By R. Bhargava Chief Climate & Sustainability Officer Shree Cement Limited

1. Cleaner Technologies & Resource Conservation By R. Bhargava Chief Climate & Sustainability Officer Shree Cement Limited

2. Contents • SCL Overview • Indian Cement Industry • Drivers for Technology Development • Advancement in Cement Industry • Cleaner Technologies and Resource Conservation • Technologies Need Way to India

3. Shree Cement Profile Shree Cement Limitedis a rapidly growing and one of the most efficient and environment friendly Companies in India. An Energy & Environment Conscious Sustainable Organization

4. Our Vision “Lead in Creating Prosperity & Happiness for all Stakeholders through Innovation & Sustainable Practices”

5. Total Prosperity Management A Culture The Aim To take Company from good to great. Changing Scenario

6. Management Systems

7. India Cement Industry

8. Indian Cement Industry Projected CO2 Emissions If current trajectories were to continue without intervention, by 2050, emissions from cement manufacture in India would reach between 488 MtCO2and 835 MtCO2, a 255% to 510% increase compared to today’s level.

9. Indian Cement Industry Cement industry is an energy intensive industry and third largest coal consumer in the country requiring both electrical and thermal energy for its operation The table below show the progressive reduction in specific thermal energy reduction

10. Definition of Clean Technology • Services of similar or better quality to existing technologies • Cost-competitive with existing technologies, in the long run. • Environmentally superior to existing technologies

11. Definition of Resource Conservation Resource conservation is the proper management of a natural resource to prevent its exploitation, destruction or degradation. Need for conservation of resources: • To maintain ecological balance for supporting life • To preserve different kinds of species • To make the resource available for present and future generation • To ensure the survival of human race.

12. Drivers for Technology Development Clean Technologies - Locations Mining Fugitive Emissions Crushing Prehomogenisation Grinding of Raw material and Fuel Pyro Processing Noise Clinker Production SOx NOx PM Cement Grinding SOx NOx Water Consumption Energy Consumption Noise PM PM Noise Storing and Packaging Noise Waste Management

13. Economic considerations Environment management Energy efficiency Capital cost Recognition of Green Corporate Regulatory and Social Position Drivers for Technology Development

14. Advancement in Cement Industry

15. Advancement in Cement Industry Continued…

16. Advancement in Cement Industry Continued…

17. Advancement in Cement Industry Continued…

18. Advancement in Cement Industry

19. Cleaner Technologies and Resource Conservation

20. Cleaner Technologies and Resource Conservation Adopted 7 ‘R’ philosophy to ensure Clean technology & resource conservation Initiatives at Shree contribute to low carbon economy leading to Total Prosperity

21. Cleaner Technologies and Resource Conservation Best Practices in Mines, Plant & Environment Mines Practices: • Blasting Techniques • Optimization for movement of Heavy Earth Moving Machinery (HEMM) • Geological Mapping and Contouring • New Survey techniques for Field Surveying. Plant Practices: • Thermal and electrical energy efficiency • Waste heat recovery • Alternative fuel and raw materials • Clinker substitution • Renewable Energy • Green Building Environment Practices: • Air • Water • Noise

22. Cleaner Technologies and Resource Conservation- Mines • Blasting Techniques Optimisation of Explosive Consumption • Use of Non - electric detonators • Implementation of recommendations of Central Institute of Mining & Fuel Research: • Polymer Beads are being used with Ammonium Nitrate. • Bottom Deck removes toe problem & save explosives. • Regular monitoring of vibrations by Seismograph.

23. Uniform mixing of Ammonium Nitrate & Fuel Oil with best absorption and retention Improved Blasting results & reduction in blasting fumes Better productivity and safety Facilitate to conduct big blasts to meet higher production targets . Cleaner Technologies and Resource Conservation- Mines Use of Bulk Mixing Delivery Van Bulk Mixing Delivery Van

24. Cleaner Technologies and Resource Conservation- Mines • Optimization of HEMM Operator Independent Truck Dispatch system (OITDS) • Mining Operation controlled by CCR. • Crew allocations through attendance recording system • Dynamic allocation of Equipment & optimization of route of dumpers • Real Time Display, Tracking & Tracing • On-line Health monitoring of HEMM • On-line Report Generation • Voice Communication

25. Cleaner Technologies and Resource Conservation- Mines • 3. New Survey techniques for Field Surveying. New surveying techniques like surveying through ‘Total Station’ instead of conventional theodolite has been adopted. This has resulted in fast accurate survey of the Mines. Now company is exploring vast surveying through Drone Technology.

26. Cleaner Technologies and Resource Conservation- Plant • Thermal and electrical energy efficiency • The best levels of specific energy consumption achieved by some Indian cement plants, at 680 kcal/ kg clinker and 66 kWh/t cement, are comparable with the best in the world ; • About 50% of Indian cement industry’s capacity today is less than ten years old. • While building these new cement plants, manufacturers have installed the latest, energy efficient technologies by design. As a result, recent cement plants achieve high levels of energy efficiency performance.

