Article

The Mineral Products Association (MPA), the foremost trade organization for cement and concrete in the UK, has issued a stark warning regarding the future of the industry amid significant achievements in emissions reduction. Since 1990, the sector has successfully cut absolute emissions by 63%, a feat largely attributed to enhancements in energy and material efficiency, innovative materials, and the adoption of alternative fuels. However, some of this progress is overshadowed by the offshoring of production, which raises concerns about the sustainability of domestic manufacturing.

The MPA highlights that high electricity costs and post-Brexit export challenges have deterred manufacturers from investing in UK facilities. Dr. Diana Casey, the MPA's executive director, emphasizes the need for government support to stimulate demand for low-carbon products and to prioritize domestic procurement. A proposed carbon border adjustment mechanism (CBAM) could further level the playing field by ensuring that importers face equivalent carbon costs as domestic producers, safeguarding jobs and the benefits of a robust domestic industry.

The anticipated launch of the UK’s CBAM in January 2027, alongside an alignment with the EU's CBAM, is expected to alleviate approximately £800 million in export taxes annually for UK firms. Additionally, Chancellor Rachel Reeves has pledged to reduce electricity prices for around 7,000 energy-intensive businesses by up to 25% starting in 2027, a move that could enhance the competitiveness of the sector.

In a forward-looking strategy, the MPA has revised its net-zero pathway for the cement and concrete industry, aiming for a net-negative status by 2050. This ambitious roadmap envisions that carbon capture and storage (CCS) could address 61% of the industry’s emissions, with an additional 12% mitigated through the natural process of carbonation. The potential for concrete to function as a heat battery is also explored, as its thermal mass can absorb and store heat, significantly reducing the energy required for building climate control.

The government has committed to providing up to £21.7 billion over the next 25 years for initiatives focused on carbon capture, utilization, and storage (CCUS), as well as low-carbon hydrogen production, surpassing the previous £20 billion commitment from the Conservative Party, which was limited to CCUS. This strategic investment could be pivotal in facilitating a transition towards a greener and more sustainable construction industry in the UK.