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The cement industry, known for its high energy consumption, faces increasing pressure to enhance efficiency and reduce environmental impact. ICR explores the critical role of energy management in cement manufacturing, highlighting the industry’s shift towards renewable energy, alternative fuels and advanced technologies to achieve sustainability. In the cement manufacturing process, energy consumption is a critical factor, significantly impacting both production costs and environmental sustainability. The industry is highly energy-intensive, with energy costs accounting for a substantial portion of the total production expenses.

According to International Energy Outlook (2016), the energy consumption of all industrial sectors around the World is increasing by an average of 1.2 per cent per year. The World’s industrial sector energy consumption expects to reach 309 quadrillions of British Thermal Units in 2040. The cement industry is one of the energy-intensive industries which utilises a sizeable amount of energy. Avami and Sattari (2007) found that the cement industries in Malaysia consumed about 12 per cent of the country’s total energy, while this value is 15 per cent in Iran. Hence, national and international efforts are carried out to reduce energy consumption and emission level in the cement industry.
In the cement industry, the total energy consumption accounts for 50–60 per cent of the overall manufacturing cost, while thermal energy accounts for 20–25 per cent (Wang et al., 2009; Singhi and Bhargava, 2010). The modern cement industry requires 110–120 kWh of electrical power to produce one ton of cement (Mejeoumov, 2007). Thermal energy is used mainly during the burning process, while electrical energy is used during the cement grinding process (Marciano, 2004).

Energy usage in cement manufacturing is primarily divided between thermal energy and electrical energy. Thermal energy is predominantly used in the kiln operation, where raw materials like limestone are heated to high temperatures to form clinker, the key component in cement. This stage consumes around 60-70 per cent of the total energy in the manufacturing process. The main fuel sources for thermal energy are coal, petcoke, and increasingly, alternative fuels derived from waste materials, which help in reducing carbon emissions. Electrical energy, on the other hand, is utilised across various stages, including raw material preparation, grinding, and cement milling. The grinding process, especially in the cement mill, is a significant consumer of electrical energy, often accounting for about 30-40 per cent of total electricity usage in the plant.

The energy consumption patterns vary depending on the technology employed, the type of fuel used, and the operational efficiency of the plant. Modern cement plants are adopting more energy-efficient technologies, such as preheaters, precalciners, and high-efficiency grinding systems, which help in reducing overall energy consumption. Additionally, there is a growing focus on optimising energy use through the integration of digital solutions and energy management systems, which can monitor and control energy consumption more effectively.
According to the report, Review on energy conservation and emission reduction approaches for cement industry, published December 2022, the energy consumption in cement production depends on the process through which it is manufactured. The dry process of cement manufacturing uses more electrical energy than the wet process, while the wet process uses more thermal energy than the dry process. The dry process of cement manufacturing utilises 75 per cent thermal and 25 per cent electrical energy. A maximum percentage of the total thermal energy is used for clinker production. According to the reports, the cement industry employs 90 per cent of the total consumed natural gas for clinker production in large rotary kilns (Fig. 6). For Indian cement industries, coal fulfills ninety-four per cent of the thermal energy demand. In contrast, the remaining need is fulfilled by fuel oil and high-speed diesel oil. The cement industry in India does not have sufficient natural gas available for fulfilling the thermal energy requirement (Karwa et al., 1998).

“Nuvoco has established a rigorous system for measuring and monitoring energy efficiency across its cement manufacturing processes.
Key metrics are tracked using advanced monitoring systems to ensure both optimal performance and strict regulatory compliance,” says Raju Ramchandran, SVP Manufacturing (Cluster Head – Central), Nuvoco Vistas.

“One critical aspect of this monitoring involves the consistent tracking of air emissions from fuel combustion in cement production and power generation operations. This includes pollutants like Oxides of Sulphur (SOx), Oxides of Nitrogen (NOx), and Particulate Matter (PM). Nuvoco employs Continuous Emission Monitoring Systems (CEMS) to observe these emissions in real-time, ensuring adherence to environmental standards,” he adds.

