Severstal has initiated construction of a waste-heat power plant at its Cherepovets Iron and Steel Works, investing more than 10 billion rubles. The project is part of the company's energy efficiency strategy, aiming to reduce dependence on purchased electricity and natural gas.

The plant is designed to utilize an additional 2.7 billion cubic meters of blast furnace gas each year, generating approximately 1.2 billion kWh of electricity using its own capacity.

Severstal CEO Alexander Shevelev said that the plant will meet up to 95% of the steelworks’ electricity needs while delivering environmental benefits by reducing greenhouse gas and pollutant emissions.

The construction and commissioning are scheduled to be completed in the second half of 2026.