Value Chain. In this section the supply-chain of cement is described starting from the standard production process; its decomposition is useful to analyse relevant topics and criticalities and, further, to better assess DESTINY’s impact. Capital intensity: the cost of cement plants is usually above € 150M per million tonnes of annual capacity (equivalent to around 3 years of turnover), with correspondingly high costs if modifications (e.g. retrofits) are explored. This ranks the cement industry among the most capital-intensive industries. Transport: land transportation costs are significant, that’s why there was a standard threshold beyond a 200 km or at most 300 km distance. In time, bulk shipping has changed that significantly, as now it is cheaper to cross the Atlantic Ocean with 35,000 tonnes of cargo than to truck it 300 km.14 Energy intensity & High Emissions: Each tonne of cement produced requires 60 to 130 kilogrammes of fuel oil or its equivalent, depending on the cement type and the process used, and about 110 kWh of electricity. Cement is indeed one of the largest emitting industries in the world (8% of CO2 emissions). Remarkably, 14 ▇▇▇▇▇://▇▇▇.▇▇▇▇▇▇▇▇▇▇.▇▇▇/file/p2sfi5fu/An-industry-with-low-labour-intensity-With-the-development-of- modern-automated/ roughly half of these emissions come from the limestone heating process (direct emissions), while the burning of fossil fuels to heat the kiln indirectly results in the remaining half of CO2 emissions.
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Sources: Grant Agreement, Grant Agreement