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Innovation in sustainability

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Sustainable development is a way of organizing society so that it can exist for long. This means taking into account both the imperatives present and those of the future, such as the preservation of the environment and natural resources or social and economic equity.

The production of cement is not an environmentally friendly process. It requires very high temperatures (usually above 1,500?C) and the consumption of large amounts of non-renewable raw-materials. It is estimated that 5??% of all carbon dioxide generated by human activities is derived from cement fabrication. Also many important pollutants are usually generated, such as dioxins and heavy metals, among others. The clinker manufacturing process cannot be substituted as there is no practical alternative to replace limestone.

Engineers use to say that concrete is the second component mostly used by man, just after water. Cement, as a technological material, is very successful, as everyone knows. Many characteristics can be easily cited. First of all, it works very well at room temperature. It is simple to use, easy to shape, and within few hours, renders an ??rtificial??rock, having numberless applications. Cement is used to build simple houses, highways, bridges and more complex systems as dams or nuclear power plants. In fact, it is almost impossible to imagine the world without cement or concrete. Despite such popularity, cement industry faces many challenges due to environmental concerns.

Moreover, large amounts of non-renewable materials are consumed in the process. Many efforts have been made to minimize the impact of these issues. Governments,

industrial sector, researches and other organizations are dealing seriously to improve the sustainability of cement industry.

In the last one hundred years, world has changed enormously in terms of life standards and infrastructure, due in part to cement-based materials.

There is no signal that this trend will change in the forthcoming future.

Present situation

In the 2016 Paris agreement, it was agreed to keep the global temperature increase below 2?C. To achieve this, CO2 emissions will have to be reduced by 80??0% by 2050. As a result, the cement industry faces increasing pressure. The Swedish activist, Greta Thunberg, who has stimulated global concern about climate change, made clear the urgency for action now at the 2019 United Nations (UN) Climate Action Summit. Also one of Europe?? largest insurers has started to insure only companies whose energy consumption uses less than 30% generated from fossil fuels. The insurance company has informed clients that if they do not comply, they may no longer be eligible for cover within the next few years.

Progress so far

The cement industry is conducting significant research to reduce CO2 emissions. According to the International Energy Agency/Cement Sustainability Initiative Technology Roadmap 2018, reducing emissions by approximately 24% by 2050 would be needed to meet the 2?C target.

To keep global warming below 1.5?C, a CO2 reduction of 45% would be necessary. Conventional technical progress, such as thermal efficiency, fuel switching and the reduction of the clinker-to-cement ratio, will not suffice. The key technology required is carbon capture and storage (CCS); more recently, first steps in carbon capture and usage (CCU) have complemented CCS.


Greta Thunberg

Carbon reduction opportunities

  • Energy efficiency: The industry has already reached the numbers beyond which it is not possible to improve further.

  • Alternate fuels: Sufficient margins are there for improvement. Industry is attempting to go to higher substitution rate.

  • Clinker factor: There is scope for improving the Global average of 0.65 to 0.60 to meet the Paris goals.

  • Novel cement and innovative carbon capture technologies: Developments are underway to manufacture next-generation cements that have significant carbon reductions. Also known as green cement, they are produced by implementing a carbon-negative manufacturing process and using renewable electricity. Advanced carbon capture and storage methods also have the potential to decarbonize the cement industry. These emerging technologies can provide approximately 48% of cumulative CO2 emission savings by 2050.

While talking on sustainability in this anniversary issue we have covered a case study on Shenzhen city where the entire public transport runs on electricity. China?? huge investment in electric transport comes on the back of a wider drive to reduce smog. Air quality in big Chinese cities often reaches hazardous levels. In 2014, the country ??eclared war??on pollution, halting the construction of new power plants and investing heavily in renewable energy as well as green technology.

In Shenzhen, diesel buses accounted for 20% of the city?? transport emissions. By introducing electric buses, the city could reduce CO2 emissions by an estimated 48%, compared to diesel buses, and up to 100% of other local pollutants.

Other cities, such as New York and London, are also following the electric bus route. London plans to make all its single-decker buses emission-free by 2020, and all its double decker hybrid by 2019. New York plans to make its bus fleet all-electric by 2040. It?? not clear, however, whether other cities in China will achieve Shenzhen?? feat of electrifying its whole fleet. The government plans to withdraw subsidies by 2020, and without them, electric buses could be too expensive to introduce. Indeed, profits at BYD, China?? largest electric bus manufacturer, are expected to fall as a result of the scaling back of subsidies as well as increased competition in the sector.

Headache of renewable

We would like our readers to know the negative side of sustainable power generation in Germany. The growing mismatch between Germany?? renewables capacity and the strength of its electricity network is leading to curtailment, crazy pricing and challenges for neighboring nations. Although Germany is generating record amounts of clean energy in the north, its grid is too weak to transport all the power down to load centers in the south ??a longstanding challenge for the country that is only getting worse.

One of the most visible effects of this renewable energy saturation on the German grid is negative wholesale electricity prices, times when consumers are effectively being paid to use excess power. As favorable weather conditions pushed renewable energy up to almost 43 percent of the power supply mix in 2019, ??here was an increase in the number of hours with negative prices due to high generation from renewables,??according to Agora Energiewende, a German think tank.

The simplest option is to curtail renewable energy output. But the latest available figures show that curtailment of German wind has actually fallen in real terms.

