Environment
From projects to assets, and towards sustainability
Published
4 years agoon
By
adminWhy do we plan and execute projects? Why does anyone think of any project at all? What makes public and private bodies invest money into projects? All this is done, to create assets for ourselves, assets which give us value through their useful lives, and thus, give us returns on our investments. So, quite clearly, a project is not an end in itself, the end really is the asset that the project is striving to set-up. And, the most important thing to note, is that this asset has to serve its intended purpose, and must be “sustainable” till the end of its normal life term. These two are not ??r??conditions, but are ??nd??conditions ??both have to happen. A project manager like me, may pat himself on his back, and give a few twirls to his or her(?) moustache, having successfully planned and executed a project, but the reality is that the great battle (of sustainability) starts henceforth.
I have very intense views on sustainability of assets. About 20 years back, on my way to my workplace, I used to be treated everyday to the forlorn sight of an abandoned, dilapidated three-storied building with a largish compound, and boundary wall, complete with a gate, etc. The building, which evidently was originally nicely planned, and was once beautiful, was now devoid of plastering, brickwork almost crumbling, all doors and windows stolen, and shrubs growing all over. There was a huge signboard near the gate, pompously announcing that this big charitable hospital(?) was so kindly built by the Lions Club of so and so, and proudly dedicated to the citizens of the city. In fact, the only thing well maintained in the whole precinct was this proud and comical billboard. I am giving you such a graphic description of this image, because this image left an indelible mark in my mind, making me promise to myself, that I shall never in my life do a project, or even help to do a project, that creates unsustainable assets ??simply because, there is no point in doing it. I have very very strong feelings about this abject futility.
Perhaps the concept of sustainability, in this context, needs to be explained a little more in detail. Let us take the example of this failed hospital. It could well be, that the project team felt happy when they presumably completed this hospital in time, and in all likelihood, the hospital started well, and initially even served the people as expected. I imagine that no one gave a thought to generation of resources needed for upkeep and maintenance and running expenses of the charitable hospital. At some point in time, the hospital must have become unsustainable to run, and folded up! All the capex money spent on creating the asset was down the proverbial drain, only because nobody thought of the opex, where it will come from. There is no logic whatsoever in creating assets of these kind.
The concept of sustainability originally argued to bring about a balance among the three symbolic pillars of people, profit and planet. A project (asset) will be sustainable when it makes economic sense (viable), when it adds value to the society (useful) and last, but not the least, it is not harmful to the environment. So, clearly, it is a concept which transcends the yardstick of viability alone.
According to my experience, it is mostly the public projects which become unsustainable, because of lack of vision of our public leaders and their inability to think beyond the populist actions of foundation stones and inauguration plaques. Examples are strewn all around us. Look at the numerous vandalised bus shelters, unkempt office buildings, ill-maintained roads, cracked bridges and culverts, saplings destroyed by cattle, pilfered waste bins, and many more such painful items. These are strikingly hard-hitting examples of lack of protection, lack of upkeep, and lack of maintenance ??utter lack of any thought whatsoever, beyond spending the capex to just create the assets. Recently, I learnt from a newspaper article, that 30 to 60 per cent of all medical devices (like machines for x-ray, ultrasonography, CT scan, MRI, ECG, EEG, etc.) installed in State and Central government hospitals in our country, valued at approximately Rs 10,000 crore, are lying out of order and defunct*. Why am I not surprised? From another newspaper report, we gather that a spanking new Railway Nursing College building constructed in Taratola, and already abandoned because of unviability, has now become a playground of street urchins by the day, and a den of criminals by the night. Are you shocked? Don?? be, because this is more the rule, than an exception.
Going beyond the process of constructing an asset, we have to spare a thought regarding how the asset will be :
-
Protected
-
Maintained
Let us focus on maintenance, to begin with. As an empirical thumb rule, a civil construction like a building needs 2.5 to 5 per cent of its capital expenditure every year on an average, for adequately carrying out maintenance activities like repairs, water-proofing, grouting, and painting as per recommended frequency. For an industrial asset like a factory, which also includes electrical and mechanical machinery, this maintenance outlay may be even higher, say 5 to 7 per cent of the capital cost per year, because this will include the cost of spares as well. Over the long life-span of such assets (may be 20/30 years), these maintenance budgets are also expected to escalate due to inflationary impact. Many project owners do not really care about all these calculations and provisions, because, we have this inner affinity to short term results rather than long term outcomes. We love foundation stones and inauguration tablets, remember! The end-result is inevitably similar to that of the charity hospital.
