Professional Documents
Culture Documents
FUEL MIX
FLEXIBILITY
EXCELLENCE IN COST REDUCTION
B Fossil Fuels
5 Minimize Fossil Fuel cost within existing
operational constraints
6 Develop low quality Fossil Fuels
7 Follow-up on Fossil Fuel supply strategy
8 Develop Fuel Flexibility
9 Stay attentive to market opportunities
C Fuel Mix
10 Optimize overall fuel cost
15.0
13.3
8.3
7.0
5.9 6.0
5.6 5.6
4.4 4.5
3.9 3.8
18.9
17.6
Central Europe
West Europe
North America
6.9
5.9
6.5 6.2
AF 2009 (100 kt)
AF 2010 (100 kt)
ARM 2009 (100 kt) 4.6 1.2 1.3
4.0
ARM 2010 (100 kt) Asia (with China)
1.2 1.9
Africa (& Middle East)
*Hazardous – depends on
country regulations, volume Latin America
includes solvents, impregnated
solids, waste oil & water,
animal meal
Supporting tools:
➩ Technical Agenda "Fuel Flexibility"
Good Practices:
➩ Synthesis per AF / ARM stream
➩ TA "Build up control" & "Chloride by-pass" ➩ River: Commissioning, ramp-up and turnaround of
solid shredded waste sourcing, pretreatment and
➩ Alternative Fuels section of CKHC database1 coprocessing operations
➩ Position paper on storage for Waste preparation1
➩ Spain: Significant increase of the use of Alterna-
➩ Position paper on gasification of biomass and waste1 tive Fuels
Purchasing - $/GJ -
petitive advantage)
• Identify all potential Fossil Fuels • Analyze, with TC, the conditions of Purchasing -
Proposals for BU
sources for each plant, with Fossil switching plants to a cheaper Fossil
Fuel Purchasing Team's support Fuel and identify Capex require- Figure from Fuel Flexibility User Manual - After the
• When there is a choice between ments, if any, to be able to use it Technical Evaluation has been completed, additional
several types of Fossil Fuels, use the • Ensure, with TC support, existing investigation from Purchasing is necessary to deter-
mine the lowest USD/GJ which is commercially possible.
Fuel Flexibility Tool (FFT) to identify know-how related to the new options This step includes many commercial factors
constraints due to equipment/ is applied, especially on Health and
process limitations and AF potential Safety (i.e. “Safety in coal grinding
• Set up a BU Fossil Fuels committee
• Define objectives of Fossil Fuels ma- shops” Technical Agenda)
(when a Regional Fossil Fuels task-
trix based on most economical op-
force does not exist) to define the
tions within technical constraints
coming years strategy (Strategic Re-
(considering fuel preparation costs)
view time), to review the coming
and ensure budget reflects objec-
years options (PIP time) and to con-
tives
firm the next year supply program
• Set up the Fossil Fuels supply
(Budget time)
program with the Fossil Fuels Pur-
• Have frequent meetings with the
chasing Team and organize quality
Regional Fossil Fuels Sourcing Di-
control scheme in order to adjust
rector to review the supply contracts
blend components and pay for ac-
execution and how to optimize
tual GJ received Composite image of coal stock pile
(upper image) and coal lumps them. Stock management is key to
(lower image of photo) have a consistent fuel blend
90
%CI x10
15 80 VM=5%
VM=10%
70
VM=15%
10 60 VM=20%
VM=25%
50 VM=30%
5
40 VM=35%
VM=40%
0 30
4500 5000 5500 6000 6500 7000 7500 8000
NCV kcal/kg
105
De Ju Oc No Se South Africa steam coal prices (world standard fuel index)
c l y t v p
10 11 11 11 12 from 2000 to 2010. Note price peak just prior to crisis (sudden drop)
and now re-emergence of price increases.
