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Indonesia: Indocement Sustainable Cement Production
(Prototype Carbon Fund)

UNFCCC Reference Nos.: 0493 , 0526

2 Project Documents

Project Photo 1
This prototype project for Indonesia is the PCF’s first project in the cement sector (Photo: World Bank)
The Sustainable Cement Production Project proposed by Indonesia’s second largest cement producer PT Indocement Tunggal Prakasa Tbk (Indocement) is the PCF’s first cement sector project for reducing greenhouse gas emissions. Globally, cement production accounts for about 3-4% of total humaninduced greenhouse gas emissions. Considerable potential exists in developing countries to reduce such emissions by adopting new technologies, processes and methods in cement production. Indocement—majority owned by the Heidelberg Cement Group of Germany—intends to introduce new types of cement in Indonesia, as well as undertake fuel change projects in the company’s three Indonesian locations, namely, Citeureup (about 45 kilometers south of Jakarta), Cirebon (about 300 kilometers east of Jakarta) and Tarjun, in South Kalimantan.

The main objective of the proposed project is to reduce carbon dioxide emissions by implementing technologies and techniques not yet applied in the Indonesian cement industry. The envisaged sale of the emission reductions to the PCF and other carbon buyers under the Clean Development Mechanism contributed to the feasibility of the project. The total greenhouse gas emission reductions over the ten year crediting period is estimated to be in the range of 10 to 12 million tons.

The proposed project bundles two sub-projects. One sub-project aims to reduce the clinker content in cement by introducing limestone and other alternative materials such as fly-ash and natural pozzolana (Trass) in the finish grinding process (blended cement). Clinker is the main ingredient in cement, which is produced by burning a mixture of raw materials, comprised mainly of limestone and clay, in large rotary kilns at temperatures above 1400 degrees Celsius. About 60% of the estimated emission reductions are attributed to process changes for producing blended cement. In the first phase, alternative materials up to a range of about 6-8% will be introduced into the final cement. Indocement plans to increase this proportion eventually to 20% to introduce new types of composite cements to the Indonesian market.

The second sub-project aims to reduce greenhouse gas emissions by using alternative fuels instead of coal, oil and gas. Indocement will primarily aim to utilize biomass as alternative fuels, such as rice husk, coconut waste and palm oil waste, but will also examine other wastes such as used car tires and waste oils etc. There are considerable amounts of palm oil waste available near Tarjun (South Kalimantan). Indonesia’s rice production is mainly located in Java. A substantial amount of rice husk is available especially in West Java near the plant locations Cirebon and Citeureup. The introduction of alternative fuels is expected to commence in 2004 to replace 1% of the total heat consumption for clinker production. This will progressively increase to about 7% in 2007 and will remain at this proportion afterwards.

“ We are very happy to cooperate with the PCF for this project. The Clean Development Mechanism is a very new tool for the industry and the PCF is an experienced partner in this field of work, having gained a very good reputation. We believe, that the combination of our expertise in cement technology and the PCF’s knowledge about the CDM will lead us to success. In addition to reducing greenhouse gas emissions by using bio fuels and other waste materials produced in the vicinity of the sites, our project will contribute to sustainable development in a socially responsible way.”

Technical Director, Indocement

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