2005 Sustainability Report - Lafarge

Protecting the environment
Fighting climate change
CUTTING BACK ON CO2
EMISSIONS
The building materials industry is a
major source of CO2 emissions. Cement
production alone accounts for close to
5% of worldwide emissions of human
origin. The emissions of the Lafarge
Group are mainly due to cement
production.
Upon the renewal of its partnership
with WWF, the Group reiterated its
commitment for the coming years to
reduce its direct emissions from the
Cement business:
• reduce its absolute gross CO2 emissions
by 10% in industrialized countries 2
over the 1990-2010 period;
• cut its worldwide net emissions 3 by
20% per tonne of cement.
From 2006 onwards, this partnership
will look at ways of helping developing
countries cut back on CO2 emissions
from the construction industry.
Half of the cement industry's emissions
derive from the limestone decarbonatation
process, 40% from fuel combustion
and the remaining 10% from the use of
electricity and transportation. Driven
by its partnership with WWF, Lafarge
is already achieving very encouraging
results. To reduce its emissions, the
Group is harnessing four main levers:
• replacing carbonated raw materials
with already decarbonated materials;
PAGE 20 | 2005 SUSTAINABILITY REPORT | LAFARGE
In the long run, we believe that all necessary action should be taken to cap
the global average temperature increase to a maximum of 2°C1 . Since 2001,
Lafarge has made a voluntary commitment to reduce the CO2 emissions
generated by the worldwide scope of its operations. With this ambitious policy,
the Group intends to preserve its lead while continuing to drive the entire sector
forward in this direction.
• replacing fuels (use of alternative
fuels, notably biomass);
• improving energy efficiency by
modernizing plants and processes;
• using clinker additives (slag, fly ash,
limestone, pozzolans, etc.).
BUILDING FOR THE
FUTURE THROUGH
LARGE-SCALE RESEARCH
PROGRAMS
We are currently exploring new ways
of achieving reductions:
• modifying the chemical composition
of clinker, to generate less CO2 during
its production;
• identifying more energy-efficient
processes;
• optimizing the overall formulation of
concrete and recycling concrete.
Investments in these programs amounted
to €3.4 million or 14% of research
expenditure in 2005.
> See indicators p 40 and 41
In addition, we are participating in
research programs such as capture
and storage of CO2 to understand and
anticipate the ways in which these
technologies will impact processes in
our plants.
1 | This represents a public position taken by Lafarge.
2 | Climate Change Convention Annex I countries + Serbia + Moldavia.
3 | Net emissions = Gross emissions - Emissions from waste combustion.
LAFARGE'S PARTICIPATION
IN THE EUROPEAN
EMISSIONS
TRADING MARKET
Following the launch in 2005 of the
European CO2 emissions credit market,
Lafarge was awarded emissions permits
in ten European countries. These permits
accounted for around 25 million tonnes
of CO2. The quotas were distributed
on an adjusted basis and broadly cover
our needs from 2005 to 2007.
Net result from purchases and sales
of quotas accounts for less than 1%
of the operating income of the Cement
business in 2005. We support the
introduction of this system as an incentive
to reduce CO2 emissions, in line with
the commitment we made in 2001.
> See our detailed public position
on page 14
Clean Development
Mechanism (CDM)
project which substitutes
alternative, biomass
energy sources
for fossil fuels in two
of Lafarge cement plants
in Malaysia.