Displaying items by tag: Government
Cementos Portland Valderrivas acquires KKR's Andalusian business
20 December 2022Spain: FCC subsidiary Cementos Portland Valderrivas has completed its acquisition of global investment company KKR's Andalusian business, including its subsidiary Surgyps. Surgyps operates an 800,000t/yr grinding plant in Jerez de la Frontera, Cádiz. The business filed for bankruptcy in 2010, but continued to operate the plant under a government concession, lasting until 2031.
The El Economista newspaper has reported that Cementos Portland Valderrivas said "With this operation, the group complements its position in Andalusia by taking a decisive step in our commitment to reduce the carbon footprint of cement."
The group controls six integrated cement plants across Spain, with a total capacity of 9.9Mt/yr.
Cembureau welcomes EU CBAM agreement
19 December 2022Europe: Cembureau has welcomed a satisfactory conclusion to talks over the new Carbon Border Adjustment Mechanism (CBAM) under the European Union (EU) Emissions Trading Scheme (ETS). Negotiators from different EU institutions agreed to a gradual CBAM implementation, which will officially commence in October 2023. Free allocations of ETS credits to the EU cement sector and other industries will phase out between 2026 and 2034. During this transition period, CBAM duties will apply to imported products in proportion to EU production not covered by free allocation.
Cembureau's chief executive Koen Coppenholle said “The agreements on CBAM and ETS are essential to create a global level playing field on CO2 and support our sector in its transition to carbon neutrality. It is positive that the EU institutions strengthened some key aspects of CBAM. We however regret that the adopted texts do not provide a structural solution for exports. Some EU countries export up to 50% of their domestic cement production and these will be at risk should no concrete export solution be found before 2026.”
Coppenholle added “Looking ahead, we need to focus on CBAM implementation and its water-tightness, to ensure the mechanism fully equalises CO2 costs between EU and non-EU suppliers. It is also essential that policymakers support EU industries like cement, which are confronted with unsustainably high energy costs at a time some of our trading partners are launching massive subsidy programmes. CBAM, ETS and a strong innovation fund are essential parts of the puzzle, but we look forward to European Commission proposals for a truly ambitious industrial policy, as requested by the European Council in its meeting of 15 December 2022.”
National Transmission and Despatch Company to build new grid station for Chakwal cement plants
19 December 2022Pakistan: National Transmission and Despatch Company (NTDC) has secured a US$46.6m loan from German state-owned bank KfW for construction of a new 500kV grid station in Chakwal, Punjab. The German government loaned NTDC a further US$2.55m for power capacity expansions. The investments will go towards increasing the availability of electricity in Chakwal, primarily for the benefit of the district's multiple cement plants.
Bestway Cement, DG Khan Cement and Gharibwal cement operate four cement plants with a total capacity of 8.5Mt/yr in Chakwal.
Himachal Pradesh government threatens administrative action against Adani Cement over plant closures
19 December 2022India: The state government of Himachal Pradesh has issued a show cause notice to Adani Cement subsidiaries ACC and Ambuja Cements. The notice requires the producers to submit grounds for the government not to pursue 'appropriate administrative action' against the companies over the planned closures of their respective 4.4Mt/yr Gagal and 1.6Mt/yr Darlaghat cement plants. The administration says that it is prepared to take such action as is necessary to 'safeguard lives and livelihoods' across the various sectors impacted by the move.
The regional government said, "It is indeed alarming that you have not taken the state government or its functionaries into confidence before taking such a major decision involving the lives and livelihoods of so many stakeholders. Moreover, you have not even tried to approach or exhaust various forums, avenues, or channels available with the state machinery in order to resolve whatever concerns, grievances or issues that they might have."
The state of Himachal Pradesh owns the land on which the Gagal and Darlaghat cement plants are built and the associated limestone reserves.
Indian government to implement new cement standards
19 December 2022India: The government is planning to introduce new quality standards for cement. Reuters has reported that the central government plans to implement the change before the end of December 2022. A government source said "Better standards help comply with international standards." It hopes that the cement sector will increase its export opportunities as a result.
India: The government of West Bengal plans to commence mining activity at the Deocha Pachami cement block in Birbhum District. The state hopes that the block will support further development of industries, including cement. Financial Express Online News has reported that Mangalam Cement, Purbanchal Cement and Shree Cement all plan to build new cement facilities in West Bengal. Shree Cement will invest US$102m in its planned Purulia grinding plant. Mangalam Cement's potential upcoming grinding plant will serve its planned new integrated cement plant in Chhattisgarh.
EU concludes CBAM provisional deal
15 December 2022Europe: The European Parliament (EP) of member states and the Council of the EU have concluded a provisional deal over plans for an EU carbon border adjustment mechanism (CBAM). Under the plans, importers of a range of emissions-intensive goods, including cement, will have to pay to obtain CBAM certificates for products entering the EU. Goods produced in countries with the same CO2 emissions reduction measures as the EU will be exempt from requiring a certificate. CNBC News has reported that the mechanism will enter force with a transition period beginning in October 2023. This is subject to ratification by the EP and member states independently.
EP member for the Netherlands Mohammed Chahim said “CBAM will be a crucial pillar of European climate policies. It is one of the only mechanisms we have to incentivise our trading partners to decarbonise their manufacturing industry.”
Vietnam National Cement Association lobbies against power price rise
15 December 2022Vietnam: The Vietnam National Cement Association (VNCA) has spoken about the difficulties that would arise from a proposed power price rise by state-owned Electricity Vietnam (EVN). VNCA chair Nguyen Quang Cung said that cement producers foresee 'business havoc' ensuing from any further cost increase to their operations. The industry says that reduced demand has prevented them from raising cement prices amid already high costs. Coal price growth is a significant contributor, and now accounts for 60% of the industry's operating expenses.
Cung said "Many companies are suffering losses and have suspended the operations of many production lines." He continued "We understand that EVN is claiming force majeure because they face the same challenge relating to the input cost burden."
Sheerness grinding plant secures planning permission
15 December 2022UK: The planning applications committee of Kent County Council has approved Hercules Enterprises' Euro46.5m plan for a new 500,000t/yr grinding plant at Sheerness Docks on the Isle of Sheppey. The Sheerness Times Guardian newspaper has reported that the council assented subject to the producer's adherence to its particulate and dust management plan and continual noise monitoring. When commissioned, the new plant will create 52 new jobs, generate up to 144 truck movements per day and increase traffic on the A249 by 1%.
Hercules Enterprises' director Stuart Mason Elliot said that the new facility will help to move cement production away from its reliance on road transport. He said “This is not an open, dated, dusty old operation, but a fully-enclosed, clean, modern, environmentally responsible and sustainable plant designed to be a good neighbour to residents and other occupants of the port.”
Bangladesh Cement Manufactures Association demands withdrawal of increase to limestone import duty
14 December 2022Bangladesh: The Bangladesh Cement Manufactures Association (BCMA) has demanded that an additional 30% increase to import duties on limestone be removed. A supplementary duty was introduced in November 2022 when the National Board of Revenue (NBR) changed the way limestone was coded in response to a significant increase in imports since 2020, according to the New Nation newspaper. Previously limestone importers were paying a duty US$7.80/t. Now they are reportedly paying US$14.60/t.
The BCM wrote to the NBR about the issue in mid-November 2022. BCMA president Alamgir Kabir renewed his association’s lobbying to remove the additional duty at a press conference held in mid-December 2022.