The U.S. steel industry has taken enormous strides over the past decades to reduce its energy consumption; since the end of World War II, the industry has reduced its energy intensity (energy use per shipped ton) by 60 percent. Between 1990 and 1998 alone, intensity has dropped from 20 to 18 million Btu (MBtu) per ton. This figure is projected to decrease to 15 MBtu/ton by 2010 with an asymptotic trend towards 14 MBtu/ton. Domestic shipments are projected to flatten out over the next decade to around 105 million tons which means that total energy consumption will also decrease. Historically, the steel industry has accounted for about 6 percent of U.S. energy consumption. Today, that figure is less than 2 percent and will decrease further to 1.5 percent by 2010. The primary causes for the decrease in energy consumption since WWII are: The use of pellets in the blast furnace and the application of new technology in the ironmaking process to further reduce fuel rates per net ton of hot metal (NTHM); The total replacement of the open hearth process by basic oxygen and electric furnaces; The almost total replacement of ingot casting by continuous casting (which improved yield dramatically and thus reduced the tons of raw steel required per ton of shipments); and The growth of the electric furnace sector of the industry at the expense of hot metal-based processes (which has also stimulated scrap recycling so that about 55 percent of ''new'' steel is now melted from scrap steel). This report focuses on the concept of good practices (i.e., those that are sustainable and can use today's technology). If all the industry could operate on this basis, the additional savings per ton could total 2 MBtu, As further restructuring occurs and the swing from hot metal-based to electric furnace-based production continues, the average consumption will approach the good practice energy per ton. Further savings will accrue through new technology, particularly in the areas of reduced blast furnace fuel rates and reheating efficiency, both of which relate to large tonnages of material.

Renowned industry expert Dr. John Stubbles has projected the energy savings that the U.S. steel industry could reasonably expect to achieve in the report, Energy Use in the U.S. Steel Industry: Historical Perspective and Future Opportunities (PDF 432 KB). The report examines the potential impacts of state-of-the-art technologies and operating practices, as well as structural changes in the industry itself.

The U.S. steel industry has taken enormous strides over the past decades to reduce its energy consumption; since the end of World War II, the industry has reduced its energy intensity (energy use per shipped ton) by 60 percent. Between 1990 and 1998 alone, intensity has dropped from 20 to 18 million Btu (MBtu) per ton. This figure is projected to decrease to 15 MBtu/ton by 2010 with an asymptotic trend towards 14 MBtu/ton. Domestic shipments are projected to flatten out over the next decade to around 105 million tons which means that total energy consumption will also decrease. Historically, the steel industry has accounted for about 6 percent of U.S. energy consumption. Today, that figure is less than 2 percent and will decrease further to 1.5 percent by 2010. The primary causes for the decrease in energy consumption since WWII are: The use of pellets in the blast furnace and the application of new technology in the ironmaking process to further reduce fuel rates per net ton of hot metal (NTHM); The total replacement of the open hearth process by basic oxygen and electric furnaces; The almost total replacement of ingot casting by continuous casting (which improved yield dramatically and thus reduced the tons of raw steel required per ton of shipments); and The growth of the electric furnace sector of the industry at the expense of hot metal-based processes (which has also stimulated scrap recycling so that about 55 percent of ''new'' steel is now melted from scrap steel). This report focuses on the concept of good practices (i.e., those that are sustainable and can use today's technology). If all the industry could operate on this basis, the additional savings per ton could total 2 MBtu, As further restructuring occurs and the swing from hot metal-based to electric furnace-based production continues, the average consumption will approach the good practice energy per ton. Further savings will accrue through new technology, particularly in the areas of reduced blast furnace fuel rates and reheating efficiency, both of which relate to large tonnages of material.

This report investigates the state of the US steel industry in terms of energy consumption and conservation. The specific objectives were: to update and verify energy and materials consumption data at the various process levels in 1983; to determine the potential energy savings attainable with current (1983), state-of-the-art, and future production practices and technologies (2000); and to identify new areas of research and development opportunity that will enable these potential future savings to be achieved. The results of this study concluded that in year 2000, there is a potential to save between 40% and 46% of the energy used in current production practices, dependent on the projected technology mix. R and D needs and opportunities were identified for the industry. Potential R and D candidates for DOE involvement with the private sector were assessed and selected from the identified list.