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In the 21 st century, energy saving, cost savings and decreasing carbon dioxide emissions have become an important concern for the sustainability of steelworks. The emphasis is on assigning dedicated personnel to reduce energy cost and emissions on iron-and steelmanufacturing plants. Profitability in the steel industry, both globally and locally, has drastically reduced in the last decade. In South Africa, the production of steel was down by 4.5% year-on-year in 2015. This is due to both a struggling economy and a world surplus in steel supply. The emphasis on cost reduction is therefore even more important in South Africa to stay competitive in the global steel market. It is important for personnel at iron-and steel-manufacturing plants to be aware of the risks associated with electricity costs and how to mitigate these risks to stay competitive in a difficult and economically struggling industry. There is a lack of knowledge regarding electricity cost savings and personnel do not have the knowledge to achieve electricity savings. There is a need to establish a framework to identify, prioritise and implement electricity cost reduction in the South African steel-producing environment. There are several energy management systems and approaches that can be used to manage and obtain energy savings. The problem with these systems is the lack of a step-by-step framework that is applicable specifically to steel plants. Typical energy cost reduction strategies focus on large capital expenditure (capex) projects. Steel plants in South Africa have limited capex to spend on energy cost reduction.

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