Search

The industrial sector is a major energy consumer, responsible for about 35% of global energy use. In this article we focus on past developments of energy use and greenhouse gas emissions in industries and for the biggest energy consuming sectors we give an overview of energy saving opportunities. We find that about 60% of industrial energy use is consumed in four sectors, which are chemicals, iron and steel, cement and oil refineries. Coal is the most often used energy carrier (28%), followed by oil (26%), natural gas (19%) and electricity (18%). The implementation of best available technologies can lead to a reduction of about 20%–40% of energy use and greenhouse gas emissions, depending on country and sector.

Industry is a large energy user in nearly all countries. Approximately half of all industrial energy use is used in specific processes in the energy-intensive industries. On the other hand, various general energy conversion technologies and end uses can also be distinguished (e.g., steam production, motive power, lighting). Opportunities and potentials exist for energy savings through energy efficiency improvement in all sectors and countries. Technology development, as well as policies aimed at dissemination and implementation of these technologies, can help to realize the potential benefits. Technologies do not now, nor will they in the foreseeable future, provide a limitation on continuing energy efficiency improvements.

Industry is a large energy user in nearly all countries. Approximately half of all industrial energy use is used in specific processes in the energy-intensive industries. On the other hand, various general energy conversion technologies and end uses can also be distinguished (e.g., steam production, motive power, lighting). Opportunities and potentials exist for energy savings through energy efficiency improvement in all sectors and countries. Technology development, as well as policies aimed at dissemination and implementation of these technologies, can help to realize the potential benefits. Technologies do not now, nor will they in the foreseeable future, provide a limitation on continuing energy efficiency improvements.

Companies participating in the Dutch voluntary agreements on energy efficiency are required to announce the energy-saving projects that they have planned for a specified reporting period in an Energy Efficiency Plan (EEP). All projects with a payback period less than 5 years should be implemented. The aim of this paper is to provide insight into the differences in planning and implementation of energy efficiency investments by companies. This analysis is based on the EEPs submitted in the period 2009-2012. By comparing the characteristics of projects that have been implemented with those that were planned, insight is gained in the adjustments that companies make in their energy efficiency investment plans. We look at external circumstances that could explain these adjustments. Our results show that over 12,000 projects have been planned by the 904 long-term agreement (LTA) participants, about half of which are planned 'certain', which means that companies are certain that these projects will be implemented. However, we find a large difference between the planned and realised savings of companies and a huge variation in the payback period of both planned and implemented projects. We do not find a correlation between implementation rate and payback period. This suggests that the payback period in the EEPs was not assessed properly or that other than economic motives are more decisive for investment decisions. Our results can be used to improve the effectiveness and efficiency of voluntary agreements.

The EU building sector is widely acknowledged as a primary source of anthropogenic emissions, contributing directly to climate change. Recent studies estimate the sector to account for approximately 40% of primary energy use and 50% of extracted materials within the European Union. The Energy Performance of Buildings Directive 2010/31/EU requires efficiency improvements to be implemented in all new EU buildings, with a requirement that from 2020 all new buildings constructed should be “nearly energy zero”. From this stance the embodied energy of a building, when taking a full life-cycle perspective, is gaining importance and will become a more dominant issue to tackle when striving for sector-wide reduction in the coming years. This research took the UK as a case study and investigated where reduction measures are most suited to reduce material and energy consumption. The study proposes four reduction measures strategically focusing on hotspots of excessive consumption. The findings demonstrate that significant reductions can be achieved for the UK building sector's annual material and embodied energy consumption in the short to midterm, with projections estimating resource and embodied energy savings respectively of 4.7% and 6.4% by 2020 and 9.3% and 28.6% by 2030.

