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1 Dedicated to to Making a Difference a Cement Sustainability Initiative Forum 2008 Houston, Texas Perspectives from around the world th 30 th September 2008
2 Dedicated to to Making a Difference a José Torrebiarte Federación Interamericana del Cemento FICEM-APCAC
3 Dedicated to to Making a Difference a Federación Interamericana del Cemento FICEM-APCAC 36 cement producers, 15 institutes and 6 associations among 27 countries GOVERNANCE Board of Directors: 11 countries and 8 companies represented 3 Comissions: Communicattion Markets and Products Cement Production OVERVIEW American Statistics: Consumption 260 Million tpy, with a share of 10,1% in a Global context * though 368 productions plants that have an installed capacity of Million tpy and an average growth of 4.5% in theregion KEY ACHIEVEMENTS Representation of all cement producers and countries of Latin America, Spain and Portugal Establish an unifying vision of the industry in the long term Develop a regional agenda of Events for the cement industry Establish Alliances with similar association around the world (CEMBUREAU, PCA, ABCP, etc) High summoning leverage Create communication channels for the exchange of best practices within the members * Including China
4 Dedicated to to Making a Difference a Panamá Argentina Venezuela Perú Uruguay Rep. Dominicana Costa Rica Colombia Honduras A. Latina y el Caribe Guatemala Paraguay Brasil Chile El Salvador Bolivia Haití México Nicaragua Ecuador % Growth rates of GDP, ,5 8,6 8,5 8,2 7,5 7,5 7,0 7,0 6,0 5,6 5,5 5,5 5,3 5,3 4,5 3,8 3,3 3,3 3,0 2, The highest growth in 2007 were Panamá,Argentina, Venezuela andperú Brasil andchile, showa similar growth of 5,3% Federación Interamericana del Cemento FICEM-APCAC
5 Dedicated to to Making a Difference a The largest production is shown in US, Spain, Brazil and Mexico during 2006 The largest growth was in Venezuela and Argentina Cement Production Production Growth 2006/2005 EEUU España Brasil México Colombia Argentina Portugal Venezuela Perú Ecuador Chile Cuba Bolivia Puerto Rico Uruguay Paraguay Venezuela Argentina Bolivia Perú Ecuador México Uruguay Cuba Brasil España Portugal EEUU Chile Puerto Rico Colombia Paraguay Millones de Toneladas 0% 5% 10% 15% 20% 25% 30%
6 Dedicated to to Making a Difference a Key issues for the cementindustry* Issue Action being taken Even though we are one region we have structural differences: legal and economical background, and development levels among others. Poverty in the region Establish common goals as one industry Regional Outreach Invest in education, health and social projects to have a positive impact and benefit the local communities around the plants Create employment opportunities Low per capita consumption Promote the use of cement products through FICEM-APCAC and local associations Federación Interamericana del Cemento FICEM-APCAC * Excluding energy and climate issues
7 Dedicated to to Making a Difference a Key issues energy and climate Specific issue Action being taken No specific regulations for CO2 Emissions Low use of Alternative Fuels in the region Self regulation by producers in a responsable manner Investment in new equipment Modified Cements Promote local rules and regulation Sharing best practices Local efforts for coprocessing No regional statistics Assemblage information with CSI s support Federación Interamericana del Cemento FICEM-APCAC
8 Dedicated to to Making a Difference a Expectations Represent the regional industry in the CSI Forum Stablish a Network with CSI and its members Understand how does CSI can help FICEM-APCAC Develope tools to promote CSI among our members Stablish next steps to become a real communication partner of CSI Stablish common topics and interests to discuss solutions through a co-ordinated action plan Federación Interamericana del Cemento FICEM-APCAC
9 Dedicated to to Making a Difference a Yushiro Kihara Assossiação Brasileira de Cimento Portland / Brazilian Portland Cement Association (Brazil)
10 Dedicated to to Making a Difference a CO2 MANAGEMENT AND CO-PROCESSING: A VIEW FROM BRAZIL Yushiro Kihara Brazilian Portland Cement Association
11 CO Dedicated to to Making a Difference a 2 MANAGEMENT AND CO-PROCESSING: A VIEW FROM BRAZIL CO 2 Management and Co-processing Sustainability Tool THE QUESTION: How to produce more cement efficiently with less CO 2 emissions? 1200 Average net CO 2 emissions (cementitious) kg CO2 / ton cem Source: WBCSD / PWC 0 Africa Asia CIS Europe Japan Australia Latin America North America
12 Dedicated to to Making a Difference a CO-PROCESSING: ALTERNATIVE FUELS Permitted plants = 35 Waste recovery = 1 M ton/year in 2007 Including 160,000 ton of scrap tires Replacement rate = 15% Co-Processing Potencial Capacity = 2.5 M ton Co-Processing (1.000 tons) Source: ABCP
13 Dedicated to to Making a Difference a BRAZILIAN CEMENT INDUSTRY CHALLENGES 1. Develop a Carbon Dioxide (CO 2 ) Protocol for all the cement industry 2. Look for new sources of pozzolans (natural pozzolans) or slag (new siderurgical plants) 3. Constantly increase the replacement of conventional fuels for alternative fuels. 4. Co-process large volumes of waste through a valorization policy 5. Include co-processing in state and federal policy and regulations
14 Dedicated to to Making a Difference a Andy O Hare Portland Cement Association (PCA) (USA)