Renewable Energy Integration
Integrating renewable energy into cement production is an emerging strategy to enhance sustainability and reduce the industry’s carbon footprint. Traditionally reliant on fossil fuels, the cement industry is increasingly exploring renewable energy sources like solar, wind, and biomass to power various stages of production.
“Renewable energy is a fundamental component of Wonder Cement’s broader energy efficiency strategy. We have integrated renewable energy sources, such as solar and wind power, into our manufacturing operations to reduce our reliance on non-renewable energy. Our solar power plants, strategically positioned across our manufacturing sites, contribute significantly to our overall energy needs. By generating clean energy on-site, we not only reduce our electricity costs but also achieve substantial reductions in carbon emissions, underscoring our commitment to sustainability,” says Piyush Joshi, Associate Vice President – Systems and Technical Cell, Wonder Cement.

“Our approach to renewable energy extends beyond electricity generation. We are actively exploring the potential of renewable fuels for our kiln operations. Through partnerships with research institutions and technology providers, we are investigating the viability of hydrogen and other renewable energy sources to further reduce our carbon footprint and enhance energy efficiency,” he adds.

The use of Alternative Fuels and Raw Materials (AFR) in cement manufacturing plays a crucial role in reducing energy consumption and lowering the industry’s carbon footprint. AFRs, including waste-derived materials like industrial by-products and biomass, can replace traditional fossil fuels and raw materials in the production process. This substitution reduces the thermal energy required in kilns and lowers overall energy consumption.

Vikas Garg, Energy Manager, Udaipur Cement Works Ltd (UCWL), says, “Renewable energy plays a significant role in enhancing energy efficiency and reducing the carbon footprint in cement manufacturing. Integrating renewable energy into cement operations aligns with broader sustainability goals and helps in mitigating the environmental impact of the industry. We have reduced our needs of electricity from the grid by up to 50 per cent by utilising renewable energy.”

Additionally, AFRs enable energy recovery from waste materials, contributing to a circular economy by minimising the demand for non-renewable resources. The environmental and economic benefits of AFRs include reduced greenhouse gas emissions, lower landfill usage, and decreased reliance on costly fossil fuels. By integrating AFRs, cement plants can achieve greater energy efficiency and align with global sustainability goals.

MM Rathi, Joint President – Power plants, Shree Cement, says, “Renewable energy is a cornerstone of our strategy for energy efficiency and sustainability at Shree Cement. Our commitment to integrating renewable energy is reflected in our energy mix, where renewable sources account for 55.9 per cent of our total energy consumption. This significant share has enabled us to avoid 0.94 million tons of CO2 emissions, demonstrating our impact on reducing greenhouse gasses. Our total power generation capacity is 1 GW, with 50 per cent derived from renewable sources, including solar, wind and WHR.”

“Our energy management strategy leverages renewable energy to stabilise and optimise our energy supply. We are exploring advanced energy storage solutions, such as battery and pump storage systems, to manage the variability of renewable sources and ensure a consistent energy supply. Renewable energy is pivotal in achieving our sustainability targets, including substantial reductions in Scope 1 and Scope 2 emissions. By increasing our renewable energy share, we have significantly lowered our carbon footprint and contributed to global climate goals,” he adds.

Solar energy, for instance, can be harnessed for processes such as preheating raw materials, while wind energy can supply electricity for plant operations. Biomass, used as an alternative fuel, helps reduce dependency on coal and other fossil fuels in kilns. These renewable sources not only lower greenhouse gas emissions but also contribute to energy cost savings over time.

Raman Bhatia, Founder and Managing Director, Servotech Power Systems, explains, “Installing a solar system is just the first step; operating and maintaining it properly is equally important to ensure the system runs efficiently over the long term and for that we conduct regular inspections to detect and address issues like module degradation and inverter malfunctions early, preventing energy losses.”

“Our team ensures optimal performance through routine cleaning and maintenance, which maximises sunlight absorption and energy generation. Continuous performance monitoring using advanced data analytics allows us to optimise system settings, while preventive and corrective maintenance activities minimise downtime and equipment failures. By utilising techniques such as module-level monitoring and inverter tuning, Servotech ensures that solar systems operate at peak efficiency, delivering maximum energy output and long-term cost savings,” he adds.

The transition to renewable energy in cement production presents challenges, including the need for significant infrastructure investment and the variability of energy supply. Despite these hurdles, the growing emphasis on sustainability and regulatory pressures are driving the adoption of renewable energy, making it a critical component of the industry’s pathway to achieving net-zero emissions. Integrating renewables is not just about reducing carbon footprints; it also positions the cement industry as a leader in the global shift towards a more sustainable energy future.