Companies participating in the Dutch voluntary agreements on energy efficiency are required to announce the energy-saving projects that they have planned for a specified reporting period in an Energy Efficiency Plan (EEP). All projects with a payback period less than 5 years should be implemented. The aim of this paper is to provide insight into the differences in planning and implementation of energy efficiency investments by companies. This analysis is based on the EEPs submitted in the period 2009-2012. By comparing the characteristics of projects that have been implemented with those that were planned, insight is gained in the adjustments that companies make in their energy efficiency investment plans. We look at external circumstances that could explain these adjustments. Our results show that over 12,000 projects have been planned by the 904 long-term agreement (LTA) participants, about half of which are planned 'certain', which means that companies are certain that these projects will be implemented. However, we find a large difference between the planned and realised savings of companies and a huge variation in the payback period of both planned and implemented projects. We do not find a correlation between implementation rate and payback period. This suggests that the payback period in the EEPs was not assessed properly or that other than economic motives are more decisive for investment decisions. Our results can be used to improve the effectiveness and efficiency of voluntary agreements.

We try to understand the role of technological change and diffusion of energy efficient technologies in order to explain the trend of energy intensity developments in the German steel industry. We selected six key energy efficient technologies and collected data to derive their diffusion since their introduction in Germany. Since all technologies have been applied in Germany for more than 30 years we would expect complete diffusion. We found complete diffusion only for basic oxygen furnaces and continuous casting. Newer technologies (i.e. basic oxygen furnace gas recovery, top pressure recovery turbine, coke dry quenching and pulverized coal injection) diffused quicker in the initial phase but then diffusion slowed down. Key improvements in energy efficiency are due to electric arc furnaces (24%), basic oxygen furnaces (12%), and continuous casting (6%) between 1958 and 2012. The contribution of top pressure recovery turbines, pulverized coal injection and basic oxygen furnaces gas recovery accounts in total of about 3%. If the selected technologies were diffused completely, the future energy consumption could be reduced by 4.5% compared to 2012. Our findings suggest that our selection of six technologies is the key driver for energy intensity developments within the German steel industry between 1958 and 2012.

The industry sector is a major energy consumer and GHG emitter. Effective climate change mitigation strategies will require a significant reduction of industrial emissions. To better understand the variations in the projected industrial pathways for both baseline and mitigation scenarios, we compare key input and structure assumptions used in energy-models in relation to the modeled sectors' mitigation potential. It is shown that although all models show in the short term similar trends in a baseline scenario, where industrial energy demand increases steadily, after 2050 energy demand spans a wide range across the models (between 203 and 451 EJ/yr). In Non-OECD countries, the sectors energy intensity is projected to decline relatively rapidly but in the 2010–2050 period this is offset by economic growth. The ability to switch to alternative fuels to mitigate GHG emissions differs across models with technologically detailed models being less flexible in switching from fossil fuels to electricity. This highlights the importance of understanding economy-wide mitigation responses and costs and is therefore an area for improvements. By looking at the cement sector in more detail, we show that analyzing each industrial sub-sector separately can improve the interpretation and accuracy of outcomes, and provide insights in the feasibility of GHG abatement.

There are large differences between paper mills in, e.g. feedstock use and grades produced, but typical processes are similar in all mills. The aim of this study is to benchmark the specific energy consumption (SEC) of similar processes within different paper mills in order to identify energy improvement potentials at process level. We have defined improvement potentials as measures that can be taken at mill/ process level under assumed fixed inputs and outputs. We were able to use industrial data on detailed process level, and we conducted energy benchmarking comparisons in 23 Dutch paper mills. We calculated average SECs per process step for different paper grades, and we were able to identify ranges in SECs between mills producing the same grade. We found significant opportunities for energy efficiency improvement in the wire and press section as well as in the drying section. The total energy improvement potential based on identified best practices in these sections was estimated at 5.4 PJ (or 15 % of the total primary energy use in the selected mills). Energy use in the other processes was found to be too dependent on quality and product specifications to be able to quantify improvement potentials. Our results emphasise that even a benchmark on detailed process level does not lead to clear estimations of energy improvement potentials without accounting for structural effects and without having a decent understanding of the process.

