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Adopting CCUS technologies requires breaking silos

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Neelam Pandey Pathak, Founder and CEO, Social Bay Consulting and Rozgar Dhaba, shares insights on how CCUS can revolutionise the cement industry’s approach to sustainability.

A holistic approach towards sustainability is the need of the hour for the cement sector. With Carbon Capture, Utilisation and Storage (CCUS) emerging as a strategic solution for the issue of emissions, Neelam Pandey Pathak, Founder and CEO, Social Bay Consulting and Rozgar Dhaba, discusses the key challenges, investments and the role of cross-functional collaboration in accelerating CCUS adoption. Drawing from her expertise in ESG and sustainability, she also highlights the importance of inclusive leadership in driving green innovation.

With your extensive experience in driving innovation across industries, how do you see CCUS transforming the cement sector?
The cement industry is a cornerstone of global infrastructure, with an annual production of over 4 billion tonnes globally and around 370 million tonnes in India in 2023. It contributes to approximately seven to eight per cent of global CO2 emissions, making it one of the most significant industrial contributors to climate change. As nations strive to meet their net zero targets, the industry faces increasing pressure to innovate and adopt green technologies. Carbon Capture, Utilisation and Storage (CCUS) has emerged as a transformative technology that holds the potential to revolutionise cement manufacturing by addressing its carbon footprint while supporting global sustainability goals.
CCUS has the potential to be a game-changer for the cement industry, which accounts for about seven to eight per cent of global CO2 emissions. It addresses one of the sector’s most significant challenges—emissions from clinker production. By capturing CO2 at the source and either storing it or repurposing it into value-added products, CCUS not only reduces the carbon footprint but also creates new economic opportunities.
Globally, companies like Heidelberg Materials are pioneering CCUS adoption through projects such as the Brevik Cement Plant in Norway, which aims to capture 400,000 tonnes of CO2 annually. In India, Dalmia Cement is exploring CCUS to meet its carbon-negative goal by 2040. By integrating CCUS, the cement industry can align with global climate goals, enhance sustainability and foster a circular economy.

Given your expertise in ESG and sustainability, what are the key challenges in aligning CCUS initiatives with corporate sustainability goals?
Aligning CCUS with corporate sustainability goals involves several challenges:

  • High costs: The cost of carbon capture, which ranges between $40 and $120 per tonne, is a significant hurdle, especially for smaller players.
  • Policy gaps: While some countries have robust CCUS policies, India still lacks comprehensive frameworks, subsidies, or carbon pricing mechanisms to incentivise adoption.
  • Integration challenges: Incorporating CCUS into broader sustainability frameworks, such as the UN SDGs or science-based targets, requires a cohesive approach that balances technical, financial and operational considerations.
  • Data availability and standardisation: Reliable and consistent data on CO2 emissions, capture rates and storage volumes are crucial for accurate life-cycle assessments and effective monitoring, verification and reporting.
  • Technological maturity: While advancements are being made, many CCUS technologies are still under development and require further research and optimisation to achieve commercial viability and scalability.

To address these challenges, cement companies must engage with policymakers, leverage government incentives and prioritise R&D to lower technology costs.

How can cross-functional teams and global collaboration accelerate the adoption of CCUS technologies in cement manufacturing?
Adopting CCUS technologies requires breaking silos and fostering collaboration across functions and geographies.

  • Cross-functional teams: By involving R&D, operations, finance and sustainability teams, companies can identify synergies between CCUS and existing initiatives, optimising resources and reducing implementation timelines.
  • Global collaboration: Partnerships with global organisations like the Global Cement and Concrete Association (GCCA) enable knowledge-sharing and joint innovation. For instance, European countries are collaborating on CO2 transport and storage infrastructure through projects like Northern Lights.
  • Supply chain collaboration: Engaging with suppliers, customers, and other stakeholders across the value chain can facilitate the development of integrated CCUS solutions and create a more sustainable and resilient
    supply chain.

In India, international collaborations can also provide funding and technical expertise, accelerating CCUS adoption in a cost-effective manner.

