Concrete

In India, the use of alternative fuel is at a very nascent stage

Published

4 years ago

November 18, 2022

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Ganesh W Jirkuntwar, Senior Executive Director & National Manufacturing Head, Dalmia Cement (Bharat) Limited, analyses the effects of raw materials on emission and efforts taken by his company to conserve the environment.

Tell us about the efforts taken by your organisation to better the environment in and around the manufacturing unit.
Our company has taken a number of efforts to better the environment in order to maximise the proportion of blended cement in our product basket, promote the usage of alternative supplementary cementitious materials recommended by IS for cement and increase the usage of alternative fuels.
We have also installed the appropriate systems to co-process wastes judiciously and follow a pre-processing system for alternative fuels. We have implemented a waste heat recovery system and are now able to tap into solar energy.

How does the use of environmentally friendly fuels or raw materials impact the profitability of the organisation?
Dalmia Bharat Limited follows the business philosophy of ‘Clean & Green is Profitable and Sustainable.’ By using environmentally friendly fuel and raw materials, we have managed to create an impact on our triple bottom line: social, environmental as well as financial performance. A proper strategy for selection and adopting environment-friendly initiatives that act as fuel and raw materials is expected to significantly boost the organisation’s profitability.
Large volumes of legacy municipal waste are available at various municipal dump sites, that can be converted to Refuse Derived Fuel (RDF) and can be used by Indian cement Industries. Cement industries are currently facing a tough time due to the steep rise in fuel prices. The usage of RDF and other alternative fuels will help the cement industry in optimising its fuel cost.

Tell us about the types of blended cement and their composition manufactured by your organisation. How does the strength of blended cement differ from OPC?
At Dalmia Cement (Bharat) Limited, we manufacture PPC, PCC and PSC as blended cements. The composition of blended cements is decided strictly in accordance with BIS norms.
The overall strength of blended cement is comparable with OPC 43 Grade. However, Indian Specification (IS) recommends that blended cement should meet the strength Norms of OPC 33 Grade.

What are the key supplementary materials used to manufacture blended cement?
The key supplementary materials used to manufacture blended cement are pulverised fuel ash, known as flyash, and granulated slag.

Tell us about the impact blended cement creates on the environment.
Blended cement has higher durability and better resistance towards the aggressive environment of chloride and sulphate. Additionally, less clinker is being consumed to produce the same volume of cement, resulting in raw materials savings, energy savings (thermal and electrical), reduced CO2 emission and waste utilisation.

How does the use of alternative fuels impact the productivity and efficiency of the manufacturing process?
The use of alternative fuels leads to a marginal increase in overall heat consumption. In case a preheater fan and other equipment are being used at their full capacity, usage of alternative fuels may result in a marginal reduction of clinker throughput.

What role does technology play in creating blends that help curb emissions and make the environment better?
Technology helps reduce CO2 emission as a result of low clinker consumption in blended cement compared to non-blended cement.

What are the major challenges your organisation is facing to curb the emission rate?
Although cement manufacturing is an energy-intensive process, during clinker manufacturing, the emission of process CO2 is inevitable. The only way to curb the emission significantly as of now helps replace fossil fuels with alternative fuels.
The major challenges in increasing the usage of alternative fuels include adopting RDF which is the only alternative fuel and is available in large volumes. However, the quality of RDF being supplied in India is very poor and inconsistent. Additionally, high ash content and moisture in RDF restrict the higher usage of RDF.
In India, the use of alternative fuel is at a very nascent stage and cement players need to invest in R&D on understanding its impact on cement and corrective actions

How do you foresee the future of emissions created by the cement industry?
The cement industry is putting in unrelenting efforts to reduce the Cement Clinker Ratio (CC Ratio), higher usage of alternative fuels and increased the usage of renewable energy. This will reflect in their carbon footprint figure in the next few years. We expect that, in a few years, newer technological adoption such as carbon capture, green hydrogen usage, rotodynamic heater etc. will also decide the future of emissions by cement industries.

-Kanika Mathur

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Concrete

UltraTech Board Approves Rs 50 bn Fundraise Via NCDs

Company to issue half a million debentures for expansion plan

Published

4 hours ago

July 28, 2026

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UltraTech Cement’s board of directors has approved raising Rs 5,000 crore (Rs 50 bn) through non?convertible debentures issued in rupees.

The finance committee cleared a proposal to issue up to 500,000 fully paid, unsecured, listed, rated, redeemable, rupee?denominated, non?convertible, non?cumulative debentures of Rs 1 lakh each (Rs 0.1 mn each), aggregating to the Rs 5,000 crore programme.

As of June 2026 the firm reported net debt of Rs 15,875 crore (Rs 158.75 bn) and said its capacity expansion projects under execution are backed by capital expenditure of about Rs 17,000 crore (Rs 170 bn) over the next two to two?and?a?half years.

