SMU Spotlight: Tabitha Stine talks Nucor's path to a sustainable future

I recently had the chance to sit down with Nucor’s Tabitha Stine at the South by Southwest Festival (SXSW) in Austin, Texas, where she moderated a panel on energy. Stine is the Charlotte, N.C.-based steelmaker’s general manager of energy solutions services. The SXSW festival bills itself as “the convergence of tech, film, music, education, and culture.” Talking about energy, sustainability, and decarbonization with her, Nucor is showing that steel definitely has a place at the table and is more relevant than ever.

Personal journey

Having started out of college as a structural engineer designing power plants, Stine has now been in the steel industry for 25 years.

She worked at the American Institute of Steel Construction (AISC), eventually serving as vice president of market development for the domestic fabricated structural steel industry, of which Nucor is a member.

“There’s a lot of collaboration between steel producers and trade associations,” Stine told me.

She has been with the steelmaker for four years now, but she recently transitioned from construction to focus on Nucor’s role in the development and transition to clean energy.

“Everything leads back to energy. We realized that this was going to be a focal point for the next decade of Nucor’s continued growth: how we help our customers decarbonize,” Stine said.

Why SXSW?

While some may think SXSW is not a natural fit for a steelmaker, Stine disagrees.

“Energy, electrification, and decarbonization — they are being woven into everything that is happening for consumers and industrial users in North America and the rest of the world right now,” she said.

Traditionally, many of Nucor’s conversations have been with its customers.

However, Stine said, “We have to step out of our traditional audiences. … We need to reach the people who are influencing our customers, and they’re here (at SXSW).”

Net zero?

Nucor has set 2050 as its net-zero emissions target date.

“It’s not just a date in the sky. We weren’t willing to make that commitment until we had a full-scale plan in place,” Stine said.

“It includes things we can do today, as well as things we’re going to have to do in the future,” she added, noting that the plan includes Scope 1, 2, and 3 emissions.

“So, we need customers and suppliers on board as well,” she added.

Stine cited carbon sequestration as an example of something the steelmaker can do currently.

“All divisions have been tasked with what they can do now, but the big steps will come with clean energy,” she said.

Besides the emissions targets, Nucor has an overarching goal: “We want to be a thought leader and a first mover in industrial decarbonization,” according to Stine.

Green premium?

Stine said that many of Nucor’s customers are demanding ‘green steel’ and are willing to pay a premium for it.

Still, she noted the variety among steel buyers. “You’re not going to get every audience that puts the same value for all products in all end-market segments,” she noted.

However, there is a subset looking at carbon intensity. “There will be an end-group that continues to demand that we abate carbon compared to what we did a year ago,” she said.

Stine said that Nucor produces Environmental Product Declarations (EPDs) on its products. Thus, customers can see the carbon intensity of the steel they’re buying.

“We’re being as transparent and up-to-date on that data-sharing with customers as we can. Every couple of years, we republish that data,” she said.

EPDs tell you things like what power is used to produce each product. Therefore, the carbon intensity of the same product could vary depending on where it was made.

Stine said Nucor foresees that more and more of the company’s conversations with customers will be around sustainability.

“You’re seeing a steady progression of interest,” she noted.

Nuclear

Something most can agree on is that the future is going to be energy intensive. One of the routes Nucor is investing in is with nuclear energy. Specifically, small modular fission reactors with NuScale Power, and fusion technology with Helion Energy.

Stine called Nucor’s vision “the new nuclear,” meaning: “The progression of nuclear energy that can be used on-site … through either fusion or fission technology.”

“How do we leverage this technology to power our mills and our expansions moving forward?” Stine said.

She noted that Nucor is “technologically agnostic, but we’re having conversations with many different companies that are investigating in this technology.”

“At the end of the day, whichever one becomes technologically viable and can be used at scale, we’re going to be using to power our steel mills going forward,” she added.

Regarding regulatory hurdles, Stine said, “At a federal and state level, we’re looking at the permitting process, and asking, ‘How can we demystify this?’”

She noted that Nucor is forging relationships with technology companies like Microsoft and spending a lot of time in Washington.

Of course with talk of Washington, the subject turns to the fast-approaching 2024 election. But Stine says Nucor’s focus remains the same no matter who the future occupant of the White House is. “Questions on sustainability won’t change with the election in Washington,” she commented.