Drawing from your strategic planning experience, what should be the key focus areas for cement companies investing in CCUS?
Cement companies should focus on the following areas to maximise the impact of their CCUS investments:

  • Research and development: Innovating to make CCUS technologies more cost-effective and efficient is critical. Global leaders like Lafarge Holcim are setting benchmarks by dedicating substantial resources to CCUS R&D.
  • Pilot projects: Testing CCUS technology in local contexts helps identify potential barriers and refine implementation strategies.
  • Policy advocacy: Companies must actively lobby for carbon credits, tax incentives and supportive regulations to make CCUS projects financially viable.
  • Public-private partnerships: Collaborations with government bodies, similar to the US’s 45Q tax credit for CCUS, can help scale projects in India.
  • Lifecycle assessment: Conduct comprehensive lifecycle assessments to evaluate the environmental and economic impacts of CCUS projects throughout their entire lifecycle.
  • Risk management: Develop robust risk management strategies to address potential challenges, such as technological uncertainties, market fluctuations and regulatory changes.

By focusing on these areas, companies can position themselves as sustainability leaders while contributing to national and global climate goals.

From a programme management perspective, what factors are critical for successfully implementing large scale CCUS projects in cement plants?
Successful implementation of large scale CCUS projects hinges on several factors:
1. Stakeholder engagement: Gaining buy-in from local communities, governments and industry stakeholders is critical for project success.
2. Infrastructure development: Building infrastructure for CO2 transport and storage, such as pipelines and storage sites, is a prerequisite.
3. Monitoring and reporting: Advanced monitoring systems ensure transparency and compliance, building trust among stakeholders.
4. Risk management: Identifying and mitigating risks related to technology, finance and operations is essential for ensuring project viability.
For instance, Europe’s Northern Lights project exemplifies the importance of robust infrastructure and stakeholder collaboration in scaling CCUS technologies.

How can lessons from the automotive and wind energy sectors inform the cement industry’s approach to carbon reduction through CCUS?
The automotive and wind energy sectors offer valuable lessons for the cement industry:

1. Technology innovation: Both sectors have achieved scalability through continuous innovation and standardisation. Cement companies can follow a similar trajectory by establishing technology hubs for CCUS research.
2. Policy incentives: Government incentives, such as subsidies for electric vehicles and tax credits for wind projects, have been critical to driving adoption. The cement industry can lobby for similar financial support for CCUS.
3. Supply chain optimisation: Optimised supply chains in these sectors have reduced costs and improved efficiency. The cement industry can adopt modular CCUS systems and localised CO2 storage solutions to minimise transportation challenges.
By leveraging these insights, the cement industry can accelerate its journey towards carbon neutrality.

What role do you see for diversity and inclusive leadership in driving innovation and adoption of green technologies like CCUS in the cement industry?
Diversity and inclusivity are crucial for fostering innovation in green technologies like CCUS.
Diverse teams bring unique perspectives and creative solutions, enhancing problem-solving and decision-making capabilities.

  • Empowering women: Encouraging women to take leadership roles in sustainability can unlock untapped potential. For example, platforms like WIMA (Women in Manufacturing and Allied sectors) provide mentorship and upskilling opportunities, empowering women to contribute to green innovation in cement.
  • Inclusive culture: Companies with inclusive leadership are more likely to embrace transformative technologies, as they create environments where all ideas are valued.
  • Ethical considerations: Diverse and inclusive teams are better equipped to address the ethical and social implications of CCUS technologies and ensure that these technologies are developed and deployed in a responsible and equitable manner.

Organisations like Dalmia Cement are already promoting diversity in leadership, setting a precedent for the industry. By embracing inclusivity, the cement sector can drive meaningful change while fostering innovation.
CCUS is poised to revolutionise the cement industry by addressing its carbon footprint and aligning with global climate goals. While challenges remain, collaborative efforts, strategic investments and inclusive leadership can unlock the potential of CCUS technologies.

By learning from other industries and leveraging global partnerships, the cement sector can transform its operations, setting an example for other high-emission industries to follow. As the world moves towards net zero emissions, CCUS offers a promising pathway for a sustainable future.

Concrete

Cement Prices To Hold Steady Amid Monsoon Slump

Centrum report says demand weakness will limit hikes

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Centrum, a financial services firm, has reported that cement prices are likely to remain largely unchanged in July as weak demand during the monsoon season constrains pricing power. The report noted that construction activity remained subdued in the first quarter of fiscal year 2027 owing to labour shortages and slower execution of government projects. While June showed some volume recovery driven by delayed monsoons and quarter end sales, dealers are cautious about sustaining any price increases.

