Role of AFR in Meeting PAT

Target and Reducing CO2 Emission

Presentation by :

K.K.CHAKARVARTI

BUREAU OF ENERGY EFFICIENCY

NEW DELHI

2nd International Conference on

ENHANCED USAGE OF ALTERNATE FUELS AND

RAW MATERIALS IN CEMENT INDUSTRY

20TH FEBRUARY, 2015

Perform Achieve and Trade

scheme

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PAT Overview and Elements

The key goal of the PAT scheme under National

Mission for Energy Efficiency (NMEEE) is to

mandate specific energy efficiency improvements for

the most energy intensive industries

Covers 478 plants in 8 energy intensive industry (

Aluminium, Cement, Chlor-alkali, Fertilizer, Iron &

Steel, Paper & Pulp, Textile and Thermal Power

Stations), and gate to gate boundary concept

adopted.

Energy consumption of these plants was about

1/3rd of the total energy consumed in India in the

baseline year (2009-10).

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PAT Overview and Elements

Key Goal :Mandate Specific Energy

Consumption improvement

Energy Intensity reduction target for each

unit based on its current efficiency in

base line (2009-10)

Multi- cycle process –First PAT cycle till

2014-15

Design based on extensive consultations

over 2010-12

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Number of Designated Consumers (DCs) as notifiedunder Indian Energy Conservation Act and covered under

PAT Scheme

Industry Sector Annual Energy

Consumption Norm to

be DC (toe)

No. of Identified DCs

Aluminum 7500 10

Cement 30000 85

Chlor-Alkali 12000 22

Fertilizer 30000 29

Pulp & Paper 30000 31

Thermal Power 30000 144

Iron & Steel 30000 67

Textiles 3000 90

PAT - METHODOLOGY

Gate to Gate Concept

PROCESS

Electricity (KWH)

FO (Ltr)

NG (SCM)

Coal (KG)

Others (KG or Ltr)

Product (Kg)

All forms of Energy

E P

SEC = E / P

Plant Boundary

Baseline SEC

Target SEC

Reduction in SEC

Year 1 Year 2 Year 3

SE

C

As the SEC is calculated on a Gate-to-Gate concept, the definition of plant

boundary plays an important role.

National Target of Energy Saving among all Sectors

S.NO. SectorNo. of

Identified DCs

Annual Energy

Consumption (Million

toe)

Share Consumpti

on (%)

Apportioned Energy

Reduction For PAT Cycle-1

(Million toe)

1 Power (Thermal) 144 104.56 63.38% 3.211

2Iron & Steel 67 25.32 15.35% 1.486

3 Cement 85 15.01 9.10% 0.815

4Aluminium 10 7.71 4.67% 0.456

5 Fertilizer 29 8.20 4.97% 0.478

6Paper & Pulp 31 2.09 1.27% 0.119

7 Textile 90 1.20 0.73% 0.066

8Chlor- Alkali 22 0.88 0.53% 0.054

Total 478 164.97 100.00% 6.686

Total EE Projects planned in 2012-15: 2057

Total anticipated investment : US$ 3095 million

The direct benefit for the participating industries in this period is reductions

in input costs related to energy of approximately US$ 1250 million.

Sectoral Share in Energy Saving Target (%)

(2012-15)

Reduction in India's CO2

emissions by 24 million tons /

year in 2014-15.

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CEMENT PLANTS(85 DCs)

PPC (55) OPC(16) PSC (7) White OPC(2)+

Grinding(2)+

Only clinker(1)

Based on Major Product

Wet Plant(2)

Grouping of DCs

National Target of Energy Saving among all Sectors

S.NO. SectorNo. of

Identified DCs

Annual Energy

Consumption (Million toe)

Share Consumption

(%)

Apportioned Energy

Reduction For PAT Cycle-1

(Million toe)

1Power

(Thermal) 144 104.56 63.38% 3.211

2 Iron & Steel 67 25.32 15.35% 1.486

3 Cement 85 15.01 9.10% 0.815

4 Aluminium 10 7.71 4.67% 0.456

5 Fertilizer 29 8.20 4.97% 0.478

6 Paper & Pulp 31 2.09 1.27% 0.119

7 Textile 90 1.20 0.73% 0.066

8 Chlor- Alkali 22 0.88 0.53% 0.054

Total 478 164.97 100.00% 6.686

DRAFT ENERGY CONSUMPTION RANGE IN INDIAN CEMENT PLANTS (85 DC’s) (2007-10)

Products/Process (No. of Plants)

Thermal Energy Consumption

(kcal/kg of clinker)

Electric Energy Consumption (kWh/Tonne

equivalent cement)

Normalized Energy Consumption gtg

(kcal/kg equivalent cement)

Total Energy Consumption of Sub-Sector

% Share of Sub- Sector

(Major Product)

Minimum Maximum Minimum Maximum Minimum Maximum (toe)

(%)

PPC (55 Plants)

658 1074.02 64.18 110.24 712.31 1227.1 10292843.975 68.57%

OPC (16 Plants)

