Displaying items by tag: Electricity
Cementos Polpaico blames loss in 2018 on electricity costs
29 January 2019Chile: Cementos Polpaico has blamed a loss of US$3.2m in 2018 on changing an electricity supply contract. Changing the contract to move to a new supplier, Colbún, led to a negative financial impact of around US$12.5m. Its sales rose by 23% year-on-year to US$249m in 2018 from US$202m in 2017. Its sales volumes of cement grew by 10% to 1.35Mt from 1.23Mt. Despite the overall loss its earnings before interest taxation, depreciation and amortisation (EBITDA) increased by 51% to US$18.7m from US$12.4m.
Kyrgyzstan: Commissioning of the Kemin cement plant in Chuy region has been delayed due to electricity supply issues. Members of parliament have been discussing the delayed opening of the plant, according to the Central Asia News agency. The Chinese-backed plant project held its ground-breaking ceremony in mid-2014. It had an investment of US$120m. The unit has reportedly been built but it cannot be commissioned due to technical issues relating to its electricity supply, despite being situation close to the Datka Kemin power station. A working group was created in December 2018 to work with investors to solve the problems.
Cemex UK to use 100% renewable electricity in 2019
07 January 2019UK: 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.
Turkey: Nihat Özdemir, the chair of Limak Holding and president of the Turkish Cement Manufacturers’ Association (TÇMB), has reassured the construction industry that the price of cement will not rise too sharply in 2019. He denied that the price would rise by up to 40%, according to the Hürriyet Daily News newspaper. However, he did confirm that prices would increase due to growing input costs and negative foreign currency exchange effects. Özdemir said that electricity costs had risen by 76%, coal by 182% and petroleum coke by 170%.
In late December 2018 the Construction Contractors Confederation (İMKON) complained about an expected 40% price rise in cement products and it called on the government to intervene. The Independent Industrialists’ and Businessmen’s Association (MÜSİAD) has also issued a similar warning.
Spanish cement export market expected to fall by 20% in 2019
04 December 2018Spain: Jesús Ortiz, the president of Oficemen the Spanish cement association, forecasts that exports of cement will drop by 20% year-on-year in 2019. He has blamed the situation on high electricity prices, according to the El Economista newspaper. He predicts that the local industry will have a capacity utilisation rate of 53% in 2019. He added that residential house construction was growing, but that the share of non-residential building had fallen.
Cementa reporting supply problems with Bascement product
28 November 2018Sweden: Cementa says it is has supply problems delivering its Bascement product. The delivery issues have been caused by frequent power cuts to its Slite plant, weather-related delays to its shipping schedule and high cement demand. The subsidiary of Germany’s HeidelbergCement said that it was keeping its customers regularly updated.
Uzbek cement production drop blamed on energy prices
16 November 2018Uzbekistan: Cement production has fallen by 4.7% year-on-year to 5.6Mt in the first nine months of 2018 from 5.9Mt in the same period in 2017. The decline has been blamed on rising gas and electricity prices, according to the Trend News Agency. Energy prices have risen by at least 60% so far in 2018. 4.5Mt of production, or over 80%, was sold through the Uzbek Commodity Exchange.
Cementa to electrify Slite plant by 2030
15 October 2018Sweden: Cementa plans to electrify its cement plant at Slite in Gotland as part of its Cemzero project. The subsidiary of Germany’s HeidelbergCement plans to make its plant CO2 neutral by 2030, according to Helagotland. However, the plan is limited by a lack of technology to fully electrify large-scale manufacturing at the site. The company also holds concerns about where it would source larger quantities of electricity.
Sudan: Fuel shortages and power cuts have reduced cement production by half. The Atbara Cement Plant reduced its production to 60,000t/month from 120,000t/month, according to Radio Dabanga. Production fell to 20,000t/month from 60,000t/month at Alsalam Cement, to 32,000t/month from 80,000t/month at El Takamol Cement, to 50,000t/month from 120,000t/month at North Cement and to 30,000t/month from 70,000t/month at Berber Cement. Parts of the country experienced fuel shortages in 2017 and this has continued in 2018, leading to problems far various industries.
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.