiative brings together a strong coalition of related initiatives and organizations including the Mission Possible Platform, the Leadership Group for the Industry Transition (LeadIT), the International Renewable Energy Agency (IRENA) and the World Bank to tackle carbon intensive construction materials such as steel and cement.

Within the next three years IDDI expects to have encouraged a minimum of ten governments to make public procurement commitments for low-carbon steel and cement. An estimated 80 per cent of cement and 90 per cent of steel is produced in around ten key countries respectively. Therefore the adoption of green public procurement commitments — even in just a handful of these countries — will make a great impact in terms of greenhouse gas emission reduction.


Activities

GREEN PUBLIC PROCUREMENT CAMPAIGN

Goal

Public procurement of steel and cement represent very high shares of domestic markets for such materials across most major economies. The Green Public Procurement Campaign is an effort by participating members to drive the global decarbonisation of heavy industries such as steel and concrete by creating a market demand for near-zero carbon concrete and steel through public procurement.

Participating countries pledge to adopt green public procurement principles and will work together to develop a set of targets by 2030 to be launched by mid-2022. GPP has a goal of 10 countries participating by 2023.

Participants

Canada, Germany, India, United Arab Emirates, United Kingdom

Additional information

Partners include: Mission Possible Partnership, First Movers Coalition, Steel Zero Campaign, The Climate Group, the Leadership Group for the Industry Transition, IRENA and the World Bank 

Press Release from COP26: https://www.unido.org/news/worlds-largest-steel-and-concrete-buyers-make-game-changing-push-greener-solutions

How to join

iddi@unido.org

OTHER ACTIVITIES

Additional Information

Making these programme goals a reality requires a number of complementary efforts and global outputs, which will be completed within a three year timeframe.

1. A standard environmental reporting mechanism for both the cement and steel industry, providing a consistent communication framework for organizational accountability.

2. A standard evaluation process and tools for project bids which incentivise and reward public work contractors on their commitment to source decarbonised building materials.

3. Consistent minimum standards for low-carbon steel and cement products to encourage best production and manufacturing practice.

4. Procurement guidelines for government agencies detailing how to set environmental project targets and incentivise contractors to source and use low-carbon steel and cement products.

5. The launch of a free or low-cost certification service, enabling cement and steel producers to demonstrate their commitment to the decarbonised production of steel and cement while simultaneously accelerating global demand for certified low-carbon steel and cement.

6. Publicly available data, research and tools for industry and governments to set targets, establish industry wide definitions of key sustainable products, improve production processes and benchmark best practice between organizations and industries.

7. Industrial deep decarbonisation training and knowledge sharing to ensure that all cement and steel manufacturers have access to the information required to participate in the global race to net zero.

8. A global 2050 vision for the decarbonisation of the steel and cement industries with ambitious targets informed by collective stakeholder input.