Source: In house contribution

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Concrete

India’s Cement Sector Cuts Energy Use, but Worker Safety Worsens

iFOREST finds efficiency gains alongside water and safety concerns

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India’s cement sector has improved its energy and carbon efficiency, but rising groundwater use in water-stressed regions and deteriorating worker safety remain significant concerns, according to a report by the International Forum for Environment, Sustainability & Technology (iFOREST). The findings also highlighted weak policy implementation and gaps in sustainability reporting.

India, the world’s second-largest cement producer, uses about 2.54 gigajoules of energy per tonne (GJ/t), below the global average of 2.88 GJ/t. However, renewable sources accounted for only 5.1 per cent of the sector’s energy mix, indicating continued dependence on conventional sources.

The report assessed 18 cement companies against 107 Business Responsibility and Sustainability Reporting indicators for FY24 and FY25. The companies covered 87 per cent of India’s cement production. Carbon emissions intensity declined from 0.58 to 0.57 tonnes of carbon dioxide per tonne, but total emissions increased 4 per cent to 224.3 mn t, equivalent to about 6 to 7 per cent of India’s overall emissions.

Overall water withdrawal declined 9.5 per cent during the study period, while withdrawals in water-stressed areas, mainly in Rajasthan, increased by more than 20 per cent. Groundwater’s share of withdrawals in these areas rose from 27 per cent to 38 per cent, raising concerns about the sector’s impact on vulnerable water resources.

The sector employs about 228,000 people, including 63 per cent contractual workers, 3.1 per cent women and 0.07 per cent persons with disabilities. Women in key managerial roles earned 26.8 per cent less than men, while median pay for women workers fell 11.1 per cent in FY25 as men’s pay increased. Worker injuries rose 36.5 per cent to 359, and fatalities increased from 17 to 22, with workers accounting for more than 90 per cent of deaths.

iFOREST recommended cement-specific reporting guidance, standardised metrics, mandatory production disclosure and third-party verification. It also called for environmental, social and governance policies to be integrated into business strategies and implemented more effectively on the ground.

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Concrete

Ambuja Cements Expects Volume Growth to Outpace Industry in H2

Ambuja Cements sees stronger trade and institutional demand in H2 FY27.

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Ambuja Cements expects its sales volumes to grow faster than the cement industry during the second half of fiscal year 2027, as it seeks a recovery in institutional demand after a weak first half. The Gautam Adani-owned company is aiming to rebuild volumes while protecting profitability.

The company reported a 90 per cent year-on-year decline in consolidated net profit attributable to owners of the parent to Rs. 1.93 bn for the quarter ended 30 September, from Rs. 17.74 bn a year earlier. The previous year’s profit included a reversal of income-tax provisions worth Rs. 16.97 bn. Revenue from operations rose marginally to Rs. 91.66 bn from Rs. 91.3 bn.

Trade volumes increased 8.6 per cent year-on-year in the September quarter, but weaker institutional sales left overall volumes broadly unchanged. Ambuja Cements expects both trade and institutional sales to turn positive in the third and fourth quarters. Trade sales are made through dealers and distributors, while institutional or business-to-business sales involve bulk supplies to infrastructure developers, government projects and real estate companies.

The company had earlier reduced institutional sales that did not generate adequate returns. It now plans to rebuild the business selectively, while continuing to prioritise trade sales and higher-value products. Trade accounted for 74 per cent of sales in the quarter, up six percentage points from a year earlier, while premium products increased to 37 per cent of trade sales from 35 per cent. Blended cement’s share rose to 82 per cent from 77 per cent.

Ambuja Cements commissioned 4.6 mn t of capacity during the quarter. Another 3.2 mn t at Bathinda in Punjab and Jodhpur has stabilised, with the facilities expected to ramp up in the second half. A further 2.4 mn t facility at Varkala in Bihar is scheduled for commissioning during the period. Higher fuel and logistics costs remain a challenge, while the company has realised a cement price increase of about Rs. 10 per bag in October and is targeting operating costs of Rs. 4,250 per t for the full year.

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Concrete

JK Lakshmi Cement Begins Rs 110 Billion Assam Plant Project

The 2.5 MTPA integrated cement plant is expected to be completed by FY2029.

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JK Lakshmi Cement has recently laid the foundation stone for Project Kamakshi, its first integrated cement manufacturing facility in Assam, marking its entry into Northeast India. The groundbreaking ceremony was held at Umrangso village in Dima Hasao district in the presence of Assam Chief Minister Himanta Biswa Sarma.
The project involves an investment of Rs 110 billion, including the mining lease, and will have an annual cement production capacity of 2.5 million tonnes, supported by a 1 million tonne clinkerisation unit. Scheduled for completion by FY2029, the facility is expected to generate employment for over 2,000 people while catering primarily to the growing Northeast market.
The integrated plant will feature dedicated railway sidings to facilitate efficient transportation of raw materials and finished cement, strengthening supply chain reliability and regional distribution.
Vinita Singhania, Chairperson and Managing Director, JK Lakshmi Cement, said, “”Project Kamakshi is the start of a long-term relationship with Assam and the wider North East. This is a region that is building fast, and it deserves quality cement made close to home. With this plant, we want to bring scale, jobs, and dependable supply to the region. At JK Lakshmi Cement, we believe that building a stronger India goes beyond infrastructure. It is also about growing together with the communities we serve.””
The investment aligns with the company’s strategy to expand into high-growth markets beyond its established presence in Northern, Western and Eastern India. The project is also expected to support regional economic development and infrastructure growth.
JK Lakshmi Cement aims to pursue its expansion plans while working towards its long-term target of achieving net-zero emissions by 2047.

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