Tata Steel says in talks with Dutch govt on proposed decarbonisation roadmap

Tata Steel on Thursday said it is in talks with the Dutch government on a proposed decarbonisation roadmap for the company's factory in the Netherlands.

The company's statement came after reports said that the Netherlands may provide as much as 3 billion euro (3.26 billion dollar) for the green transformation of the steel major's IJmuiden factory, which has caused serious health and environmental problems in the adjoining area.

"...The company is in discussions with the Dutch Government on the proposed decarbonization roadmap," Tata Steel said in a stock exchange filing.

The Dutch Parliament had in March formally gave a mandate to the government to negotiate the terms of potential support towards a proposal for decarbonisation in Tata Steel Nederland. Eventually, the Dutch government has formulated a detailed framework of diligence, analysis, discussions and negotiations with the steel major, which will run over several months before potentially culminating in an agreed set of terms.

"These terms will then require approval from the Netherlands Parliament as well as the Board of Tata Steel. It may be premature to draw any final conclusions at this time and hence the Company is not in a position to comment any further...," the filing said.

In October 2021, Tata Steel completed the process of separating Tata Steel UK and Tata Steel Netherlands as two independent companies from Tata Steel Europe.

In the Netherlands, the company has a seven million tonne per annum plant in IJmuiden.

The company aims to produce CO2-neutral steel by 2050 in Europe.

Tata Steel Netherlands has been working intensely with the government of the Netherlands on the contours of the decarbonisation project covering emissions and health standards, it said.