BAMBURI TO INCREASE BIOMASS ENERGY USE TO CUT PRODUCTION COSTS

Bamburi
Cement managing director Saddiq Hassani said the firm wants to nearly triple
the usage of biomass energy in its production process to 30% from current 12%.

The firm
is counting on burning condemned cargo at Mombasa port in its kilns as well oil
wastes from petrol stations, used tyres and garbage in cities to produce more
biomass for cement.

Hassani
says this will help diversify source of biomass and grow usage of the cheaper
fuel. Biomass fuel in Uganda accounts for up to 70 per cent of energy used in
cement production.

“Getting
biomass has not been as easy as in Uganda given our plant is located far from
the current sources. We are now diversifying our sourcing so that we can rise
its share in energy mix to above 30% by 2022.”

Bamburi
is working with Kenya Ports Authority to burn condemned cargo in its kilns. It
has also inked deal with oil marketers and garages to be receiving used oil.

The firm
has so far collected 1.5 million litres of used oil and expects to hit three
million litres annually by bringing on board garage operators and big transport
companies

Last
year, Bamburi’s net profit fell 69% to Sh0.6 billion partly on increased energy
costs and higher electricity prices in Kenya.

Coal
costs about $5 per gigajoule (GJ) while biomass is at about $2 per GJ, meaning
that Bamburi can save Sh3 million for every one million GJ of bomass used.

Hassani
said Bamburi is spending about Sh15,000 per megawatt (MW) on electricity power
in Kenya compared to Uganda’s Sh9,000 per MW. He added that the lower night
tariffs introduced by government have done little.

“We do it but this is very minimal. A kiln has to run 24 hours, seven days a week. You cannot stop the kiln at daytime and so our power saving is below 1%,” said Hassani.https://www.businessdailyafrica.com/corporate/companies/Bamburi-to-increase-biomass-energy-use/4003102-5321018-6pfjkm/index.html