We have not learnt. We are repeating these mistakes. I am told that six lakh toilets have been built already, and 10 crore of them will be built eventually, as part of the Swachh Bharat Abhiyan. At the rate of even a measly Rs 10,000 per year (Rs 800 per month only) that may be needed to properly maintain these toilets, these 10 crore toilets will need Rs 1,00,000 crore (Rs 1 lakh crore) per annum, every year. Such a noble and timely thought is likely to fail, if the government does not have the wherewithal to allocate these funds on ongoing basis. We hope that this great initiative, which has the potential to transform India, goes beyond mere symbolism, and attains sustainability. The early signs are not so good.
Simplistically speaking, a project lifecycle has three distinct phases, planning, execution, and deployment or commercialisation. Sustainability as an attribute as discussed here, clearly applies to this third phase, when the asset starts getting used by stakeholders. My argument is that, project managers must learn about these challenges , which, in the normal course, would seem to be outside the scope of execution. This is because, knowledge about sustainability aspects of a project/an asset will empower the project manager to also informally validate the meaningfulness of the project in her mind, and be convinced about its longevity.
– SUMIT BANERJEE
You may like
As the cement industry prioritises sustainability and performance, Supplementary Cementitious Materials (SCMs) are redefining standards, explains Tushar Khandhadia, General Manager – Production, Udaipur Cement Works.
What role do supplementary cementitious materials (SCMs) play in enhancing the performance and sustainability of cement and concrete?
SCMs play a crucial role in enhancing the performance and sustainability of cement and concrete. These materials are added to concrete to improve its properties such as strength, durability, and workability, as well as to reduce the environmental impact of cement production. The addition of SCMs to cement reduces the amount of Portland cement required to manufacture concrete, reducing the carbon footprint of the concrete. These materials are often industrial waste products or by-products that can be used as a replacement for cement, such as fly ash, slag and silica fume.
SCMs also reduce the amount of water required to produce concrete, which reduces the environmental impact of concrete production. This is achieved through their ability to improve the workability of concrete, allowing the same amount of work to be done with less water.
In addition, SCMs improve the durability of concrete by reducing the risk of cracking and improving resistance to chemical attack and other forms of degradation.
How has your company integrated SCMs into its production process, and what challenges have you encountered?
The integration of SCMs into cement and concrete production may pose certain challenges in the areas of sourcing, handling and production optimisation.
- Sourcing: Finding an adequate and reliable supply of SCMs can be a challenge. Some SCMs, such as fly ash and slag, are readily available by-products of other industrial processes, while others such as silica fume or metakaolin may be more difficult to source.
- Handling: The storage, handling, and transportation of SCMs require special considerations due to their physical and chemical properties. For instance, some SCMs are stored in moist conditions to prevent them from drying out and becoming airborne, which could pose a safety risk to workers.
- Production optimisation: The addition of SCMs into the mix may require adjustments to the production process to achieve the desired properties of cement and concrete. For example, the use of SCMs may affect the setting time, workability, strength gain, and other properties of the final product, which may require reconfiguration of the production process.
- Quality control: The addition of SCMs may introduce variability in the properties of cement and concrete, and rigorous quality control measures are necessary to ensure the final product meets the required specifications and standards.
Proper planning, handling and production optimisation are essential in overcoming the challenges encountered during the integration process.
Can you share insights on how SCMs such as fly ash, slag and silica fume impact the durability and strength of concrete in different environmental conditions?
- Fly ash is a by-product of coal combustion and is widely used as an SCM in the production of concrete. When added to concrete, fly ash reacts with the calcium hydroxide present in the concrete to form additional cementitious materials, resulting in improved strength and durability. Fly ash increases the durability of concrete by improving its resistance to sulphate and acid attacks, reducing shrinkage and decreasing the permeability of concrete. Fly ash also enhances the workability and pumpability of concrete while reducing the heat of hydration, which reduces the risk of thermal cracking. In cold climates, fly ash helps to reduce the risk of freeze-thaw damage.
