Tata Steel Nederland acquires Vattenfall power stations in the IJmond region
Tata Steel Nederland (TSN) is acquiring Vattenfall’s power stations in the IJmond region of the Netherlands. Both companies signed a definitive agreement on Friday. As part of the transaction, Tata Steel Nederland will also take on all employees at the power stations. The transfer of ownership will take place on 1 January 2026.
Hans van den Berg, CEO of Tata Steel Nederland: “The power stations owned by Vattenfall and its predecessors have been a logical complement to our steel production process for almost a century. The power stations are unique in that, unlike any other power stations in the Netherlands, they are fuelled by the residual gases from our steel production. As the current contract expires at the end of 2025, now is the right time for a change of ownership: by owning the power stations, Tata Steel Nederland will be better placed to manage the complex, phased transition from the existing steelmaking process to low-carbon, environmentally friendly steel production. This makes the change of ownership a strategically important step in our transition to green steel.”
Alexander van Ofwegen, Senior Vice President and Head of Vattenfall’s Customers & Solutions and Heat business unit: “Vattenfall supports Tata Steel’s efforts to transition to more sustainable steel production. The power stations in Velsen will continue to be needed for this transition. This agreement brings benefits to both sides: the power station staff will continue to work under comparable conditions, and Tata Steel gains greater control over the entire value chain during the transition to low-carbon steel.”
Vattenfall power stations in the IJmond region of the Netherlands
Vattenfall’s power stations in the Dutch region of IJmond consist of three plants. Power stations 24 and 25 in Velsen-Noord generate electricity mainly from the residual gases produced during steel production. Tata Steel Nederland uses this electricity in its operational processes.
The third plant is IJmond 01, a combined heat and power plant on the Tata Steel site in IJmuiden. This plant is fuelled by residual gases from the steel production process and generates electricity and steam. These are also used in the steelworks’ operational processes. The three plants employ around 116 staff.
Source: Tata Steel