Additional efforts will be needed by European countries to improve the energy efficiency, as with current trends the 20% objective will be missed. Small and medium-sized enterprises (SMEs) manufacturing sector is a promising field, as SMEs are less energy-efficient than larger enterprises. Several studies investigated the barriers to the diffusion of technologies and practices for industrial energy efficiency, but little attention has been paid to understand the factors affecting the perception of such barriers by SMEs. In this multiple case-study, we have investigated 20 Primary Metal manufacturing SMEs in Northern Italy. Economic and information barriers are perceived as the major issues. Interestingly, firm's size, innovativeness of the market in which enterprises operate, as well as product and process innovation are factors affecting barriers to energy efficiency. Differences have been observed within SMEs, especially for information and competence-related barriers. In particular, a more innovative external context in which enterprises operate and a greater production process complexity seem to reduce barriers. Moreover, more product innovative enterprises seem to have a lower perception of behavioral and technology-related barriers. The results of this exploratory investigation provide useful suggestions for policy design and further research on industrial energy efficiency.

Paper production is an energy-intensive process and accounted for about 9% of industrial energy demand in Germany in 2008. There have only been slow improvements in energy efficiency in the paper industry over the past twenty years. Policies can accelerate the progress made, but knowledge about the remaining efficiency potentials and their costs is a prerequisite for their success. We assess 17 process technologies to improve energy efficiency in the German pulp and paper industry up to 2035 using a techno-economic approach. These result in a saving potential of 34 TJ/a for fuels and 12 TJ/a for electricity, which equal 21% and 16% of fuel and electricity demand, respectively. The energy savings can be translated into mitigated CO2 emissions of 3 Mt. The larger part of this potential is found to be cost-effective from a firm's perspective. The most influential technologies are heat recovery in paper mills and the use of innovative paper drying technologies. In conclusion, significant saving potentials are still available, but are limited if we assume that current paper production processes will not change radically. Further savings would be available if the system boundaries of this study were extended to e.g. include cross-cutting technologies.

This study assessed technical potentials for energy efficiency improvement in 2050 in a global context. The reference scenario is based on the World Energy Outlook of the International Energy Agency 2007 edition and assumptions regarding gross domestic product developments after 2030. In the reference scenario, worldwide final energy demand almost doubles from 293 EJ in 2005 to 571 EJ in 2050 and primary energy supply increases from 439 EJ in 2005 to 867 EJ in 2050 (excluding non-energy use). It is estimated that, by exploiting the technical potential for energy efficiency improvement in energy demand sectors, this growth can be limited to 8% or 317 EJ final energy demand and 473 EJ primary energy supply in 2050. This corresponds to a potential for demand-side energy efficiency improvement of 44% in 2050, in comparison to reference energy use. In addition, a potential exists for improving energy efficiency in the transformation sector. In 2005, as much as 33% of primary energy supply is lost in the transformation and distribution of primary energy. It is estimated that this share can be reduced to 19% in 2050 by, e.g. improving energy efficiency of fossilfired power generation (assuming no changes in the fuel mix for power generation). Including the potential for energy efficiency improvement in energy demand sectors, total primary energy supply would then decrease by 10% from 439 EJ in 2005 to 393 EJ in 2050. This contributes to a total potential for energy efficiency improvement of 55% in 2050 in comparison to reference primary energy supply.

The goal of this paper is to review bottom-up models for industrial energy demand with a particular focus on their capability to model barriers to the adoption of energy-efficient technologies. The integration of barriers into the models is an important prerequisite for a more detailed and realistic modeling of policies for energy efficiency. Particularly with the emergence of more and more varying policy instruments, it also becomes crucial for the models to take account of these policies as well as the barriers they address in a more realistic way. Our review revealed that, despite the broadly evident existence of market failures and barriers for energy-efficient technologies, they are only partly and in a rather aggregated form considered in today's bottom-up models. The state-of-the-art bottom-up model is based on an explicit representation of the technology stock and considers the costs of energy efficiency options in detail. But with regard to barriers, most models only make use of an aggregated approach, like an adjusted discount rate. While some models do not even consider technology costs and energy prices, but instead use exogenous technology diffusion rates, other more advanced models took first steps towards considering barriers in more detail. The latter allows differentiation between multiple parameters that influence technology adoption. Still, even in the most advanced models, only a few of the observed barriers are explicitly considered. At the same time, new approaches to considering barriers like uncertainty or the (slow) spread of information are being developed in other disciplines. We conclude the paper by summarizing promising ways to improve representation of barriers in bottom-up models.

