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Cement companies must increase effort to meet Paris climate goals

Published by
World Cement,

CDP, a charity that runs the global disclosure system, have released a report, 'Building Pressure', that analyses 13 of the world's largest cement companies, revealing that they need to more than double their emissions reductions if they are to limit global warming to below two degrees, as agreed in the Paris Climate Deal.

Cement companies must increase effort to meet Paris climate goals

The cement companies included in the report have a total market capitalsation of US$150 billion and represent 16% of global cement production. The cement sector itself accounts for 6% of global CO2 emissions.

Indian companies top the CDP league table thanks to reducing their carbon footprint during the cement making process, in part due to better access to alternative materials from other carbon intensive sectors. They also benefit from newer and more efficient cement plants driven by high market growth in the region, in contrast to their European peers that rely on older cement plants.

“Cement is a heavy and largely invisible polluter, yet taken for granted as a necessary building block of basic civilisation," said Paul Simpson, CEO of CDP. "With potential pressure coming from multiple sources, including down the value chain in the form of building and city regulation, cement companies need to invest and innovate in order to avoid impending risks to their operations and the wider world."

There are however opportunities for companies who act early on climate risk. Companies can reduce costs by making their cement plants more energy efficient and secure their position in future sustainable cement markets by investing in low-carbon products. Governments can facilitate the development of these markets through regulation and incentives.

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Concrete news Cement news 2018