Industrial Deep Decarbonisation Initiative (IDDI)

The Clean Energy Ministerial Industrial Deep Decarbonisation Initiative (IDDI) is a global coalition of public and private organisations who are working to stimulate demand for low carbon industrial materials.
In collaboration with national governments, IDDI works to standardise carbon assessments, establish ambitious public and private sector procurement targets, incentivise investment into low-carbon product development and design industry guidelines.

Coordinated by UNIDO, the IDDI is co-led by the UK and India and current members include Canada, Germany and United Arab Emirates (UAE).
The initiative brings together a strong coalition of related initiatives and organizations including the Mission Possible Platform, the Leadership Group for the Industry Transition (LeadIT), the International Renewable Energy Agency (IRENA) and the World Bank to tackle carbon intensive construction materials such as steel and cement.

Given the physical, economic and political challenges of these globalised industries, well-designed policy packages from a coalition of governments informed by evidence and careful consultation with all parties involved is critical to decarbonising heavy industry.
The Clean Energy Ministerial Industrial Deep Decarbonisation Initiative (IDDI)’s mission is to facilitate this process, address these missing policy gaps and ultimately stimulate a market for decarbonised industrial materials including steel and cement.
Working with governments worldwide to standardise carbon assessments throughout the lifecycle of key industrial products, establish ambitious public and private sector procurement targets, incentivise investment into sustainable product development and design industry guidelines, the IDDI contributes to wider industry efforts to decarbonise.
Together, stakeholders and governments involved in the IDDI are encouraging much needed public and private purchasing commitments of decarbonised steel and cement, and subsequent investment into product development.

Emissions from the production of five basic industrial materials – steel, cement, plastic (and other chemicals), paper and aluminium – account for 20 per cent of global CO ₂ emissions and demand for these materials is only expected to increase as many countries around the world continue to industrialize.
Research by the IPCC predicts that if developing countries expand their infrastructure to average current global emissions, the global construction sector alone will emit 470 billion tonnes of carbon dioxide by 2050. This is more than the remaining carbon budget to avoid dangerous climate change.
Since more than 80 per cent of cement and 90 per cent of steel is produced in less than 20 countries, respectively, the adoption of green public procurement commitments, even in a limited number of countries, can help to achieve the majority of the GHG emissions reduction potential.
In the EU alone governmental expenditures on works, goods, and services are estimated to represent 14 per cent of GDP, and up to 30 per cent of GDP in developing countries. Materials such as cement, concrete and steel are often significant among these countries.
Assuming around 40 per cent of the cement is used for public constructions globally, green public procurement with 10 per cent, 30 per cent, or 50 per cent reduction targets in cement CO2 intensity can result in annual CO2 emissions reduction of 93, 280, and 470 million tonnes of CO2 (Mt CO2), respectively.

Assuming around 25 per cent of steel is used for public constructions globally, GPP with a 10 per cent, a 30 per cent, or a 50 per cent reduction target in steel CO2 intensity can result in annual CO2 emissions reduction of 90,270, and 450 million tonnes of CO2 (Mt CO2), respectively.

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