With the shortage of high-grade silicon (Si) feedstock due to the rapid development of photovoltaic, electronic information, and organic Si industries, there is an increasing demand to recycle Si waste economically and efficiently. However, the deep removal of B and P from Si has always been a significant challenge for Si waste recycling. A novel application of electroslag remelting (ESR) refining has been developed to remove B and P for the purification and recovery of Si. In addition, industrial tests were performed to recover the diamond wire saw Si powder. The design principle is put forward for the Si alloy electroslag system. A new 35% CaO−30% CaF 2 −17.5% Al 2 O 3 −17.5% SiO 2 electroslag applicable for Si alloy ESR is designed to meet both physical and impurity removal requirements. Furthermore, the conductivity (2.67 Ω −1 •cm −1 ), density (2.97 g/cm 3 ), and viscosity (0.05 Pa•s) meet the requirements of ESR. The dynamic refining process of Si alloy passing through the slag layer in the droplet form is the core of ESR refining, and it is found that more than 80% of B and P removal is achieved in the dynamic refining process of the droplet penetration slag. In order to understand the dynamic refining process, the mathematical model of droplet movement and impurity removal model are proposed to study the droplet movement behavior in slag and the competitive influence mechanism of multiple parameters on B removal efficiency during the dynamic refining process. Mathematical models and experimental results show that there is an ultimate velocity of droplet entry into the slag, which increases linearly with the growth of droplet size under the same slag condition. In addition, the specific surface area of the droplet plays a dominant role in the removal of B. The successful industrial experiments of Si alloy ESR prove that the design principle of the Si alloy electroslag system and the size control mechanism of Si alloy are feasible in this work. The removal efficiency of B and P reached 80 and 65%, respectively, within 30 min. It is also believed that ESR will have an application in purification and recovery of Si waste.