Displaying items by tag: Energy

Yemen: Local authorities in Hadramout have inaugurated the country’s first solar facility at Arabian Yemen Cement’s cement plant, a US$11m project aimed at reducing dependence on fossil fuels and stabilising electricity supply. The facility integrates solar energy into cement production, with a system designed to manage the high loads required by crushers, mills and kilns, enabling uninterrupted operations. Officials described the project as a breakthrough for Yemen, which has struggled with energy shortages and rising fuel prices.

See the December issue of Global Cement magazine for more information on this story.

India: The Global Cement and Concrete Association (GCCA) India said that the cement industry has installed 1.8GW of renewable energy capacity and aims to add 5GW more by 2030, according to Platts via S&P Global. Around 3% of electricity used comes from renewables and 11% from waste heat recovery. GCCA India said that the average alternative fuel thermal substitution rate (TSR) in the sector is approximately 6%, although some plants have successfully achieved TSRs of more than 20%. It also said that there are developments in the installations of hybrid energy systems, which provide 24/7 electricity for the sector.

Blended cement accounts for 73% of production, and India has reportedly begun producing limestone calcined clay cement. Research is also underway into other low-clinker alternatives. According to a March 2025 report by GCCA India and The Energy and Resources Institute, the industry aims to achieve net-zero emissions by 2070. CRISIL forecasts that the sector will add 160-170Mt/yr of grinding capacity between the financial years 2026-2028, which run from April to March, driven by a healthy demand outlook and high capacity utilisation.

Austria: Energy utility Verbund has commissioned a 15.4MW solar power plant at Holcim’s Mannersdorf cement plant in Lower Austria. Operational since mid-2025, the 17-hectare solar park features 22,204 modules that produce 19.3GW/yr of electricity, meeting around 15% of the plant’s total energy demand.

Verbund said the project will avoid up to 15,000t/yr of CO₂ emissions. It designed, built and will operate the facility. Holcim said the installation is central to its plan to power the Mannersdorf plant entirely with renewable energy by 2030.

Kenya: Mombasa Cement plans to build a 10MW captive power plant at its Vipingo plant in Kilifi County to reduce energy costs and reliance on the national grid. The US$6.5m project will use circulating fluidised bed combustion technology to generate power from a hybrid mix of bituminous coal, cashew nut shells, wood chips and briquets, according to local press.

According to regulatory filings, the power plant will be located within the company’s existing cement complex and supply electricity directly to its production lines to ensure stable energy supply.

On 2 October 2025, Equator Energy commissioned a 10MW solar power plant at the same facility.

Saudi Arabia: Northern Region Cement Company (NRCC) has announced the signing of a contract for the construction of a US$8.7m, 20MW solar power plant in Turaif City. The plant will be supplied by Sinoma Overseas Development. The company says that the contract is in line with Saudi Vision 2030 and the company’s strategy to increase the use of renewable energy. Construction will take place over 10 months, with operations expected to begin in late 2026.

Sinoma Overseas Development will carry out the full scope of engineering design, procurement, supply and delivery during the contract duration time, in addition to civil construction, installation and commissioning.

Senegal: Aliko Dangote, founder and chair of Africa’s largest cement producer Dangote Cement, met with Senegal’s President Bassirou Diomaye Faye on 8 October 2025 to discuss industrial opportunities in the country. The conversation reportedly aligns with Senegal's 2024 – 2029 National Development Strategy to enhance private sector participation.

During the meeting with President Faye, which was also attended by Okey Oramah, President of Afreximbank, Dangote expressed interest in financing and developing projects across the industrial energy and fertiliser sectors. Dangote Cement already operates a 1.5Mt/yr integrated cement plant in Pout, Thiès Region.

Renewables reportedly generated more power than coal in the first half of 2025. Energy think tank Ember put out a report this week, which showed that solar and wind generation also grew faster than the rise in electricity demand in the first half of 2025. Global electricity demand rose by 2.6% year-on-year, adding 369TW. Solar increased by 306TW and wind by 97TW. Both coal and gas generation fell slightly, although a rise in other fossil fuel generation slowed the decline further.

Tellingly, fossil fuel generation fell in both China and India. Indeed, China added more solar and wind than the rest of the world combined, cutting its fossil fuel generation by 2% or by 58.7TWh. In India, renewables grew at the expense of fossil fuels, but demand growth was relatively low at 12TWh. In the US and the European Union (EU) fossil fuel generation actually increased. In the US, this was due to demand growth outpacing new renewable power. In the EU, weaker wind and hydroelectric output led to a greater reliance on coal and gas.

