India’s UltraTech plans extra cement capacity expansion

Spanish Market: Coal, Petroleum coke
07/06/22

Indian cement producer UltraTech plans to invest nearly 129bn rupees ($1.66bn) to add 22.6mn t/yr of capacity by 2025 to meet expected demand growth. Higher cement output typically raises consumption of petroleum coke and coal.

UltraTech has capacity to currently produce 120mn t/yr of cement. The company has existing expansion projects to add about 16mn t/yr of cement capacity by March 2023.

The latest announcement is to add more capacity through new projects and the expansion of existing plants across the country by March 2025. UltraTech is expected to have 159mn t/yr capacity once the announced expansions are completed, reinforcing its position as the world's third-largest cement producer outside of China, the company said. It has more than doubled its capacity over the past five years.

UltraTech's capacity expansion adds to Indian conglomerate Adani's decision to acquire Switzerland-based cement firm Holcim's Indian business through listed companies Ambuja Cement and ACC. The $10.5bn Holcim deal will put Adani, with acquired capacity of 70mn t/yr, just behind UltraTech, making it the second-largest Indian cement producer.

India is the world's second-largest cement market after China. There is significant potential for the growth of the cement sector in India, Adani said, with India's cement consumption at only 242kg per capita compared with a global average of 525kg. Rapid urbanisation, a growing middle class and affordable housing together with a post-Covid-19 pandemic recovery in construction and other infrastructure sectors are expected to drive growth in the cement sector.

Indian cement producers are aiming to turn their operations carbon neutral well before the country's target to reach net-zero emissions by 2070. The move is likely to expand biomass demand, although coal and coke consumption is also expected to remain steady.

UltraTech aims to replace coal-based systems with biomass-based processes at its three manufacturing units. An agreement with biomass aggregator Punjab Renewable Energy Systems is part of UltraTech's effort to decarbonise its operations and significantly scale up the use of biomass in its operations, the company said. It has committed to use 100pc renewable energy by 2050. It has set a target to source 34pc of energy from renewable sources by 2024, up from current levels of about 13pc.

By Ajay Modi

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30/03/26

DOE coal-plant orders yield mixed results

Cheyenne, 30 March (Argus) — Only half of the eight US coal-fired power plant units that energy secretary Chris Wright ordered to continue operating this winter actually dispatched appreciable amounts of electricity to the grid. In January, four of the eight coal units the Department of Energy (DOE) ordered to stay open under section 202 (c) of the Federal Power Act had net positive generation, according to power plant operating data recently released by the US Energy Information Administration (EIA). Two other units consumed more power than they dispatched, while another two did not dispatch any generation during the month. Citing an energy emergency, Wright pointed to concerns about grid reliability in ordering the eight coal units and another two units that run on natural gas and oil to stay open instead of retiring as planned in 2025. Wright then extended the emergency orders for these units when the directives expired, pointing to the same concerns. But some politicians and environmental and consumer groups have disputed Wright's claims grid operators faced potential emergencies. Data from the EIA show that two units at the first coal plant DOE ordered to stay open last year — Consumers Energy's JH Campbell plant in Michigan — dispatched power every month following the department's initial order on 23 May 2025. Another unit at the plant had net generation in June-October as well as December but consumed more energy than it dispatched in November 2025 and in January 2026. Unit 17 of NiSource's RM Schahfer plant and unit 2 of Centerpoint Energy's FB Culley plant, both of which were initially issued emergency orders in December and had them extended on 23 March, also generated power in January. But Schahfer unit 18, which also is subject to the order, had net -3,705MWh on generation in January. DOE's recent orders keeping retiring plant units open have required the plant units be available for dispatch when needed. But that did not mean that they had to generate power at other times. With the exceptions of storms in late-January and early February, the weather in the US most of this past winter was relatively mild. Constellation Power said it operated Eddystone units 3 and 4, which run on natural gas and oil and have been subject to DOE orders since 30 May 2025, during hot weather at the end of June and end of July and during winter storm conditions and colder than normal weather 26-29 January. Extending operations at the last minute can be complicated by fuel availability and other factors. Of the two coal units under emergency orders that did not dispatch any power in January according to EIA, Tri-State Generation & Transmission's Craig unit 1 ,was taken out of service in mid-December because of a mechanical failure, while TransAlta's Centralia plant was put in "cold-shutdown" in early December. DOE issued emergency orders to both units at the end of December, shortly before they were scheduled to retire. The agency extended the order for the Craig unit on 30 March and the order for Centralia on 16 March. DOE last year also issued an order allowing Talen Energy to run unit 4 of the HA Wagner oil-fired plant in excess of emissions limits if needed for reliability, but that order expired at the end of 2025. Talen expects to operate Wagner units 3 and 4 until 31 May 2029. By Courtney Schlisserman US coal plants with active emergency orders Plant name Jan 26 net generation ( MWh ) Jan 26 consumption ( st ) Jan 25 net generation ( MWh ) Jan 25 consumption ( st ) JH Campbell unit 1 155,951 89,633 187,955 107,469 JH Campbell unit 2 -612 0 193,811 108,375 JH Campbell unit 3 431,520 245,342 578,398 320,758 Centralia 0 0 430,197 302,227 Craig unit 1 0 0 174,089 100,975 RM Schahfer unit 17 172,064 90,574 98,307 54,965 RM Schahfer unit 18 -3,705 0 136,987 70,368 FB Culley unit 2 9,338 6,092 17,922 10,884 — EIA Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.