- Slag is a by-product of steel production and is used as an SCM because of its high silica and alumina content. When added to concrete, slag reacts with the calcium hydroxide present in the concrete to form additional cementitious materials, resulting in improved strength and durability. Slag increases the durability of concrete by improving its resistance to sulphate and acid attacks, reducing shrinkage and improving the strength of concrete over time. Slag also enhances the workability of concrete, reduces the heat of hydration, and improves the resistance of concrete to chloride penetration.
- Silica fume is a by-product of the production of silicon and ferrosilicon alloys and is used as an SCM because of its high silica content. When added to concrete, silica fumes react with the calcium hydroxide present in the concrete to form additional cementitious materials, resulting in improved strength and durability. Silica fume increases the durability of concrete by improving its resistance to sulphate and acid attacks, reducing permeability, and improving abrasion resistance. Silica fume also enhances the workability of concrete, reduces the heat of hydration, and improves the resistance of concrete to chloride penetration.
Overall, the use of SCMs such as fly ash, slag and silica fume can significantly improve the durability and strength of concrete in different environmental conditions. Their impact on concrete varies depending on the availability, physical and chemical properties of the specific SCM being used and proper testing and engineering analysis should be done for each mix design in order to optimise the final product.
With the global push for sustainability, how do SCMs contribute to reducing the carbon footprint of cement production?
SCMs provide an environmentally friendly alternative to traditional Portland cement by reducing the amount of clinker required to produce cement. Clinker is the main ingredient in Portland cement and is produced by heating limestone and other raw materials to high temperatures, which releases significant GHG emissions. Thus, by using SCMs, less clinker is required, thereby reducing GHG emissions, energy use and the environmental impact of cement production. Some SCMs such as fly ash and slag are by-products of other industrial processes, meaning that their use in cement production reduces waste and enhances resource efficiency. Moreover, the use of SCMs can enhance the properties of concrete, thereby increasing its durability and service life which helps to further reduce the overall embodied carbon of the structure.
In short, the use of SCMs contributes to reducing the carbon footprint of cement production by improving the efficiency of resource utilisation and reducing greenhouse gas (GHG) emissions during the production process. This has led to an increased demand for SCMs in the construction industry, as environmental concerns and sustainable development goals have become more prominent factors in the selection of building materials.
What strategies or innovations has your company adopted to ensure a consistent and reliable supply of SCMs, given their reliance on industrial by-products?
- Developing partnerships with suppliers: Many cement and concrete manufacturers establish long-term partnerships with suppliers of SCMs. These partnerships provide a reliable supply of high-quality SCMs, improve supply chain efficiency, and often provide access to new sources of SCMs.
- Advanced SCM processing techniques: Many companies are investing in advanced processing techniques to unlock new sources of high-quality SCMs. Advanced processing techniques include new separation processes, calcination techniques, and chemical activation methods.
- Alternative SCM sources: Many companies are exploring alternative SCM sources to supplement or replace traditional SCMs. Examples include agricultural by-products such as rice hull ash or sugar cane bagasse ash, which can be used in place of fly ash.
- Quality control measures: Strict quality control measures are necessary to ensure consistent quality of SCMs. Many companies use advanced testing methods, such as particle size analysis, chemical analysis, and performance testing, to validate the quality of SCM materials used in production.
- Supply chain diversification: Diversifying suppliers and SCM sources is another way to ensure a reliable supply. This reduces the risk of supply chain disruptions caused by factors such as natural disasters, market changes, or geopolitical risks.
The strategies and innovations adopted to ensure a consistent and reliable supply of SCMs include establishing long-term partnerships with suppliers, investing in advanced processing techniques, exploring alternative SCM sources, implementing strict quality control measures, and diversifying supply chains. By implementing these approaches, we ensure that use of SCMs in cement production is an effective and viable solution for reducing the environmental impact of operations
How does the use of SCMs align with your company’s broader goals around circular economy and resource efficiency?
Here are some ways in which the use of SCMs supports these goals:
- Reducing waste: The use of SCMs, such as fly ash and slag, diverts significant quantities of industrial waste from landfills, turning it into a valuable resource that can be used in construction. This helps to reduce waste and conserve natural resources.
- Reducing carbon emissions: Cement production is a significant contributor to greenhouse gas emissions, and the use of SCMs can significantly reduce the amount of cement required in concrete mixtures. This helps to reduce the carbon footprint of construction activities and move towards a low-carbon economy.
- Enhancing resource efficiency: The use of SCMs can reduce the demand for raw materials, energy, and water in the production of concrete. This not only conserves natural resources but also reduces the costs associated with the extraction, transportation and processing of these materials.
