New California Law to Encourage the Low Carbon Cement Market
In brief
A new law[1] requires California’s Air Resources Board (ARB) to encourage the production and use of low greenhouse gas (GHG) intensity cement in its plan to reduce cement sector GHG emissions to 40% below 2019 average emissions by December 31, 2035 and net-zero by December 31, 2045.
In detail
The new law builds on both California’s and the cement industry’s commitment to achieve carbon neutrality by requiring ARB to create a comprehensive plan to achieve net-zero cement sector GHG emissions as soon as possible, but no later than the end of 2045.
On its way to the net-zero goal, the law requires ARB to establish robust interim targets that reduce the GHG intensity of cement used in the state to 40% below the 2019 average by December 2035. ARB can adjust the interim targets upward or downward before July 1, 2028, and is required to document any feasibility constraints and recommended measures to overcome those constraints if a downward adjustment is made.
ARB will work with a variety of stakeholders to establish the interim targets and develop the plan. Cement producer participation in the process is key; the new law recognizes that achieving statewide carbon neutrality will require “advance planning, coordination, outreach, and development of a robust set of policies tailored to the needs and opportunities of every major emitting sector, including cement and concrete.”
In developing the comprehensive strategy, ARB is required to evaluate measures that encourage the production and use of low GHG intensity cement, including consideration of the following:
Measures to expedite the adoption for use in projects undertaken by state agencies, including the Department of Transportation, of Portland limestone cement and other blended cements
Measures to provide financial support and incentives for research, development, and demonstration of technologies to mitigate emissions of GHGs from the production of cement with the objective of accelerating industry deployment of those technologies
Measures to facilitate fuel switching
Measures to create incentives and remove obstacles for energy efficiency improvements and waste heat recovery at cement manufacturing facilities
Other legislative efforts to support the market for low carbon cement are still pending.[2] Everview can help cement producers track, understand, and identify opportunities in these changing rules.