SteelZero calls for greater transparency and alignment around emissions reporting in new position paper
The global steel industry urgently needs clear and consistent emissions reporting standards to build trust and accelerate genuine decarbonisation. In a new position paper, Climate Group’s SteelZero campaign highlights the risks posed by inconsistent use of mass balance accounting — an approach increasingly used to attribute lower emission steel across a company’s total output.
When applied transparently, mass balance accounting can support companies to track progress and expand the use of cleaner materials. But when used inconsistently or without clear evidence, it can inflate emission reduction claims, undermine the credibility of “green steel,” and slow the pace of real change
Key risks identified
- Greenwashing: Allocating emissions reductions across products without clear evidence.
- Lack of transparency: Inconsistent and opaque methods make it difficult for buyers to verify claims.
- Unfair competition: Weaker approaches allow less sustainable products to profit, undercutting genuine decarbonisation efforts.
SteelZero’s position
SteelZero does not automatically recognise mass balance claims under its commitment framework. Instead, it supports Chain-of-Custody models that provide a clear and verifiable link between lower emission inputs and steel products.
To guide credible use of mass balance, SteelZero calls for three key principles:
- Integrity – alignment with deep, science-based decarbonisation.
- Additionality – claims must reflect genuine, new emissions reductions.
- Traceability and transparency – customers must receive verified data at the product level.
“The steel industry’s transition must be built on trust. We need credible, transparent approaches that reflect genuine decarbonisation in steel production — not accounting shortcuts.” — Sameen Khan, Senior Manager, SteelZero, Climate Group
A clear path forward
SteelZero’s position paper provides clarity for businesses, policymakers, and stakeholders on how mass balance is currently being applied in the market — and the risks it poses if not applied with rigour. Stronger standards will ensure that emissions claims are credible and that “green steel” delivers real impact.