Meanwhile, a separate report by the International Energy Agency (IEA), also out this week, predicts that installed renewable power is likely to more than double by 2030 even as the sector navigates headwinds in supply chains, grid integration and financing. The IEA forecasts that global renewable power capacity will increase by 4600GW by 2030, roughly the equivalent of adding the total power generation capacity of China, the EU and combined. Solar photovoltaic (PV) will account for around 80% of the global increase in renewable power capacity over the next five years, followed by wind, hydroelectric, bioenergy and geothermal. Solar PV is expected to dominate renewables’ growth between now and 2030, remaining the lowest-cost option for new generation in most countries. Wind power, despite its near-term challenges, is still set for considerable expansion as supply bottlenecks ease and projects move forward, notably in China, Europe and India. However, the IEA’s outlook for global renewable capacity growth has been revised downward slightly compared to 2024, mainly due to policy changes in the US and in China.

This is all very well but what does it mean for the cement sector? At face value, possibly not much anytime soon. Both Ember and the IEA are talking about domestic electricity generation, not industrial. Ember reckons that half the world’s economies may have already peaked in fossil fuel power generation, but usage rates are still high. Prices of fossil fuels may even subsequently come down - to the benefit of industrial users such as cement plants. Yet, carbon taxes should, in theory, discourage increased usage - if they are working correctly.

Market distortions should not be discounted though. Some readers may recall what happened with carbon credits in the earlier stages of the EU emissions trading scheme. Free carbon allowances, calculated during the boom years of 2005 - 2007 when production was maxed out, were far too much to cover production during the resulting economic crisis. The sale of extra allowances provided many plants with a nice little earner and did little to encourage decarbonisation. Carbon capture is likely to require large amounts of electricity, but cheaper energy from renewables may help.

However, take a look at renewable energy stories in the Global Cement website news so far in 2025 and there are nearly 30 solar-related and seven wind-related ones. Cement companies are busily adding renewable capacity to reduce the cost of their electricity. This week, for example, Equator Energy commissioned a 10MW captive solar power plant at Mombasa Cement’s Vipingo plant in Kenya. Last week, Southern Province Cement in Saudi Arabia signed a 25-year solar energy power purchase agreement for its Bisha cement plant. Lest one forget, Saudi Arabia was the largest exporter of crude oil among Organization of the Petroleum Exporting Countries (OPEC) members in 2023 at 6,659,000 barrels/day. If a cement plant in Saudi Arabia is investing in renewables, then one might suspect a change in the global energy mix is occurring.

Electricity accounts for around 12% of the energy demand at a cement plant. Nearly two-thirds of that demand comes from either grinding raw materials or cement. Then, as mentioned above, carbon capture is expected to increase the demand for electricity. One estimate reckons it will increase electricity consumption by 50 - 120%. Renewables are expected to bring down the price of electricity but demand will also grow.

So… expect more renewable projects linked to cement plants.

Bulgaria: Zlatna Panega Cement, part of Greece-based Titan Group, has achieved a 65% rate of thermal substitution of fossil fuels with alternative fuels for four consecutive months. The company’s 5MW solar plant supplies between 11% and 13% of its energy needs.

General director Adamantios Francis said “We have achieved a historic success for our plant. With this, we prove that we are committed to sustainable development and are ready to lead the industry towards a greener future.”

Titan Group’s long-term strategy includes cutting energy consumption by 58% compared with 2020 levels and reducing direct net CO₂ emissions to 500kg/t of cement. At Zlatna Panega, CO₂ emissions in 2024 were 839kg/t of clinker, while electricity-related emissions fell by 38% year-on-year.

France: Lafarge France has signed a nuclear production allocation contract (CAPN) with EDF to secure a long-term supply of low-carbon electricity for its cement plants. The deal allocates part of the capacity from EDF’s operating nuclear fleet to Lafarge France for more than 10 years under a cost and risk-sharing mechanism tied to actual volumes produced.

The partnership aims to cover part of the electricity consumption of Lafarge’s most energy-intensive sites in France, reducing the company’s carbon footprint while ensuring competitiveness and local presence, according to EDF.

Xavier Guesnu, CEO of Lafarge France, said “At Lafarge, we are already activating all levers to reduce the carbon footprint of cement, from research and development to the industrialisation of new low-carbon products and the use of alternative energies, such as biomass. This partnership gives us visibility and access to decarbonised energy, which are essential elements for continuing our investments aimed at large-scale production of very low-carbon or even carbon-neutral cements.”

Greece: Heracles Group, a member of Holcim, has commissioned a 6.5MW solar power station at its Milaki plant, equipped with more than 11,000 panels. The facility is now fully operational.

The installation is expected to generate about 10,000MW/yr of electricity, covering a significant share of the plant’s energy needs and cutting CO₂ emissions by 2350t/yr.