In a move that signals a significant shift in how global technology giants approach industrial decarbonization, Google has entered into a strategic agreement with Swedish industrial firm Stegra. Under the deal, Google will purchase environmental attribute certificates (EACs) linked to Stegra’s near-zero emission steel production facility in Boden, Sweden. The agreement, announced on September 17, 2026, covers up to 91,000 tonnes of steel in its first year, with provisions to increase these volumes over the term of the partnership.
Steel production is one of the most carbon-intensive sectors in the global economy, traditionally relying on coal-fired blast furnaces. By utilizing green hydrogen and renewable electricity, Stegra is at the forefront of a transition toward cleaner manufacturing. However, the logistical and financial hurdles of transitioning to “green steel” at scale are significant. This is where Google’s intervention, through the use of EACs, aims to fill the gap.
EACs operate on a “book and claim” system, a mechanism that separates the environmental attributes of a product from its physical delivery. This approach is increasingly viewed as a vital tool for companies that wish to reduce their Scope 3 emissions—the indirect emissions that occur in a company’s value chain—even when they cannot directly source green steel for every specific construction or hardware project due to geographical or supply chain constraints.
“Decarbonizing the most challenging sectors requires every tool in our toolbox,” said Adam Elman, Director of Sustainability for Google in Europe, the Middle East, and Africa. “Alongside physical procurement, certificates are another vital mechanism. Having proven this model with clean electricity and expanded it to other areas like sustainable aviation fuel, we see green steel EACs as another promising lever to address industrial emissions and scale the clean technologies of the future.”
For Stegra, the partnership provides more than just an environmental endorsement; it offers crucial financial stability during the company’s critical early-stage ramp-up. By creating a market for the environmental benefits of their production, Stegra can secure the necessary cash flow to continue investing in the clean technologies required to replace traditional steelmaking.
Henrik Henriksson, CEO of Stegra, emphasized the importance of high-profile buyers in market maturation. “There are some players globally that can help move markets towards decarbonized products in an impactful way. Google is naturally one such player,” Henriksson said. “Beyond the call to action to increase the supply of sustainably produced steel, we are also grateful that the team at Google chose to work with Stegra and support our first years of operations in this way.”
The mechanism specifically applies to the non-prime steel Stegra produces. Because new steel mills typically produce a higher proportion of non-prime output during their startup phase, utilizing the book-and-claim system allows these early volumes—which are manufactured using the same green hydrogen processes as prime steel—to contribute to the company’s financial and environmental goals. To maintain the integrity of the system and prevent the double-counting of emission reductions, the agreement mandates that any buyer of the physical steel must formally agree not to claim the associated environmental attributes.
Industry analysts observe that this partnership represents a growing trend of “demand-side signaling.” By committing to these certificates, corporations are effectively lowering the risk for industrial startups, enabling them to attract the capital needed to prove that near-zero emission steel is a commercially viable product. As Google moves to address the steel-related emissions in its global datacenter infrastructure, the collaboration with Stegra serves as a blueprint for how large-scale investment can accelerate the decarbonization of heavy industry.
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