Verified carbon data gives Egyptian steelmakers edge in European markets: expert

Dr. Prasad Modak, Managing Director of Environmental Management Center Ltd., said verified product-level carbon emissions data gives Egyptian steelmakers a competitive advantage in European markets, particularly under the EU’s Carbon Border Adjustment Mechanism (CBAM), which links carbon costs to the emissions intensity of production.

Speaking during an expert talk titled “Sustainable Finance and Climate Risk Management: How Can Companies Prepare for Future Requirements?” at Egypt Sustainable Business Week, Modak said companies lacking accurate, verified emissions data may have to rely on default values set by the European Union, potentially exposing them to additional carbon costs compared with producers able to demonstrate their products’ actual emissions levels.

Natural gas-based steel offers low-carbon pathway:

Modak said steel produced using natural gas and direct reduced iron (DRI) technology could serve as a model for low-carbon steelmaking in Egypt, provided companies supply verified data demonstrating the products’ actual environmental performance.

This would strengthen exporters’ position and improve their competitiveness in foreign markets, he added.

Emissions measurement key to market readiness:

Modak noted that the shift toward low-carbon production is no longer limited to upgrading industrial processes. It also requires robust systems for measuring and disclosing emissions to help companies prepare for the requirements of markets, regulators and financiers.