Hyderabad Climate-Tech Firm Partners with Cement Giant for Decarbonization Initiative
In a significant move toward industrial sustainability, Hyderabad-based climate technology company Sow & Reap Chara Private Limited has entered into a strategic 10-year offtake agreement with Sagar Cements Limited. This landmark partnership aims to deploy integrated biochar and gasification units at Sagar Cements' manufacturing facility located in Mattampally, Telangana.
Targeting Cement's Energy-Intensive Process
The primary objective of this collaboration is to decarbonize the highly energy-intensive calcination stage within cement manufacturing. This critical initiative directly supports Sagar Cements' ambitious corporate goal of achieving net-zero emissions by the year 2030. By integrating innovative climate technology into its core production process, the company is taking concrete steps toward substantial environmental impact reduction.
The CHARA Project: From Agricultural Waste to Clean Energy
The project, branded under the name 'CHARA', will focus on transforming agricultural residues into valuable energy resources. The process involves collecting cotton crop waste and other biomass primarily sourced from villages situated within a 20-kilometer radius of the plant. This biomass will then be processed through advanced gasification technology.
The system produces two main outputs:
- Syngas: This synthetic gas will be utilized by Sagar Cements as an alternative fuel source, effectively substituting fossil fuel inputs in their manufacturing operations.
- Biochar: The carbon-rich biochar produced will be supplied to local farmers for soil application. This practice enables long-term carbon storage in agricultural land while simultaneously addressing the critical issue of air pollution caused by traditional open-field residue burning.
Projected Environmental and Economic Impact
The initial deployment phase is projected to deliver substantial environmental benefits. Estimates indicate an annual reduction of approximately 6,000 tonnes of carbon emissions. The project's scalability presents even greater potential, with projections suggesting that installing four units at a single location could increase emission reductions to around 25,000 tonnes per year.
Each biochar and gasification unit represents a significant investment, requiring approximately Rs 14 crore in capital. Technologically, each unit is designed to process about 15,000 tonnes of biomass annually. This processing capacity yields roughly 3,750 tonnes of biochar and contributes to mitigating approximately 8,000 tonnes of CO2 emissions per unit each year.
Phased Rollout and Carbon Credit Strategy
Sow & Reap has outlined a comprehensive phased implementation plan for the CHARA project. The first phase, designated as Phase-1, anticipates four operational units going live by March 2026. The long-term vision involves a strategic scale-up to a total of 20 units implemented in subsequent phases.
The carbon credit potential of this expansion is considerable. With all 20 installations operational, the partnership is targeting an annual issuance of approximately 1,60,000 carbon credits. Over a five-year horizon, this ambitious project aims to generate close to 1 million carbon credits, creating both environmental value and potential economic returns through carbon markets.
This collaboration between a pioneering climate-tech startup and an established cement manufacturer represents a tangible model for industrial decarbonization in India, particularly within hard-to-abate sectors like cement production. By converting agricultural waste into clean energy and soil enhancers, the project addresses multiple sustainability challenges simultaneously.
