Follow India Renewable Energy News on WhatsApp for exclusive updates on clean energy news and insights

IRENA Report Charts Renewable Path to Decarbonize the Aluminum Industry

The aluminum industry, vital for clean technologies like EVs and solar panels, paradoxically emits 1.1 gigatonnes of CO₂ annually, highlighting a critical sustainability challenge. IRENA’s 2025 report, “Reaching Zero with Renewables: Aluminium Industry,” offers a transformative roadmap to align aluminum production with global climate goals.

Historically powered by hydropower, the industry saw its emissions double as coal-based production expanded, especially in China. Now, as solar and wind become the world’s cheapest energy sources, aluminum producers are embracing renewable power purchase agreements (PPAs) and innovative smelting technologies.

The report outlines a three-pronged strategy:

1. Shift to renewables for smelting,

2. Adopt inert anode technologies (eliminating carbon emissions in electrolysis),

3. Scale up recycling to drastically reduce energy needs.

If adopted widely, these changes could slash the industry’s emissions by 800 million tonnes of CO₂ by 2050. With energy costs comprising 25–33% of aluminum production expenses, switching to renewables offers not just climate benefits, but also economic competitiveness. Early movers in this transition are poised to dominate the emerging market for low-carbon aluminum, which will be critical to decarbonizing sectors like construction, transportation, and renewable energy.