Role of Technology and Maintenance
In cement manufacturing, managing energy efficiency is critical to reducing costs and minimising environmental impact. Predictive maintenance, understanding consumer machinery needs, and the integration of advanced technology play pivotal roles in achieving these goals.

Predictive maintenance uses data analytics
and real-time monitoring to anticipate equipment failures before they occur. By analysing machinery performance, cement plants can schedule maintenance activities proactively, reducing downtime and optimising energy use. This approach not only extends the lifespan of equipment but also ensures that machines operate at peak efficiency, minimising unnecessary energy consumption.
“When predictive maintenance is an integral part of a company’s maintenance practices it will increase equipment efficiency and directly impact the total energy consumed for the same output for any equipment,” says Dries Van Loon, Vice President – Products, Nanoprecise Sci Corp.
“With the Nanoprecise solution fully integrated, our end users not only receive actionable insights with defined ‘remaining useful life’, but also continuous data on the impact to energy consumption and its effect on carbon emissions. This is crucial in prioritising maintenance tasks not purely based on potential saved downtime and repair cost, but also on the highest energy impact, ensuring that maintenance tasks have a significant, measurable contribution to reducing carbon emissions,” he adds.
Understanding the specific machinery needs of consumers—such as the demand for high-efficiency kilns, grinding mills, and conveyors—enables manufacturers to tailor solutions that enhance energy efficiency. Customised machinery that meets the precise needs of a cement plant can significantly reduce energy usage, leading to more sustainable operations.
“Our customer-centric approach is pivotal in ensuring solutions are precisely aligned with the unique needs of the cement industry. With deep industry and domain expertise, our technical teams fully understand the specific challenges and requirements inherent in cement manufacturing. This knowledge allows us to offer tailored solutions that address the operational demands of the sector effectively. We engage closely with our customers to gain insights into their specific needs and operational contexts, leading to the creation and implementation of customised solutions. These solutions, designed with flexibility, allow seamless integration with existing plant infrastructure and processes and minimises disruptions during implementation, ensuring that new technologies enhance rather than disrupt current operations,” says Neeraj Kulkarni, Regional Division President – India, MEA & LatAm, Large Motors & Generators Division, ABB India.
“Furthermore, our commitment to continuous improvement is reflected in our iterative innovation process. By actively seeking and incorporating customer feedback, we refine and enhance our solutions to address emerging challenges and capitalise on new opportunities within the cement industry,” he adds.
The role of technology in managing energy efficiency extends beyond maintenance and machinery customisation. Digital solutions, such as energy management systems (EMS), IoT sensors, and artificial intelligence, provide real-time insights into energy consumption patterns. These technologies allow cement plants to monitor and optimise energy use across all stages of production, from raw material processing to clinker production and cement grinding. By leveraging these tools, plants can identify inefficiencies, implement corrective actions, and continuously improve their energy performance.

Challenges in Achieving Energy Efficiency
Achieving energy efficiency in cement manufacturing is a complex challenge due to several interrelated factors. One of the primary challenges is the inherent energy-intensive nature of the cement production process, particularly in the kiln operation where high temperatures are required to produce clinker. This stage consumes a significant amount of thermal energy, making it difficult to drastically reduce energy usage without compromising product quality.
The availability and cost of alternative fuels and raw materials also pose challenges. While alternative fuels can reduce energy consumption, their consistent supply and cost-effectiveness vary across regions, making it difficult for some plants to rely on them as a stable energy source. Furthermore, operational complexities such as fluctuating demand, varying raw material quality, and the need to maintain continuous production can limit the flexibility to implement energy-saving measures.
Finally, the regulatory environment can be both a motivator and a challenge. Stricter environmental regulations push companies towards energy efficiency, but compliance with these regulations often requires additional investments in technology and processes.
While the benefits of energy efficiency in cement manufacturing are clear, overcoming these challenges requires a balanced approach that considers both technological advancements and economic feasibility.

