Tata Steel Nederland has taken a firm step towards the decarbonization of its industrial activity with the acquisition of the Vattenfall power plants located in the IJmond region of the Netherlands. The agreement, signed recently, means that as of January 1, 2026, the plants will officially become part of the operational control of Tata Steel’s Dutch subsidiary.
The integration of Vattenfall power plants
The three plants – located in Velsen-Noord and IJmuiden – are designed to run on waste gas. waste gases generated by Tata Steel’s steelmaking processes. This makes them key facilities for optimizing energy efficiency within the industrial complex. The acquisition includes not only the energy infrastructure, but also the transfer of its 116 employees, who will continue to work under the TSN structure.
With the current contract between the two companies due to expire at the end of 2025, the transfer of ownership represents a strategic move. It allows TSN to assume full control over the energy management of its plant, an essential element for the gradual transformation towards a low-carbon steel production model.
One of the most relevant installations in this transfer is the IJmond 01 cogeneration plant, which supplies both electricity and steam by using industrial gases. This mixed system reduces dependence on external energy sources and improves the utilization of waste from the steel manufacturing process.
The Dutch Authority for Consumers and Markets (ACM) has authorized the transaction. At the same time, the works councils of both companies issued favorable opinions, guaranteeing the continuity of employment under similar conditions. This alignment of regulatory and business interests strengthens the viability of the project.
Tata Steel Nederland is moving towards a sustainable steel production model, in which energy generated from waste from the process itself is integrated as the core of its strategy. With the final incorporation of these energy facilities, the company improves its ability to implement green steel technology and manage its transition without relying on external agents.
Source and photo: Vattefall
