International building materials manufacturer TITAN Group has entered into a significant 10-year agreement with Elektroprivreda Srbije (EPS), Serbia’s state-owned electricity provider. This contract involves the procurement of approximately 5 million tonnes of high-quality fly ash from the TENT B “Obrenovac B” thermal power plant, enhancing TITAN’s platform for alternative materials and bolstering supply security for low-carbon construction materials in Serbia and the surrounding region.
The agreement stipulates that EPS will supply fresh fly ash, a by-product generated from coal-fired electricity production, which can serve as a supplementary cementitious material to partially replace clinker in cement manufacturing. This material will primarily support TITAN’s operations in Serbia, particularly at the Kosjerić cement plant, which has an annual production capacity of around 750,000 tonnes and caters to both the domestic market and neighboring countries such as Montenegro. By securing long-term access to fly ash, TITAN aims to broaden its portfolio of environmentally friendly cement products and meet the increasing demand for lower-emission building materials.
From an operational standpoint, this agreement offers a reliable outlet for a material that has typically been stockpiled or disposed of, thus converting an industrial by-product into a valuable input. The integration of fly ash into cement production allows TITAN to decrease its dependence on traditional clinker, known for being the most carbon-intensive element in cement. This transition contributes to reducing the overall carbon emissions associated with cement and concrete supplied to the market while addressing waste management issues prevalent at large thermal power plants.
This partnership aligns with TITAN’s broader strategic focus on sustainability, circular economy principles, and resilience within its supply chain. Under its TITAN Forward 2029 strategy, the Group intends to expand its alternative cementitious materials business globally, with planned investments reaching up to €500 million in relevant initiatives over the coming years. Within this framework, alternative materials are projected to represent up to 10% of total group turnover by 2029, indicating a structural shift away from conventional high-emission inputs.
For EPS, this agreement serves as a long-term solution for effectively utilizing fly ash from one of Serbia’s largest thermal power facilities, thereby harmonizing energy sector operations with industrial and environmental goals. For TITAN, it enhances its presence in Southeast Europe and boosts the competitiveness of its Serbian operations amid evolving carbon regulations, cost challenges, and sustainability demands impacting the cement industry across Europe.
The deal exemplifies how collaboration between the energy and construction sectors can yield economic and environmental advantages, fostering industrial efficiency, minimizing waste, and facilitating the gradual decarbonization of one of the most energy-intensive segments within the industrial economy.
