By Kishan Karunakaran, CEO, Buyofuel
India’s cement production capacity is expected to reach 550 MT by 2025. The cement demand is estimated to touch 419.92 MT by FY 2027 driven by the expanding demand of different sectors, i.e., housing, commercial construction, and industrial construction. Given that the cement industry heavily relies on fossil fuels for production, there is an urgent need to transition to sustainable, green, and renewable fuel options, such as biofuels, to transform the cement industry into a low-carbon emitting industry. The use of biofuels in the cement industry can offer a range of benefits for farmers, including additional revenue streams, waste reduction, improved soil health, and reduced dependence on fossil fuels.
Rapid development and urbanisation have propelled India’s economic progress on an upward trajectory. The Indian government has made significant investments in large-scale infrastructure projects in recent times, aiming to boost connectivity and create new avenues for revenue generation and employment opportunities.
With growing industrialisation and a burgeoning population, there is an increasing need to build robust infrastructure across the country to meet demands and cater to the needs of the people. This infrastructure push has resulted in a domino effect across various industries, with the cement industry being particularly prominent among them.
India, the second largest cement manufacturer globally, is experiencing a surge in cement demand, leading cement producers to ramp up their manufacturing capacity. For example, in 2022, India constructed 12,000 kilometres of highways, and the demand for housing continues to rise. The housing sector alone accounts for 60-65 per cent of India’s cement consumption, and as a result of these factors, predictions indicate that cement production is expected to grow by approximately 6-8 per cent in 2023-24. The infrastructure push is expected to catapult cement consumption and demand in the country. However, it is crucial to note that this growth also presents the challenge of ensuring sustainability in the long term with minimal environmental impact.
India has committed to achieving a net-zero economy by 2070 and has set a target of meeting 50 per cent of its electricity needs from renewables by 2030. Given that the cement industry heavily relies on fossil fuels for cement production, there is an urgent need to transition to sustainable, green, and renewable fuel options, such as biofuels, to transform the cement industry into a low-carbon emitting industry.
According to the available data, the cement industry is responsible for 8 per cent of global CO2 emissions. It is also a significant source of pollutants, including dust, particulate matter, and hazardous gases such as NOx (nitrogen oxides), SOx (sulphur oxides), carbon dioxide, methane, and others. However, on a positive note, cement manufacturers have recognised the importance of mitigating carbon-emitting practices and investing in greener options, such as biomass briquettes, to reduce their carbon footprint, decrease dependency on fossil fuels, improve efficiency, and gain cost-related advantages.
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