Conclusion
Energy efficiency is a critical component of sustainable cement manufacturing, offering significant benefits in terms of cost reduction, environmental impact, and regulatory compliance. However, achieving energy efficiency in this energy-intensive industry presents several challenges, from the inherent demands of the production process to the complexities of upgrading aging infrastructure and integrating
new technologies.
The adoption of alternative fuels and raw materials (AFR) has shown promise in reducing energy consumption, but consistent supply and cost remain obstacles. Similarly, renewable energy integration, while essential for long-term sustainability, requires significant investment and careful management to overcome the variability of energy supply.
Predictive maintenance and the use of advanced technology play pivotal roles in optimising energy use, allowing cement plants to operate more efficiently and with reduced downtime. By understanding the specific needs of consumer machinery, manufacturers can tailor solutions that further enhance energy efficiency, aligning operations with both economic and environmental goals.
Despite these challenges, the cement industry is gradually moving towards a more energy-efficient future. The integration of digital solutions, renewable energy, and innovative maintenance practices are paving the way for a more sustainable and cost-effective production process. As the industry continues to evolve, the focus on energy efficiency will be crucial in driving progress towards a low-carbon economy and ensuring the long-term viability of cement manufacturing.

– Kanika Mathur

Concrete

Cement Industry Backs Co-Processing to Tackle Global Waste

Industry bodies recently urged policy support for cement co-processing as waste solution

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Leading industry bodies, including the Global Cement and Concrete Association (GCCA), European Composites Industry Association, International Solid Waste Association – Africa, Mission Possible Partnership and the Global Waste-to-Energy Research and Technology Council, have issued a joint statement highlighting the cement industry’s potential role in addressing the growing global challenge of non-recyclable and non-reusable waste. The organisations have called for stronger policy support to unlock the full potential of cement industry co-processing as a safe, effective and sustainable waste management solution.
Co-processing enables both energy recovery and material recycling by using suitable waste to replace fossil fuels in cement kilns, while simultaneously recycling residual ash into the cement itself. This integrated approach delivers a zero-waste solution, reduces landfill dependence and complements conventional recycling by addressing waste streams that cannot be recycled or are contaminated.
Already recognised across regions including Europe, India, Latin America and North America, co-processing operates under strict regulatory and technical frameworks to ensure high standards of safety, emissions control and transparency.
Commenting on the initiative, Thomas Guillot, Chief Executive of the GCCA, said co-processing offers a circular, community-friendly waste solution but requires effective regulatory frameworks and supportive public policy to scale further. He noted that while some cement kilns already substitute over 90 per cent of their fuel with waste, many regions still lack established practices.
The joint statement urges governments and institutions to formally recognise co-processing within waste policy frameworks, support waste collection and pre-treatment, streamline permitting, count recycled material towards national recycling targets, and provide fiscal incentives that reflect environmental benefits. It also calls for stronger public–private partnerships and international knowledge sharing.
With global waste generation estimated at over 11 billion tonnes annually and uncontrolled municipal waste projected to rise sharply by 2050, the signatories believe co-processing represents a practical and scalable response. With appropriate policy backing, it can help divert waste from landfills, reduce fossil fuel use in cement manufacturing and transform waste into a valuable societal resource.    

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Concrete

Industry Bodies Call for Wider Use of Cement Co-Processing

Joint statement seeks policy support for sustainable waste management

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Leading industry organisations have called for stronger policy support to accelerate the adoption of cement industry co-processing as a sustainable solution for managing non-recyclable and non-reusable waste. In a joint statement, bodies including the Global Cement and Concrete Association, European Composites Industry Association, International Solid Waste Association – Africa, Mission Possible Partnership and the Global Waste-to-Energy Research and Technology Council highlighted the role co-processing can play in addressing the growing global waste challenge.
Co-processing enables the use of waste as an alternative to fossil fuels in cement kilns, while residual ash is incorporated into cementitious materials, resulting in a zero-waste process. The approach supports both energy recovery and material recycling, complements conventional recycling systems and reduces reliance on landfill infrastructure. It is primarily applied to waste streams that are contaminated or unsuitable for recycling.
The organisations noted that co-processing is already recognised in regions such as Europe, India, Latin America and North America, operating under regulated frameworks to ensure safety, emissions control and transparency. However, adoption remains uneven globally, with some plants achieving over 90 per cent fuel substitution while others lack enabling policies.
The statement urged governments and institutions to formally recognise co-processing in waste management frameworks, streamline environmental permitting, incentivise waste collection and pre-treatment, account for recycled material content in national targets, and support public-private partnerships. The call comes amid rising global waste volumes, which are estimated at over 11 billion tonnes annually, with unmanaged waste contributing to greenhouse gas emissions, pollution and health risks.