- Closing the loop: SCMs encourage closed-loop systems in the construction sector, where waste materials from one process become input materials for another. This can improve the efficiency and sustainability of the construction industry.
- Supporting sustainable design practices: The use of SCMs can support sustainable design practices by improving the durability and performance of structures while also reducing their environmental impact. This supports a circular approach to design, construction and operation of buildings and infrastructure
that improves their social, economic and environmental sustainability.
What future trends or developments do you foresee in the use of SCMs within the cement industry?
Future trends in the use of SCMs within the cement industry are likely to focus on: increased utilisation of diverse waste-derived SCMs, development of new SCM sources to address potential shortages, advanced characterisation techniques to optimise SCM blends and data-driven approaches to predict and optimise SCM usage for reduced carbon footprint and improved concrete performance; all driven by the growing need for sustainable cement production and stricter environmental regulations.
Key aspects of this trend include:
- Expanding SCM sources: Exploring a wider range of industrial byproducts and waste materials like recycled concrete aggregate, activated clays and certain types of industrial minerals as potential SCMs to reduce reliance on traditional sources like fly ash, which may become increasingly limited.
- Advanced material characterisation: Utilising sophisticated techniques to better understand the chemical and physical properties of SCMs, allowing for more precise blending and optimisation of their use in cement mixtures.
- Data-driven decision making: Implementing machine learning and big data analysis to predict the performance of different SCM combinations, allowing for real-time adjustments in cement production based on available SCM sources and desired concrete properties.
- Focus on local sourcing: Prioritising the use of locally available SCMs to reduce transportation costs and environmental impact.
- Development of new SCM processing techniques: Research into methods to enhance the reactivity and performance of less readily usable SCMs through processes like activation or modification.
- Life cycle analysis (LCA) integration: Using LCA to assess the full environmental impact of different SCMs and optimise their use to minimise carbon emissions throughout the cement production process.
- Regulatory frameworks and standards:Increased adoption of building codes and industry standards that promote the use of SCMs and set targets for reduced carbon emissions in cement production.
– Kanika Mathur
Partha Dash, Managing Director, Moglix, discusses how India’s cement industry, a key player in the country’s construction growth, is at a critical juncture as it faces the challenge of balancing expansion with sustainable practices.
According to research by construction blog Bimhow, the construction sector contributes to 23 per cent of air pollution, 50 per cent of the climatic change, 40 per cent of drinking water pollution, and 50 per cent of landfill wastes. Over the last decade cement has been one ubiquitous element in India’s construction growth story. As the world’s second-largest producer, we are seeing an impressive growth trajectory. Major players like Birla, Adani, Dalmia Bharat, JK Cement and Shree Cement are expanding fast, with plans to add 150-160 million tonnes of capacity over the next five years. This follows a substantial increase of 120 million tonnes in the past five years, pushing India’s total capacity to around 600 million tonnes. But with all this expansion, we have got a big question – How do we ensure sustainable procurement practices, in such an energy dependent industry?
Energy-intensive nature of cement production
Making cement takes a lot of energy. Process starts with limestone being mined, crushed, and grounded, using about 5-6 per cent of the total energy. The biggest energy use happens during clinker production, where around 94-95 per cent of the energy is used. Here is where limestone is heated to very high temperatures in a kiln, which needs a lot of energy from fossil fuels like coal and pet coke. Electricity is also used to run equipment like fans and kiln drives.
Once the clinker is made, it’s ground into cement. This grinding process uses another 5-6 per cent of the energy and usually happens at facilities close to where the cement is needed. Facilities that handle both clinker production and grinding in one place are generally more energy-efficient. Many of these places use coal-powered plants to supply the heat needed for the kilns, keeping production steady.
Transitioning to bulk cement
Making cement use more efficient is key to reducing the industry’s carbon footprint. In India, as per research by World Economic Forum around 75-80 per cent of cement is sold in 50kg bags to small-scale builders and individuals. But there’s often little insight into how this bagged cement is used. Research from the World Economic Forum also shows that about 40 per cent of this cement is mixed by hand. Builders sometimes use more cement than needed, thinking it will make the structure stronger, which increases emissions.
