moefcc - cii stakeholders consultation on indcs …wbcsdcement.org/pdf/cement industry perspective...
TRANSCRIPT
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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
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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
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Relevance of INDCs
for Indian Cement Industry
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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
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CSI Low Carbon Technology
Roadmap
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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
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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
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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)
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Key Levers for Carbon Emission
Reduction
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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
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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
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Key indicators for Indian cement
industry in the 2DS
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Key Indicators (AFR Usage)
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Key Indicators (Electrical Energy)
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Key Indicators (Thermal Energy)
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Key Indicators (Clinker Factor)
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Enabling Environment
(Policy, Technology, Finance)
Needed
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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
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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
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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
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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
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Financial Support required from GCF
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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.
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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