Cement, Energy and Environment

Industry is fully aware of the fact that the future profitability of individual cement plants will highly depend on their success to control energy and C02 intensity, since combustibles (and potentially C0 2 ) and the electricity are the major constituents of the production cost. Total energy cost represent approximately 60% of the cement production cost, in Turkey. Turkish cement industry is equipped with relatively modern production technologies, thanks to extensive new investments made in the last decade. The specific heat consumption of the produced clinker (approximately 3.58 GJ/tons of clinker) is close to the level of most European countries and to the EU Average which is around 3.6 GJ/tons of clinker Environmental standards - emissions Turkish cement sector has incorporated "Sustainable Development'' as an indispensable commitment and accordingly takes a leading role in all efforts to enhance the sustainability standards and mitigate the emissions in the Country. The sector is fully adapted to the European norms on production, environment, health and safety. Majority of the plants have quality management and environmental management systems (ISO 9001 & ISO 14000 certificates). Environmental measure- ments are performed in order to get emission permissions and continuous emission monitoring systems are widely implemented. All environmental measure- ments are performed by independent, accredited laboratories and dust emissions are prevented by the modern 'stack gas dust removal systems'. As an alternative fuel industrial & municipal wastes are being used to the extent of the availability of the wastes. The sector had signed voluntary commitment agreements with the Turkish Ministry of Environment and Forestry in order to fulfill all environmental responsibilities and to monitor the performances even beyond the current legislative limits. All the plants have most modern dust .collection units and had secured all environmental permits. Last year, Turkish Parliament ratified the law to become a party to the Kyoto, and a plan for the control of emissions without harming the Country's Long Term Development Plans. Shared vision of the Turkish cement industry is "to mitigate the emissions without causing a reduction in cement production and consumption volumes without jeopardizing the Country's Economical Growth and Welfare Prospects". Future market outlook The factors such as; growing performance of construction sector in 201 0, re– opening public investment allocations, reviving investment trend of private sector, maintaining the vitality in housing industry and continuity in political and economical stability, will surely contribute to the future high prospects of the cement sector. A strong upturn in domestic demand parallel to stable growth in economy would be the most important contribution to the current difficulties of the Sector. New Housing and infrastructural investments are very important for the recovery of the domestic demand. Particularly the new housing projects in the big cities with high seismic risks should be attempted without delay. Moreover, the position of the Industry in our traditional export markets has to be strengthened against future uncertainties. New markets of Africa have to be exploited in order to diversify any economical and competitive risks. Last but not the least; Industry closely follows the developments in Russian markets. Restart of the construction investments in Russia will certainly create a new momentum for the Industry. A comeback of the previous construction boom is a common expectation of all. Rallying of infrastructure and housing constructions, and speeding up construction works for 2014 Soci Winter Games will accelerate the current pace of exports to this Country. By getting on to re-growing trend, 2010 is envisaged to be a year of economic recovery. 2010 is expected to be a recovery period. Starting 2011 historical volumes will be exceeded. TCMA TCMA is the formal representative of the Turkish Cement Producers, which was founded in 1957. Association acts as a linking arm between the sector, the government and the public and also deals with the problems of the sector on production, quality, training and technology (with R&D department). Other important roles of the association are, it audits environmental and product quality and maintains all local and international relations. Since 1972, TCMA has been a full member of European 5