15 Dedicated to to Making a Difference a Portland Cement Association Offices in Skokie, Illinois, and Washington, D.C. 30 member companies operate 105 plants in 36 states Represents 98% of capacity in United States Represents 100% in Canada Mission: Improve and expand the uses of Portland cement and concrete through market development, research and public affairs
16 Dedicated to to Making a Difference a Focus of PCA* (*Other than Energy and Climate Change Advocacy) Program Overview Market Promotion Expand the use of cement and concrete products in key markets Sustainable Development (SD) Position cement and concrete as sustainable in promotion and advocacy programs Research and Technical Services Support market promotion, SD and manufacturing issue advocacy with targeted R&D and codes/standards advocacy
17 Dedicated to to Making a Difference a PCA Energy and Climate Programs Three Components: Process:Improve energy efficiency Product Formulation: Make cement less carbonintense Product Application: Promote cement and concrete products as climate solutions
18 Dedicated to to Making a Difference a Process: Improve Energy Efficiency Strategy Partner with government to promote energy efficiency and the use of alternative fuels and raw materials Industry voluntary program Energy Star Climate Leaders Climate VISION Program Sector Strategies CO 2 and Energy Efficiency Goals International collaborations on sector approaches Asia Pacific Partnership IEA/G8 WBCSD/CSI
19 Dedicated to to Making a Difference a Product: Make Less Carbon Intense Strategy Encourage use of limestone in cement Encourage use of blended cements Encourage performancebased cement specifications Program Partner with ASTM and AASHTO to change to the portland cement standard Partner with EPA on incentives to use of cement alternatives; CO 2 and energy efficiency goals Work with specifierson use of performance-based standards
20 Dedicated to to Making a Difference a Product Application: Concrete Solutions Strategy Promote sustainability of concrete in communities Devise and make available tools which highlight concrete sustainability Program Partner with Lawrence Berkeley Laboratory to develop a model for sustainable concrete structure and pavements (part of APP Program) Created Concrete Thinker ( tool for architects and engineers
21 Dedicated to to Making a Difference a Expectations Continuation of PCA as a WBCSD communication partner Further exploration of the merits of sector-based climate approaches for the cement industry Learning from cement officials from other parts of the world
22 Dedicated to to Making a Difference a Jean-Marie Chandelle CEMBUREAU (Europe)
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31 Dedicated to to Making a Difference a Hideo Fukushima Japan Cement Association (JCA) (Japan)
32 Dedicated to to Making a Difference a Japanoverview: (Mr.Hideo FUKUSHIMA) 18 members (all Japan) private company Japan Cement Association (2007) (Chairman) Mr. Yutaka WATANABE (President of Sumitomo Osaka Cement Co., Ltd.) 7 committees (e.g. Production & Environment committee) 32 plants Cement production :70.6Mt Cement demand :55.5Mt Unit volume of AFR :436kg/t-cement
33 Dedicated to to Making a Difference a JCA Voluntary Action Plan Keidanren (Japan Business Federation)Voluntary Action Plan started in 1996 Participants : 35 industries JCA Voluntary Action Plan Covers 100% of 18 member companies. Target : (Review every year and Revisein 1998, 2007) 3.8% reduction in 2010 in specific energy consumption (Base year 1990) Boundaries : Energy Fossil fuels and purchased electricity (excluding alternative fuel (AF)) used inside cement plants Cement Cement & cement-based products (produced + exported clinker)
34 Dedicated to to Making a Difference a Specific thermal energy consumption 4,500 ( Gross/Net ) Gross (Include alternative fuel) 4,000 Net (Exclude alternative fuel) ( MJ/t-ce cem. ) 3,500 3,000 2,500 2, Heating value=higher 3 FY
35 Specific Electric Power Consumption ( k W h / t - c e m. ) Dedicated to to Making a Difference a Specific Electric Power Consumption (Gross/Net) vs. Increase in AFR Utilization Gross (Include waste heat power generation) Net (Exclude waste heat power generation) Unit volume of AFR (kg kg/t-cement cement) Unit volume of AFR (kg kg/t-cement cement) Right Axis FY (AFR: Alternative Fuels and Raw Materials) ( k g / t - c e m. ) Unit Volume of AFR
36 Dedicated to to Making a Difference a (MJ/t-cement) 3,800 Energy Intensity for Cement Fossil fuel& Purchased Power 3,600 3,586 3,504 3,499 3,463 3,438 3,407 3,420 Target 3,478 3,451 3,400 3,200 3, FY 5
37 Dedicated to to Making a Difference a Consumption of wastes and by-products Consumption of wastes and by-products Unit consumption of wastes and by-products Unit consumption of wastes and by-products target million ton ns kg/t-cem FY 00 05
38 Dedicated to to Making a Difference a International cooperation Image UNFCCC Kyoto Protocol IEA/G8 Action Plan WBCSD CSI 2000-long term Linkage APP 2006-long term Government + Cement Sectors from Australia, Canada, China, India, Korea, Japan and USA Cement Sectoral Approach We would like to contribute about common problems to the cement industry
39 Dedicated to to Making a Difference a Jianyu Zhang China
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