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Members of Parliament approved a EUR 2 billion support package for Tata Steel

Members of the Dutch Parliament have agreed to support a EUR 2 billion subsidy package for Tata Steel’s IJmuiden plant, on the condition that clear commitments are made to make production cleaner.

Members of Parliament approved a EUR 2 billion support package for Tata Steel

Under the agreement, the company has committed to investing EUR 4 billion in cleaner technologies, including a transition to gas and hydrogen-powered blast furnaces. In addition, the plant is required to significantly reduce its carbon emissions. Currently, the facility accounts for approximately 10% of the Netherlands’ total carbon emissions.

Illegal emissions and public health concerns

The IJmuiden plant employs around 11,000 people. The facility has been fined several times in the past for illegal emissions, while the country’s public health institute, RIVM, has published various reports on its impact on the health of local residents.

The initial agreement on the subsidy package was reached last autumn between the previous government and Tata Steel’s Indian owners. However, the plan was rejected by left-wing parties and Volt, led by Laurens Dassen. The Volt leader argued that more than 100 economists had recently warned against the proposal, describing the package as “economically inefficient and risky.”

Clean production and investment commitments

On the other hand, a majority was secured with the support of right-wing and far-right parties. During the discussions, Henk Vermeer emphasized that a country “cannot survive solely with forestry commission workers and account managers,” underlining the plant’s role as a major employer.

Climate and Green Growth Minister Stientje van Veldhoven told MPs that some conditions in the initial agreement were “too lenient,” but described the deal as only a “step” in the process. The minister also welcomed reports that the company is considering shutting down not just one but two highly polluting coke plants. This information was also shared by CEO Hans van den Berg with the newspaper de Volkskrant.

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