Energy Management
Power and fuel costs account for approximately 26% of the total operating cost of the Company. Coal cost for kilns and captive power plants increased by 4% and 10% respectively, mainly due to the higher cost of imported coal. However, substitution of high cost coal by petcoke helped in restricting the overall cost increase. Besides, there was increased use of alternative fuels as compared to the previous year. Use of alternative fuels accounted for four per cent of the total thermal energy consumption in 2014. The cost of grid power remained stable on a per unit basis. However, the cost of captive power increased by 10% in 2014 mainly due to the higher coal prices. Captive power generation contributed 67% of the total power requirement. Overall, power and fuel costs increased by seven per cent per tonne as compared to the year 2013. Depleting coal

Direct Energy Consumption by Primary Energy Source in TJ/Yr.
linkages and volatility in the Indian rupee are escalating concerns regarding coal. The Company is constantly working on efficiency improvement measures by plugging heat losses at every possible stage of coal consumption. In addition, it is seriously looking at cost-effective fuel mixes and increasing the use of alternative fuels and petcoke. As a long term solution to energy security, the Company has invested in Project Geocycle, under the banner of ‘Geo 20’. Waste heat recovery (WHR) systems that improve fuel utilisation by tapping renewable energy sources are given top priority. New AFR pre-processing platforms have been installed at our plant locations to increase the use of AFR.

Use of biomass is another focus area for Ambuja but its seasonal availability & rising price have been a limiting factor.

Ambuja continuously does its best to reduce the power, LDO, coal and other fuels consumed per unit of cement produced.

Currently industry standards for energy requirement for the use of cement at user level are not prevalent. Ambuja attention to adopt best practices.