JSW Steel Ltd. has commissioned India’s largest green hydrogen facility for steelmaking and cut its carbon intensity by 30 percent from 2005 levels, marking its most significant advance yet toward a net-zero emissions target by 2050, according to its FY 2024–25 sustainability report.

The 3,800-tonne-a-year hydrogen plant at the Vijayanagar steelworks is powered by 25 megawatts of renewable energy and will play a pivotal role in the company’s transition to low-carbon steelmaking.

JSW also secured “Responsible Steel” certification for four major sites — Vijayanagar, Dolvi, Salem and Tarapur — covering over 80 percent of its steel output. Tarapur became the first certified downstream steel mill in India.

The report further revealed that the company retained its “Sustainability Champion” designation from the World Steel Association for a seventh consecutive year and ranked among the top two global steelmakers in the S&P Global Corporate Sustainability Assessment.

It also remained listed on both the Dow Jones Sustainability World Index and the Dow Jones Sustainability Emerging Markets Index.

“Our roadmap is clear: decarbonize steelmaking at scale while continuing to grow responsibly,” Chairman Sajjan Jindal said in the company’s report. “Green hydrogen, carbon capture, and renewable energy are core pillars of that journey.”

Emissions in the Crosshairs

JSW Steel aims to reduce its carbon dioxide emissions intensity to 1.95 tonnes per tonne of crude steel by FY 2029–30, compared with 2.37 tCO₂ per tonne of crude steel currently.

In addition to promoting the adoption of green hydrogen, the company is piloting carbon capture technology, enhancing waste heat recovery and increasing scrap usage to reduce its reliance on primary ore.

A dedicated roadmap under its Sustainable Energy, Environment and Decarbonisation or SEED program outlines how JSW plans to achieve carbon neutrality in its directly controlled operations by 2050.

To meet the growing demand for low-carbon steel amid tightening global climate regulations —including the EU’s Carbon Border Adjustment Mechanism — the company is evaluating a dedicated green steel plant in western India, with plans to transition from natural gas to green hydrogen.

Record Year for Operations

While ESG gains led the year, the company also posted its highest-ever operational performance. Crude steel output rose to 27.79 million tonnes, and sales reached 26.45 million tonnes.

Value-added and special products made up 62 percent of total sales, reflecting a strategic pivot to higher-margin, lower-emission steel segments.

Consolidated revenue reached ₹1.69 trillion ($20 billion), with net profit of ₹3,491 crore and 91 percent capacity utilization across operations. India’s steel consumption grew 11.5 percent year-over-year, marking the fourth straight year of double-digit growth.

JSW plans to invest ₹61,863 crore over the next three years in capacity expansion, decarbonization and raw material security. Its financial position remained sound, with a net debt-to-equity ratio of 0.94x and cash and equivalents of ₹19,394 crore.

Water, Waste and Biodiversity

Beyond the energy transition, JSW Steel’s environmental efforts also extended to water conservation and the use of circular resources.

The report states that the company recycled over 22 million cubic meters of wastewater during the year, maintaining zero liquid discharge across all major plants.

Its watershed development projects are aligned with the Indian government’s “Jal Jeevan Mission” for sustainable rural water access.

In biodiversity, JSW implemented conservation and habitat restoration plans across all sites and planted 125,000 saplings.

Meanwhile, the steelmaker recycled 9.12 million tonnes of materials, achieving a 99.98 percent waste recycling rate, which reinforces its circular economy model.

Cleaner Air and Smarter Mining

While carbon emissions led headlines, JSW also reduced other pollutants. Air emissions intensity stood at 0.36 kg per tonne for particulate matter, 1.51 kg for sulfur oxides and 1.09 kg for nitrogen oxides — figures not widely reported but critical for local air quality.

In mining, the company operates 23 captive iron ore mines and three coking coal mines, representing 1.6 billion tonnes of iron ore and 0.38 billion tonnes of coal reserves.

Notably, JSW is piloting technology to process low-grade banded hematite quartzite, unlocking value from previously unusable ore and reducing ecological disruption.

DE&I and Workforce Safety

JSW continued to strengthen its diversity, equity and inclusion policies. Women made up nearly 20 percent of new engineering hires under its Graduate Engineer Trainee programme. While its all-women production lines at Vijayanagar and Vasind drew attention, broader workplace equity programs remain an ongoing focus.

Workplace safety also gained momentum. More than 770,000 hours of safety training were delivered to employees and contractors.

Digital platforms, immersive training centers and artificial intelligence-enabled chatbots were deployed to enhance real-time risk mitigation and institutionalize a safety-first culture.

Human Rights and Supply Chain Ethics

JSW Steel outlined its approach to human rights, including due diligence and community engagement, particularly in indigenous regions surrounding its mining operations.

Though not yet benchmarked against global frameworks, the company reported ongoing consultation and alignment with international principles.

Supply chain sustainability also progressed. Approximately 5.6 percent of the company’s material inputs were sourced from MSME vendors, and it maintained an 88 percent customer complaint resolution rate. JSW said it is working to build greater resilience and traceability into its vendor ecosystem.

ESG Governance and Digital Oversight

At the governance level, ESG is integrated into decision-making at both the board and executive levels. Ethics frameworks, whistleblower protections and internal controls have been expanded, although few public details have been disclosed.

While digitalization efforts were highlighted for operational improvements, the company did not explicitly report on cybersecurity, data governance, or AI ethics — areas of growing relevance as industrial systems become increasingly automated and data-driven.

Social Inclusion and Impact at Scale

JSW’s CSR programs reached an estimated 3 million people in FY 2024–25, with ₹363 crore allocated to education, healthcare, skill development, women’s entrepreneurship and water access.

Its flagship Skill Impact Bond targets 50,000 youth, with a 76 percent placement rate among current participants. Initiatives like JSW Shakti and Project Sakhi support women’s employment in both IT and artisanal sectors.

Despite headwinds — including a pending Supreme Court ruling on its Bhushan Power & Steel acquisition — JSW remains bullish on India’s industrial growth.

“Despite these headwinds, we’re moving boldly ahead—with scale, sustainability and speed,” Jindal said.