Displaying items by tag: Renewable energy

India: UltraTech Cement aims to increase contribution of so-called ‘green energy’ to 25% of its total power consumption by 2021 from 10% at present. It also intends to raise its contribution of renewable energy to its total power consumption by five times in the next two years to 2021 to over 10%. By building capacity for renewable power the cement producer intends to become one of the largest users of renewable energy in the Indian cement sector.

In addition to renewable energy, the green energy contribution includes energy generated through waste heat recovery systems (WHR). During its 2019 financial year UltraTech commissioned 28MW of WHR systems to take its total generation from WHR to 8% of total power consumption. Further upgrades are expected to be completed in a phased manner by 2021, taking its WHR share to 15% of its total power requirement.

“To bring the cement sector in line with the Paris Agreement on climate change, UltraTech Cement’s annual emissions will need to fall by at least 16% by 2030. There are a number of solutions for reducing emissions associated with cement production as identified by the latest Low Carbon Technology Roadmap published by International Energy Agency (IEA) in partnership with Cement Sustainability Initiative (CSI). These solutions need to be deployed at scale to meet the decarbonisation challenge,” said K K Maheshwari, the managing director of UltraTech Cement.

UltraTech Cement has set a target to reduce its CO₂ emissions by 25% from its 2005 – 2006 level by 2021. The company is also working on CO₂ reduction strategies including energy efficiency, alternative fuels, WHR, renewable energy and reducing its clinker ratio.

UK: Cemex says that it will use 100% renewable electricity at supplied sites in a partnership with energy, services and regeneration group Engie. Engie has been providing electricity to over 150 Cemex UK sites for over 10 years, also supplying gas to 33 of these sites. The current contract is to be extended for a further 12 months. All of the electricity supplied to the sites will be from 100% renewable energy sources including wind energy.

“Cement manufacture is inherently energy-intensive and we work hard to minimise energy consumption within the process constraints. The switch to electricity from renewable sources is playing a key role in our carbon reduction strategy,” said Martin Hills, Head of Energy and Carbon at Cemex in the UK.

Cemex is also using Engie’s demand side services, such as load management to avoid peak tariffs and rapid frequency response, which generates extra revenue for Cemex UK. Engie manages all contractual requirements with National Grid on Cemex UK’s behalf.

Chile: Colbún has signed a deal with Grupo Polpaico to supply the cement producer with 183GWhr/yr of renewable energy for a 10 year period. Cementos Polpaico will start using renewable energy at its Cerro Blanco integrated plant and its Coronel cement grinding plant in 2019 to allow energy efficiency upgrades to be implemented. Other plants in the group’s portfolio will start using the renewable energy supply by 2022.

Chile: Cementos Bicentenario (BSA) has signed a deal with energy company Engie to supply its Quilicura grinding plant near Santiago with renewable energy. All of the energy supplied to the plant will come from renewable sources including solar and hydroelectric. The contract, equivalent to 35GWh, will see the plant achieve the I-REC certification.

Mexico: Cemex has created an energy division, Cemex Energia, to take advantage of Mexico's landmark energy reform and launch power projects that could provide up to 5% of Mexico's electricity requirements within five years.

Cemex has struggled with a large debt load and cost-cutting since an ill-timed US$16bn takeover of Australian rival Rinker in 2007, when the US housing market nosedived. In recent years, Cemex has been slashing costs and has looked to sell assets to regain a coveted investment grade rating. Cemex executives are hopeful that Mexico's energy reform will be a lucrative new path.

"We are very enthusiastic about Mexico's energy sector future and we will leverage on our experience in developing projects that benefit the country," said Cemex CEO Fernando Gonzalez.

Cemex will invest US$30m in Cemex Energia in the next five years. Cemex has also signed a joint venture agreement with Pattern Energy Group Inc, which owns wind power projects, to create 1GW of renewable power in Mexico in the next five years. Pattern said that new legislation in Mexico, which mandates that 35% of Mexico's power must come from renewable sources by 2024, prompted it to expand.