Steel Authority of India Ltd (SAIL) has taken a significant step towards modernising its production capabilities by entering a Memorandum of Understanding (MoU) with ABB India to digitise operations at its Rourkela Steel Plant in Odisha. This collaboration revolves around the innovative concept of creating digital twins of key production processes including blast furnaces and basic oxygen furnaces. By utilising operational data, these virtual models aim to enhance decision-making, thereby optimising production and improving efficiency. As part of its digital transformation strategy, SAIL is setting an ambitious goal to increase its steel output from 4.08 million tonnes in 2024-25 to approximately 9 million tonnes by 2030.
In his remarks on the partnership, Biswa Ranjan Palai, Executive Director (Works) at SAIL, emphasised the transformative potential of this initiative. He stated, “The development of this digital twin technology will transform our steel manufacturing processes by providing us real-time insights into furnace operations.” The integration of such advanced technologies is expected not only to improve operational performance but also to enhance product quality and extend the lifespan of critical assets. Kapil Agarwal, Senior Vice President at ABB India, reiterated the significance of this collaboration, stating that it represents a commitment to driving digital innovation within the steel industry to achieve greater efficiency and lower environmental impact.
This partnership emerges at a time when India’s steel demand is projected to witness substantial growth. Industry analysts from ICRA have anticipated a rise in domestic demand by 9-10% for FY25, while Deloitte has forecasted a long-term annual growth rate of between 5% to 7.3%. In light of these projections, SAIL’s strategic moves to modernise its facilities through digital tools are crucial for maintaining its competitive edge in a rapidly evolving market.
The digitisation initiative at Rourkela is just one facet of SAIL’s broader agenda to enhance operational capacity and sustainability across its plants. The company is poised to invest a substantial ₹30,000 crore to double Rourkela’s production capacity, which has roots dating back to the 1950s when the plant began operations with a modest capacity of 1 million tonnes. This expansion is expected to contribute significantly to SAIL’s overarching target of achieving a total production capacity of 35 million tonnes annually by 2030.
Moreover, SAIL’s commitment to sustainability is further highlighted by its ongoing collaborative efforts with various companies to incorporate green technologies into steelmaking. Just recently, an MoU was signed with John Cockerill India Ltd aimed at improving processes related to carbon steel and green steel production. Additionally, partnerships focused on decarbonisation and hydrogen-based steel production are also underway, which will allow SAIL to align with global standards on carbon emissions.
As SAIL integrates these cutting-edge technologies and scales up its production capacity, it stands poised not only to meet the growing demands of the Indian steel market but also to set benchmarks in operational efficiency and environmental responsibility. The initiative at the Rourkela Steel Plant, therefore, is a critical component of a larger vision aimed at fostering an advanced, sustainable future for the steel industry in India.
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Source: Noah Wire Services
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