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Concrete

Why Cement Needs CCUS

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Cement’s deep decarbonisation cannot be achieved through efficiency and fuel switching alone, making CCUS essential to address unavoidable process emissions from calcination. ICR explores if with the right mix of policy support, shared infrastructure, and phased scale-up from pilots to clusters, CCUS can enable India’s cement industry to align growth with its net-zero ambitions.

Cement underpins modern development—from housing and transport to renewable energy infrastructure—but it is also one of the world’s most carbon-intensive materials, with global production of around 4 billion tonnes per year accounting for 7 to 8 per cent of global CO2 emissions, according to the GCCA. What makes cement uniquely hard to abate is that 60 to 65 per cent of its emissions arise from limestone calcination, a chemical process that releases CO2 irrespective of the energy source used; the IPCC Sixth Assessment Report (AR6) therefore classifies cement as a hard-to-abate sector, noting that even fully renewable-powered kilns would continue to emit significant process emissions. While the industry has achieved substantial reductions over the past two decades through energy efficiency, alternative fuels and clinker substitution using fly ash, slag, and calcined clays, studies including the IEA Net Zero Roadmap and GCCA decarbonisation pathways show these levers can deliver only 50 to 60 per cent emissions reduction before reaching technical and material limits, leaving Carbon Capture, Utilisation and Storage (CCUS) as the only scalable and durable option to address remaining calcination emissions—an intervention the IPCC estimates will deliver nearly two-thirds of cumulative cement-sector emission reductions globally by mid-century, making CCUS a central pillar of any credible net-zero cement pathway.

Process emissions vs energy emissions
Cement’s carbon footprint is distinct from many other industries because it stems from two sources: energy emissions and process emissions. Energy emissions arise from burning fuels to heat kilns to around 1,450°C and account for roughly 35 to 40 per cent of total cement CO2 emissions, according to the International Energy Agency (IEA). These can be progressively reduced through efficiency improvements, alternative fuels such as biomass and RDF, and electrification supported by renewable power. Over the past two decades, such measures have delivered measurable gains, with global average thermal energy intensity in cement production falling by nearly 20 per cent since 2000, as reported by the IEA and GCCA.
The larger and more intractable challenge lies in process emissions, which make up approximately 60 per cent to 65 per cent of cement’s total CO2 output. These emissions are released during calcination, when limestone (CaCO3) is converted into lime (CaO), inherently emitting CO2 regardless of fuel choice or energy efficiency—a reality underscored by the IPCC Sixth Assessment Report (AR6). Even aggressive clinker substitution using fly ash, slag, or calcined clays is constrained by material availability and performance requirements, typically delivering 20 to 40 per cent emissions reduction at best, as outlined in the GCCA–TERI India Cement Roadmap and IEA Net Zero Scenario. This structural split explains why cement is classified as a hard-to-abate sector and why incremental improvements alone are insufficient; as energy emissions decline, process emissions will dominate, making Carbon Capture, Utilisation and Storage (CCUS) a critical intervention to intercept residual CO2 and keep the sector’s net-zero ambitions within reach.