18 Self-Assessment
Tool 29 Key Performance
Indicators
20 “Basic”
supporting tools 33 Supporting
network
Minimize FF cost within Existing FF matrix reviewed from time to time but no Existing FF matrix reviewed on a regular basis, with the
existing operational Existing FF matrix not reviewed change in actual situation despite potential FFT when it is justified, and objectives to reduce costs
constraints financial interest defined
No BU FF committee (or Regional FF taskforce) No BU FF committee (or Regional FF taskforce); BU FF committee (or Regional FF taskforce) exists;
Follow-up on Fossil and no regular meetings between BU and some sporadic meetings between BU and Regional some sporadic meetings between BU and
Fuel supply strategy Regional FF Purchasing Director FF Purchasing Director Regional FF Purchasing Director
Pay attention to market No flexibility in supply contracts and Very limited in supply contracts; decision process Room to manœuvre with supply contracts;
opportunities no rapid decisison process in place still too long (several days at least) agility in making rapid decision not fully operational
Limited review of global fuel cost during Thorough review of global fuel cost during management
Optimize overall No review of global fuel cost during management cycle process; very limited AF cycle process; limited AF substitution ratio (< 15%)
fuel cost management cycle process substitution ratio; classical FF (FO, natural gas, but partial substitution of classical FF by low grade FF
standard coal, low sulphur petcoke) (< 30%)
Proactive communication plan, employees are supportive, risks taken and Stakeholders management plan includes specific proactive actions on AF.
Develop Alternative managed but some external expertise is necessary. Line management Perception on AF is very positive for a sustainable business. Risks are
Fuels mindset rewards risk-taking. May need to strengthen idea that AF has a positive accepted but well managed. Fuel cost reduction and reliability are not
contribution to sustain the business. perceived as being in opposition.
Optimize AF usage every week, have monthly meeting between BU, IE, Optimize AF daily. Manage the complexity of a fuel portfolio
Implement Alternative Relation Director. Have identified and solved most AF bottle-necks. as a project for improvement. Organize weekly meeting between plant
Fuels process, tools and or- Implement Lafarge procedures. Be ready to use Lafarge KH and network and IE, monthly meeting between BU, IE and Relation Director. Have Fuel
ganization for new AF issues; partly use fuel flexibility technical agenda. Establish flexibility Technical Agenda in place on all topics. Contribute to Lafarge
clear roles between BU, IE and TCand DEC AF knowledge and operating practices.
PTA (plant team assessment) is in place, operators know procedures to Continuous AF skill improvement plan exists, certified operators correctly
Master Alternative address AF perturbations, process engineers and technicians accept AF react to AF perturbations; LUCIE contributes to AF mastery, process
Fuels skills quality changes as part of their role. engineers and technicians are proactive about AF quality changes, action
Operating targets for AF are reviewed weekly. is coordinated between BU, IE and TC
Minimize FF cost within ex- Objectives of a more economically attractive FF matrix defined and
Objectives of an aggressive more economical FF matrix part of
isting operational con- translated into a supply program with FF Purchasing Team
personal objectives, agreed with FF Purchasing and
straints with appropriate control scheme
BU FF committee (or Regional FF taskforce) gathers twice a year; BU FF committee (or Regional FF taskforce) reviews strategy at
Follow-up on Fossil regular meetings (once per quarter) between BU and SR time, PIP objectives and budget targets; regular meetings
Fuel supply strategy Regional FF Purchasing Director (once per month) between BU and Regional FF Purchasing Director
Plant able to switch to several significantly different FF; Plant people have a mindset and competencies to switch to other FF on
Develop Fuel Flexibility people have some difficulties to do in a mastered manner; short notice (almost instantaneously); plant has the technical capability
mindset is not fully open to constant fuel changes to do it without any significant impact on mastery of operations
Pay attention to market Good flexibility in supply contracts and Large flexibility in supply contracts (partial coverage of needs,
opportunities rapid decision process operational flexibility on volumes, …) and operational rapid decision process tested
Thorough review of global fuel cost during management Thorough review of global fuel cost during management
Optimize overall cycle process; good AF substitution ratio (between 15 and 50%) and more cycle process; good AF substitution ratio (between 15 and 50%); 100%
fuel cost than 50% use of low quality FF use of low quality FF on remaining fuel matrix
Link
Tool name Tool Description Key words with GR#
This tool assists the optimization of the cost of the fuel mix based on fuel Fuel mix
Fuel Flexibility tool 6
caracteristics, FF equipment (coal mill limitations) and process constraints optimization tool CO2
The main objectives of the Fuel Flexibility study are to:
- Define a relevant technical segmentation of alternate fuels, each segment
regrouping a set of fuels presenting similar problems of combustion,
dosage and handling.
