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Displaying items by tag: lobbying
Cemex’s production costs rise due to new mining tax in Nuevo León
23 February 2022Mexico: The Mexican Chamber of the Construction Industry (CMIC) has voiced cement price concerns following the introduction of a new environmental tax on mining activity in the state of Nuevo León. Cemex operates a quarry in the state, and has resultingly experienced a rise in the cost of its cement production. The El Norte newspaper has reported that the producer’s Monterrey, Nuevo León, cement plant supplies cement across northeastern Mexico.
CMIC also lobbied the government to begin awarding public works contracts to private investors instead of the Mexican armed forces. It argued that this would help to generate jobs.
US: The Portland Cement Association (PCA) has responded positively to a raft of new measures launched by President Joe Biden to aid industrial decarbonisation. The new measures include: US$8bn investment in regional clean hydrogen hubs and a further US$1.5bn investment in associated initiatives; new carbon-based trade policies; greater incentivisation for carbon capture, utilisation and sequestration (CCUS) projects; and the launch of a Buy Clean Taskforce for government procurement and two interdisciplinary industrial advisory bodies to support research and innovation.
PCA chief executive officer and president Michael Ireland said “We are pleased to see our thinking reflected in many of the actions proposed today. We are delighted the White House has recognised that carbon reductions cannot be achieved via a single industry in isolation: it requires collaboration across an entire value chain.” He said that the White House’s approach aligns with the organisation’s own in its lifecycle approach to evaluating construction materials, encouraging collaboration, engaging the workforce and incentivising private sector innovation. Ireland continued "We look forward to working together with the White House Office of Domestic Climate Policy and the Council on Environmental Quality on this vital initiative.”
National Construction Association of Sri Lanka claims no checks carried out on cement imports
26 January 2022Sri Lanka: The National Construction Association of Sri Lanka (NCASL) claims that no quality control checks are being conducted on imports of cement. The association says that there are labels printed on cement bags confirming that they were quality checked by the Sri Lanka Standard Institute (SLSI) but that it has no evidence of such checks actually being carried out, according to the Sri Lankan Daily Mirror newspaper. It has asked for the authorities to show evidence that the quality control checks are actually taking place.
Sri Lanka faced a shortage of cement in the autumn of 2021 due to input cost rises, supply chain disruption and negative exchange rates effects. The NCASL reports that most cement imports come from India or Pakistan.
British Precast merges with the Mineral Products Association
19 January 2022UK: British Precast, whose members include manufacturers of concrete masonry, paving slabs, structural sections and drainage systems, has merged with the Mineral Products Association (MPA) which represents all the UK’s cement makers, over 90% of aggregates producers and more than 70% of ready-mixed concrete suppliers. The merger is intended to give the British concrete industry a single voice, with the sector’s advocacy body, UK Concrete, lobbying on behalf of the sector on sustainability issues. It should also unite the industry behind the ‘Roadmap to Beyond Net Zero’ plan by 2050.
Alan Smith, who retires as President of British Precast, said, “British Precast has been affiliated with the MPA for the past decade and the successful relationship we have built has given our members the confidence to fully support this merger. Coming together enables the industry to operate more strategically, rejuvenating our determination to rise to the challenges of climate change and emphasise the importance of our industry in climate adaptation.”
Two new MPA product groups have been formed as a result of the merger: MPA Precast and MPA Masonry. They join existing MPA product groups including The Concrete Centre and the British Ready-mixed Concrete Association (BRMCA).
CO2 credits could account for 12 – 15% of EU cement producers’ costs
16 December 2021Europe: Cembureau, the European cement association, has calculated that if the European Union (UN) emissions trading scheme (ETS) CO2 cost reaches Euro90/t then this could represent 12 - 15% of the production costs of cement producers. The association made its calculation for an average cement plant in the region using data from Ecorys, WIFO, the National Institute of Economic and Social Research for the EU Commission and Agora Energiewende.
Cembureau has called for the EU government to delay its proposed ETS free allocation phase-out and to bring forward the implementation of its proposed carbon border adjustment mechanism (CBAM) from 2026. It has called on policy makers to ‘use all the tools available to stabilise market prices, support energy intensive industries through state aid and examine the functioning of the European gas and electricity markets, as well as the EU ETS.’
Cembureau launches EU cement industry decarbonisation map
16 December 2021Europe: Cembureau has announced the launch of its Map of Innovation Projects interactive map. The feature maps past and current sustainability-enhancing projects at European cement plants. It currently displays a total of 53 different projects. It is available here.
Kenya: Cement companies are in the process of expanding their total clinker production capacity by 70% to 10.7Mt/yr by 2023 from 6.3Mt/yr. The Business Daily newspaper has reported that six producers – Bamburi Cement, East African Portland Cement Company (EAPCC), Karsan Ramji & Sons, National Cement, Rai Cement and Savannah Cement – will add a total of 4.4Mt/yr to their clinker capacities.
Global Cement News previously reported that Kenya faced a 3.3Mt/yr national clinker shortage on 13 October 2021. Domestic producers are in the process of lobbying the government to raise the duty on imports of clinker to 25% from 10%.
Finland: Wärtsilä’s sales fell by 6% year-on-year to Euro3.18bn in the first nine months of 2021 from Euro3.39bn in the corresponding period of 2020. It increased its order intake by 11% to Euro3.58bn from Euro3.24bn. The company’s cash flow from operating activities fell by 12% to Euro360m from Euro407m. It expects that demand for its offering will increase ‘considerably’ year-on-year in the fourth quarter of 2021.
The supplier announced that it will aim to achieve carbon neutral operations and to provide a product portfolio which will be ready for zero carbon fuels by 2030. It published a report entitled Front Loading Net Zero on how production economies can make savings while managing the renewable energy transition. The report concludes that full decarbonisation before 2050 will be financially viable if properly supported by governments and energy companies.
President and CEO Håkan Agnevall said “These new targets demonstrate our commitment to a sustainable future. Our aim is to support our customers on their decarbonisation. Our products, solutions, and services will meet the stringent environmental requirements, and the fuel flexibility and fuel efficiency of the engines powering these sectors are key to enabling the transformation.” Agnevall added “Naturally, we also need to do our part as an organisation and minimise our own environmental footprint.”
Ghanaian pozzolan cement plant lobbies for funding to reopen
29 September 2021Ghana: Daniel Asenso-Gyembibi, the director of the Building and Road Research Institute of the Council for Scientific and Industrial Research (CSIR-BRRI), has told parliamentarians that the institute’s Pozzolana cement plant needs US$4m to reopen. The unit at Gomoa Mprumem in the Central Region was forced to close due to a lack of private investment, according to the Ghanaian Times newspaper. Asenso-Gyembibi said that CSIR-BRRI had spent around US$250,000m on the project.
Commercial production started at the plant in 2011 with a capacity of around 5000bags/day. However, the unit stopped operation later in the same year due to poor sales and a lack of investment.
Iraqi cement producers complain about cut to fuel subsidies
22 September 2021Iraq: The Cement Producers Association in Iraq (CPAI) has complained about a government decision to reduce subsidises on fuel for the industry. It has warned that the cut could risk plants closing and cement prices rising, according to the Agence France Presse. The Ministry of Oil raised the price of fuel sold to cement manufactures to US$0.17/l in September 2021 from US$0.10/l litre previously. This followed a rise earlier in 2021. CPAI has warned of ‘enormous losses’ in the sector and has lobbied the government to reverse the decision. It added that producers would have to decide whether to stop production and lay off workers or raises cement prices by at least US$10/t. The subsidised fuel price for cement manufacturers was originally approved in exchange for an agreement to cap the price of cement.