The analysis suggested that seasonal slowdown related to monsoon will prolong demand and pricing challenges through the second quarter. Dealers saw most recent attempts at price hikes as protective measures rather than genuine shifts in market fundamentals. They signalled that pockets of demand in select regions could prompt isolated adjustments but that broad based increases were unlikely while construction activity remained weak. Market participants therefore expected a cautious stance on pricing.

The report highlighted that despite intermittent recovery in shipments during June, the underlying demand trajectory remained muted as monsoon hampered site level activity and logistics. Commercial builders and retail dealers both reported constrained order books and slower payment cycles, which in turn reduced room for margin expansion among manufacturers. Analysts noted that unless government project execution accelerates markedly, demand improvement would be gradual. Price setters were thus likely to focus on protecting market shares rather than pursuing aggressive increases.

Market watchers said the near term outlook would be shaped by monsoon progress and fiscal spending patterns, with any acceleration in public works offering the most tangible support. Traders expected that regional variations would persist and that trade flows between surplus and deficit centres would determine local price movements. The report concluded that stakeholders should prepare for a period of subdued pricing until demand signals strengthen.

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Concrete

Cement Prices Set To Stay Under Pressure In July

Monsoon and weak demand keep prices under strain

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A report by Centrum said cement prices are expected to remain largely flat in July as the monsoon and weak demand weigh on the sector. The report said demand during the first quarter of FY27 remained range-bound and below expectations, with dealers across markets pointing to subdued construction activity, labour shortages, elections, heatwaves and slower execution of government projects as key reasons. It noted that some recovery was witnessed in June due to delayed onset of the monsoon and quarter-end volume push.\n\nDealers across most markets do not expect any meaningful price increases in July, the report said, adding that attempts to raise prices in some markets are aimed at defending existing levels rather than achieving significant gains. The sharp correction following the rollback of April hikes has largely played out across most regions, limiting scope for further immediate increases. Seasonal slowdown in construction activity during the monsoon is expected to continue affecting demand and pricing in the coming months.\n\nCentrum indicated that pricing pressure is likely to persist through the second quarter of FY27 as monsoon-related softness continues. Dealers remain cautious about sustainability of any price rise attempts and do not rule out further weakness during the peak monsoon period. The combination of subdued demand and seasonal factors is likely to constrain the industry’s ability to raise prices in the near term. While June saw some improvement in volumes because of delayed rains and quarter-end sales efforts, the broader demand environment remains challenging.\n\nCement companies are therefore expected to focus on maintaining current price levels rather than pursuing aggressive increases as the sector navigates weak demand and seasonal headwinds. The report suggested that unless demand conditions improve significantly, limited scope will exist for meaningful price recovery. Market participants remain watchful for any shifts in execution of infrastructure projects or construction activity that could alter the outlook.

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Concrete

TARIL Secures Ultra Mega Transformer Order From PGCIL

Order for manufacturing transformers to be delivered in 30 months

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Transformers and Rectifiers (India) Limited has received Notifications of Awards from Power Grid Corporation of India Limited (PGCIL) for multiple contracts to manufacture transformers and undertake associated works. The company submitted the disclosure to BSE and the National Stock Exchange under Regulation 30 of the SEBI Listing Regulations. The submission cited security code 532928 and trading symbol TARIL, and the filings cite the award reference and confirm execution in accordance with the terms and conditions stipulated in the notifications.

The contracts are described as an Ultra Mega Order under the company classification, indicating a value at or above Rs 10 billion (bn) on conversion. The filing identifies the contracts as domestic orders and specifies a scheduled delivery period of 30 months. The scope covers manufacturing of transformers of various ratings together with all associated work. The order size places it in the highest project classification defined in the company’s disclosure.

The disclosure states that the promoter group and group companies have no interest in the awarding entity and that the contracts do not constitute related party transactions. The company noted that the awards will be executed in the normal course of business and not fall within related party transactions. The document reiterates that the company is committed to delivering high quality products and services and has established itself as a leading manufacturer of transformers in the country over time.

Chief Financial Officer Mehul Shah authorised the filing and requested the exchanges to take the information on record, with the company providing the requisite filing reference in its submission. The company indicated that the orders will be executed as per the notifications of awards and the applicable regulatory framework. The original filing is available on the stock exchange portal at the provided link.

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