- For each segment, gather and document the various experiences
Technical Agenda AF, specifications
(good or bad) throughout the division in this handbook plant experience, 1
“Fuel Flexibility“ - Develop a program of systematic burning optimization for the segments combustion
offering the best potentials in terms of business
(e.g. a rate of substitution > 10 %).
- Write recommendations and develop a Best Practice
for optimizing combustion of the various waste fuels.
- Consolidate experiences from recent burner trials.
Within this Technical Agenda, experts from all 5 Technical Centers have
worked together to consolidate existing experiences and make them easily
Technical Agenda accessible in this study. The study contains many good examples and detailed Guide, Build up
recommendations. A 'Quick Reference Guide' sums up all important levers 2, 6
“Build up control” control
for improvement. It can be used for a first orientation and help in case of
build up problems - or even better before problems appear when volatile
levels increase due to fuel or raw mix changes.
Technical Agenda The objective of the precalciner study was to assess the ability of new and Precalciner, petcoke,
“Precalciner” existing precalciners to burn petcoke and solid waste fuels. solid waste fuel, study
This TA gives a detailed description when a bypass should be installed,
the criteria how to define the correct sizing of a bypass and how to select
Technical agenda the best type of a bypass system. Advantages and disadvantages of Chloride bypass, 2, 6
“Chloride by pass” the systems are explained. Bypass dust handling can be very difficult; When? Design
many hints are given how to master this challenge. Also the question what
to do with the bypass dust is discussed.
Arborescence of
“Resource Recovery” The presentation provides information on the way to Database - Waste - 1, 2
find easily the “Key” documents AF - ARM
domain
The synthesis, proposed for the main categories of AF stream, are divided
Synthesis per AF / Synthesis, AF,
into 3 or 4 parts. They can content market studies, feedbak from plants, market studies, 1
ARM stream specific regulation, as well as Good Practices and recommandations to use the feedback, regulation
AF/ARM.
This Policy and Guidelines have been completed after a process of work group
from 2003 to 2004.Special attention has been paid to the work of Cement
RR Policy & Sustainability Initiative (CSI) of the World Business Council for Sustainable Policy, Guidelines,
Development (WBCSD) as well as different initiatives of other organizations (e.g. 2, 3
Guidelines cement industry associations, international conventions…) treating this AF, ARM
subject.They offer plants general guidance in the responsible use and handling
of AF&ARM.
