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AFR has become integral to our fuel mix

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Sanjay Joshi, Chief Projects and Manufacturing Officer, Nuvoco Vistas Corp, discusses the integration of alternative fuels and raw materials (AFR) into cement manufacturing.

Tell us about the alternative fuels and raw materials (AFR) used by your organisation in cement manufacturing.
The AFR usage can decrease environmental impacts, lower consumption of fossil fuels to reduce the economic impact to the cement industry. Fast depleting natural resources like limestone, increased cost of conventional fuels like pet coke and coal, have become a matter of great concern for cement industry all over the world. The high temperature and adequate retention time makes cement kilns most suitable for disposing of alternative fuels. Utilisation of AFR in the cement industry, helps in reduction of the carbon footprint, substituting consumption of fossil fuels and reducing its associated higher cost.
Nuvoco has been a pioneer in this regard, utilising substantial quantities of non-recyclable hazardous wastes, plastics, tire wastes, surplus biomass and RDF as alternative fuels since 2014. To support this initiative, Nuvoco has established comprehensive AFR storage, handling, and feeding facilities in all its plants. Additionally, Nuvoco incorporates alternative raw materials into its cement and clinker raw mix, sourced from industrial and mineral wastes in metallurgy, petrochemicals, chemicals, paper and pulp sectors. These materials include fly ash, slag, metallurgical slags, phosphogypsum and red mud, contributing to a reduced carbon footprint and decreased reliance on fossil fuels and natural conventional raw material.

What factors do you consider when selecting alternative fuels and raw materials?
The selection of AFR for usage in a cement kiln involves a thorough assessment of their potential impacts on clinker and cement manufacturing operations, product quality and the environment. Several important factors must be considered before finalising the choice of AFR.
Among these, key parameters include alkali, sulphur, chloride, trace element content, heat (calorific) value and moisture content. Regular reviews of the acceptance criteria are conducted in accordance with local regulations to ensure ongoing alignment with environmental standards and manufacturing requirements. This comprehensive evaluation
process ensures that the selected AFR optimally contributes to the cement kiln process while
minimising adverse effects on both the product and the surrounding environment.

What is the impact created on the environment by use of AFR in your organisation?
Concerning the co-processing of AFR, the cement industry is actively working towards reducing greenhouse gas emissions and preserving natural resources by incorporating a variety of AFRs in the cement kiln.
To ensure responsible handling, plants have implemented essential infrastructure, including AF storage sheds with impermeable flooring, leachate collection pits, firefighting arrangements and deodorisers, effectively mitigating the environmental impacts of AFR usage. The handling and feeding systems for alternative fuels are centrally operated from the Control Room (CCR), minimising manual interventions throughout the process. Rigorous monitoring and systematic storage procedures are in place for all wastes intended for co-processing in the cement kiln, ensuring a continuous and well-managed approach to environmental sustainability.

Have you faced any challenges or barriers when using AFR in cement production, and if so, how have you overcome them?
Certainly, when incorporating alternative fuels and raw materials, numerous challenges emerge throughout the process. These challenges span from the storage areas, where issues related to non-uniform quality of alternative fuel are encountered, to the pyro system, which has to adapt to process changes and blending during alternative fuel feeding.
In essence, the primary challenges faced in the utilisation of AFR can be succinctly summarised
as follows:

  • Non-homogeneity of the waste: Wastes received by cement plants have varying chemical compositions, which initially result in operational disturbances.
  • Coating, build-ups and refractory issues: The high content of chlorine and alkalis in hazardous solid waste combined with pet coke sulphur results in coating formation. Circulation of volatile salts increases and clogging arises in lower preheater cyclones and riser pipes.
  • Availability of odour control system at storage sites.
  • Wear and tear of equipment used for waste processing: AFR has different foreign materials like silt, glass, metal pieces so it makes heavy wear and tear of pre-processing equipment like shredder, trommel, belt conveyor, etc.
  • Inhouse testing laboratory facilities not being available to check the quality of received material.
  • CCR operators not being trained on operational parameters for alternative fuel usage.
  • All these issues have been analysed systematically, discussed with suppliers and plant original equipment manufacturers (OEM). Some modifications have been made in the feeding system to avoid operational issues. Process related improvements are executed after discussion with OEM, which results in smooth burning of alternative fuels in the system.

How do you see the use of AFR in cement production evolving in the future, and what role do you think your company will play in this process?
In the current landscape of fuel availability and cost considerations, AFR has become integral to our fuel mix. Government initiatives have played a leading role in raising awareness about AFR usage, resulting in a notable uptick. The proliferation of pre-processing facilities, coupled with in-depth research and consultations with cement industries facilitated by catalyst bodies like Confederation of Indian Industry (CII) and Cement Manufacturers Association (CMA), has positioned co-processing as the preferred choice. This approach not only reduces production costs but also contributes significantly to resource conservation on a broader scale.
At Nuvoco Cement, we have embraced co-processing of AFR in all our integrated cement
plants. Our commitment to sustainability is evident through the adoption of new technologies aimed
at increasing the utilisation of AFR. We remain dedicated to continuously exploring and implementing innovative technologies across all our plants, demonstrating our proactive stance towards environmental responsibility.

  • Kanika Mathur

Concrete

Cement Makers’ Margins To Fall Rs 50-75 Per Tonne Amid West Asia Conflict

Crisil Sees Margins Easing Despite Steady Demand

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Crisil said operating margins of Indian cement manufacturers are expected to decline by Rs 50-75 per tonne (t) this fiscal to Rs 925-950 per t due to higher input costs triggered by the West Asia conflict. The analysis covered 18 cement companies accounting for nearly 90 per cent of India’s domestic cement capacity and noted margins had improved sharply to around Rs 1,000 per t in fiscal 2026.

Crisil noted that the reduction would be driven mainly by higher power and fuel costs, which account for about 30 per cent of total costs, as petcoke and imported coal prices have surged amid geopolitical uncertainties. Freight costs, which account for about a quarter of total costs, are also expected to remain elevated because of higher diesel prices. The impact on profitability is likely to be more pronounced in the first half of the fiscal year before easing commodity prices moderate cost pressures later.

The rating agency said steady domestic demand and strong balance sheets should keep credit profiles stable despite the moderation in margins. Green energy currently accounts for 35-40 per cent of the sector’s total electricity consumption and is expected to partly cushion higher energy costs. Operating cash flows are likely to remain resilient, supported by projected 6-7 per cent growth in cement demand this fiscal.

Crisil highlighted that demand growth will be driven primarily by infrastructure spending, which meets about one-third of sector consumption, and by a nearly 18 per cent higher budgetary allocation for core ministries that should support project execution. Weaker rural housing demand amid pressure on agricultural incomes from a possible below-average monsoon may be offset by improved urban housing demand supported by favourable home-loan rates and a strong pipeline of Pradhan Mantri Awas Yojana-Urban projects. Ongoing capacity additions will keep capital expenditure elevated and may lift net debt to EBITDA to between 1.2 and 1.4 times from around 1.0 time last fiscal, though ratios are expected to remain healthy.

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Concrete

UltraTech Board Approves Rs 50 bn Fundraise Via NCDs

Company to issue half a million debentures for expansion plan

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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.

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Concrete

Lokesh Lays Stone For Rs 31 Billion Cement Unit In Kadapa

Line-2 expansion to make Kadapa a major cement hub

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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.

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