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Paving the Way for a Carbon-Negative Cement Industry

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Sanjay Wali, National Sales, Marketing & Logistics Head, Dalmia Cement (Bharat) Ltd, discusses the in-roads the company has made in making production processes more sustainable and in making cement a greener product.

For 80 years, we followed a growth path that mirrored India’s promise and growth opportunities. Our philosophy of ‘Clean and Green is Profitable and Sustainable’ has helped us deliver on the expectations of our stakeholders, create sustained value for the larger ecosystem and show the way for responsible growth to others. Our focused product strategy has been a critical factor propelling us to the leadership position in the manufacturing of green cement.
We are the only cement manufacturer part of the UN Leadership Group on heavy industry net-zero transition. Moreover, we have been ranked #1 in the global cement sector on business readiness for low carbon economy transition by CDP in 2018. As we learn new methods to enhance sustainability, we are confident that our journey to decarbonise our business will pave the way for a carbon negative reality and at the same time inspire others to adopt the same path.

Leading the sector’s green movement
Sustainability led growth has always been our top priority. We are committed to becoming carbon negative by 2040, and for this very purpose, we created a roadmap to bring down our carbon footprint. Our carbon footprint at 492 kg CO2/ tonne of cement (specific net CO2) is one of the lowest group averages in the global cement sector. We installed 9.90 MW of solar and 21.70 MW of Waste Heat Recovery based power generation systems and plan to significantly increase solar and Waste Heat Recovery power generation to run our operations with more fossil-free electricity by the end of FY23. Through our continuous efforts and by proposing to use 100 per cent renewable energy by FY30, we are well on our way to leading the green movement within the sectors we operate in.

Responsible production and consumption
We understand that with leadership, comes responsibility. Therefore, as a leading proponent of ‘Green Cement’, we consume the waste produced by other industries and ensure that the waste produced at our facilities, both hazardous and non-hazardous is disposed-off as per legal requirements and in a responsible manner. In FY21 we utilised 7.83 million tonnes of alternative cementitious material and 0.2 MnT alternative fuels, which includes industrial wastes, for the pyro process. Both these waste categories were sourced from other companies. In comparison to this, the waste generated and disposed of by us stands at a mere 10,245 tonnes.
Our environment discipline is encapsulated in the principle of ‘Producing maximum cement with minimum resources. In FY21, we made a bold commitment to become a 100 per cent blended cement company over the next five years. Currently, our facilities in Eastern India are dedicated to producing 100 per cent blended cement and we now aim to maximise blended cement production across all our operations.

Energy efficiency and energy productivity
Cement production is an energy-intensive process, therefore, responsible use of energy is key to reducing environmental impact. We invest in low carbon technologies to reduce dependency on fossil fuels and better manage energy usage across the production value chain. Our newly commissioned plants are constantly setting industry benchmarks in the adoption and use of energy efficiency measures and our growing network of captive power plants allows us to wheel surplus power across our facilities in different parts of the country to optimise costs further.

Developing greener solutions for a better tomorrow
We are steadfast about our products causing minimal harm to the environment while delivering the highest quality. Our low porosity of Dalmia Infragreen enhances the durability of the product. It does not require any other chemical admixtures and delivers high strength, durable and waterproof concrete. It uses lesser heat in hydration than OPC large and mass concreting and can control thermal linked cracks of large sections better. Dalmia Infragreen has superior water ingress resistance and provides long-term durability against atmospheric carbonation, harmful chlorides and sulphates from groundwater usage. Our product can get runways, highway stretches and metro sections operational in three days, whether used for building, maintenance or repair.

Encouraging stakeholder partnership towards a net-zero pathway
We recognise the importance of reducing carbon emission causing global warming and are committed to climate protection to become a carbon negative cement group by 2040. We are one of the first few cement companies to commit to the Mission Possible Partnership setting science-based targets, and join the First Mover’s Coalition as founding members. Our defined ambition is to become carbon negative by 2040, beyond net-zero and well before the cement sector roadmap’s 2050 targets. We are proud to declare that as of FY21, we are already well below the current global Net Zero pathway target for the cement sector.
To foster greater adoption of this environmentally friendly building material, we have undertaken stewardship to create awareness of the product across our customers, institutional or individual. We encourage the use of blended cement and contribute to protecting our planet. Our dealers and distributors are the critical last-mile link to encourage customers to buy green cement for their building needs. Together, we will propagate the consumption of sustainable products such as our green product line to advance a negative carbon reality. Our efforts have already borne fruit as we recently became the first cement company in India to receive a green accreditation from the Green product rating for Integrated Habitat Assessment (GRIHA) council, and we were also awarded the prestigious GreenPro Ecolabelling Certificate by the Indian Green Building Council (IGBC), a part of the Confederation of Indian Industries (CII). We will continue to drive awareness and understanding of the benefits of green cement across our distribution chain.

We are committed to becoming carbon negative by 2040, and for this very purpose, we created a roadmap to bring down our carbon footprint. Our carbon footprint at 492 kg CO2/ tonne of cement (specific net CO2) is one of the lowest group averages in the global cement sector.

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Cement Firms to Invest Rs. 130 bn in Green Energy by FY28

Cement companies plan to expand clean energy capacity to 6 GW by FY28

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India’s major cement companies are set to raise their clean energy capacity to 6 GW by March 2028 from around 4 GW at the end of March 2026, according to ratings agency ICRA. The planned expansion is expected to involve investments of Rs. 130 bn over the next two years.

The additional capacity could generate annual savings of Rs. 62 bn to Rs. 67 bn, resulting in an estimated payback period of 1.8 to 2.2 years. Cement is an emission-intensive industry, and leading producers have established net-zero roadmaps covering the next 15 to 20 years.

The calcination process accounts for 57 to 60 per cent of the sector’s total emissions, while fuel combustion contributes 27 to 30 per cent and electricity consumption accounts for 10 to 13 per cent. ICRA said the figures highlighted the need for a broad decarbonisation strategy involving green power, blended cement, alternative fuels and improvements in clinker efficiency.

Green energy is considered one of the most commercially attractive decarbonisation options because it can reduce emissions while lowering operating costs. Every 5 per cent increase in green power replacement can reduce power and fuel costs by Rs. 15 to Rs. 16 per tonne. A 25 per cent replacement level could therefore save Rs. 75 to Rs. 80 per tonne and expand operating margins by 140 to 160 basis points.

Cement producers are also assessing carbon capture, utilisation and storage, although high implementation costs, energy requirements and limited transport and storage infrastructure are expected to slow commercial adoption. The government has proposed Rs. 200 bn over five years to support deployment across key sectors. Meanwhile, companies are targeting thermal substitution rates of 10 to 15 per cent over the next three to five years, compared with the current industry level of around 6 per cent.

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Centre Defers Clearance for Limestone Mine Near Bustard Habitat

Panel seeks revised mining plan and safeguards for pipelines and wildlife

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The Centre has deferred environmental clearance for a proposed limestone mine near a Great Indian Bustard habitat in Ramgarh, Rajasthan’s Jaisalmer district. The critically endangered species has an estimated wild population of about 130 in India.

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Telangana to Supply Subsidised Cement for Indiramma Houses

Poor families allotted Indiramma houses to receive cement at Rs. 230 per bag

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The Telangana government will supply cement at a subsidised price of Rs. 230 per 50-kg bag to poor and low-income families allotted Indiramma houses. The prevailing market price is between Rs. 310 and Rs. 320 per bag, the Assembly was informed on Thursday.

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