Position paper The Position Paper on municipal sewage sludge gives recommendations on all Municipal sewage
on Municipal aspects of municipal sewage sludge (MSS) use from market considerations, sludge, Health & 1
sewage sludge health and safety, process impacts to handling installations. Safety, Position paper
Precalciner, petcoke,
The objective of the precalciner study was to assess the ability of new and
Waste Catalogue solid waste fuel,
existing precalciners to burn petcoke and solid waste fuels. study
The Waste catalogue proposes for many AF or ARM a short description of the
Technical agenda stream, with its usual source, the possible impact, the key characteristics for Catalogue, waste 1
“Chloride by pass” coprocessing it, feedback from plants and other documents linked to the stream streams, industry
when available
LQMS for Risk Risk Assessment,
This is a mandatory management quality Standard for Risk Assessment 3
Assessment tool, quality
Technical agenda The aim of this tool is to be a reference to help plants achieve and maintain a
safe condition of their coal grinding shops. Details are given on operating Safety, coal grinding,
“Safety in coal grind- conditions, target parameters and safety devices, with a special focus on fuel fuel characteristics 6, 7
ing shops” characteristics
Link
GP Name and description Key Words
with GR#
Korea:Development of Alternative Fuels with new streams Korea, Alternative Fuels 1, 2
Mexico: Development of AF utilization based on tires and Solid Shredded Waste Mexico, Tires, Solid Shredded Waste 1, 3
Alternative Fuels
High sulphur coal burning trial (Nanshan - Chongqing) China, trial, high sulfur coal 5, 6, 7
Increasing coke and AF (Sugar Creek - River) Sugar Creek, US, coke 5, 6, 7
Increasing coke (Saint-Constant - Lakes & Seaway) Saint Constant, US, coke 5, 6, 7
Reducing fuel bill by using 100% petcoke as fossil fuel (Trbovlje - Slovenia) Petcoke, Slovenia, step by step increase 5, 6, 7
Substitution of natural gas by anthracite on 5 wet kilns (Mykolaiv - Ukraine) Natural gas substitution, anthracite, wet kiln, Ukraine 5, 6, 7
Reducing fuel cost by increasing fossilfuel flexibility (Greece) Greece, fuel flexibility, high and low sulphur petcoke 8, 10
Reducing Fuel Cost by reducing the usage of light-up fuel (Le Teil - France) Light-up fuel, Le Teil, France 5, 6, 7
Utilization of Indonesian high moisture coal (Kanthan - Malaysia) Malaysia, high moisture coal 6, 7, 9
BU/PROJECT CONTEXT:
• In Greece, the Alternative Fuel program development
is blocked because of permitting issues. Consequently,
plants are fully impacted by solid fuel price increases. VOL % of petcoke on the fuel mix (in heat a value)
• It is then crucial the BU develops its fuel flexibility, in
order to optimize fuel cost.
NEXT STEPS:
• Continue to optimize the utilization of FFT, launched in
early 2010, as part of the new fossil fuel purchasing
process for the BU
• Continue to increase the plants fuel flexibility :
- In MIL, optimization of using 100% High Sulphur and
Low HGI Petcoke is still going on.
- In VOL, increase the fuel flexibility toward high risk fuel.
- In HAL, optimization for increasing % of High Sulphur
Petcoke is still on going.
LIMITATIONS AND ACTIONS:
At each step, plants faced and solved the following main is- KEY SUCCESS FACTORS IDENTIFIED:
sues: • Knowledge sharing between plants, coordinated by BU
• Petcoke fineness, particularly on the 200 micron sieve, and TC
was a limitation in MIL and HAL: Adjustment of rotor • Excellent Plant Team work (Production, Process, Quality
seal gap in coal mill separator. and Maintenance) in order to achieve 100% Petcoke
• Operation with low O2 level at kiln inlet due to ID fan substitution
limitation and main focus on production: ID fan replace- • Support provided by tools developed by the Cement Di-
ment in VOL, lower output in MIL and new SOPs to bet- vision: Technical Agenda, ‘’How to burn petcoke’’ pro-
ter manage O2 level. cedure and Fuel Flexibility Tool
• Analyser reliability at kiln inlet due to excessive build
ups in the area: redesign of protection and further clean- PROJECT ORGANIZATION:
ing with air blasters in MIL and increased of mainte- • Managed by the BU and Plant organization, with the
nance in VOL assistance of TC:
• Build-up prevention: revise preheater cleaning manage- - BU process network meeting with TC on this subject
ment in bottom cyclone stages in all plants and daily - One week TC task force for the 3 plants
monitoring of hot meal : Cl, SO3, volatilization level
• Adverse effect: NOx emission increased when using
High Nitrogen Petcoke in the calciner: as plants do not
have SNCR equipment, new purchasing specifications
were set to limit fuel nitrogen.