27. Cleaner Technologies and Resource Conservation- Plant • SCL Beawar plant • Energy reduction target = 4.55% • Target achieved = 29.16% • Target overachieved = 24.61% • ESCerts Issued = 86117Nos. • SCL Ras plant • Energy reduction target = 5.06% • Target achieved = 20.58% • Target overachieved = 15.52% • ESCerts Issued = 72140Nos.

28. Cleaner Technologies and Resource Conservation- Plant Methodology adopted to reduce energy consumption • Daily Monitor Energy Consumption by conducting production / power meeting • Form Energy Task Force Team with cross functional team members and discuss best energy saving initiatives and implement. • Allocation of fund by management based on the payback period less than 3 years • Award Best Energy saving initiatives during monthly safety meeting Continued…

29. Cleaner Technologies and Resource Conservation- Plant • Encourage employees of all levels and various functions and motivate to participate in Energy Management activities through: • Suggestion schemes • Bench marking • Quality circles • Small group activities • Brain storming sessions, • Journals • Internal and external training programs. • SCL also engage various external energy professionals and experts from agencies like NCCBM, TERI, FICCI, CII, BEE accredited auditors for Energy Management activities.

30. Cleaner Technologies and Resource Conservation- Plant Installed High Efficiency Classifier in place of conventional classifier Shree Cement have installed High efficiency Classifier in place of conventional Classifiers there by reducing pressure drop and improving the classification efficiency of raw material.

31. Cleaner Technologies and Resource Conservation- Plant Installed triplet in pre heater top cyclone Shree Cement have installed additional Triplet cyclone Twin Cyclone at Preheater top resulting into pressure drop and increase in cyclone efficiency results into less return dust in Preheater exit gases. Installation of additional cyclone also result in to lower consumption of Preheater fan.

32. Cleaner Technologies and Resource Conservation- Plant Installation of turbo Blowers Earlier compressed air was being utilized for conveying of coal. Turbo blowers were installed to reduce power consumption Shree Cement was first in Indian Cement Industry to install turbo blower and Shree cement has now decided to install turbo blower in all units in project phase

33. Cleaner Technologies and Resource Conservation- Plant • Thermal and electrical energy efficiency - Conditions, barriers and constraints • Technical • Layout constraints/civil structural capability for stage addition in Preheater • Burnability of raw mix • Risk involved in implementation of latest technologies  Policy • India’s environmental norms, necessitating installation of additional equipment, might increase future energy consumption. • Logistics/availability and quality concerns of coal, raw materials • Grid Power Quality • Financial • Longer shutdown time for major modifications • Long pay back period for implementation of certain initiatives, if only energy efficiency benefits are taken into account. Uncertainty price of CER & ESCerts (PAT) • Higher investment and operating costs for oxygen enrichment

34. Cleaner Technologies and Resource Conservation- Plant • Waste Heat Recovery • Adoption of WHR systems in Indian cement manufacturing facilities has been relatively slow compared to other countries. • Out of about 183 large cement kilns in the country, only 12 have WHR systems installed. • The WHR potential of the Indian cement industry is estimated at approx. 1000 MW whereas at present around 250 MW of WHR system have been installed in India. Continued…

35. Cleaner Technologies and Resource Conservation- Plant Installation Waste heat recovery System In dry process cement plants, nearly 40% of the total heat input is available as waste heat from the exit gases of the preheater and cooler. • Benefit: • Improved quality of power helps in smooth operation of cement plant. • Contribute to reduce global warming by way of releasing low temperature gases to atmosphere. • Reduced GHGs emissions intensity Shree Cement have installed 111 MW of Waste Heat Recovery Based Green Power Generation which is largest in the world cement industry after China. Continued…

36. Cleaner Technologies and Resource Conservation- Plant Before After Continued…

37. Cleaner Technologies and Resource Conservation- Plant Waste heat recovery - Conditions, barriers and constraints Technical • Space Constraint in the layout for close proximity of Preheater and Cooler • Waste heat availability in terms of temperature and quantity from the Preheater and Cooler • Operational problems due to dust deposition in the system Policy • Provision of renewable energy status for Waste Heat Recovery systems • Need duty incentives for import of equipment / technology Financial • Long payback periods • High CAPEX • Export to grid is not viable

38. Cleaner Technologies and Resource Conservation- Plant • Alternative fuel and raw materials To date, AFR use is approx. 0.6% of thermal energy across India, compared to a global average of about 4%, but the cement industry has increased its focus on AFR utilisation by using newer industrial, municipal and agricultural wastes. Alternate fuel available in India Continued…

39. Cleaner Technologies and Resource Conservation- Plant Use of alternate fuels & raw materials • The use of waste as alternative fuels and raw materials in the cement industry has numerous environmental benefits such as: • Reduced the use of mined natural materials such as limestone, bauxite, Iron ore etc. and non-renewable fossil fuels such as coal. This also reduces the environmental impacts associated with mining of these natural materials. • Contributes towards lowering of emissions such as greenhouse gases by replacing the use of fossil fuels with materials that would otherwise have to be incinerated. • Reduced land requirement for land fill option thereby reducing the emissions and also liability associated with the landfills. • Maximizes the recovery of resources present in the waste. All the energy is used directly in the kiln for clinker production and the non-combustible part of the waste becomes part of clinker.

