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Decarbonization Avenue : Industrial Resource Efficiency

Natural resource extraction, processing, and manufacturing sectors are responsible for about 50% of greenhouse gas emissions. For most industries with significant greenhouse gas emissions, a substantial portion of their carbon footprint is upstream. Improving resource efficiencies in these upstream industrial sectors can have a cascading positive impact on decarbonization.

 

Current Scenario

India’s industrial sector is a major contributor to its GDP, accounting for approximately 25% of the total. However, this sector is also one of the largest consumers of natural resources and energy, leading to significant greenhouse gas emissions. In 2023, the industrial sector accounted for 38% of India’s total energy consumption and was responsible for 30% of the country’s CO2 emissions. Despite these challenges, initiatives like the Production Linked Incentive (PLI) Scheme have been introduced to enhance manufacturing capabilities and promote resource efficiency

 

Key Sectors

  • Iron and Steel: The iron and steel industry is one of the largest energy consumers and CO2 emitters in India, contributing around 6% of the country's total CO2 emissions.
  • Cement: The cement industry is another major emitter, responsible for about 8% of global CO2 emissions, with India being the second-largest producer of cement in the world.
  • Chemicals and Petrochemicals: These industries are energy-intensive and contribute significantly to industrial emissions in India.
  • Textiles: The textile industry, while less energy-intensive, is a major water consumer and produces significant waste.

 

Key Technology

 

Improved Process Controls and Technologies

  • Industry 4.0: Leveraging Industry 4.0 technologies, such as IoT, AI, and big data analytics, can optimize industrial processes, improve efficiency, and reduce waste. For example, predictive maintenance using IoT sensors can prevent equipment failures and reduce downtime.
  • Advanced Manufacturing: Adopting advanced manufacturing techniques like 3D printing can reduce material waste and energy consumption. For instance, using 3D printing in aerospace manufacturing can reduce material waste by up to 90%.

 

Resource-efficient Inputs and Reuse

  • Circular Economy Practices: Implementing circular economy principles, such as recycling and reusing industrial by-products, can significantly reduce resource consumption and emissions. For example, the cement industry can use industrial waste like fly ash and slag as raw materials.
  • Biomaterials and Green Chemistry: Using biomaterials and green chemistry can replace conventional, carbon-intensive materials and processes. The chemical industry can benefit from bioplastics and bio-based chemicals, reducing reliance on fossil fuels.

 

Energy Recovery and Waste Minimization

  • Waste Heat Recovery: Implementing waste heat recovery systems in energy-intensive industries can capture and reuse heat, reducing overall energy consumption. This can lead to energy savings of up to 20% in industries like cement and steel.
  • Zero Waste Initiatives: Adopting zero waste practices, such as converting waste into valuable by-products, can minimize waste and reduce emissions. For instance, the textile industry can recycle waste fabrics into new textiles or other products.

 

Case Studies

  • Tata Steel's Resource Efficiency Initiatives: Tata Steel has implemented the use of advanced process controls, waste heat recovery, and the recycling of steel slag. 
  • Dalmia Cement's Low-carbon Innovations: Dalmia Cement is a leader in low-carbon cement production, using alternative fuels and materials like fly ash and slag. The company aims to become carbon-negative by 2040.
  • Reliance Industries' Circular Economy Practices: Reliance Industries has adopted circular economy principles by recycling plastic waste into new products and using bio-based feedstocks in its chemical processes.

Decarbonization potential

India's rapid industrialization and economic growth have significantly increased its resource consumption and greenhouse gas emissions. The industrial sector, accounting for approximately 25% of India's GDP, is a major consumer of natural resources and energy, making it a critical area for decarbonization efforts. Natural resource extraction, processing, and manufacturing contribute to about 50% of global greenhouse gas emissions, and in India, this figure is similarly high. Enhancing resource efficiency within this sector presents a transformative opportunity for reducing emissions, conserving resources, and driving sustainable growth.

