Google Backs Swedish Green Steel Production via Credit Agreement

The partnership utilizes a book-and-claim mechanism, which decouples environmental benefits from the physical product. Because near-zero emission steel remains difficult to procure directly due to logistical and supply chain constraints, these certificates allow Google to address construction-related emissions for its global data centers. Stegra applies this model specifically to its non-prime steel production, generated during the startup phase of its hydrogen-based mills.

Adam Elman, Google’s Director of Sustainability for EMEA, noted that certificates serve as a critical lever for decarbonizing heavy industry alongside physical procurement. For Stegra, the arrangement provides a steady cash flow during its early years. CEO Henrik Henriksson stated that the deal helps move global markets toward sustainable products by supporting the financing of clean-tech infrastructure that might otherwise struggle to scale. To prevent double counting, the buyer of the physical steel linked to these certificates is contractually prohibited from making independent green claims.