Energy conservation in China's cement industry

Abstract

China, as the world's largest cement producer, accounts for more than 60% of global cement production. With the continuous development of the Chinese economy, resource and environmental constraints are becoming increasingly serious, and energy saving and emission reduction has become one of the choices with which all industries are faced in the process of development. The cement industry is one of the major sources of China's carbon dioxide emissions and its effect on energy saving and emissions' reduction determines the realization of the national goals of energy conservation and emissions reduction. Taking China's cement industry as the main focus, this paper carries out quantitative analysis of the relationship between energy consumption in the cement industry and a number of variables: energy structure, energy prices, energy efficiency and total output value of the cement industry based on a cointegration model. The study further analyzes the energy saving potential of the cement industry by assuming different scenarios. The research results show that the energy saving potential of the cement industry is 19.06% and 33.69%, with medium and high energy efficiency, respectively.