It’s crucial to educate these small-scale users about using cement efficiently. Builders need accurate information on mixing ratios and should be encouraged to adopt design techniques that use less cement. One idea suggested in the report is to put embodied carbon labels on cement bags to provide this information, helping to promote more sustainable practices at the grassroots level.
On the flip side, bulk cement, which now makes up 20-25 per cent of India’s cement use, has its own set of challenges and opportunities. Bulk cement is often used for large-scale projects that need high-strength concrete, which tends to be more carbon-intensive. However, it also makes it easier to mix in supplementary cementitious materials (SCM), which can reduce the carbon intensity of the cement. As bulk cement use grows, especially in big infrastructure projects, balancing structural needs with lower-carbon solutions will be crucial.
Challenges in sustainable procurement
The cement industry finds it hard to adopt sustainable procurement because many companies aren’t fully on board with it. Sometimes, sustainability isn’t a big focus for the company, which means top management doesn’t fully support it. This lack of support slows down collaboration with environmental experts and limits the adoption of green practices. Additionally, many clients still prefer traditional materials, which means there’s less demand for sustainable options.
In terms of knowledge and innovation, there’s a gap in understanding how to incorporate green procurement into existing practices. Many companies aren’t fully aware of the benefits of adopting green strategies or getting environmental certifications. This lack of knowledge also affects the public sector, where innovation in sustainable practices is often held back due to a shortage of technical support and experts.
There’s also a common belief that green procurement is more expensive, which can be a significant barrier, especially when resources for sustainable products are limited. Awareness and readiness for green practices are still low. Many people don’t fully understand the importance of sustainable procurement in construction, and there’s a lack of information about the market for green materials. Without adequate training and a clear structure for green purchasing, it’s difficult for companies to fully commit to sustainability. Moreover, existing policies and regulations aren’t strong enough to drive real change and without enforcement and incentives, the availability of green materials remains limited.
Opportunities in sustainable procurement
To fully understand the opportunities in sustainable procurement, Indian construction companies need to make it a key part of their business approach. This requires strong support from top leadership, including CEOs and boards of directors. When sustainability is a central focus in a company’s goals, it not only improves environmental impact but also sets the company apart in the market. Firms that focus on green practices can attract clients who value sustainability.
Working together with industry, academic institutions and government bodies is crucial for advancing green procurement. Top institutions in India like IIMs and IITs should collaborate with agencies like the Central Pollution Control Board and the Ministry of Environment. These partnerships can help develop shared goals and standards, like ISO 14000 for Environmental Management Systems, and offer training programs across the country.
It’s crucial to help clients understand how green buildings can save money over time. These sustainable structures not only cut down on running costs but also enhance the quality of life for those who live or work in them. Organisations such as the Construction Federation of India and the Builders Association of India should promote green products, which can drive demand and reduce costs by boosting production.
The government’s role is also vital. Programmes like the Pradhan Mantri Awas Yojana should focus on using green materials to show that sustainable construction can be affordable. To encourage use of sustainable materials, giving incentives like tax breaks, just like the ones for electric vehicles, could make a big difference.
Establishing a national certification for green procurement professionals, backed by organisations like the Indian Green Building Council, can help create a skilled workforce that can lead sustainable practices in the construction industry. By seizing these opportunities, India can move toward a more sustainable future in construction.
India’s leadership in sustainable cement production
India has made impressive strides in sustainable cement production. As per a research report by JMK research and analytics in 2022, the global cement industry accounted for 26.8 per cent of industrial emissions, but Indian manufacturers have been proactive in reducing their carbon footprint. The same report also states that between 2017 and 2022, the industry cut its emissions intensity by 19.4 per cent, thanks to a rise in alternative materials like fly ash and slag Blended cements, which now make up 81 per cent of India’s output, are a big part of this progress.
Leading cement producers in India, including Ultratech Cement, Shree Cement and Dalmia Cement, have committed to reducing emissions by 20 per cent by 2030, with a long-term goal of achieving net-zero emissions by 2050. Recently, the industry introduced 150 electric trucks to reduce carbon footprints, though challenges like limited charging infrastructure and high costs remain. Still, this move is expected to cut logistics expenses by 25-40 per cent. The industry is also pushing for policy support to accelerate the adoption of electric trucks and further its sustainability goals. According to report published by India Brand and Equity Foundation, some of the major investments in renewable energy and energy storage solutions include:
- UltraTech Cement plans to deploy 500 electric trucks and 1,000 LNG/CNG vehicles by June 2025, cutting transport emissions by 680 tonnes annually. They aim to reach 85 per cent green energy use by 2030 and boost production capacity to 200 million tonnes.