UltraTech spent Rs 9,500 crore (Rs 95 bn) on capital expenditure in financial year 2026 and in April the group crossed 200.1 mn tonnes per annum of domestic grey cement capacity and 205.5 mn tonnes per annum of global capacity.

The chief financial officer indicated the company would take consolidated capacity beyond 242 mn tonnes per annum, with grey cement capacity reaching 212.7 mn tonnes per annum by the end of financial year 2027. He noted the net debt?to?earnings before interest, taxes, depreciation and amortisation ratio stood at 0.87 times as of June 2026 and the company was confident of ending financial year 2027 with the ratio below one time.

In the first quarter of financial year 2026?27 UltraTech’s net profit attributable to owners rose 16.8 per cent year?on?year to Rs 2,599.3 crore (Rs 25.993 bn) and revenue from operations increased 15.9 per cent to Rs 24,648.20 crore (Rs 246.482 bn). The board approval is expected to complement internal cash flows as the company advances its expansion programme.

Concrete

Lokesh Lays Stone For Rs 31 Billion Cement Unit In Kadapa

Line-2 expansion to make Kadapa a major cement hub

Published

1 week ago

July 20, 2026

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Andhra Pradesh Education and IT Minister Nara Lokesh on Wednesday laid the foundation stone for the Line-2 expansion of Dalmia Bharat Cement at Chinnakomerla village in Mylavaram Mandal in Kadapa district. The project carries an investment of Rs 31 billion (bn) and is slated for completion by the third quarter of the financial year 2028. The expansion is intended to boost industrial growth and employment generation across the Rayalaseema region.

Once commissioned, the Kadapa facility will become Dalmia Bharat’s largest integrated cement manufacturing ecosystem in southern India, creating over 1,000 direct and indirect jobs and opening new business avenues for regional micro, small and medium enterprises and transport operators. Lokesh said the expansion signalled growing corporate confidence in the state and reflected the practical ease of doing business that secured repeat investment.

He placed the project within the government’s wider economic targets and recalled the Yuvagalam padayatra commitment to generate two million (mn) jobs within five years, noting that the state would cultivate talent while industry created opportunities. Lokesh highlighted Andhra Pradesh’s competitive pursuit of major manufacturing accounts, mentioning past successes and a personal initiative to engage global investors when persuading them to anchor expansion in the state.

The plant will leverage Kadapa’s abundant limestone reserves to scale production and sustainability. Clinker capacity is planned to rise from two point five million tonnes per annum (mn tpa) to six point one mn tpa, while overall cement output will increase from three point six mn tpa to nine point six mn tpa. The unit is designed to operate on over eighty per cent renewable energy and deploy waste heat recovery, zero liquid discharge, water recycling and advanced AI systems to optimise efficiency. Industries Minister TG Bharat, BC Welfare Minister S. Savitha and Jammalamadugu MLA C. Adinarayana Reddy attended the ceremony.

Concrete

Cement Prices to Stay Flat in Q2 FY27 as Costs Squeeze Margins

HDFC Securities warns monsoon slowdown and higher fuel costs

Published

2 weeks ago

July 17, 2026

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HDFC Securities has said the cement industry is unlikely to register a sequential increase in prices in Q2 FY27 as monsoon-related demand moderation coincides with rising fuel and packaging costs that will squeeze margins. The brokerage observed that price gains remained modest, with increases of two to three per cent quarter-on-quarter across regions, and noted subdued offtake in May with improvement in June as a delayed monsoon supported construction activity. The brokerage added that modest pricing gains so far have been insufficient to offset the input cost escalation.

The report stated that input cost pressures intensified in Q1 FY27 owing to the West Asia conflict, which pushed up coal and pet coke prices and is expected to keep fuel costs elevated, with a likely peak in Q2 FY27. It assessed that total variable costs, including packing, could rise by around Rs 150 per t quarter-on-quarter and that lower offtake and seasonal operating deleverage could further raise operating expenditure by about Rs 50 per t quarter-on-quarter.

Overall, cement prices were estimated to remain flat in Q2 FY27 as monsoon-led demand weakness offsets limited upside in realisation, and rising fuel costs alongside seasonal deleverage were expected to compress industry margins by over Rs 100 per t quarter-on-quarter to below Rs 880 per t. The brokerage indicated that the combined impact of energy inflation and higher packing expenditure would be the principal drivers of margin contraction in the near term. HDFC Securities projected a recovery in margins in H2 FY27 should the West Asia turmoil subside and energy and packing costs cool off.

The brokerage expressed optimism on long-term demand fundamentals and said improving realisation together with an anticipated cost cool-off should support a margin rebound from H2 FY27 onward, underpinning favourable industry prospects over the medium term. Its outlook rests on monsoon normalisation and a decline in imported fuel prices in the second half of the fiscal year.