Displaying items by tag: GCW405
Cement industry takes emissions seriously
22 May 2019Today is the first day of the Global FutureCem Conference taking place in Brussels, Belgium. The event is looking at how the cement industry can adapt to a low or zero carbon world. Although Global Cement is organising the event, it is clearly topical as two news stories this week demonstrate.
Firstly, the chief executive officers (CEO) from 13 US companies, including LarfargeHolcim, announced that they were lobbying the US government to enact business-led climate change legislation. The initiative, known as the CEO Climate Dialogue, included principles such as ‘significantly’ reducing US greenhouse gas emissions. This is shocking because, at face value, large-scale CO2 emitters like LafargeHolcim have the most to lose from more rigorous environmental regulations. What do they have to gain from doing this? This is like turkeys voting for Christmas!
Interpretations of why LafargeHolcim and others might want to do this could go in a few directions. Firstly, the intention might be fully plausible. These companies could genuinely want to combat climate change. Secondly, more cynically perhaps, leading demands for legislation puts the lobbyists in the room when change is actually made. Given the integral nature of concrete in modern construction this is not necessarily a bad thing. Environmentalists may want to ban building materials that create CO2 emissions but, until they can offer an alternative or convince people to accept reduced quality of life, then cement is the material of choice. Thirdly, leading change allows one to stay ahead of it or at least give the sector more time to react to it. The ‘turkeys’ may not want to vote for ‘Christmas,’ but perhaps ‘Christmas’ could be replaced with something else?
This latest initiative by the CEOs in the US has parallels with the creation of the Global Cement and Concrete Association (GCCA) in 2018. Like the current moves in the US, cement producers led the creation of the GCCA, to promote concrete as the sustainable building material of choice.
Meanwhile, Germany’s HeidelbergCement also announced this week that its CO2 reduction targets to 2030 have been assessed against the Science Based Targets initiative’s (SBTi) criteria. Its SBTi target is to reduce scope 1 greenhouse gas (GHG) emissions 15% per ton of cementitious material by 2030 from a 2016 base year. HeidelbergCement has also committed to reduce scope 2 GHG emissions by 65% per ton of cementitious materials within the same timeframe. The SBTi target follows HeidelbergCement’s previous goal of a 30% reduction in its specific net CO2 emissions by 2030 compared with 1990. It says it has achieved a reduction of 20% so far.
HeidelbergCement is a sustainability leader in the sector with various projects on the go including the Low Emissions Intensity Lime And Cement (LEILAC) consortium direct separation pilot project at the Lixhe cement plant in Belgium. Following SBTi is a continuation of this trend, albeit one that anchors it with a global consensus.
Coincidence perhaps but when the two largest non-Chinese cement producers start announcing sustainability stories like then the picture is changing. The questions at this point is how far will it go.
A full review of the 3rd Global FutureCem Conference will be published after the event. To find it and more information visit: http://www.globalcement.com/conferences/global-future-cement/introduction
Malaysia: Yeoh Khoon Cheng has resigned as the chief executive officer (CEO) of Lafarge Malaysia. He will remain as the group’s executive director, according to the Edge Malaysia.
Several executives of YTL Corporation have been appointed to Lafarge Malaysia’s board. YTL’s executive chairman Francis Yeoh and managing director Yeoh Seok Kian have been made executive directors of Lafarge Malaysia. Other members of the Yeoh family appointed to Lafarge Malaysia’s board as executive directors are Yeoh Soo Keng and Yeoh Seok Hong. In addition, Lafarge Malaysia’s vice-chairman Martin Kriegner and non-independent and non-executive director John William Stull and Pei Ling have resigned.
Chad: Société Nationale de Ciment du Tchad (SONACIM) has appointed Fatchou Etienne as its Deputy Director General, according to the Al Widha newspaper. The government-owned company operates a 0.21Mt/yr cement plant at Baor.
Ireland: Ecocem Ireland has appointed Annemarie Harte as managing director of its Irish business. She succeeds Micheál McKittrick, who is moving to a new post as Ecocem’s managing director for Northern Europe with the responsibility for the Irish, UK and Benelux markets.
Harte was previously the chief executive officer (CEO) of Hardware Association Ireland, a representative body for hardware and DIY retailers, builders merchants, and manufacturers and distributors. She has also held a number of other senior roles, including consultant with the Royal Life Saving Society, CEO of Rotary International and manager of Dun Laoghaire Rathdown Chamber of Commerce.
Belarus/Moldova/Russia/Ukraine: The Ukrainian interdepartmental commission for international trade has imposed antidumping tariffs on imported clinker and Ordinary Portland Cement (OPC) from Russia, Belarus and Moldova. It has set duties of 115% for goods originating in Russia, 57% for goods from Belarus and 94% for goods from Moldova, according to Interfax. The tariffs will have a duration of five years. Previously the government had embargoed OPC, alumina, slag, sulphate-resistant cement and similar hydraulic cements, including clinkers, from Russia.
Philippines: Data from the Department of Trade and Industry (DTI) shows that imports of cement rose by 64% year-on-year to 1.74Mt in the first quarter of 2019 despite the introduction of a 4% tariff in January 2019. Imports were 1.06Mt in the same period in 2018, according to the Philippines News Agency. The production capacity utilisation factor of local producers is also reported to have fallen. The DTI says it will continue to monitor the situation.
ARM Cement sells assets for US$50m
21 May 2019Kenya: ARM Cement has signed a deal to sell its business in Kenya to the National Cement Company for US$50m. The transaction is subject to customary regulatory approvals, according to the Business Standard newspaper. ARM Cement also has operations in Tanzania, Rwanda and some interests, in the form of unexploited mineral deposits, in South Africa.
“This transaction is in line with National Cement’s growth strategy in Kenya to position itself as the leading cement manufacturer in the region. The industry is poised for growth and we are excited about the prospects for this next chapter of our business. We will endeavor to safeguard the interests of all stakeholders including the employees, customers, and suppliers in the overall interest of Kenya,” said Narendra Raval, chairman of National Cement.
The cement producer was placed under administration in August 2018. In late 2018 Oman’s Raysut Cement said it planned to buy ARM Cement as part of its expansion plans. Nigeria’s Dangote Cement was also linked to a potential purchase of the company.
Raysut Cement buys Sohar Cement for US$60m
21 May 2019Oman: Raysut Cement Company has signed an agreement to buy Sohar Cement for US$60m. The transfer of ownership for all the shares in the company was completed in mid-May 2019, according to the Oman Daily Observer newspaper. Sohar Cement held a 70% stake in a 1.7Mt/yr grinding plant and UAE-based Fujairah Cement Company owned the rest of the shares.
Uzbekistan blocks cement exports from Kyrgyzstan
21 May 2019Kyrgyzstan/Uzbekistan: Azamat Arapbaev, a member of the Kyrgz parliament, says that Uzbekistan has blocked exports of cement from Kyrgyzstan. The block started in mid-May 2019, according to the Central Asia News Service. Economy Minister Oleg Pankratov said that talks have been held with the ambassador of Uzbekistan over the matter. Cement plants in the south of Kyrgyzstan are dependent on the export market.
India: Haver Ibau India has been renamed as Haver & Boecker India since April 2019. The subsidiary of Germany’s Haver & Boecker and its subsidiary Ibau started in 2008. The change in name reflects a broader industry base for the Indian subsidiary to continue to include the cement industry as well as customers from building materials, chemicals and food.