# Presentation: 061644

## Energy Use and Efficiency of the U.S. Cement Industry

**Ernst Worrell **
**Lawrence Berkeley National Laboratory**
**Presented to the Policy Implementation Committee **
**of the Energy Conservation and GHG **
**Emissions Reduction in Chinese TVEs Project**
***September 18, 2003***

## Cement Making

**Cement Making**

- Raw material Preparation (1-3)
- Clinker Making (4-5)
- Finishing (6-9)

## The U.S. Cement Industry

**2002 Production of 89 Million tonnes:**
**85 Mt portland cement**
**4 Mt masonry cement**
**115 plants in 36 states**
**Main states: Texas, California, Pennsylvania, Michigan, Missouri and Alabama**
**US industry owned for a large part by multinationals: Holcim, Lafarge, Heidelberger Zement and Cemex**
**2002 US consumption: 110 Mt**
**Cement price: $77/tonne**

**World Production: 1720 Mt**
**China: 640 Mt**
**India: 100 Mt**
**U.S.A.: 89 Mt**
**Japan: 75 Mt**
**Korea: 53 Mt**
**Brazil: 40 Mt**
**Spain: 40 Mt**
**Italy: 39 Mt**
**Russia: 39 Mt**
**Major global companies based in: Switzerland, Germany, France and Mexico**

## U.S. Cement Production

## Energy is an expensive part of cement making

**30 - 40% of operating costs**
**Over $1,000,000,000 in the year 2000**

| Labor costs 
(compensation) | Material costs (incl. energy) | Variable Costs | Energy costs | Value of shipments |
| --- | --- | --- | --- | --- |
|  $      1,072,233  |  $    2,588,380  |  $   3,660,613  |  $1,000,098  |  $  7,082,467  |
|   |  |  |  |   |
| Energy costs are  | 39% | of material costs |  |   |
| Energy costs are  | 27% | of all variable costs (materials and labor) |  |  |
| Energy costs are  | 14% | of total value of shipments |  |   |
|   |  |  |  |   |
| Source: | NAICS code 327310: Cement mfg, values in thousands |  |  |   |
| Statistics for Industry Groups and Industries: 2000 |  |  |  |   |
| Annual Survey of Manufactures Issued February 2002, M00(AS)-1 |  |  |  |  |

## Cement Industry is a large Energy user

## Energy Intensity of Clinker and Cement Making

## Fuel and Electricity Use

## U.S. 1999 Energy Use

- Clinker production: 77.4 Mt
- 26% Wet process kilns, 74% dry process kilns
- Primary energy intensity of wet process: 8.0 GJ/t clinker
- Primary energy intensity of dry process: 6.5 GJ/t clinker
- Cement Production: 88.8 Mt
- Average primary SEC of 6.2 GJ/tonne cement

## U.S. cement production emits 22.6 million metric tons of carbon

- Industrial Carbon Dioxide (CO2) Emissions

## Carbon Intensity of Cement Making

## Energy Efficiency Measures

## Existing Opportunities

**Existing Opportunities**
**Energy Efficiency Measures for Dry Process Plants - a sampling**

## Existing Opportunities

**Existing Opportunities**
**Energy Efficiency Measures for Wet Process Plants - a sampling**

## Energy Efficient technologies: Precalciner Kiln

- The U.S. has a very high share of the inefficient wet process kiln
- Precalciner kiln is an efficient kiln with preheating of raw materials and pre-calcining limestone at low temperature
- Precalciner kiln reduces energy consumption to 3.2 GJ/t, saving 40% compared to wet process kiln
- Standard technology for new kilns
- Benefits include:
- reduced NOx emissions,
- reduced water use,
- increased productivity,
- increase use of refuse derived fuels
- Retrofit cost estimate of $75/t
- O&M savings $1/t

## Blended Cement

- Almost all countries in the world produce blended cement as a way to reduce energy use and waste production
- In blended cement part of the clinker is replaced by **waste materials **(e.g. blast furnace slags, fly-ash).
- Clinker production is the most energy-intensive production step, producing CO2 from both fuel combustion and the calcination of limestone
- The U.S. cement industry produces mainly Portland cement (95% clinker)
- Up to 65% of the clinker can be replaced in specific cement types, **saving up to 45% on energy and CO****2**
- Potentially **31 Million tons **of blended cement can be
- 	produced in U.S. (PCA study)
**Primary energy savings** for this measure in the U.S. is estimated to be 16 PJ

## Supply Curve U.S. Cement Industry

**Supply Curve U.S. Cement Industry**

## Is Energy Efficiency Possible?

**Cement industry in the Netherlands improved energy efficiency by 21% between 1990 and 2000**
**Cement industry in Switzerland set strong CO****2**** emission reduction targets (-45% by 2010) to be met by fuel mix change, blending *****and *****energy efficiency**
**U.S. cement industry improved efficiency by 1.1%/year between 1970 and 1999, but the trend has stalled since early 1990’s**

## Conclusions

**There is a large technical potential for energy efficiency improvement in the cement industry**
**However, there are fewer cost-effective energy savings opportunities, given current energy prices in the cement sector. **
**The economic potential (assuming a payback period of 3 years or less) is limited**
**The production of blended cement would increase the economic potential for energy savings and CO****2**** emissions reductions in the industry**
**Blended cement production is key to cost-effective CO****2 ****emissions reduction strategy for the U.S. cement industry**** **

## RMC Pacific - Davenport

- Berkeley

- Davenport

## RMC Pacific - Davenport

**Modern high-capacity plant**
**3 Portland cement types**
**Dry Preheater-Precalciner Kiln**
**Clinker capacity: 3500 tonnes per day**
**Cement production: 860.000 tonnes/year**
**Fuel: coal**
**Fuzzy Logic control system**
**Raw grinding: roller mill**

## Contact Information

**Ernst Worrell****Energy Analysis Department****Environmental Energy Technologies Division****Lawrence Berkeley Laboratory****1 Cyclotron Road, MS:90-4000****Berkeley, CA 94720****USA**
**	****Phone: +1-510-486 6794****Fax: +1-510-486 6996****E-mail: EWorrell@lbl.gov**