Interview with Li Chen, Deputy Secretary-General of the Cement Association: What is the impact of ultra-low emissions on the cement industry?

"Ultra-low emission transformation should explore the path of emission reduction from the source of the process, adhere to digital intelligence and low-carbon, and consider synergy from the perspective of energy consumption, material consumption, economic cost and 'double carbon' of the entire production. ”

Recently, the Ministry of Ecology and Environment, together with the National Development and Reform Commission, the Ministry of Industry and Information Technology, the Ministry of Finance and the Ministry of Transport, jointly issued the "Opinions on Promoting the Implementation of Ultra-low Emissions in the Cement Industry" (hereinafter referred to as the "Opinions"). Li Chen, deputy secretary-general of the China Cement Association, made the above remarks in an exclusive interview with China Environment News.

Li Chen, deputy secretary-general of China Cement Association, courtesy of the interviewee

"China has been the world's largest cement producer and marketer for more than 30 years. In 2023, the country's cumulative cement output (including more than 20 kinds of general cement and special cement) will be 2.023 billion tons, accounting for more than half of the world's total output. The cement industry is included in the key industries of air pollution prevention and control, mainly due to the large cement production capacity base and the impact on air quality, the emissions are mainly particulate matter, nitrogen oxides, sulfur dioxide, etc., and there are almost no volatile organic compounds. Regarding the release of the "Opinions", Li Chen interprets that this will improve the level of air pollution control in the whole process and the whole process for the cement industry, promote the green and low-carbon transformation and upgrading of the industry, promote the continuous improvement of air quality, and provide a good guiding role and support for the in-depth fight against pollution.

Taking into account the progress of reducing excess capacity, by the end of 2028, it is expected that 100% of the cement clinker production capacity in the country will be transformed in accordance with the target requirements of the "Opinions".

As early as 2021, the "Opinions of the Central Committee of the Communist Party of China and the State Council on Deepening the Battle of Pollution Prevention and Control" clearly required to promote the ultra-low emission transformation of cement industry enterprises. In 2023, the State Council issued the Action Plan for Continuous Improvement of Air Quality, taking the ultra-low emission transformation of key industries as a powerful measure to effectively reduce pollution emissions and continuously improve air quality in the whole society.

According to Li Chen, the cement industry, as a key industry for ultra-low emission transformation, has begun to actively respond to the requirements of ultra-low emission transformation, and some large enterprise groups have also reserved relevant budgets in the annual technical transformation list and formulated a timetable roadmap. In addition, in Hebei, Henan, Shandong, Shanxi, Zhejiang and other key regional provinces, it has also taken the lead in carrying out cement ultra-low emission transformation, and has achieved good experience accumulation, laying a solid foundation for nationwide promotion.

"State-owned enterprises are an important material and political foundation of socialism with Chinese characteristics, and they are the 'pillars' of the socialist economy with Chinese characteristics. State-owned enterprises in the cement industry have a high proportion of production capacity and a dominant position, and have greater political and strength advantages in the implementation of the decisions and deployments of the Party Central Committee. Li Chen pointed out that the cement as the main business of the central enterprises and state-owned enterprises have developed rapidly, with large volume, strong "muscles", strong market leadership and ability to resist and resolve risks, and are the pioneers of environmental protection responsibilities, and will play a leading role in the transformation of ultra-low emissions.

According to the main objectives of the "Opinions", by the end of 2025, 50% of the cement clinker production capacity in key areas will be transformed, and large state-owned enterprise groups in the region will basically complete the transformation of organized and unorganized ultra-low emissions, and by the end of 2028, cement clinker enterprises in key areas will basically complete the transformation, and 80% of the cement clinker production capacity will be completed nationwide.

"The Action Plan for Continuous Improvement of Air Quality adjusts the total number of key cities for air pollution prevention and control to 82, covering at least 500 million tons of cement clinker production capacity. By the end of 2025, we estimate that the cement clinker production capacity that needs to complete the ultra-low emission transformation will be about 250 million tons. By the end of 2028, with the deepening of the cement industry's work to resolve excess capacity, it will also invisibly boost the progress of the ultra-low emission transformation of cement clinker enterprises. Li Chen further said, "the country strives to complete 80% of the cement clinker production capacity to complete the transformation, which means that there should be about 1.5 billion tons of production capacity to complete the transformation, considering the reduction of excess capacity work to advance, the end of 2028 to complete the target requirements of 80% of the transformation, equivalent to the stock of cement clinker enterprises and the national new reconstruction and expansion projects to complete the ultra-low emission transformation." ”

Ultra-low emissions are encouraged-oriented,The pressure is enormous and the situation is urgent

"For the cement industry, there is a lot of pressure to meet deadlines. Li Chen said frankly that the pressure mainly comes from three aspects: first, at the technical level, the ultra-low emission index requirements are high, and the denitrification and other technical processes are still being continuously improved;

According to the main indicators of the "Opinions", in terms of organized emission indicators, the hourly average emission concentrations of exhaust gas particulate matter, sulfur dioxide and nitrogen oxides are not higher than 10mg/m³, 35mg/m³ and 50mg/m³ respectively under the condition of 10% oxygen content of cement kiln and kiln tail waste heat utilization system. In terms of fugitive emission control measures, on the premise of ensuring safe production, effective control facilities such as closed and closed emission sources such as material storage, material transportation, and production process are adopted to ensure that there is no visible smoke and dust escaping from dust production points and production facilities, and the plant area is clean and free of dust. In terms of clean transportation, the proportion of raw fuel in and out of enterprises shall not be less than 80% of the transportation in clean mode, and the proportion of automobile transportation in enterprises that cannot reach the standard of new energy or China VI emission standards shall be used for all new energy or national VI emission standard vehicles; and the proportion of clean transportation of enterprises in key areas shall not reach 80%, and new energy vehicles shall be used instead. Priority is given to clean transportation for product transportation, and all new energy or China VI emission standard vehicles are used for automobile transportation.