OBJECTIVES:
• Improve the % AF using the existing AF installation WHEN WAS THE LAUNCH?
• Improve H&S linked with AF handling • February 2009, Medgidia plant. Continued in October
• Identify potential areas and methods for process opti- 2009 in Hoghiz plant
mization and cost reduction
• Create “plant ownership” for low CAPEX AF develop- FIRST RESULTS:
ment projects • MED 08: 11% AF (5% schlamm) → MED 09: 49% AF
• Develop synergy between Industrial Ecology (IE) and (32% schlamm)
co-processing (Plant, TC) • HOG 08: 15,5% AF (5% schlamm) → HOG 09: 45,5%
AF (31% schlamm)
BU/PROJECT CONTEXT: • X2010 savings 09vs08 are 4,7 M€ for the BU. Total
• Priority BU under X2010 gross savings 2009: 5,95 M€
• Prepare a step change in AF in anticipation of approval
for AF CAPEX plans NEXT STEPS
• A wide variety of wastes were being used in both • Three meetings in 2010 in each plant (Medgidia, Hoghiz)
plants, with limited capital equipment (tyres, solid • Follow-up of action plans
shredded, haz, oil sludge, including 5% schlamm – a • Optimization of new AF workshop commissioned end ‘09
low quality, high ash waste coal)
KEY SUCCESS FACTORS IDENTIFIED:
ACTION: • BU, plant and ETC commitment, motivation
• Creation of a Task Force composed of Managers and Spe- • Presence of key decision-makers (BU, TC, IE Managers)
cialists from different entities – Plant team, BU (Indus- • Synergy and know-how brought by a mixed team of
trial Mgr, IE-BU), ETC (RR Mgr, Process, DdR), IE-Lyon experts and managers (BU, plant, IE Lyon, ETC)
• Open discussion, brain-storming and analysis of existing
problems and issues (waste market & technical) PROJECT ORGANIZATION:
• Action plans in each plant including H&S, Process, AF • Working group co-ordinated by ETC RR
quality control, Investment • Follow-up of KPIs and action plan by plant visit three
times per year
LCS are generally based on spent co-products of petrochemical refinery that were
originally commercialized due to their capacity to dissolve or extract impurities Target : should
from chemical substances. After its initial application such liquids get collected include all liquids
for regeneration and reuse. SCL represent the residues from these second and containing one
Liquids % (GJ) third life cycles of fresh solvents. Main users are paint industy, chemical & CR119X
droplet of solvent
Containing tons pharmeceutical industry, adhesives or rubber manufacturers, metalworking and CR130X
as it implies the
Solvents (LCS) LMU/GJ cleaning services. AR627X
same type
The common names used for this kind of waste are: Refused or Recycled Liquid equipment
Fuel (RLF); Fuel Quality Waste (FQW), Combustibles Liquides de Substitution (CLS); (safety issue).
G3000 (Lafarge Ciments).
% (GJ) CR118X
- the light oils from the gearing boxes;
Used Oil tons
- the oils used for the lubrication of the cutting instruments used in mechanical
CR129X N/A
LMU/GJ activities. AR626X
Pure vegetal oil should be reported under the category "Biomass".
% (GJ) CR157X
This category regroups liquid effluents from industrial processes, with very low or
Waste water tons CR136X N/A
no calorific value.
LMU/GJ AR637X
This category regroups liquid wastes, which are not classified as “Liquid Category to report
containing Solvents”, “used oils” nor as “wastewater”. It includes wastes all the rest of liq-
Other % (GJ) coming from petroleum refineries and petrol stations (e.g. sludge of CR121X uids that are not
pumpable tons hydrocarbons; refuse coming from storage installations of hydrocarbons; sludge CR132X
reported in the
liquids LMU/GJ from API settling tanks; emulsions) ; sludge originating from the ultra-filtration AR629X
of cutting products; kormul; wastes from the cosmetics industry (spoiled other 3 liquid
products, paints); inks from the lithographic industry, etc. categories.