- Shree Cement completed a 6.7 MW solar project in Haryana in September 2022.
- Dalmia Cement aims to produce 100 per cent low-carbon cement by 2031, supported by a $405 million carbon capture investment.
- JK Cement signed an agreement with PRESPL in October 2021 to increase the use of biomass and alternative fuels, reducing reliance on coal.
Is the impossible possible?
The Indian construction and cement industries are making prudent strides toward sustainability. Recent research shows a strong link between the use of renewable energy and economic growth, highlighting the importance of reducing reliance on traditional energy sources. The construction industry, which has a large environmental impact, must adopt greener practices to help reduce pollution and waste.
The Indian cement industry is leading the way, with plans to significantly increase its use of renewable energy by 2026. This shift not only helps reduce costs but also sets a positive example for other sectors. The focus on renewable energy, like solar and wind, and efforts to avoid new thermal power plants show a clear commitment to a more sustainable future.
As the cement industry continues to push for net-zero emissions by 2050, its proactive approach is setting a new standard. These efforts not only benefit the industry itself but also provide a roadmap for others to follow. By embracing greener practices, the cement industry is helping to pave the way for more sustainable and environmentally friendly procurement practices in India.
About the author:
Partha Dash, Managing Director, Moglix, is a sales and marketing professional with 15+ years of hands-on experience in shaping businesses especially in the emerging markets.
The circular economy offers a transformative approach for the cement industry, focusing on resource efficiency, waste minimisation, and sustainable practices. ICR finds out why integrating alternative materials, reducing carbon emissions and embracing innovative technologies, is crucial for the cement sector.
The circular economy is an innovative model aimed at minimising waste and maximising the use of resources by closing the loop of product life cycles through greater resource efficiency, recycling, and reusing. Unlike the traditional linear economy, which follows a ‘take-make-dispose’ pattern, the circular economy emphasises a restorative approach that seeks to maintain the value of products, materials and resources in the economy for as long as possible.
In the context of the cement industry, which is known for its resource-intensive processes and substantial environmental footprint, embracing circular economy principles is crucial. Cement production typically involves high energy consumption and generates significant greenhouse gas emissions. By adopting circular practices, the industry can reduce its reliance on virgin raw materials, lower waste and emissions and enhance overall sustainability.
The relevance of the circular economy in cement production is evident in several key areas:
• Resource efficiency: Utilising alternative and recycled materials, such as industrial by-products or waste, can significantly reduce the demand for raw materials and lower the environmental impact of cement production.
“Utilisation of alternative raw materials in the cement industry is a key strategy for enhancing sustainability and resource efficiency. Wonder Cement has substituted traditional raw materials like limestone with industrial by-products such as fly ash, marble slurry, chemical gypsum, red mud, mine telling reject, alumina slat, iron sludge, etc. Wonder Cement not only reduces its reliance on natural resources but also mitigates environmental impacts,” says Nitin Jain, Unit Head – Integrated Plant, Nimbahera, Wonder Cement.
“Low-carbon cement production is an innovative approach by Wonder Cement aimed to reduce the carbon footprint associated with traditional cement manufacturing. This process involves several strategies to minimise CO2 emissions, which are typically high due to the energy intensive nature of clinker production. The production of blended cement, Portland Pozzolana Cement (PPC) involves mixing clinker with supplementary materials like fly ash. This not only reduces CO2 emissions but also enhances the durability and performance of the cement,” he adds.
- Waste management: Implementing strategies to manage and repurpose waste products not only helps in minimising landfill use but also creates valuable resources for reuse in cement manufacturing.
- Energy optimisation: Circular economy practices promote energy-efficient technologies and the use of renewable energy sources, contributing to a reduction in carbon emissions associated with cement production.
- Product lifecycle: By focusing on the entire lifecycle of cement products, from production to disposal, the industry can develop more sustainable practices and innovative solutions for recycling and reusing cement-based materials.
Adopting a circular economy approach is not only essential for reducing the environmental impact of cement production but also for driving innovation, enhancing resource security, and fostering long-term economic resilience in the industry.
Use of Alternative and Recycled Materials
The cement industry is undergoing a transformative shift with the increasing adoption of alternative and recycled materials. This shift is driven by the
need to reduce environmental impact, conserve natural resources, and enhance the sustainability of cement production.
