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MOEFCC - CII stakeholders consultation on
INDCs and Green Climate Fund
Cement Industry Perspective13th April 2015
Sanjay Jain
Dalmia Bharat Group
&
Esha Sar
Cement Sustainability
Initiative in India
Contents
• Relevance of INDCs for Indian cement industry
• CSI “Low Carbon Technology Roadmap”
• Key levers for carbon emission reduction
• Enabling environment and policies needed
• Financial support required from GCF
Relevance of INDCs
for Indian Cement Industry
Present status of Carbon Emissions
• Cement Industry in India accounted for 7 % of country’s
total energy and process CO2 emissions in 2010
• Second largest cement producer after China
• Per capita cement consumption is only about 1/6th of
China
• Specific carbon emissions are amongst lowest in
the world
• Cement industry in India is one of the most energy
efficient (second only to Japan)
• Challenge is achievement of low carbon growth of
Cement Industry
CSI Low Carbon Technology
Roadmap
Cement Sustainability Initiative
in India:10 participants
More than 60% of Indian cement production
Three are companies
headquartered in India• Dalmia Cement Ltd.
• Shree Cement Ltd.
• UltraTech
Seven are part of global
member companies• ACC Limited (Holcim)
• Ambuja Cement Ltd. (Holcim)
• CRH-My Home Industries (CRH)
• HeidelbergCement India (Heidelberg
Cement)
• Lafarge India (Lafarge)
• Shree Digvijay Cement (Votorantim)
• Zuari Cement (Italcementi)
Communication Partner
Cement Manufacturers’
Association
Technology roadmap in India
In consultation with
Roadmap partners
Principal supporter Industry supporters
Communication partner
Roadmap covers data from 65% of Indian cement industry through CSI’s Getting
the Numbers Right (GNR) database and detailed questionnaires to industry
Key messages
• Roadmap outlines possible transition path for Indian cement industry to
support global goal of halving CO2 emissions by 2050
• BAU: 488 Million tonnes (Mt) CO2 and 835 MtCO2 by 2050 [represents
255% (low demand case) to 510% (high demand case) increase compared
to 2010 emissions]
• Roadmap projections: Reduction of direct CO2 emissions intensity to
0.35 tonnes (t) of CO2/t cement in 2050 - about 45% lower than 2010
levels, a saving of between 212 MtCO2 (100% growth) and 367 MtCO2
(240% growth) compared to BAU scenario
• Attainable only with supportive policy framework, technology
development and appropriate financial resources invested over long
term
• Key levers: Energy efficiency, clinker substitution, alternative fuels and raw
materials, Waste Heat Recovery, new technologies (including CCS)
Key Levers for Carbon Emission
Reduction
Levers of Emission Reduction
Key LeversExpected Kg CO2
Reduction / T of Cement
1% Reduction of Clinker Factor 7.5 – 9
1% AFR TSR Increase 2 – 3
2.4 kCal/kg Cl of Thermal Energy saving < 1
1 kWh/T Electrical energy reduction ~ 1
Other Levers:
WHR Potential to be fully exploited
Development of new Cements with very low clinker factor
Carbon Capture and storage technologies
Indian Scenario (2010 data)
Parameter Unit Value
Cement Installed Capacity Million Tonnes 294
Cement Produced Million Tonnes 217
Clinker to Cement Ratio 0.74
Electricity intensity of cement
production
kWh / t cement 80
Thermal Intensity of clinker production kCal / kg clinker 725
Alternative fuels use (as a share of
thermal energy consumption)
% 0.60
CO2 emissions TCO2 /T of Cement 0.63
Roadmap covers data from 65% of Indian cement industry through CSI’s Getting the
Numbers Right (GNR) database and detailed questionnaires to industry
Key indicators for Indian cement
industry in the 2DS
Key Indicators (AFR Usage)
Key Indicators (Electrical Energy)
Key Indicators (Thermal Energy)
Key Indicators (Clinker Factor)
Enabling Environment
(Policy, Technology, Finance)
Needed
Key policy issues
• Energy Efficiency
– Incentivizing Super Energy Efficient products
• Alternate Fuel Utilization
– Landfill of wastes still prevalent (MSW, Haz and non Haz waste)
– Preprocessing of waste needs encouragement
– Surplus Biomass burnt in the Fields to be used as AF
• Newer types of cement
– Composite Cement, Increased substitution in PPC / PSC
• Waste Heat Recovery
– High capital cost and no policy support
– According RE status for faster adoption
• Carbon Capture and Storage R&D
– Soft financing, innovative financing models, GCF funds
AFR - support needed
• Ease of permitting process for using multiple
wastes
• Encouraging pre-processing sector to produce
cement grade waste
• Implementing polluter pays principle for all
wastes
• Discouraging landfilling of combustible waste
• ULB’s to take lead for the disposal of MSW by
converting it to cement grade RDF
Reducing Clinker Factor - Support needed
• Taking appropriate steps to make dry fly ash
available at all cement plants at a reasonable
cost
• Ensuring 100 % Granulation of slag at all steel
plants and reasonable cost of slag
• Encouraging use of Low Energy content
Blended Cements for all applications
• Permitting higher % of Fly ash and slag in PPC
and PSC blends
WHR - support needed
• WHR installation is economically unviable due
to high investment cost and lack of incentives
to the industry for installation of WHR system
• According Renewable Energy status for faster
adoption
Financial Support required from GCF
Investment Needs
Notes: Investments for alternative fuels relates to onsite investment to store, load and feed kilns with
AFR, and eventually the change of burners and/or emission abatement systems. Investments in carbon
capture do not include the cost of transportation and the eventual use or permanent storage of carbon.
GCF Funds Requirement
• For incentivizing WHR projects
• Promoting R&D activities to develop very low clinker factor
cement.
• Demo projects for cement fuel grade RDF from MSW
• Setting up preprocessing plants for industrial wastes
• Transfer of green technologies from other countries
• Innovation fund to develop indigenous technologies for
Carbon Capture and Storage.
• R&D funds for converting carbon emission to useful products
