Scottish Water has announced the appointment of ArcelorMittal Distribution Solutions UK Limited and Hescott Engineering Company Limited (part of the AIM Group) as key supply chain partners.
The companies have been named in a new Structural Steel and Fabrication Services framework as part of a strategic move to reduce carbon emissions across the utility's capital investment and operational programmes.
The new framework is set to run for an initial four-year term, with the possibility of a further four-year extension based on performance and price reviews. This initiative follows Scottish Water's recent commitment to purchase 20,000 m³ of low-carbon concrete and represents its latest effort to tackle embodied carbon within its infrastructure projects.
ArcelorMittal will provide steel manufactured using electric arc furnace (EAF) technology. This production method generates approximately 70% fewer carbon emissions compared to traditional steel manufacturing processes. Critically, the transition to these lower-emission products comes with no additional cost premium, ensuring the framework continues to deliver value for customers.
Joe Rowan, General Manager of Procurement at Scottish Water, said: "Steel plays a vital role in supporting Scottish Water's capital investment portfolio but conventional steel manufacturing is extremely carbon intensive – transitioning to steel produced using electric arc furnace technology will significantly reduce our embodied carbon emissions and is a bold statement of our commitment to reach net zero by 2040."
Danny McIver, Senior Procurement Specialist at Scottish Water, added: "The appointment of ArcelorMittal and Hescott Engineering as our supply chain partners for low carbon structural steel and fabrication services gives us confidence that the materials being used by ourselves and our delivery partners during all our construction activities are helping to reduce our carbon emissions."
Mike Astbury, Head of Sales at ArcelorMittal, commented: "This partnership demonstrates how smarter material choices can deliver meaningful, immediate carbon reductions without compromising performance or value. We remain committed to innovating with our customers and helping them build more sustainable, resilient infrastructure for the future."
Blair McDonald, Managing Director of AIM Group, said: "We are delighted to be working alongside Scottish Water at such a pivotal point in their net zero journey. By combining lower-carbon steel with advanced automation, digital workflows, and investment in renewable energy, AIM Group is committed to creating resilient, sustainable assets for the future."
The framework is expected to play a central role as Scottish Water moves into its next investment period, supporting its long-term sustainability goals.
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