Displaying items by tag: GCW398
The European Union’s (EU) verified CO2 emissions figures were released earlier this week on 1 April 2019. The good news is that no cement plant is within the top 100 largest emitters. All the top spots are held by power plants, iron and steel producers and the odd airline. Indeed, out of all of the verified emissions, cement clinker or lime production only represents 7% of the total emissions. Of course this is too much if the region wants to meet its climate change commitments but it is worth remembering that other industries have a long way to go as well and they don’t necessarily face the intrinsic process challenges that clinker production has. If the general public or governments are serious about cutting CO2 emissions then they might consider, for example, taking fewer flights with airlines before picking on the cement industry.
The EU emitted 117Mt of CO2 from its clinker and lime producers in 2018, a 2.7% year-on-year decrease compared to 120Mt in 2017. This compares to 158Mt in 2008, giving a 26% drop in emissions over the decade to 2018. However, there are two warnings attached to this data. First, there are plants on this list that have closed between 2008 and 2018. Second, there are plants that provided no data in 2018, for example, all the plants in Bulgaria. Climate change think tank Sandbag helpfully pointed out in its analysis of the EU emissions data that industrial emissions have barely decreased since 2012. The implication here being that the drop from 2008 to 2012 was mainly due to the economic recession. Sandbag also made the assertion that 96% of the cement industry’s emissions were covered by free allocations in the EU Emissions Trading Scheme (ETS) thereby de-incentivising sector willingness to decarbonise.
By country the emissions in 2018 from cement and lime roughly correspond with production capacity, although this comes with the caveat that emissions link to actual production not potential capacity. So, Germany leads followed by Spain, Italy, Poland and France. Of these Poland is a slight outlier, as will be seen below.
Plant | Company | Country | CO2 Emissions (Mt) |
Górazdze Plant | Górazdze Cement (Heidelberg Cement) | Poland | 2.73 |
Rørdal Plant | Aalborg Portland Cement | Denmark | 2.19 |
Ozarów Plant | Grupa Ozarow (CRH) | Poland | 2.01 |
Slite Plant | Cementa (HeidelbergCement) | Sweden | 1.74 |
Kamari Plant | Titan Cement | Greece | 1.7 |
Warta Plant | Cementownia Warta | Poland | 1.55 |
Volos Plant | Heracles General Cement (LafargeHolcim) | Greece | 1.27 |
Vassiliko Cement Plant | Vassiliko Cement | Cyprus | 1.21 |
Małogoszcz Plant | Lafarge Cement Polska (LafargeHolcim) | Poland | 1.18 |
Kujawy w Blelawach Plant | Lafarge Cement Polska (LafargeHolcim) | Poland | 1.15 |
Table 1: Top 10 CO2 emitting plants in the European Union in 2018. Source: European Commission.
Poland leads the count in the top 10 EU CO2 emitting cement plants in 2018 with five plants. Greece follows with two plants. This list is deceptive as all of these plants are large ones with production capacities of 2Mt/yr and above. As it contains many of the largest plants in the EU no wonder the emissions are the highest. It is also worth considering that there are far larger plants outside of the EU.
In summary, as most readers will already know, the cement industry is a significant minority CO2 emitter in the EU. Countries with larger cement sectors emit more CO2 as do larger plants. So far, so obvious. Emissions are down since 2008 but this mostly seems to have stalled since 2012, bar a blip in 2017. The change though has been the rising carbon price in the EU ETS in 2018. Coincidentally the carbon price has been fairly low and stable since 2012. If the mechanism is working properly then changes should start to appear in 2019. Already in 2018 a few European cement producers announced plant closures and blamed the carbon price. Watch this space.
Brazil: Eduardo Mazzilli de Vassimon has been announced as the president of Votorantim. He will succeed Raul Calfat on 1 May 2019 following a transition period in April 2019. Calfat has worked for Votorantim since 1992 when it acquired Papel Simão. He later became chairman of the board of directors in 2014.
Vassimon, a 60-year old, graduated in business administration at the Escola de Administração de Empresas de São Paulo (FGV EAESP) and in economics at the School of Economics, Business and Accounting of the University of São Paulo (FEA USP) with a postgraduate degree at EAESP and at the HEC business school in France. He has worked for more than 30 years in the financial market, including for Itaú-Unibanco. His last position was as director general at Itaú-Unibanco's wholesale bank and president of Itaú BBA.
David Redfern appointed chief executive officer of Eastern Canada division of Lafarge Canada
03 April 2019Canada: Lafarge Canada has appointed David Redfern as the chief executive officer (CEO) of its Eastern Canada operations. Previously Product Line General Manager for Western Canada Aggregates and the Greater Vancouver area, Redfern joined LafargeHolcim in 1999 and has held numerous roles of increasing responsibility throughout Canada and France. He holds more than 25 years of experience in the construction materials business.