 

Key Datapoints

  • Achieve a 20% improvement in energy efficiency across key industries (iron and steel, cement, chemicals, and textiles), reducing CO2 emissions by approximately 100 million tonnes annually.
  • The use of advanced materials and recycling in the construction sector can dramatically reduce resource consumption and emissions. For example, incorporating fly ash and slag into cement can reduce CO2 emissions by up to 20%.
  • Increase the use of alternative materials and improve material efficiency to reduce emissions by 50 million tonnes annually in the cement and steel industries.
  • Implement water-saving technologies in 50% of textile manufacturing units, reducing water consumption by 1 billion cubic meters annually.
  • Promote circular economy practices to achieve 50% recycling and reuse of industrial by-products and waste across key industries.

Industries impacted

  • Aerospace & defense
  • Automobiles & auto components
  • Chemicals & petrochemicals
  • Construction & real estate
  • Consumer durables
  • Electrical
  • Engineering goods & machinery
  • Fertilizers
  • Food & beverages
  • Mining & metals
  • Oil & gas
  • Packaging & plastics
  • Printing & publishing
  • Paper & forest products
  • Textile & apparel
  • Waste management
  • Water

Themes & Topics

  • Approaches & principles

    • Design

    • Process optimization

    • Waste minimization

    • Waste utilization

  • Use of digital & IT tools

    • IoT

    • Artificial intelligence/Big Data

    • Cloud

    • Wireless

  • Industry 4.0

    • Additive manufacturing

  • Recycling

  • Value recovery from industrial side streams

  • Capacity building

  • Collaboration

    • Within industry

    • Between industries 

 

 

  • Production processes

    • New processes

    • Modifications to current processes

    • New equipment

  • Resource utilization

    • Utilization of production side streams

    • Resource sharing for better utilization

      • Resource exchanges

  • Case studies by industry

    • Agriculture

    • Automotive

    • Construction

    • Engineering goods & machinery

    • Food & beverages

    • Pharmaceuticals

    • Paper & forest products

    • Textiles & fashion

    • Metals

    • Chemicals & fertilizers

    • Oil & gas

 



All Decarbonization Avenues @ EAI


Renewable Energy :

  • Utility Scale Solar PV |
  • Distributed Solar PV |
  • Solar Thermal |
  • Wind Power |
  • Biomass for Heating & Power |
  • Biofuels |
  • Hydro Power |
  • Geothermal Energy |

  • Energy Efficiency :

  • Industrial Waste Heat Recovery |
  • Low Carbon Thermal Power |
  • Energy Efficient Industrial Equipment |
  • Smart Grids |
  • Heat Pumps |
  • Digital for Decarbonization |
  • Energy Efficient Buildings |

  • Energy Storage :

  • Green hydrogen |
  • Thermal & Mechanical Storage |
  • Battery Storage |

  • Agriculture & Food :

  • Sustainable Forestry |
  • Regenerative Agriculture |
  • Smart Farming |
  • Low Carbon Food |
  • Agro Waste Management |

  • Waste Management :

  • Reducing Food Waste |
  • Solid Waste Management |

  • Materials :

  • Bio-based Materials |
  • Advanced Materials |
  • Product Use Efficiency |
  • Industrial Resource Efficiency |

  • Water :

  • Water Use Efficiency |

  • Decarbonizing Industries :

  • Low Carbon Metals |
  • Low Carbon Chemicals & Fertilizers |
  • Low Carbon Construction Materials |
  • Low Carbon Textiles & Fashion |
  • Corporate Carbon Management |
  • Decarbonizing Oil & Gas Sector |

  • Low Carbon Mobility :

  • Electric Mobility |
  • Low Carbon Trucking |
  • Low Carbon Marine Transport |
  • Low Carbon Aviation |
  • Low Carbon ICE Vehicles |
  • Mass Transit |

  • GHG Management :

  • C2V - CO2 to Value |
  • CO2 Capture & Storage |
  • Reducing Emissions from Livestock |
  • Reducing Non-CO2 Industrial & Agricultural Emissions |
  • Managing Large Carbon Sinks |

  • Communities :

  • Low Carbon Lifestyles |
  • Low Carbon Cities |

  • Finance :

  • Climate Finance |

  • Platforms :

  • Multi-stakeholder Collaboration |
  • Low Carbon Accelerators |

  • Moonshots :

  • Moonshots |