Where CCUS stands today
Globally, CCUS in cement is moving from concept to early industrial reality, led by Europe and North America, with the IEA noting that cement accounts for nearly 40 per cent of planned CCUS projects in heavy industry, reflecting limited alternatives for deep decarbonisation; a flagship example is Heidelberg Materials’ Brevik CCS project in Norway, commissioned in 2025, designed to capture about 400,000 tonnes of CO2 annually—nearly half the plant’s emissions—with permanent offshore storage via the Northern Lights infrastructure (Reuters, Heidelberg Materials), alongside progress at projects in the UK, Belgium, and the US such as Padeswood, Lixhe (LEILAC), and Ste. Genevieve, all enabled by strong policy support, public funding, and shared transport-and-storage infrastructure.
These experiences show that CCUS scales fastest when policy support, infrastructure availability, and risk-sharing mechanisms align, with Europe bridging the viability gap through EU ETS allowances, Innovation Fund grants, and CO2 hubs despite capture costs remaining high at US$ 80-150 per tonne of CO2 (IEA, GCCA); India, by contrast, is at an early readiness stage but gaining momentum through five cement-sector CCU testbeds launched by the Department of Science and Technology (DST) under academia–industry public–private partnerships involving IITs and producers such as JSW Cement, Dalmia Cement, and JK Cement, targeting 1-2 tonnes of CO2 per day to validate performance under Indian conditions (ETInfra, DST), with the GCCA–TERI India Roadmap identifying the current phase as a foundation-building decade essential for achieving net-zero by 2070.
Amit Banka, Founder and CEO, WeNaturalists, says “Carbon literacy means more than understanding that CO2 harms the climate. It means cement professionals grasping why their specific plant’s emissions profile matters, how different CCUS technologies trade off between energy consumption and capture rates, where utilisation opportunities align with their operational reality, and what governance frameworks ensure verified, permanent carbon sequestration. Cement manufacturing contributes approximately 8 per cent of global carbon emissions. Addressing this requires professionals who understand CCUS deeply enough to make capital decisions, troubleshoot implementation challenges, and convince boards to invest substantial capital.”

Technology pathways for cement
Cement CCUS encompasses a range of technologies, from conventional post-combustion solvent-based systems to process-integrated solutions that directly target calcination, each with different energy requirements, retrofit complexity, and cost profiles. The most mature option remains amine-based post-combustion capture, already deployed at industrial scale and favoured for early cement projects because it can be retrofitted to existing flue-gas streams; however, capture costs typically range from US$ 60-120 per tonne of CO2, depending on CO2 concentration, plant layout, and energy integration.
Lovish Ahuja, Chief Sustainability Officer, Dalmia Cement (Bharat), says, “CCUS in Indian cement can be viewed through two complementary lenses. If technological innovation, enabling policies, and societal acceptance fail to translate ambition into action, CCUS risks becoming a significant and unavoidable compliance cost for hard-to-abate sectors such as cement, steel, and aluminium. However, if global commitments under the Paris Agreement and national targets—most notably India’s Net Zero 2070 pledge—are implemented at scale through sustained policy and industry action, CCUS shifts from a future liability to a strategic opportunity. In that scenario, it becomes a platform for technological leadership, long-term competitiveness, and systemic decarbonisation rather than merely a regulatory burden.”
“Accelerating CCUS adoption cannot hinge on a single policy lever; it demands a coordinated ecosystem approach. This includes mission-mode governance, alignment across ministries, and a mix of enabling instruments such as viability gap funding, concessional and ESG-linked finance, tax incentives, and support for R&D, infrastructure, and access to geological storage. Importantly, while cement is largely a regional commodity with limited exportability due to its low value-to-weight ratio, CCUS innovation itself can become a globally competitive export. By developing, piloting, and scaling cost-effective CCUS solutions domestically, India can not only decarbonise its own cement industry but also position itself as a supplier of affordable CCUS technologies and services to cement markets worldwide,” he adds.
Process-centric approaches seek to reduce the energy penalty associated with solvent regeneration by altering where and how CO2 is separated. Technologies such as LEILAC/Calix, which uses indirect calcination to produce a high-purity CO2 stream, are scaling toward a ~100,000 tCO2 per year demonstrator (LEILAC-2) following successful pilots, while calcium looping leverages limestone chemistry to achieve theoretical capture efficiencies above 90 per cent, albeit still at pilot and demonstration stages requiring careful integration. Other emerging routes—including oxy-fuel combustion, membrane separation, solid sorbents, and cryogenic or hybrid systems—offer varying trade-offs between purity, energy use, and retrofit complexity; taken together, recent studies suggest that no single technology fits all plants, making a multi-technology, site-specific approach the most realistic pathway for scaling CCUS across the cement sector.
Yash Agarwal, Co-Founder, Carbonetics Carbon Capture, says, “We are fully focused on CCUS, and for us, a running plant is a profitable plant. What we have done is created digital twins that allow operators to simulate and resolve specific problems in record time. In a conventional setup, when an issue arises, plants often have to shut down operations and bring in expert consultants. What we offer instead is on-the-fly consulting. As soon as a problem is detected, the system automatically provides a set of potential solutions that can be tested on a running plant. This approach ensures that plant shutdowns are avoided and production is not impacted.”

