Nepal's cement industry, crucial for the nation's infrastructure development, faces numerous challenges despite its vast potential. With 1.07 billion tonnes of high-quality limestone reserves, the sector produced 9.86 million tonnes of cement in 2019, while demand is projected to surge to 34.31 million tonnes by 2028. However, rising fuel costs, environmental concerns, and waste management issues threaten the industry's growth.
Fuel constitutes a significant cost for cement production. In fiscal year 2079/80, Nepal imported 1.38 million tonnes of coal, accounting for 30% of national energy consumption. The reliance on coal not only inflates costs but also exacerbates carbon emissions. According to Nepal's Second Nationally Determined Contributions (NDC), industrial emissions are expected to rise unless cleaner fuels and technologies are adopted.
Simultaneously, Nepal faces an escalating waste management crisis. Kathmandu Valley alone generates 1,760 tonnes of waste daily, including 74 tonnes of multilayered plastics. Non-recyclable and non-biodegradable waste pollutes landfills, making waste-to-energy solutions imperative.
Refuse-Derived Fuel (RDF), derived from processing non-recyclable waste like plastics and paper, presents a promising alternative. RDF can replace up to 45% of coal in cement production, significantly reducing costs and emissions. The Centre for Energy Studies (CES) at Tribhuvan University has already demonstrated RDF's potential in collaboration with Nepalese cement industries.
Adopting RDF aligns with Nepal’s long-term strategy to reduce carbon emissions and achieve sustainable development goals. By integrating RDF, the cement industry can cut production costs, lower CO2 emissions, and address the waste crisis. Achieving this transition will require collaboration among policymakers, industry leaders, and local communities.
If implemented successfully, RDF could not only transform Nepal’s cement sector but also establish the nation as an example of sustainable practices in South Asia.