Japan plans temporary ease of coal power restriction

27/03/26

Japan plans temporary ease of coal power restriction

Osaka, 27 March (Argus) — Japan is moving to temporarily lift restrictions on the operations of inefficient coal-fired power plants in the April 2026-March 2027 fiscal year to conserve LNG on rising uncertainty over imports from the Middle East and ensure stable electricity supplies. The trade and industry ministry Meti on 27 March unveiled an emergency plan to suspend in 2026-27 the capacity market rule that requires coal-fired plants with design efficiency below 42pc to keep their annual capacity factors at 50pc or lower. Plants that exceed the limit would face a 20pc reduction in capacity market revenues. Uncertainty remains over future LNG supply, especially from Qatar, in the event of a prolonged or worsening situation in the Middle East, although there is no immediate risk to short-term supply, Meti said. Power and gas utilities currently hold roughly 4mn t of LNG inventories, equivalent to one year of imports through the strait of Hormuz, and efforts to secure alternative procurement are ongoing. Assuming that inefficient coal-fired units operate at the average rate for coal-fired plants in 2026-27, the power sector could save around 500,000t of LNG, which is equivalent to a little over 10pc of the 4mn t/yr imported through the strait of Hormuz, according to Meti. Meanwhile, the emergency measure would increase Japan's demand for thermal coal, whose supply sources are not exposed to the conflict in the Middle East. Japan imported 8.7mn t of steam coal in February, sourcing 76pc from Australia, 10pc from Indonesia, 5pc each from the US and South Africa respectively, 3pc from Canada and 2pc from Russia, according to preliminary data released today by the finance ministry. Japan has pledged to phase out inefficient coal-fired plants by 2030, while promising not to build new unabated coal-fired plants. But coal remains a vital power source, accounting for 29pc of Japan's power mix in 2024-25, close to the 32pc share of gas. Japan's latest power capacity market auction, covering delivery year of 2029-30, secured around 166GW of generation capacity. The auction results did not specify the source of awarded capacity, but the breakdown of bidding volumes shows 38.15GW from coal fired units, including 5.27GW from inefficient coal fed plants. By Motoko Hasegawa Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.

Philippines issues emergency orders for energy security

26/03/26

Philippines issues emergency orders for energy security

Singapore, 26 March (Argus) — The Philippines is implementing energy-conservation directives, including measures that could lead to greater reliance on coal-fired generation, as part of a broader energy conservation drive after the country declared a state of emergency on 25 March following supply disruptions caused by the US-Iran war. President Ferdinand Marcos launched a 20bn Philippine peso ($33.2mn) emergency fund on 26 March to strengthen fuel security in times of volatility in the global energy and freight markets caused by the war. The Philippines is a net importer of coal, oil and LNG. The P20bn emergency fund, managed under the department of energy's (DOE) emergency energy security programme, will support the stockpiling of up to 2mn bl of fuel to meet domestic requirements and reduce the impact of supply disruptions. This includes the procurement of refined petroleum products such as LPG to build inventories. The DOE will also ensure stable fuel inventories at utilities to support electricity generation. The DOE also seeks to minimize external supply shocks for utilities and ensure full capacity utilisation at power plants in line with its goal of boosting power system efficiency. An increase in coal-fired generation within the overall power mix could cushion an increase in wholesale electricity spot market (WESM) prices and help in saving up to P2/kWh, the DOE said. This comes as an initial projection by the independent electricity market operator (IEMOP) indicate that average power prices in the WESM could exceed P9/kWh, from an average of up to P5/kWh before the onset of the US-Iran war. Coal accounted for 54.6pc of power generation in February, IEMOP data show. The DOE's emergency measures to secure power supply could increase utility demand for both domestic and imported coal, although it was not immediately clear if the directives would curb coal exports from the country. "As a net importer of oil, coal and LNG, we are acting with heightened discipline to preserve power system reliability in the face of escalating global fuel market volatility," the country's energy secretary Sharon Garin said today. "This is a decisive intervention to protect the grid, manage fuel use responsibly and ensure that essential electricity services remain uninterrupted," she added. The DOE has ordered power generators to closely monitor fuel inventories and comply with the 15-day supply requirements. Utilities have also been instructed to explore fuel alternatives to reduce costs and ensure adequate supplies. Potential steps include using higher biodiesel blends in oil-based power plants, blending different coal grades, and increasing co-firing of biomass where possible at coal units. The country will rely more heavily on coal-fired output , Garin had said during a press briefing on 24 March. Most of the Philippines' power generation depends on seaborne imports from Indonesia. Nearly all of Philippines' coal imports in 2025 were from Indonesia, with shipments reaching 37.4mn t, according to the customs data. The country's reliance on Indonesia also exposes it to supply uncertainty, as Jakarta has yet to confirm mining production quotas for 2026 at the time of writing. Garin met Indonesia's ambassador earlier to seek assurance of steady supply, saying on 24 March that there are "no restrictions on imports of coal from Indonesia at this moment." By Nadhir Mokhtar Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.