The economics of CCUS
Carbon Capture, Utilisation and Storage (CCUS) remains one of the toughest economic hurdles in cement decarbonisation, with the IEA estimating capture costs of US$ 80-150 per tonne of CO2, and full-system costs raising cement production by US$ 30-60 per tonne, potentially increasing prices by 20 to 40 per cent without policy support—an untenable burden for a low-margin, price-sensitive industry like India’s.
Global experience shows CCUS advances beyond pilots only when the viability gap is bridged through strong policy mechanisms such as EU ETS allowances, Innovation Fund grants, and carbon Contracts for Difference (CfDs), yet even in Europe few projects have reached final investment decision (GCCA); India’s lack of a dedicated CCUS financing framework leaves projects reliant on R&D grants and balance sheets, reinforcing the IEA Net Zero Roadmap conclusion that carbon markets, green public procurement, and viability gap funding are essential to spread costs across producers, policymakers, and end users and prevent CCUS from remaining confined to demonstrations well into the 2030s.

Utilisation or storage
Carbon utilisation pathways are often the first entry point for CCUS in cement because they offer near-term revenue potential and lower infrastructure complexity. The International Energy Agency (IEA) estimates that current utilisation routes—such as concrete curing, mineralisation into aggregates, precipitated calcium carbonate (PCC), and limited chemical conversion—can realistically absorb only 5 per cent to 10 per cent of captured CO2 at a typical cement plant. In India, utilisation is particularly attractive for early pilots as it avoids the immediate need for pipelines, injection wells, and long-term liability frameworks. Accordingly, Department of Science and Technology (DST)–supported cement CCU testbeds are already demonstrating mineralisation and CO2-cured concrete applications at 1–2 tonnes of CO2 per day, validating performance, durability, and operability under Indian conditions.
However, utilisation faces hard limits of scale and permanence. India’s cement sector emits over 200 million tonnes of CO2 annually (GCCA), far exceeding the absorptive capacity of domestic utilisation markets, while many pathways—especially fuels and chemicals—are energy-intensive and dependent on costly renewable power and green hydrogen. The IPCC Sixth Assessment Report (AR6) cautions that most CCU routes do not guarantee permanent storage unless CO2 is mineralised or locked into long-lived materials, making geological storage indispensable for deep decarbonisation. India has credible storage potential in deep saline aquifers, depleted oil and gas fields, and basalt formations such as the Deccan Traps (NITI Aayog, IEA), and hub-based models—where multiple plants share transport and storage infrastructure—can reduce costs and improve bankability, as seen in Norway’s Northern Lights project. The pragmatic pathway for India is therefore a dual-track approach: utilise CO2 where it is economical and store it where permanence and scale are unavoidable, enabling early learning while building the backbone for net-zero cement.

