SINAI collaborated with the Bank of Montreal (BMO) to a) conduct an analysis of decarbonization opportunities for iron and steel production in North America, and b) assess the technological and commercial viability for the sector to achieve net zero. As a part of BMO’s climate ambition, they are committed to being their clients’ lead partner in the transition to a net-zero world, by identifying opportunities for their portfolio companies to reduce emissions, and support sustainable financing and impact investing.
The steel industry is one of the three largest industrial emitters of carbon dioxide globally. BMO collaborated with SINAI to perform an analysis of the sector due to its importance in the global economy. The results of this work were published in BMO Financial Group’s 2022 Climate Report.
SINAI’s Climate Team utilized public, industry-specific databases to model mitigation opportunities for the iron and steel sector. As BMO’s analysis focused mostly on North America, regional trends were utilized to develop a North America decarbonization scenario for the sector.
SINAI’s Low Carbon Scenarios module allows for detailed modeling of project-level financial and environmental impacts. Utilizing data from the public domain, cost and abatement estimates of key mitigation options for the iron and steel industry were modeled. This work allowed BMO to understand the impacts of these projects, as well as the financial investment required for implementation.
Para atingir o zero líquido em escala global, são necessárias estruturas de financiamento inovadoras que forneçam uma combinação de capital dos setores público, corporativo e financeiro para promover soluções que atualmente não são econômicas. As instituições financeiras podem desempenhar um papel fundamental nesse processo, identificando oportunidades para que as empresas de seu portfólio reduzam as emissões, apoiando o financiamento sustentável e o investimento de impacto e investindo em soluções inovadoras para lidar com as mudanças climáticas. Na parceria do SINAI com a BMO, demonstramos como as instituições financeiras podem trabalhar com empresas de tecnologia para identificar soluções que ajudem a mitigar o impacto das mudanças climáticas para as empresas do portfólio.