The objective is to
avoid a wide name so
This category regroups all solid wastes that are not classified as that the reader is
Solids
% (GJ) “Tyres”, “Impregnated Solid fuel”, “Energetic ARM” nor as “Shredded CR125X forced to examine other
Other non tons Solid Waste”. CR144X categories before
pumpable solid LMU/GJ An example is the TDI tar, a residue whose origin is the isocyanate falling back to this
AR634X
toluenes manufacturing process. one. The majority of it
will be tar and other
solid chemicals.
The objective is to
report only the
energetic ARM as it is
a very specific stream.
This category includes the alternative raw materials (ARM) whose
Only the % will be
% (GJ) calorific value contributes to the plant's alternative fuels CR120X
reported as the
Energetic ARM tons substitution. CR131X
tonnage and gate fees
LMU/GJ A typical example is fly-ash. AR629X
will be reported in the
The quantity and the gate fee should be reported as ARM.
ARM reporting to avoid
double counting. The
GS will be calculated
as (cost ref fuel - 0)*
This category includes the solids removed from municipal or industrial Target is all
Processed % (GJ) CR116X
Biomass
wastewater at wastewater treatment plants (WWTP). The final quality depends on residues from the
Sewage tons
both the nature of the wastewater and the process of the WWTP. It can be used in
CR127X
Waste Water treat-
Residue (PSR) LMU/GJ
cement kilns in the form of sludge, filter cakes, dried material or pellets. AR624X
ment process
This category includes all the wastes of organic matter which can be reused like CR117X
% (GJ)
the husks of different agricultural products (sunflower, rice, palm tree), the
Biomass tons
vegetal oils (lipix), the wood wastes, the animal fat, the mycellium, moinha, the
CR128X N/A
LMU/GJ AR625X
spoiled seeds (with or without pesticides), natural textiles.
By extension of
Includes low quality coal used in clinker manufacturing, whose low heat value
Low quality % (GJ) CR034X petcoke definitions,
Solids
LHV < 22500 MJ/t (on an air dry basis) or volatile materials VM < 12 or > 36
coal LMU/GJ
(on an air dry basis) or pyritic sulphur > 1% AR614X includes coal where
total S > 4%
Low / Medium % (GJ) CR229X
Pet coke types with sulphur content < 5.5% and index hardGrove HGI > 45 N/A
sulphur petcoke LMU/GJ AR759X
Low quality % (GJ) CR230X
Pet coke types with sulphur content > 5.5% or index hardGrove HGI < 45 N/A
petcoke LMU/GJ AR760X
% (GJ) CR031X Do not include
Fuel oil LMU/GJ
All type of fuel oil excluding high viscosity fuels
light oil
AR608X
Pitch, bottom
Others
The average cost of fossil fuel mix is the average heat expenses of the different Average cost for
Cost FF LMU/GJ
fossil fuels used for clinker production, weighted by the % of heat consumed. all AF (LMU/GJ)
The average cost of alternative fuel mix is the average heat expenses of the
Average cost for
Solids
Cost AF LMU/GJ different alternative fuels used for clinker production, weighted by the % of heat AR613X
all FF (LMU/GJ)
consumed.
The average specific heat cost or cost of fuel mix is the average heat expense of
the different fuels used for clinker production, weighted by the % of heat
Average consumed. For plants generating their own power, fuels already included in the Average cost for all
specific LMU/GJ
power cost can not be taken into account. The costs of the in-house power plant
AR607X
fuels (LMU/GJ)
heat cost should only appear once in the clinker production cost: either as fuel and fuel
costs, or in the power cost.
Note: 2010 and 2011 years mentioned in above formulas are to be used for Excellence 2011 savings. In more general terms, please consider them as respectively reference
year and analyzed year