European Commission to introduce carbon border adjustment mechanism for cement imports from 2023
EU: The European Commission is reportedly planning to introduce its carbon border adjustment mechanism (CBAM) for cement imports from 2023. Reporting by Bloomberg has revealed that a ‘simplified’ system could be used in a transition period from 2023 with the full mechanism due to start in 2026. Under the new system, cement importers would have to buy certificates at a price linked to the European Union (EU) emissions trading system (ETS). Details on the CBAM and wider environmental plans are due to be made public in mid-July 2021. However, full legal acceptance of the scheme will require approval by the European Parliament and member states.
In a previous response to a report on the CBAM in February 2021, Koen Coppenholle, the head of the European Cement Association (Cembureau), said that a CBAM was a useful tool to address the imports of products not subject to similar carbon constraints in the European Union. He added, “The Environment Committee’s report highlights some key points in this respect, notably that a CBAM should result in EU and non-EU suppliers competing on the same CO2 costs basis; that the scope of CBAM should be wide to avoid market distortions, and that both direct and indirect emissions should be included.”
In May 2021 the EU ETS reached a price of Euro50/t following a significant rise from late 2020 onwards.
India: Dalmia Bharat subsidiary Dalmia Cement (Bharat) has marked World Environment Day with the ceremonial planting of a tree at the Bokaro cement plant in Jharkhand. In Assam, the company planted 6000 Neem, Royal Poinciana and Yellow Poinciana saplings and 4km of bamboo fence around its Alsthom Industries cement plant in Jagiroad.
Dalmia Cement (Bharat) executive director Indrajit Chatterji said, “We at Dalmia Cement have been firm believers in creating a clean and green ecosystem, especially in this pandemic situation across the world. With this tree plantation drive, we would humbly like to make a contribution towards the nature. I would urge all, to come forward and join hands to do our bit towards enabling a greener environment not only for us, but for the future generations to come. We, as a responsible corporate citizen, will always come forward to do whatever we can for the society at large.”
Lithuania: The Lithuanian Competition Council has permitted Germany-based Schwenk Zement to increase its stake in Akmenes Cement to 97% from 47%. The markets authority also granted permission for Schwenk Zement’s 75% acquisition of limestone and clay producer Kalcitas and 100% acquisitions of building materials suppliers Cemeka and Lanku Bokstai.
Brazil: Votorantim Cimentos has begun distributing its products from its new Rio de Janeiro distribution centre. The producer says that the facility has a capacity of 1000t/day of products, up by 52% from 658t/day at its previous Rio de Janeiro distribution centre. It will serve Grande Rio and Serrana, optimising the company’s logistics in the Southeast region.
Southeast regional logistics manager Luis Dovichi Mendes said, "With the heating up of civil construction and the residential renovation market, we invested in this new distribution centre to improve the urban distribution service in the state of Rio de Janeiro, offering a better logistics and service structure for our customers in the region.”
India: The Maharashtra parliament has formed a four-member committee to review the possible wildlife impacts of Birla Corporation subsidiary Reliance Cement’s planned Yavatmal cement plant in Mukutban, Maharashtra. The Times of India has reported that the plant received Stage II environmental clearance in 2018. In 2019, dry forest due for clearance under the plant plans was found to constitute part of a tiger corridor. As a result, Reliance Cement must apply to the Maharashtra State Board for Wildlife. The parliamentary committee will visit the site and prepare a report for the board.
Greece: Heracles Group, part of Switzerland-based LafargeHolcim, has obtained environmental product declarations (EPDs) for all cements produced at its Volos and Milaki cement plants. The company says that the declarations cover both bagged and bulk products.
Chief executive officer Dimitris Chanis said, “For 110 years, at Heracles Group we have learned to always push the limits of the seemingly possible, pioneer and constantly move forward. Driven by our unwavering priority of sustainable development and our vision regarding the green transformation of the construction sector, we strategically design and develop policies and initiatives that promote a climate neutral and circular economy. EPDs are expected to play a key part in our group's effort to move towards more sustainable construction for a greener and better world for all.”
Bangladesh: LafargeHolcim Bangladesh has unveiled its Supercrete Portland limestone cement (PLC) bag redesign. The new bag features the tagline ‘Top quality, proper construction’ in Bengali. The Switzerland-based LafargeHolcim subsidiary produces the cement with limestone from Meghalaya, India. It says that its product is the only PLC on the Bangladeshi market.
Brazil: ABG Mineração, which is majority owned by Spain-based La Union Cements, plant to invest US$296m in establishing a cement plant and limestone mine in Mossoró, Rio Grande do Norte. Portal N10 has reported the production capacity of the plant as 1Mt/yr. The company expects that it will generate 300 direct jobs and US$138m/yr in sales.
Saudi Arabia: Southern Province Cement Company plans to upgrade its Jizan cement plant in Abha with a new 10,000t/day clinker production line to replace the plant’s existing clinker lines. The producer plans to launch the project in mid-late 2021.
Cementos Concepción plans to launch production at San Lázaro cement plant in August 2022
Paraguay: Cartes Group subsidiary Cementos Concepción says that construction of its San Lázaro, Concepción, cement plant is 70% complete and on track for a commissioning date in August 2022. The La Nación newspaper has reported that the total investment value of the project is US$200m. President José Ortiz said that two issues had been overcome in staying on schedule, namely the Covid-19 outbreak and low flow of the river on which the new plant will be situated, both of which presented logistical problems. Work also continues on the establishment of a dedicated power plant for the plant at Vallemí.