Planning key to push climate action: Cop 30 president

25/03/26

Planning key to push climate action: Cop 30 president

Houston, 25 March (Argus) — Roadmaps to transition away from fossil fuel transition and end deforestation for the next round of UN talks will support moving from consensus to action in global climate efforts, Cop 30 president Andre Correa do Lago said. The Cop 30 presidency's pledge to create two roadmaps towards phasing out fossil fuels and ending deforestation "will be very much instruments to stimulate implementation," Correa do Lago said on Tuesday at the CERAWeek by S&P Global conference in Houston. The Cop 30 presidency last month opened a public call for countries to submit proposals for its two roadmaps by 31 March to the UN Framework Convention on Climate Change (UNFCCC) secretariat. Technical documents for the roadmaps are planned to be ready by October. Correa do Lago emphasized the importance of action and implementation over trying to achieve consensus, given the urgency presented by climate change. While designing Cop 30 last year, "we tried to — taking into consideration, obviously, the limits of the Cop — to preserve the best of [the Paris Agreement] … but also open the door to the actors that are essential for the implementation," he said. In particular, it is important to expand the dialogue beyond the public sector and towards private entities, which typically are not privy to the negotiations that occur during Cop, but will be key players in implementing the terms that are ultimately agreed upon, he said. "I think that this expansion of the theme of climate is essential for us to continue this agenda. We cannot continue to work in a silo in which only a few people can talk about climate," Correa do Lago said. That sentiment was echoed by Sasha Mackler, senior vice president and global head of strategic policy at ExxonMobil. Meeting electricity demand, which is projected to surge due to growth in data center capacity and increasing electrification, while also achieving reductions in emissions will be a major challenge in the future, he said. The oil and gas industry's role in transitioning away from fossil fuels "could be quite significant because we know that for the foreseeable future, oil and gas will be with us," Mackler said. "The world has an enormous appetite for energy, and that appetite will continue to grow over time." In addition, the roadmaps are "super important to give us the means to explore" ways to solve the technological challenges arising from transitioning away from fossil fuels as well as scaling the deployment of clean technology, said Benoit Faraco, France's ambassador for climate. "When you look at the global picture, there is a very strong appetite for this kind of conversation, including with a lot of emerging economies that are definitely wanting to move in this position," he said. The US retreat from its leadership on climate policy will likely cast a shadow over the upcoming Cop 31 climate summit. President Donald Trump's withdrawal from the Paris Agreement formally took effect in January , and soon after he called for an exit from the UNFCCC. This could pave the way for China to take a larger role in global climate conversations. The country has recently made "pretty substantial pledges" to lower emissions, according to Joseph Majkut, director of the energy security and climate change program at the Center for Strategic and International Studies. Still, "China's position as a leader is also kind of tenuous" since, despite being a leader in renewable energy and electric vehicles, it is "still a receiver of climate finance overall," Majkut said during a separate panel at CERAWeek. By Ida Balakrishna Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.

Kazakhstan approves $15.5bn national coal power plan

24/03/26

Kazakhstan approves $15.5bn national coal power plan

London, 24 March (Argus) — Kazakhstan has approved plans to increase its coal-fired power generation through projects estimated at around 7.5 trillion tenge ($15.5bn) through to 2030, President Kassym-Jomart Tokayev said. Tokayev approved the plans after assigning coal-fired power generation a national project in January. These include the commissioning and renewal of coal-fired units to add 7.8GW of capacity. The country also plans to build eight new thermal coal-fired power plants, including its largest 2.64GW facility in Ekibastuz. Thermal power plants would also be built in Kurchatov (700MW) and Zhezkazgan (500MW), as well as in the Kokshetau, Semey and Ust-Kamenogorsk regions. Older thermal coal-fired power plants, such as the 1GW Ekibastuz-2 and 2.5GW Aksu power plants, and the Karaganda-1 power station, will be modernised to reduce energy shortages. Kazakhstan expects the projects to create additional thermal coal demand of about 20mn t/yr by 2030. The project is expected to be a collaboration between the mining and transportation sectors. The project will also expand the fleet of gondola rail cars by 600 units/d, modernise railway infrastructure and introduce tariff corridors for the transportation of fuel for domestic needs. Kazakhstan had initially drafted the plan to increase its coal-fired power generation in early February. The country will likely need to rapidly increase coal production. Output fell by 6.2pc on the year to 18.22mn t in January-February, official data show. The country produced 115.9mn t of thermal coal in 2025, about 6.5pc higher on the year on growing domestic consumption and rising export potential. By Shreyashi Sanyal Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.

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