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Key Points

India's cement industry is emerging as a global leader in energy optimization and emission control. The sector already outperforms international counterparts in blended cement production and thermal energy efficiency. However, reducing emissions from limestone burning remains a significant technological challenge. Industry leaders call for government partnership and carbon credit financing to make large-scale carbon capture viable.

Key Points: Shree Cement Executive Says India Leads Global Cement Energy Efficiency

  • India produces 75% blended cement, far exceeding international industry averages
  • Indian thermal energy efficiency outperforms even European benchmarks levels
  • Limestone burning emissions remain the sector's biggest unsolved challenge
  • Carbon Credit Trading Scheme could finance carbon capture if priced at $100/ton
2 min read

India cement industry ahead of global peers in energy optimisation: Shree Cement Executive

Shree Cement's Saurabh Palsania reveals India's cement sector outperforms global peers in emissions control and energy optimization, though carbon capture challenges remain.

"Compared to the European industries or the global industries, cement industries are very well controlling their emission levels through energy optimisation, which is one of the lowest in the world - Saurabh Palsania"

New Delhi, August 22

The cement sector in India is emerging as one of the most efficient globally in reducing emissions and adopting sustainable practices, but significant challenges remain, according to Saurabh Palsania, Joint President at Shree Cement

Speaking to ANI on the sidelines of PHDCCI-organised Global Summit on Sustainability 2025, on Friday, Palsania asserted that Indian cement companies have already outperformed their global counterparts in several areas.

"Compared to the European industries or the global industries, cement industries are very well controlling their emission levels through energy optimisation, which is one of the lowest in the world," Palsania said.

Currently, 75 per cent of cement produced in India is blended cement, far ahead of international averages, he supplemented. The country also leads in terms of thermal energy efficiency, with consumption levels outperforming even European benchmarks.

Despite this progress, Palsania pointed out the biggest hurdle remains in reducing emissions from limestone burning, a fundamental part of cement production.

On this front, he emphasised the need for a strong partnership between industry and government to make large-scale carbon capture, utilisation, and storage financially viable.

"The cost of installing, utilising, and storing the carbon emitted through limestone burning is the biggest challenge," he said.

Pilot projects are underway in Europe and other countries and they could pave the way for similar initiatives in India in the next few years, if supported by incentive schemes.

A key driver of industry-wide transformation, according to Palsania, will be the Carbon Credit Trading Scheme recently introduced by the Indian government.

If carbon credits are priced competitively, he argued, they could unlock vital financing.

"Carbon Credit Trading Scheme, which has been brought by the Indian government, when it will be traded on a platform and the base price for doing good, if it is capped at a level of $100 per ton of CO2 saved, I think that will be the biggest way to finance the cement industries for installing carbon capturing and utilization," Palsania said.

If the base price for saving carbon dioxide is capped at USD 100 per ton, it will be the biggest way to finance cement industries for installing carbon-capturing and utilisation, he said.

While he projected that 50 per cent of the sector's emissions can be effectively controlled in the near future, the remainder will require a careful balance between growth, technology, and feasibility.

- ANI

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Reader Comments

P
Priya S
While the progress is commendable, I hope these sustainability measures don't lead to increased cement prices for common people. Affordable housing is already a challenge in our country.
A
Aditya G
The carbon credit trading scheme at $100/ton could be a game-changer! This is exactly the kind of innovative policy we need to balance industrial growth with environmental responsibility. Hope other sectors follow this model.
N
Nikhil C
Interesting read. I work in construction and have noticed better quality cement in recent years. Good to know it's also more environmentally friendly. The industry-government partnership approach is the right way forward.
S
Sarah B
As someone working in environmental policy, I appreciate the honest assessment about the limestone burning challenge. Many industries only highlight their successes. This transparency is crucial for real progress.
K
Karthik V
Hope the government provides adequate support for carbon capture technology. This is where we need to invest heavily - both private and public sectors working together. Future generations will thank us for taking these steps today.

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