Iron and steel industry process model

The iron and steel industry process model depicts expected energy-consumption characteristics of the iron and steel industry and ancillary industries for the next 25 years by means of a process model of the major steps in steelmaking, from ore mining and scrap recycling to the final finishing of carbon, alloy, and stainless steel into steel products such as structural steel, slabs, plates, tubes, and bars. Two plant types are modeled: fully integrated mills and mini-mills. User-determined inputs into the model are as follows: projected energy and materials prices; projected costs of capacity expansion and replacement; energy-conserving options, both operating modes and investments; the internal rate of return required on investment; and projected demand for finished steel. Nominal input choices in the model for the inputs listed above are as follows: National Academy of Sciences Committee on Nuclear and Alternative Energy Systems Demand Panel nominal energy-price projections for oil, gas, distillates, residuals, and electricity and 1975 actual prices for materials; actual 1975 costs; new technologies added; 15% after taxes; and 1975 actual demand with 1.5%/y growth. The model reproduces the base-year (1975) actual performance of the industry; then, given the above nominal input choices, it projects modes of operation and capacity expansion that minimize the cost of meeting the given final demands for each of 5 years, each year being the midpoint of a 5-year interval. The output of the model includes the following: total energy use and intensity (Btu/ton) by type, by process, and by time period; energy conservation options chosen; utilization rates for existing capacity; capital-investment decisions for capacity expansion