Alternative materials: Alternative materials, such as industrial by-products and waste materials, are increasingly being used as partial replacements for traditional raw materials like clinker.
Common examples include fly ash, slag, natural pozzolans, etc.
Recycling plays a crucial role in minimising waste and promoting a circular economy within the cement industry. Key recycled materials include:
- Recycled concrete aggregate (RCA): Reclaimed from demolished concrete structures, RCA can be used as a partial replacement for natural aggregates in new concrete, reducing the need for virgin resources.
- Construction and demolition waste: Incorporating materials from construction and demolition activities not only diverts waste from landfills but also provides valuable resources for cement production.
The use of these alternative and recycled materials helps in reducing the environmental footprint of cement production by lowering greenhouse gas emissions, conserving natural resources, and minimising waste. Furthermore, it supports the industry’s transition towards more sustainable and circular practices, contributing to the overall goal of reducing the sector’s impact on the environment.
According to an article published by McKinsey & Company in March 2023, the cement value chain is well positioned to create closed loops, or automatically regulated systems, for carbon dioxide, materials and minerals, and energy (see sidebar ‘Three categories of circular technologies in cement’). This entails circular economies, which are based on the principles of eliminating waste and pollution, circulating products and materials, and regenerating nature. With these points in mind, circularity can work jointly with reducing carbon emissions in cement production because circular technologies follow the paradigm of three crucial decarbonisation strategies: redesign, reduce and repurpose. According to the organisation’s estimates and expected carbon prices, circularity technologies will be value-positive by 2050, with some already more profitable than today’s business-as-usual solutions.
The report estimates show that an increased adoption of circular technologies could be linked to the emergence of new financial net-value pools worth up to roughly €110 billion by 2050, providing a new growth avenue for cement players that would otherwise face shrinking demand for their core business and significant external costs. Adopting circularity is required to mitigate at least 50 percent of this value at risk. Emerging new technologies and business models will create additional value to mitigate the residual value at risk.
Reducing and Managing Industrial Waste
Efficient waste management is critical for the sustainability of the cement industry. Reducing and managing industrial waste not only minimises environmental impact but also offers opportunities to turn waste into valuable resources. Here are some key strategies of waste-to-resource initiatives:
Waste minimisation at source
- Process optimisation: Implementing advanced technologies and practices to improve process efficiency can significantly reduce the amount of waste generated. Techniques such as precise control of raw material inputs and process conditions help minimise production losses.
- Cleaner production techniques: Adopting cleaner production methods, such as the use of less polluting raw materials and more efficient equipment, can reduce waste generation at the source.
Recycling and reuse
- Alternative fuels: Industrial waste, such as tire-derived fuel or biomass, can be used as alternative fuels in cement kilns. This not only helps in reducing the consumption of traditional fossil fuels but also diverts waste from landfills.
- By-product utilisation: By-products from other industries, such as fly ash or slag, can be integrated into cement production processes. These materials not only enhance the properties of the final product but also reduce the need for virgin raw materials.
Nitin Sharma, CEO and General Manager, Clariant IGL Specialty Chemicals (CISC), says, “As our climate gives us increasing and alarming signals of change, individuals and industries are looking for ways to reduce their environmental footprints, and the demand for bio-based chemicals is set to grow strongly in the coming years. In several applications, the use of petrochemicals and fossil carbon remains a significant issue. The transition to bio-based carbon chemistry represents a significant challenge for manufacturers.”
Waste-to-resource initiatives
- Recycled concrete aggregate (RCA): Demolished concrete can be crushed and recycled into aggregate for use in new concrete mixes. This reduces the demand for natural aggregates and decreases the volume of construction waste.
- Co-processing of waste: The cement industry is increasingly adopting co-processing techniques where various types of industrial and municipal waste are processed in cement kilns. This approach helps in recovering energy and material value from waste streams while simultaneously treating hazardous materials.
- Zero-waste initiatives: Some cement plants are aiming for zero-waste targets by implementing comprehensive waste management systems that ensure all waste is either recycled, reused or recovered.
