Stanislava Simić, Director of the Association of Serbian Energy-Intensive Industries: The path to decarbonisation through innovation and collaboration

- Energy-intensive industry is often viewed by the public primarily through the prism of emissions, but its real role in the green transition process is much broader and more significant. In Serbia, this part of the economy represents a pillar of industrial production and export, but also one of the key bearers of technological modernization and energy efficiency improvement.

That`s why we see energy-intensive industry as part of the solution, as a partner that can contribute to climate goals, with conditions that enable sustainable and competitive business.

- Decarbonization of energy-intensive industries is one of the most complex challenges of the industrial transition. The specificity of, for example, the cement sector is that a significant part of emissions, up to 60-65%, originates from the chemical process of limestone calcination itself, which means that the transition to renewable energy sources, although necessary, is not sufficient to solve the problem as a whole.

One of the key directions of decarbonization is greater use of alternative fuels, primarily waste that cannot be recycled after primary selection, such as RDF (Refuse Derived Fuel) and SRF (Solid Recovered Fuel). This simultaneously reduces the use of fossil fuels and contributes to solving the issue of waste. Also, an important potential lies in the better management of construction waste and demolition waste, which remains largely underutilized as a resource today.

Decarbonization requires large capital investments in new technologies, while market prices are still dominantly formed based on conventional production. Companies therefore find themselves between the need to invest and the need to remain price competitive. On the technological side, solutions like CO₂ capture and storage will be key to achieving deep decarbonisation, but require significant investment and infrastructure development that currently does not exist in the region.

- Domestic companies are already feeling the impact of CBAM, whose implementation began on January 1, 2026. The biggest challenge at the moment is the insufficient clarity of certain rules, given that the key elements of the system will be further elaborated through secondary legal acts. This makes long-term planning difficult, especially in the production, procurement and export segments, where predictability is of crucial importance.

At the same time, companies are aware that this is a process that is part of a broader alignment with European climate policies and are already taking concrete steps. In practice, this means improving the system for monitoring emissions, greater digitization of processes, and continuous search for solutions to reduce energy consumption and production emissions.

In a broader context, bearing in mind that large economies protect their industry in parallel with climate policies, it is important that Serbia also provides adequate support mechanisms. This would enable domestic companies to remain competitive, and the transition process to be sustainable and economically justified.

- Despite the challenges, ASEII member companies are already actively working on reducing their carbon footprint and developing sustainable solutions.

In the cement industry, a significant step forward was achieved through the increased use of alternative fuels, such as RDF and SRF, which reduces dependence on fossil fuels and at the same time improves waste management, as a concrete example of the circular economy. The industry`s cooperation with local governments and the utility sector, which is key to the further development of this model, is becoming increasingly pronounced. At the same time, companies are increasing the use of alternative raw materials, such as fly ash and granulated slag, which further reduce CO₂ emissions per ton of product.

When it comes to the steel sector, it operates according to the principle of "scrap-based" production, where steel scrap is used as the primary raw material in the EAF process. This significantly reduces the need for primary resources and CO₂ emissions compared to traditional models, i.e. ore smelting in blast furnaces. Also, efforts are being made to improve efficiency through the connection of production phases and the reduction of energy losses, with the increasing application of digital solutions for more precise process management.

In the fertilizer sector, there is a growing focus on increasing energy and resource efficiency, as well as the development of circular solutions, including the potential for thermal treatment and energy utilization of waste that cannot be recycled. In this way, emissions and dependence on fossil fuels are reduced. In parallel, renewable energy projects are being developed, while in the field of sustainable agriculture, through advanced fertilizers and precise application, the utilization of nutrients is increased and the impact on the environment is reduced.

- In order for the green transition to be environmentally sustainable and economically profitable, it is crucial to clearly divide the roles between the state and industry and act in parallel.

On the other hand, the industry should continue investing in modernization, increasing energy efficiency and wider application of renewable energy sources, including the development of its own capacities. There is also great potential in the greater application of the circular economy, especially through more efficient waste management and its use as a resource in industry.

The bottom line is that the transition should not be managed solely as a regulatory requirement, but as a development opportunity. In that case, the coming pressures can become a driver of modernization and strengthening of competitiveness, rather than a limitation for the domestic economy.