Policy, infrastructure and clusters
Scaling CCUS in the cement sector hinges on policy certainty, shared infrastructure, and coordinated cluster development, rather than isolated plant-level action. The IEA notes that over 70 per cent of advanced industrial CCUS projects globally rely on strong government intervention—through carbon pricing, capital grants, tax credits, and long-term offtake guarantees—with Europe’s EU ETS, Innovation Fund, and carbon Contracts for Difference (CfDs) proving decisive in advancing projects like Brevik CCS. In contrast, India lacks a dedicated CCUS policy framework, rendering capture costs of USD 80–150 per tonne of CO2 economically prohibitive without state support (IEA, GCCA), a gap the GCCA–TERI India Cement Roadmap highlights can be bridged through carbon markets, viability gap funding, and green public procurement.
Milan R Trivedi, Vice President, Shree Digvijay Cement, says, “CCUS represents both an unavoidable near-term compliance cost and a long-term strategic opportunity for Indian cement producers. While current capture costs of US$ 100-150 per tonne of CO2 strain margins and necessitate upfront retrofit investments driven by emerging mandates and NDCs, effective policy support—particularly a robust, long-term carbon pricing mechanism with tradable credits under frameworks like India’s Carbon Credit Trading Scheme (CCTS)—can de-risk capital deployment and convert CCUS into a competitive advantage. With such enablers in place, CCUS can unlock 10 per cent to 20 per cent green price premiums, strengthen ESG positioning, and allow Indian cement to compete in global low-carbon markets under regimes such as the EU CBAM, North America’s buy-clean policies, and Middle Eastern green procurement, transforming compliance into export-led leadership.”
Equally critical is cluster-based CO2 transport and storage infrastructure, which can reduce unit costs by 30 to 50 per cent compared to standalone projects (IEA, Clean Energy Ministerial); recognising this, the DST has launched five CCU testbeds under academia–industry public–private partnerships, while NITI Aayog works toward a national CCUS mission focused on hubs and regional planning. Global precedents—from Norway’s Northern Lights to the UK’s HyNet and East Coast clusters—demonstrate that CCUS scales fastest when governments plan infrastructure at a regional level, making cluster-led development, backed by early public investment, the decisive enabler for India to move CCUS from isolated pilots to a scalable industrial solution.
Paul Baruya, Director of Strategy and Sustainability, FutureCoal, says, “Cement is a foundational material with a fundamental climate challenge: process emissions that cannot be eliminated through clean energy alone. The IPCC is clear that in the absence of a near-term replacement of Portland cement chemistry, CCS is essential to address the majority of clinker-related emissions. With global cement production at around 4 gigatonnes (Gt) and still growing, cement decarbonisation is not a niche undertaking, it is a large-scale industrial transition.”

From pilots to practice
Moving CCUS in cement from pilots to practice requires a sequenced roadmap aligning technology maturity, infrastructure development, and policy support: the IEA estimates that achieving net zero will require CCUS to scale from less than 1 Mt of CO2 captured today to over 1.2 Gt annually by 2050, while the GCCA Net Zero Roadmap projects CCUS contributing 30 per cent to 40 per cent of total cement-sector emissions reductions by mid-century, alongside efficiency, alternative fuels, and clinker substitution.
MM Rathi, Joint President – Power Plants, Shree Cement, says, “The Indian cement sector is currently at a pilot to early demonstration stage of CCUS readiness. A few companies have initiated small-scale pilots focused on capturing CO2 from kiln flue gases and exploring utilisation routes such as mineralisation and concrete curing. CCUS has not yet reached commercial integration due to high capture costs (US$ 80-150 per tonne of CO2), lack of transport and storage infrastructure, limited access to storage sites, and absence of long-term policy incentives. While Europe and North America have begun early commercial deployment, large-scale CCUS adoption in India is more realistically expected post-2035, subject to enabling infrastructure and policy frameworks.”
Early pilots—such as India’s DST-backed CCU testbeds and Europe’s first commercial-scale plants—serve as learning platforms to validate integration, costs, and operational reliability, but large-scale deployment will depend on cluster-based scale-up, as emphasised by the IPCC AR6, which highlights the need for early CO2 transport and storage planning to avoid long-term emissions lock-in. For India, the GCCA–TERI India Roadmap identifies CCUS as indispensable for achieving net-zero by 2070, following a pragmatic pathway: pilot today to build confidence, cluster in the 2030s to reduce costs, and institutionalise CCUS by mid-century so that low-carbon cement becomes the default, not a niche, in the country’s infrastructure growth.

Conclusion
Cement will remain indispensable to India’s development, but its long-term viability hinges on addressing its hardest emissions challenge—process CO2 from calcination—which efficiency gains, alternative fuels, and clinker substitution alone cannot eliminate; global evidence from the IPCC, IEA, and GCCA confirms that Carbon Capture, Utilisation and Storage (CCUS) is the only scalable pathway capable of delivering the depth of reduction required for net zero. With early commercial projects emerging in Europe and structured pilots underway in India, CCUS has moved beyond theory into a decisive decade where learning, localisation, and integration will shape outcomes; however, success will depend less on technology availability and more on collective execution, including coordinated policy frameworks, shared transport and storage infrastructure, robust carbon markets, and carbon-literate capabilities.
For India, a deliberate transition from pilots to practice—anchored in cluster-based deployment, supported by public–private partnerships, and aligned with national development and climate goals—can transform CCUS from a high-cost intervention into a mainstream industrial solution, enabling the cement sector to keep building the nation while sharply reducing its climate footprint.

– Kanika Mathur

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