Big Opportunities after Covid-19 for CO2 Reduction Projects in the Cement Industry

In the last days appeared several news that indicates so kind of consensus about what it will happens in the cement industry after COVID-19:

• The majority of populations around the world favor recovery policies that also address climate change
• Is a sense of urgency between the cement producers to reach the targets of the 2015 Paris Agreement.
• Technology alone is not enough to achieve carbon neutrality, collaboration between all stakeholders in the entire construction sector is needed.
• More major investments will be needed to introduce low-carbon technologies in the cement plants
• To achieve its ambitious goals, the industry needs the support of the political policy-makers."
• A low-carbon COVID-19 recovery could not only initiate the significant emissions reductions needed to halt climate change but also create more jobs and economic growth than a high-carbon recovery would.

I will explain more details about these points with the next 4 examples of news appeared in the last 2 months from some of the cement sector industry leader companies and institutions:

1- MISSION ZERO, FLSmidth - Thomas Schultz

In November 2019, FLSmidth announced its sustainability ambition for 2030 called ‘MissionZero’. The ambition is a response to the growing demand from cement producers around the world for sustainable solutions. MissionZero aligns with some of the United Nations’ Sustainable Development Goals to address climate change.

I took some answers that Thomas Schulz, Group CEO of FLSmidth gave in the interview that was published in the Magazine International Cement Review, of March 2020.

"What is new is the accelerated pace and collective sense of urgency within the industry. The Paris Agreement has certainly played a role in that, but the trend is also reinforced by other government initiatives, investors, a proliferation of CO2 pricing and even societal expectations."

2- CARBON NEUTRALITY ROAD MAP, CEMBUREAU

Even trough the Covid-19 crisis, Cembureau (European Cement Association) has been working to complete the new Carbon Neutrality Roadmap, which was published at middle of May 2020. Cembureau in this Roadmap, sets out the goal of net zero emissions along the clinker, cement, concrete, construction and (re) carbonization value chain by 2050.

Cembureau asserts that technology alone is not enough to achieve carbon neutrality, collaboration between all stakeholders in the entire construction sector is needed.?

3- ZKG CEMENT LIME/GYPSUM - Anett Hümmer

Anett Hümmer said in her editorial of the ZKG Cement Lime/Gypsum Magazine of last May; "The European cement industry is regarded as a global leader in innovation, for climate protection, too. In Europe, there is not only a large number of projects in which breakthrough technologies are applied, technologies for tomorrow are also developed."

Anett finalize her editorial with this paragraph;

"Achieving carbon neutrality will not be easy or possible without considerable costs. On the contrary, more major investments will be needed to introduce low-carbon technologies in the over 200 cement plants across Europe. To achieve its ambitious goals, the industry needs the support of the political policy-makers."

4- McKinsey - Public & Social Sector and Sustainability Practices

In the Article ""How a post-pandemic stimulus can both create jobs and help the climate" published by McKinsey said:

• The period after the COVID-19 crisis could determine whether the world meets or misses the emissions goals of the 2015 Paris Agreement.
• Its analysis of stimulus options for a European country suggests that mobilizing €75 billion to €150 billion of capital could yield €180 billion to €350 billion of gross value added, generate up to three million new jobs, and enable a carbon-emissions reduction of 15 to 30 percent by 2030.
• Support is mounting for a low-carbon recovery from the COVID-19 economic crisis. The informal green-recovery alliance, launched in April by 12 environment ministers from European countries, 79 members of the European Parliament, and 37 CEO s . Top executives at upward of 150 companies signed a public statement calling for a net-zero recovery.
• That 2 of the 12 feasible stimulus measures with strong socioeconomic benefits and decarbonization effects in the near, medium, and long terms are applicable to cement industry; a) Improve industrial energy efficiency through such means as replacing equipment and upgrading waste-heat technologies b) Build carbon-capture-and-storage infrastructure around large industrial clusters

Populations around the world favor recovery policies that also address climate change

CONCLUSION

I encourage to all the members of our cement industry community: promote to their respective governments that the Post Pandemic Stimulus budget be used in the CO2 reduction projects; for example energy reduction upgrades, alternative fuels upgrades, CCS (R&D projects), etc. Working together all the cement industry stakeholders we could reach the 2015 Paris Agreement Goals!

I want to finalize with a quote of Matthias Mersmann:

“I am convinced that after Covid-19, the cement industry will be governed by CO2”