Partha Dash, Managing Director, Moglix, says, “There’s also a common belief that green procurement is more expensive, which can be a significant barrier, especially when resources for sustainable products are limited. Awareness and readiness for green practices are still low. Many people don’t fully understand the importance of sustainable procurement in construction, and there’s a lack of information about the market for green materials. Without adequate training and a clear structure for green purchasing, it’s difficult for companies to fully commit to sustainability. Moreover, existing policies and regulations aren’t strong enough to drive real change, and without enforcement and incentives, the availability of green materials remains limited.”
These strategies and initiatives reflect a growing commitment to sustainability within the cement industry. By effectively managing and repurposing industrial waste, cement producers can not only reduce their environmental impact but also contribute to a more circular and resource-efficient economy.
According to the report Indian Cement Industry: A Key Player in the Circular Economy of India published July 2020, the Indian cement industry is playing a key role by enhancing the application of renewable energy for electrical power generation. The renewable energy installed capacity (wind and solar) in cement plants increased by more than 40 per cent to 276 MW from 2010 to 2017. Out of the total, 42 MW is solar power, while off-site wind installations account for 234 MW. A company has undertaken the target of switching over to renewable energy for 100 per cent of all electrical energy needs by 2030. Big players like UltraTech Cement are targeting 25 per cent share of their total power consumption by green energy technologies.
Apart from the solar photovoltaic route, the cement industry is making efforts to tap solar energy through thermal routes.
Government initiatives
The Indian government is actively promoting circular economy principles through various policies and regulations aimed at enhancing sustainability and resource efficiency. The National Clean Energy Fund (NCEF) supports innovative projects in energy efficiency and emission reduction, including those incorporating circular economy practices.
The Swachh Bharat Mission (SBM) and Solid Waste Management Rules, 2016, focus on improving waste management and recycling, encouraging the use of recycled materials in construction and cement production. The Plastic Waste Management Rules, 2016, emphasise recycling and the use of recycled plastic, including as alternative fuel in cement kilns. The National Resource Efficiency Policy (NREP) promotes resource efficiency across sectors, including cement, and the government’s clean technology schemes incentivise the adoption of green technologies.
Additionally, the draft National Circular Economy Policy, currently in development, aims to provide a comprehensive framework for advancing circular economy practices across all industries. These initiatives collectively support the transition towards more sustainable and circular practices in the cement sector.
Emerging trends in circular economy
The cement industry is witnessing several emerging trends in circular economy practices, reflecting a shift towards greater sustainability and resource efficiency. One notable trend is the increased use of alternative fuels and raw materials. Cement producers are exploring the use of industrial and municipal waste, such as tires, plastics, and biomass, to replace traditional fossil fuels and raw materials, reducing their carbon footprint and conserving natural resources.
Another significant trend is the advancement of circular product design and lifecycle management. Cement companies are focusing on designing products that are easier to recycle or reuse at the end of their lifecycle. This includes developing new types of cement and concrete with enhanced durability
and recyclability.
Waste-to-resource initiatives are also gaining traction. Innovations in waste processing technologies enable the conversion of waste materials into valuable resources for cement production, such as incorporating recycled concrete aggregate (RCA) and by-products like fly ash and slag into new cement products.
Digitalisation and data analytics are emerging as crucial tools in advancing circular economy practices. Advanced monitoring and analytics technologies help optimise resource use, track waste streams, and improve overall efficiency in cement production.
Finally, there is a growing emphasis on collaborative partnerships. Cement companies are increasingly collaborating with governments, NGOs, and other industries to drive circular economy initiatives and develop innovative solutions for sustainable development. These trends highlight a transformative shift towards a more circular and sustainable approach in the cement industry, aligning with global efforts to reduce environmental impact and promote resource efficiency.
Conclusion
The adoption of circular economy principles in the cement industry is proving to be a pivotal step towards enhancing sustainability and reducing environmental impact. By embracing alternative and recycled materials, the industry is reducing its reliance on virgin resources and minimising waste. Government policies, such as the National Clean Energy Fund and Solid Waste Management Rules, provide crucial support for these practices, fostering a regulatory environment conducive to circular economy initiatives. Emerging trends, including the use of alternative fuels, circular product design, waste-to-resource innovations, and advanced digital technologies, underscore the industry’s commitment to resource efficiency and sustainability. Collaborative efforts across sectors further drive these advancements, paving the way for a more resilient and environmentally responsible cement industry. As the sector continues to integrate circular economy principles, it not only aligns with global sustainability goals but also sets a benchmark for other industries striving for a circular future.
– Kanika Mathur