Renewables pull and strategic push

The research assesses the techno-economic drivers of hydrogen-based steelmaking, finding that while access to low-cost renewable energy can 'pull' industry to new locations, this effect is sensitive to assumptions and can be moderated by labour costs, capital costs, and 'strategic push' subsidies. The authors warn that relying solely on the renewables pull effect may delay necessary innovation and upscaling in higher-cost regions required to meet 2030 climate goals.

• Hydrogen-based steelmaking utilizing green hydrogen is capable of reducing CO2 emissions by more than 95%.
• The 'renewables pull' effect, where energy-intensive industry relocates to areas with low-cost renewable energy, is influenced by other geographically varying factors such as labour costs and the cost of capital, which can moderate the effect.
• A 'strategic push' via subsidies for capital or hydrogen costs reduces the strength of the renewables pull effect; furthermore, prioritizing the pull effect as a primary enabling condition may hinder the innovation and upscaling needed by 2030 in higher-cost regions.

APA

Stockholm Environment Institute (2025). Renewables pull and strategic push. https://www.sei.org/publications/renewables-pull-and-strategic-push/

Chicago

Stockholm Environment Institute. Renewables pull and strategic push. 2025. https://www.sei.org/publications/renewables-pull-and-strategic-push/.

Wikipedia

{{cite report |author=Stockholm Environment Institute |title=Renewables pull and strategic push |date=19 June 2025 |url=https://www.sei.org/publications/renewables-pull-and-strategic-push/ |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{stockholmenvironmentinstitute2025renewables, author = {{Stockholm Environment Institute}}, title = {{Renewables pull and strategic push}}, institution = {Stockholm Environment Institute}, year = {2025}, month = jun, url = {https://www.sei.org/publications/renewables-pull-and-strategic-push/}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }