JSW Cement
At a Glance
Industry
Industrial Goods and Manufacturing
Project Types
Clean and Renewable Energy, Sustainability and Energy Management Strategy
Year
2023
Location
Mumbai, Maharashtra
Summary
Younus worked with JSW Cement to produce a Technical and Economic Feasibility Report for bio-methanation plants to use Bio-CNG as an alternate fuel.
Goals
JSW Cement, wanting to expand their business in north and east India, planned to establish plants in two new locations. They enlisted Younus to explore the concept of a circular bioeconomy, investigate the technical feasibility of biomethane as an alternative fuel, assess potential CO2 emission reductions of CO2 emissions, and analyze the return on investment (ROI) of a potential biomethanation plant.
Solutions
Younus took the following steps:
- Technical analysis of the biomethane production process: Younus researched optimum processes for the production of BioCNG using Beema Bamboo and cow manure as feedstock. The cost of feedstock came out to Rs 1401 per ton.
- Economic and profitability analysis: He then conducted a thorough assessment into the economic feasibility of a biomethanation plant, considering the capital and operating cost for the project. For 40% TSR, that is 5000 TPD of input to the plant, profit was estimated to be 61 crores for a year. The resulting ROI for the same was 9.8 years.
- Calculation of CO2 emissions reduction due to substitution of coal: Younus studied the process and benefits of replacing coal with biomethane in industrial operations and calculated the amount of CO2 reduced. For a 40% substitution of coal with biomethane, there was an emissions reduction of 356335 tons of CO2e.
- Carbon credits: Younus investigated the use of carbon credits as a financial incentive for implementing environmentally beneficial projects made the project more feasible and profitable.
- Internal carbon price: The concept of internal carbon pricing was discussed as well as its impact on project profitability. Using an ICP of 21 USD per ton of CO2e produced, the ROI was calculated to be 4.9 years of plant operation.
Potential Impact
Setting up a biomethanation plant in the two specified locations could lead to reduced emissions for cement production, one of the heaviest polluting industries in the world. Secondly, using biomethane for fuel can have a positive effect on reducing greenhouse gas emissions and overall environmental impact.
This project also aligned with JSW Cement’s sustainability goals and substantially affected its manufacturing processes, lowering CO2 emissions by 30% more. Overall, Younas’ project lends itself to the broader context of emerging green technologies, innovation, and their intersections with energy efficiency, renewable energy, and sustainability.