40. Cleaner Technologies and Resource Conservation- Plant • Alternative fuel and raw materials

41. Cleaner Technologies and Resource Conservation- Plant Technical Capabilities (R&D testing facility) Shree Cement have established its own R&D centre which is approved by GOI. Following facility available at SCL: • Advance analysis through Optical microscope, Particle Size Analysis, X Ray Diffraction analysis, Spectroscopy • Standardized procedure for performance evaluation of fly ash to maximize its use. • Burnability studies to arrive at optimum raw mix level for better quality of clinker. • Refractory physical and chemical analysis. • High Performance Concrete study. • Compatibility studies of various AFR materials.

42. Cleaner Technologies and Resource Conservation- Plant Replacement of Laterite with Lead-Zinc Slag • Lead And Zinc is a waste from smelting industry. • Utilized around 12 Lakh tons of lead and Zinc Slag. • Cleaned up 40 hectares of land at producers site, which was being used for dumping slag. • Land now being used for plantation by producer. • Proved our industrial ecologist instinct.

43. Cleaner Technologies and Resource Conservation- Plant Utilization of petcoke in place of conventional fuels • Petroleum coke is a by-product / undesirable product of oil refining cracking process. • Unique Initiative of petcoke utilization in Cement and Power Plants for the first time in Indian cement industry taken by Shree Cement and achieved 100% petcoke utilization in both cement and power plants.

44. Cleaner Technologies and Resource Conservation- Plant Alternative fuel and raw materials - Conditions, barriers and constraints Technical • Variation in the quality of AFR, availability of feeding system, compatibility with raw materials. • Non availability of sorted waste and low calorific value of municipal waste Policy • Trans Boundary movement of hazardous waste • Need for legislation encouraging co-processing in the cement industry • Complicated procedural systems for co-processing • Difficulty in allotment of Government Land for installing pre-processing facility  Financial • Higher investment and operating cost for waste preprocessing • No incentives available for co-processing even though it has low carbon foot print

45. Cleaner Technologies and Resource Conservation- Plant • Clinker substitution • Clinker is the main component in most types of cement. When ground and mixed with 4% to 5% gypsum, it reacts with water and hardens. Other mineral components also have these hydraulic properties when ground and mixed with clinker and gypsum: • Ground blast furnace slag (GBFS, a by-product from the iron and steel industry) • Fly ash

46. Cleaner Technologies and Resource Conservation- Plant • Characteristics of Clinker substitution

47. Cleaner Technologies and Resource Conservation- Plant Utilization of Flyash The increased use of fly ash in Portland Pozzolona Cement (PPC) directly impacts the reduction of clinker factor in cement. Thereby reducing CO2 emissions through reduced fuel combustion and reduced limestone calcination. • Fly ash conforming to standard IS: 3812 (1) 2003 can be used (up to 35% maximum) in the manufacture of PPC as per IS: 1489 (part 1) 1991. • Shree Cement have Installed Fly ash collection and storage system at Thermal Power Plants at own cost. Continued…

48. Cleaner Technologies and Resource Conservation- Plant Utilization of Slag • Portland Slag Cement, commonly known as PSC, is blended cement. Slag is, essentially, a non-metallic product comprising of more than 90% glass with silicates and alumino-silicates of lime. • IS: 12089 standards are used for producing PSC. It is created with a combination of up to 45- 50% slag, 45% – 50% clinker, and 3-5% gypsum. • Advantages of PSC • Ultimate compressive strength • Excellent resistance to Chloride & Sulphate attacks • Improved workability • Better compatibility with all types of admixtures • Superior finish & Minimised shrinkage cracks • Better resistance against alkali-silica reaction

49. Cleaner Technologies and Resource Conservation- Plant • Clinker substitution - Conditions, barriers and constraints Technical • Non-availability of appropriate blending materials w.r.t., quality & quantity • Additional CAPEX for fly ash & Slag dryers Policy • Fly ash is sold on a competitive bidding making PPC manufacturing financially unviable in many locations • New / Modification of existing standards/codes is required for higher utilization of blended materials • Lack of consumer awareness on the quality of blended products + lack of confidence of builders • Mandatory requirement of giving 20% CPP Fly ash to the brick Vendors • Need for composite cement standards Financial • Steep increase in Cost of Fly ash / Slag • Need for Tax relief for Blended Cements • Need fiscal incentives for long distance fly ash / slag transport

50. Cleaner Technologies and Resource Conservation- Plant • Renewable Energy The government of India has set the target of renewable energy capacity to 175GW which includes 100GW from Solar, 60GW from wind and 10GW from bio-power and 5GW from small hydro power to be achieved by 2022. Shree Cement has installed 62kWpof Solar PV Plant at Beawar plant.