727.33 1000.94 75.67 143.48 964.66 1368.43 3295349.387 21.95%

PSC (7 Plants)

701.02 1207.71 71.03 119.69 700.39 968.17 932008.497 6.21%

White Cement (2 Plants)

1093.72 1279.66 108.93 119.81 1452.23 1484.65 105566.281 0.70%

Wet Cement Plants (2 Plants)

1026.67 1415.07 79.75 113.86 1241.4 1244.56 152403.633 1.02%

Grinding Units (2 Plants)

38.78 40.38 138.73 201.05 88211.169 0.59%

Only Clinkerization (1 Plant)

869.33 87.47 1257.22 143790.367 0.96%

Total 15010173.309 100.00%

Cement Sector: Baseline and Targets

Energy Transition for Industry: India and the Global Context, IEA, Jan 2011

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Although Indian Cement Sector being at par with the World

best energy intensity, but still has agreed for energy saving

targets of 0.85 million ton of oil equivalent energy under PAT

Japan

India

Development of new sector specific data Collection Form for Annual Energy Return with inbuilt SEC Calculation sheet -(Completed)

Development of Sector Specific Normalization Factors for

• Capacity Utilization or PLF

• Intermediary products

• Product Mix

• Power Mix

• Fuel and Raw material Availability

• Fuel Quality

• Alternate Fuels , Hazardous and Non- Hazardous fuel

• Environmental Concern

• Natural Disaster & Unforeseen Circumstances

(Normalisation factors developed for DCs)

Development of Normalization Factors, Monitoring , Verification and Trading

Finalization of the overall structure for issuance of Escerts ( Under progress)

Mandatory Energy Audit and Identification of New DCs

Identification of new DCs in 8 sectors

( Activities initiated)

Market place for Energy efficiency

Instruments ( Under Progress)

Making energy audit mandatory for

DCs to identify the energy saving

potential in the existing and new

plants ( Notified on 27th May,2014)

PAT Developments

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Use of Alternate Fuels in Indian Cement Plants

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Use of Biomass and Alternate Fuels

• Biomass and alternate fuels ( non-fossil fuels)energy used in Kiln is not included as InputEnergy to the Plant under PAT Scheme in theBaseline and Assessment year.

• This has boosted the use of Biomass andAlternate fuel (solid and liquid fuels) inCement Plants.

• Normalisation has also been considered, incase availability of Alternate fuels reduces inAssessment year in comparison to Base lineyear, due to external factors

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Dalmia Cement (Bharat) Limited, Kadapa

• Utilization of waste rubber carbon asalternative fuels at a rate of 14 T/Hr.

• Reduction in usage of pet coke in2,438 MT /Month @ rate of 3000 MT/Month Carbon black consumption.

• 2% of Alternative Fuel usage forClinkerization.

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JK Lakshmi Cement Limited, Sirohi

• Use of Bio Mass Such as Mustard, Moong, Mahendi, Soyabean husk, Sarason to replace some quantity of Coal used in PC firing of the kiln section.

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Year 2011-2012 2012-13 2013-2014

Eq. Fuel SavingMT

10831 4348 8593

VASVADATTA CEMENT• Utilisation of Waste as fuel (Alternate Fuel

Utilization) : Tyre Chips, Carbon Black etc.

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Different Types of AFR Consumed (in MT)

2012-13 2013-14 Coal Saved Indian (MT)

Coal Saved Imported (MT)

% Share of AFR

Rs.in lac Saved

Total 3,017.07 13,601.5 14876 2484 2.576 415.48

Dalmia Cement,Ariyalur

• By the use of Alternate Fuels, Carbon Emission reduced by 12583 tons of Co2 for the year 2013-14 is

• Trail run was conducted for usage of tannery sludge as a raw material- First in India .

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Quantity of waste fuel used (Tons )

Equivalent of Conventional energy used (Tons of fuel)

Waste fuel as % of total energy

11210 4839 3.97

UltraTech Cement Limited- Unit: Vikram Cement Works

• PAT Benefits by using Alternate Fuel (Imported Tyre Chips-9057 kcal/kg GCV, plasticwaste, MSW, paint sludge, Opium Marc,Hazardous and Non-Hazardous Waste, DodaChura (Poppy Straw) Seized by Govt , paintsludge etc.

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Quantity of Alternate fuel used (Tons )-2013-14

Avg CV Value of Alternative fuel (Kcal/Kg)

Potential PAT Benefit mToE (Metric tonnes of oil equivalent) (2013-14)

23001.77 4125.71 9489.90

Conclusion

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The PAT scheme is a unique and innovative programme

with no precedence anywhere else in the world.

PAT Scheme has given a boost to the use of alternatefuels in Cement industry and helped in reduction of CO2

emissions.

PAT would become a valuable model for other countries

to adopt for their own energy efficiency programmes with

a business perspective.

It also highlights an innovative approach of introducing

market-based instruments within a regulatory framework

to encourage compliance.

Successful implementation of the scheme could serve as

a model for addressing upcoming challenges in a

transparent and economically efficient manner.

Conclusion

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