Before you buy in, find out which solutions are worth your trust—and your investment.
By Randy Gue
Can you name the most used material in the world? It’s not water, wood, or even plastic. It’s concrete—a mixture of cement, water, sand, and rocks. For centuries, concrete has shaped our civilization, from the Pantheon in Rome to today’s skyscrapers. But while it’s the backbone of progress, it’s also one of the world’s biggest carbon culprits.
Cement production is responsible for nearly seven per cent of global carbon dioxide (CO2) emissions. The problem starts with the chemical reaction that creates cement, releasing CO2 in the process. Add in the fuel burned to heat the contents in cement kilns as well as the emissions from transporting the finished product, and you have a sizeable carbon footprint.
This environmental reality has put the industry in the crosshairs of regulators, investors, and innovators alike. As pressure builds, dozens of companies are stepping forward with solutions that promise low-carbon cement or carbon capture technologies. But not all claims are created equal. And that’s where things get complicated. As the world’s demand for concrete remains unyielding, the cement industry faces a pivotal choice between innovative progress and possibly superficial claims.
Innovations are promising, but not all are proven
It’s an exciting time for the low-carbon cement industry, with new initiatives capturing headlines. Carbon sequestration, alternative fuels, and new additives hold promise—but are these solutions as impactful as advertised?
For investors, it’s not just about the promise of lower emissions. It’s about making sure those promises hold water. Before you buy into the hype, ask yourself: Does this solution really lower emissions—and by how much? Where is the CO2 coming from, and where is it going? Are the numbers transparent and the claims verifiable?
Genuine sustainability requires replacing old ingredients
Differentiating between genuine innovations and greenwashing is easier said than done. Net-zero pledges are common, but they rarely show the full picture. Injecting captured carbon into concrete sounds promising, but there are questions around how much of that captured CO2 remains contained over time. Then, there’s the reliance on Portland cement—the global workhorse of the industry, but also a significant contributor to emissions.
On the ingredient front, some companies are using supplementary cementitious materials (SCMs) like steel slag and fly ash. Both have been in use for decades, replacing portions of traditional cement to reduce emissions while maintaining performance. But here’s the catch: in addition to their CO2-generating production, global supplies of these materials are dwindling. Fly ash is becoming more scarce as coal plants shut down, and changes in steel production processes are reducing steel slag availability. Without viable, scalable alternatives, traditional SCMs can’t carry the load forever. That’s why the industry’s next breakthroughs need to focus on sustainability at scale.
Concrete’s carbon cost is too big to ignore
Reducing emissions is no longer optional. Real progress demands cutting emissions at every stage—from production to transportation to end use. Companies like Lafarge Canada are leading the way with diverse strategies, such as replacing traditional fuels. Lafarge’s $38 million Low-Carbon Fuel Facility, for example, aims to replace up to 50 per cent of the natural gas used in cement kilns, proving that incremental progress can drive real impact when scaled across the industry.
Meanwhile, some in the industry are on the hunt for more sustainable SCMs that don’t just reduce emissions but contribute to a circular economy, while others are looking to change ingredients used in cement to lower emissions. They may be long-term solutions—and they will also take a significant amount of effort to validate performance. The goal is to keep moving forward without compromising the strength or durability of a critical building material. It’s a tough balancing act, but the opportunities for innovation are clear.
Accountability is key to building trust
New legislation like Canada’s Bill C-59 aims to raise the bar on corporate accountability. It introduces potential consequences for companies caught greenwashing, and incentivizes the adoption of clean technologies with new tax credits for carbon capture and manufacturing. But with new funding comes increased competition, and it’s crucial to differentiate viable innovations from flashy promises.
In the U.S., the Biden-Harris administration is investing $100 billion into Environmental Product Declarations (EPDs). These standardized reports will help buyers compare products’ environmental impacts, creating pressure for more accurate and consistent data. For investors, understanding what EPDs reveal about low-carbon cement could be the key to spotting the most promising opportunities.
Don’t just trust—verify sustainability claims
The cement industry’s impact on the environment isn’t going away. And as with any high-stakes industry, making claims without evidence can backfire. Take Volkswagen’s “clean diesel” scandal—it’s a cautionary tale of what happens when a company’s reputation is built on shaky claims.
For those looking to invest, the key is to dig deeper. Trust the claims only after you’ve seen hard data. Look for transparency and verified impact, not vague promises. It’s tempting to jump on the bandwagon of an ambitious-sounding solution, but the details matter. Just as businesses can’t report false profits, companies shouldn’t be allowed to report false sustainability. Likewise, some of the low carbon cement companies we see in the market today will likely fail because they’re not commercially or technically viable.
The road to a sustainable future is paved with accountability
If you demand transparency and support innovation, you’re not just investing in a solution—you’re leading an industry toward genuine change. The future of cement doesn’t need more claims; it needs leaders willing to ask hard questions and invest in accountability.
Demand for concrete is here to stay, but the industry can’t afford to continue business as usual. Tackling this monumental challenge requires leaders who ask tough questions, expect transparency, and invest in proven solutions. Bill C-59 and EPDs won’t solve all our greenhouse gas challenges, but they can help steer the industry toward genuine sustainability. In the end, bold claims only matter if they’re backed by action. Investors like you have the power to push the industry forward and ensure it builds a truly sustainable future.
Randy Gue is a director at Progressive Planet, an engineer, and an independent consultant in the field of waste reuse and business strategy. He spent over 30 years at Lafarge implementing initiatives related to the use of GHG-friendly fuels and by-product material reuse projects at Lafarge’s plants in Western Canada and the U.S. His work has resulted in the beneficial reuse of almost one million tonnes of material that would have otherwise gone to landfills.
Featured image credit: Getty Images