"In accordance with the "Cement Industry Air Pollutant Emission Standard (GB4915-2013)" in the general area of cement kiln and kiln tail waste heat utilization system particulate matter, sulfur dioxide, nitrogen oxide emission limits are not higher than 30mg/m³, 200mg/m³, 400mg/m³, respectively, the corresponding emission limits in key areas are not higher than 20mg/m³, 100mg/m³, 320mg/m³, which means that the ultra-low emission index is reduced by 66.67% compared with the general area, 82.5% and 87.5%, which were 50%, 65% and 84.375% lower than the indicators of key regions. Li Chen pointed out that the indicators proposed by ultra-low emissions are indeed huge pressure on cement companies, but ultra-low emissions are not a mandatory requirement. Compliance with emissions is the legal responsibility of enterprises, and ultra-low emissions are encouraged. Enterprises that fail to meet the standards will not be punished, and enterprises that meet the requirements of ultra-low emission transformation will be supported more, mainly to enhance the enthusiasm of promoting the spontaneous transformation of enterprises, and enterprises or facilities included in the elimination and exit plan are no longer required to implement ultra-low emission transformation.

The "Opinions" proposes that enterprises that implement ultra-low emission transformation will be supported in terms of taxation, credit, and financing in accordance with relevant regulations. Combined with the "Guiding Opinions on Accelerating the Transformation and Upgrading of Traditional Manufacturing Industry" issued by the Ministry of Industry and Information Technology and other eight departments some time ago, industrial investment funds should be encouraged to increase equity investment support for traditional manufacturing industries. Give full play to the role of multi-level capital markets, support qualified traditional manufacturing enterprises to carry out technological transformation or increase R&D investment through stocks, bonds and other financing methods, and achieve transformation and upgrading through mergers and acquisitions.

In addition, the "Opinions" also proposes that through the national carbon emission trading market, enterprises that carry out pollution reduction and carbon reduction transformation in the process of ultra-low emission transformation to reduce greenhouse gas emissions will form positive incentives. At the same time, differentiated environmental management policies are implemented for ultra-low emissions. For cement enterprises that have completed the ultra-low emission transformation and publicity, they can carry out A-level performance rating work and enjoy the relevant preferential policies of A-level enterprises. Li Chen believes that at present, the cement industry has 7+1 pilot carbon emission trading, how to make good use of incentives in ultra-low emission transformation, but also need a series of institutional design. At present, the "Technical Guidelines for Performance Grading and Emission Reduction Measures in Key Industries in Heavy Polluted Weather Cement Industry" standard is being formulated. She believes that there will be relevant rules in place one after another.

It is directly beneficial to the ultra-low emission transformation environmental protection market, and all the transformation as scheduled will drive billions of yuan of related investment

The relevant person in charge of the Department of Atmospheric Environment of the Ministry of Ecology and Environment said in response to reporters' questions on the "Opinions" that after the transformation task objectives are all achieved, it is expected to bring better environmental, social and economic benefits. In terms of environmental benefits, it is expected that the emissions of nitrogen oxides and particulate matter in the cement industry will drop significantly, effectively promoting the reduction of fine particulate matter (PM2.5) concentrations in cities and regions where cement is concentrated. At the same time, by actively encouraging enterprises to adopt more source prevention and control measures such as raw material substitution, fuel substitution, gas recovery, energy conservation, pollution reduction and carbon reduction transformation, and clean transportation transformation, we will promote the reduction of carbon emissions in the industry and the whole society, and produce significant carbon reduction benefits. In terms of social benefits, the dust emission of the cement industry will be greatly reduced after the transformation, which will significantly reduce the health hazards to the employees of the enterprise and the surrounding residents. In terms of economic benefits, ultra-low emission transformation can drive the development of new energy vehicles, energy conservation and environmental protection industries, and effectively stimulate social investment to form a new green economic growth point. Taking ultra-low emissions as the starting point, it can also effectively promote the green and low-carbon transformation of the two industries and promote the high-quality development of the industry.

"Ultra-low emission transformation is conducive to the adjustment of industrial structure, and the promotion effect needs to be observed on the specific implementation effect. However, as far as the environmental protection sector is concerned, if all the transformation is carried out as scheduled, it will drive billions of yuan of direct environmental protection investment. Li Chen said that at present, there are more mature and stable pollution control technologies, dust removal and desulfurization technology has been transformed for many rounds, and the main thing that needs to be further promoted is denitrification technology, such as high-temperature and low-dust SCR dust and nitrate integration technology, high-temperature fine dust SCR integration technology, cement kiln biomass gasification and coal saving, nitrogen reduction technology, thermal carbon reduction - SNCR - precision denitrification, etc., and the construction investment cost is 15 million yuan. About 30 million yuan, coupled with the high operating expenses such as the use of ammonia and the low operating rate of the cement kiln due to the current downturn in the cement industry, the cost of clinker per ton (according to the depreciation of equipment in 5 years - 10 years) will increase by about ten yuan.

"At present, cement companies have serious overcapacity, their efficiency has declined sharply, and the economic cost pressure is greater. The ultra-low emission transformation should explore the path of emission reduction from the source of the process, adhere to digital intelligence and low-carbonization, and consider synergy from the perspectives of energy consumption, material consumption, economic cost and 'double carbon' of the entire production. Li Chen pointed out.