The cement industry’s contribution to global warming is pretty concrete – it’s responsible for 5% of greenhouse gas emissions, fueled by demand from the rapidly industrializing economies of China and India.
Now CEMEX, the Mexican building materials giant, has taken steps to green up its operation. Not by changing the way it makes cement but how it powers the process. Late last week, Mexican President Felipe Calderón inaugurated the first phase of what will be a $550 million, 250-megawatt Oaxaca wind farm – Latin America’s largest – that will generate the equivalent of a quarter of the electricity CEMEX consumes in Mexico.
The EURUS wind farm is a joint development between CEMEX (CX) and Acciona, the Spanish renewable energy powerhouse. The first 25 turbines will go online by March and the final phase will be completed by the end of 2009. A CEMEX spokesman said Acciona will retain ownership of the wind farm and sell the electricity to CEMEX under a 20-year contract. The electricity from EURUS will go into the power grid and CEMEX will receive “electricity credits” for the power produced.
Mexico has become the next frontier for the wind industry. The same day Calderón presided over the opening of EURUS he also dedicated a nearby 80-megawatt wind farm built by Spanish company Iberdrola Renewables.