Displaying items by tag: Government

Saudi Arabia: Production at Tabuk Cement and Hail Cement has risen supporting the construction of the Neom technology city project in the north of the country. Output from the producers has risen by 20% and 55% respectively year-on-year in the first half of 2018, according to Bloomberg. Both companies are located in the north of the country near to the project. Meanwhile, most of the other local cement companies have reported declining production. The Neom project has been backed with an investment of US$500bn.

China: Cement producers will be forced to pay fees for captive power plants under new legislation introduced by the National Development and Reform Commission (NDRC). The move was introduced in a draft plan in March 2018 in order to reduce electricity prices for industrial and commercial users, according to Reuters. The new regulations are also intended to cut down on pollution from coal-powered plants used by the cement sector as well as steel and aluminium producers. The size of fees paid by onsite power plants will be decided by provincial governments.

Vietnam: The Ministry of Construction has opposed the Ministry of Industry and Trade’s proposal to transfer the Quang Son cement plant from Vietnam Industrial Construction Corporation (Vinaincon) to Vietnam Cement Industry Corporation (Vicem) on the grounds of the plant’s losses and debts. Both Vinaincon and Vicem are government owned, according to the Viet Nam News newspaper.

Luong Quang Khai, chairman of Vicem’s board of members, said that the Quang Son cement plant is located in a poor position for transport logistics, which has led to high production costs. The plant has also suffered from losses while its loans have grown to equal 95% of the plant’s total investment. Khai also noted that the potential new owner Vicem has undergone financial difficulties following its acquisition of the Ha Long and Song Thao cement plants.

Previously, the Ministry of Industry and Trade suggested that the government transfer the Quang Son cement plant to Vicem from Vinaincon. Under the proposal, Vicem would back the loans taken out by Vinaincon for the Quang Son cement plant. Formerly known as the Thai Nguyen cement plant, Quang Son started commercial operation in July 2011 with a cement production capacity of 1.5Mt/yr.

Colombia: Cemex Colombia has been fined US$429,000 for taking groundwater from the Tunjuelo River without permission. The sanction of the District Department of the Environment of Bogotá imposed the penalty, according to the La Republica newspaper. However, the settlement exonerated Cemex of causing any environmental damage. The company says it does not plan to file any legal appeal for the sanction.

Georgia: HeidelbergCement Georgia plans to close a kiln at its Rustavi cement plant due to imports from Iran. It will also reduce production at the Dedoplitskaro limestone quarry, according to GBC Daily News. The Georgian Cement Association has lobbied the government to enact anti-dumping measures against Iranian imports.

India: Roads and highways minister Nitin Gadkari has threatened implementing price controls on cement. He blamed problems his ministry has faced building concrete roads on alleged price collusion, according to the Telegraph India newspaper. During questions at the Indian Parliament he said that if cement producers did not ‘fall in line’ then he would propose placing cement under the Essential Commodities Act.

Mexico: The Procuraduría Federal de Protección al Ambiente (PROFEPA) awarded an Recognition of Environmental Excellence to 12 Cemex cement plants. The award is presented to companies that demonstrate a continuous commitment to protect the environment. The plants that were recognised were: Atotonilco in Hidalgo; Barrientos in Mexico State; Ensenada in Baja California; Huichapan in Hidalgo; Mérida, in Yucatan; Monterrey in Nuevo León; Tamuín in San Luis Potosí; Tepeaca in Puebla; Torreón, in Coahuila; Valles in San Luis Potosí; Yaqui, in Sonora; and Zapotiltic, in Jalisco.

Vietnam: The government of Quang Ngai has threatened to shut the Dai Viet-Dung Quat cement plant if it does not improve its dust emissions. 107 households living within 50m of the unit have been moved but more than 1600 households remain close to the site, according to the Vietnam News Agency. The 0.5Mt/yr cement plant started operation in 2015.

China: The city of Tangshan ordered cement and steel plants to shut down for five days to prevent pollution. The directive followed a forecast of heavy smog in mid-July 2018, according to a source quoted by Reuters. Tangshan, an industrial city, is located in the northeast of Hebei province.

Vietnam: Tran Viet Thang, the former General Director of the Vietnam Cement Industry Corporation (Vicem), has been dismissed as a member of the Executive Committee of the Central Businesses Party Unit and member of the Executive Committee of Vicem's Party unit. He has been found guilty of several legal violations as well as breaking Communist Party of Vietnam rules, according to the Viet Nam News newspaper.

Thang was appointed as the head of government-owned Vicem in mid-2013. He is accused of raising company debts of US$175m by the end of 2016. He left the position in mid-2017. According to the Secretariat of the Communist Party of Vietnam, Thang signed documents and took decisions that he was not authorised to. His actions allegedly violated local corporate and bidding law, as well as rules for Communist Party members. He has been accused of damaging the reputation of Vicem and the Communist Party.

The punishment against Thang is part of an on-going crackdown in the country against corruption.