...AND CHEAPER...:

The development in Germany is centered around seven new wind turbines operated by Avacon and two 1.25 megawatt (MW) electrolyzer units installed by Salzgitter Flachstahl, which is part of the wider Salzgitter Group. The facilities were presented to the public this week. 

The turbines, from Vestas, have a hub height of 169 meters and a combined capacity of 30 MW. All are located on premises of the Salzgitter Group, with three situated on the site of a steel mill in the city of Salzgitter, Lower Saxony, northwest Germany.

The hydrogen produced using renewables will be utilized in processes connected to the smelting of iron ore. Total costs for the project come to roughly 50 million euros (around $59.67 million), with the building of the electrolyzers subsidized by state-owned KfW.

"Green gases have the wherewithal to become 'staple foodstuff' for the transition to alternative energies and make a considerable contribution to decarbonizing industry, mobility and heat," E.ON's CEO, Johannes Teyssen, said in a statement issued Thursday.

"The jointly realized project symbolizes a milestone on the path to virtually CO2 free production and demonstrates that fossil fuels can be replaced by intelligent cross-sector linking," he added.

According to the International Energy Agency, the iron and steel sector is responsible for 2.6 gigatonnes of direct carbon dioxide emissions each year, a figure that, in 2019, was greater than the direct emissions from sectors such as cement and chemicals. 

It adds that the steel sector is "the largest industrial consumer of coal, which provides around 75% of its energy demand."

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