Redfern received his Bachelor of Political Science degree from Queen's University in Kingston. He also holds certificates of achievement from Duke University, INSEAD and the University of Toronto. He is a Board member of the National Zero Waste Council and Business Council of British Columbia.
Reinhard Schäfer joins board of Bosch Rexroth
03 April 2019Germany: Reinhard Schäfer has joined the management board of Bosch Rexroth. He succeeds Bertram Hoffmann, who left the company at the end of March 2019.
Schäfer, aged 54 years, takes on Hoffmann’s responsibilities for manufacturing and quality management at the engineering company. The mechanical engineer began his career in 1986 as a trainee at the former Rexroth Star in Schweinfurt and advanced to the position of technical plant director and managing director. He then held a number of executive positions in manufacturing and quality management in different areas within the automotive division of the Bosch Group in Germany, the Netherlands and China.
US cement shipments grow by 2.3% to 97.7Mt in 2018
03 April 2019US: Data from the United States Geological Survey (USGS) shows that national shipments of Ordinary Portland Cement (OPC) and blended cement rose by 1.3% year-on-year to 85.3Mt in 2018 from 84.2Mt in 2017. Imports rose by 10% to 12.4Mt from 11.3Mt. Overall, shipments rose by 2.3% to 97.6Mt. The top clinker producing regions in 2018 were Texas, California, Missouri and Florida. The country imported 15.1Mt of cement and clinker from, in order of descending volume, Canada, Turkey, China, Greece and Mexico.
US: Cemex USA’s Clinchfield Cement Plant in Georgia has been awarded the ISO 14001:2015 certification for its environmental management system (EMS). It is the first Cemex cement operation in the country to earn this certification. The EMS at the plant follows a continuous cycle of environmental policy: planning, support and operation, performance evaluation, then improvement.
The International Organization of Standardisation (ISO) developed ISO 14001:2015 as a standard of processes for organisations to use when setting up, improving or maintaining their environmental management systems to follow established environmental policies and requirements. The guidelines are designed to help organisations improve efficiency, reduce waste, improve overall environmental impact and manage environmental obligations.
The Clinchfield Cement Plant is also one of several Cemex sites to achieve certification from the Wildlife Habitat Council. The plant is also active in the Georgia Black Bear Project. Cemex is currently in the process of achieving ISO 14001:2015 Certification at its eight other active cement plants in the US.
Colacem buys Cemitaly's Spoleto cement plant
03 April 2019Italy: Colacem says has purchased Cemitaly's Spoleto cement plant in Perugia. No value for the transaction has been disclosed, according to the Il Sole 24 Ore newspaper. Colacem said that it was confident that the cement sector will have a ‘significant’ role in the future. HeidelbergCement’s subsidiary Italcementi acquired Cementir and the Spoleto plant in 2017. In February 2019 unions at the plant were told that the cement producer was selling it to the newly-created company Spoleto Cementir.
Afghanistan/Pakistan: The share of exports of cement from Pakistan to Afghanistan fell to 24% in the first eight months of the current 2019 Pakistan financial year compared to 48% in the 2018 period. The Cement Manufacturers And Export Association has blamed this on Afghanistan opening its market to imports from other countries including Iran, according to the Frontier Star newspaper. It has urged the government to take measures to cut local production costs and force anti-dumping tariffs on Iranian cement imports.
The association said that the cement industry in Punjab and Khyber Pakhtunkhwa has been most affected by the decline in exports to Afghanistan. Exports from these regions fell by 16% year-on-year in the first nine months of the current Pakistan financial year to February 2019.
Nepalese storm damages cement plants
03 April 2019Nepal: Cement producers including Narayani Cement, Kalash Cement and Bishwokarma Cement have reported damage from a heavy thunderstorm that has hit the south of the country. At least 30 people were killed in the bad weather and other 600 people were injured, according to the Kathmandu Post newspaper.
Umesh Chandra Thakur, manager at Narayani Cement, said the storm had knocked down walls, a roof and power lines at the plant, leading to a halt in production. Kalash Cement also reported that the roof of its plant had been blown off. The storm has also caused widespread disruption to the electricity distribution system in Bara and Parsa districts.
Vietnam: A 8.36% rise in electricity prices in late March 2019 is set to cause an increase in the price of cement. The Vietnam Cement Industry Corporation (VICEM) said that cement producers had also been hit by an increase in coal prices, according to the Vietnam News Agency. The rise in the price of coal follows a lack of supply from the Vietnam National Coal and Minerals Industry Holding Group (VINACOMIN) leading to producers to import coal. Cong Thanh Cement has not raise its retail prices but has charged distributors more. Nguyen Quang Cung, chairman of the Vietnam Cement Association, said that producers were not surprised by increase in electricity prices and had been preparing for it.