Industry contributes directly and indirectly (through consumed electricity) about 37% of the global greenhouse gas emissions, of which over 80% is from energy use. Total energy-related emissions, which were 9.9 GtCO2 in 2004, have grown by 65% since 1971. In the near future, energy efficiency is potentially the most important and cost-effective means for mitigating greenhouse gas emissions from industry. Despite the growth in energy use, industry has almost continuously improved its energy efficiency over the past decades. Yet, climate change and other future challenges will drive a quest for further energy-efficiency improvement. Both improvements with which industrial processes use energy and materials are key to realize strong reductions energy use. This paper discusses the potential contribution of industrial energy and material efficiency technologies to reduce energy use and greenhouse gas emissions to 2030 and beyond, and ways to realize them.

Reaching the long term goals of climate policies requires the implementation of a portfolio of measures. This paper quantifies the potentials of energy efficiency technologies and CO2 capture and storage (CCS) for seven Dutch industry sectors between 2008 and 2040. Economically viable energy efficiency technologies offer carbon dioxide (CO2) emission reduction potentials of 25 ± 8% in 2040 compared to 1990 levels. Economically viable CCS options can raise the industry’s total emission reductions to 39–47%. These potentials require abatement costs above 90 D (Euro) per tonne CO2, but they are still not sufficient to reach European Union’s long term emission reduction plans. While economically viable potentials of improving energy efficiency may exist in all sectors (energy efficiency improvements of 2% per annum (p.a.)), attractive CCS potentials exist in the fertilizer, basic metal and refinery sectors with abatement costs estimated at 25–120 D /t CO2 for 2040. Implementing CCS in these sectors would reduce total industry’s primary energy efficiency improvement rates from 2% to 1.6% p.a. and would increase total industrial energy use by at least 10%. Reaching higher emission reductions in the Dutch industry will require the implementation of a portfolio of measures including energy and materials efficiency, renewables and CCS.

The diffusion of cost-effective energy-efficiency measures (EEMs) in firms is often surprisingly slow. This phenomenon is usually attributed to a variety of barriers which have been the focus of numerous studies over the last two decades. However, many studies treat EEMs homogenously and assume they have few inherent differences apart from their profitability. We argue that complementing such analyses by considering the characteristics of EEMs in a structured manner can enhance the understanding of EEM adoption. For this purpose, we suggest a classification scheme for EEMs in industry which aims to provide a better understanding of their adoption by industrial firms and to assist in selecting and designing energy-efficiency policies. The suggested classification scheme is derived from the literature on the adoption of EEMs and the related fields including the diffusion of innovations, eco-innovations and advanced manufacturing technology. Our proposed scheme includes 12 characteristics based on the relative advantage, the technical and the information context of the EEM. Applying this classification scheme to six example EEMs demonstrates that it can help to systematically explain why certain EEMs diffuse faster than others. Furthermore, it provides a basis for identifying policies able to increase the rate of adoption.

There are large differences between paper mills in, e.g. feedstock use and grades produced, but typical processes are similar in all mills. The aim of this study is to benchmark the specific energy consumption (SEC) of similar processes within different paper mills in order to identify energy improvement potentials at process level. We have defined improvement potentials as measures that can be taken at mill/ process level under assumed fixed inputs and outputs. We were able to use industrial data on detailed process level, and we conducted energy benchmarking comparisons in 23 Dutch paper mills. We calculated average SECs per process step for different paper grades, and we were able to identify ranges in SECs between mills producing the same grade. We found significant opportunities for energy efficiency improvement in the wire and press section as well as in the drying section. The total energy improvement potential based on identified best practices in these sections was estimated at 5.4 PJ (or 15 % of the total primary energy use in the selected mills). Energy use in the other processes was found to be too dependent on quality and product specifications to be able to quantify improvement potentials. Our results emphasise that even a benchmark on detailed process level does not lead to clear estimations of energy improvement potentials without accounting for structural effects and without having a decent understanding of the process.

Despite past energy efficiency improvements and decarbonization efforts, the industrial sector is still responsible for 40% of global energy consumption and more than 43% of global CO2 emissions. It is shown that the role of energy efficiency in combination with increased recycling will be key in reducing industrial energy demand, achieving reductions of approximately one quarter by 2050. But how is the industrial sector represented in most long-term energy models, models widely used for policy assessment and for evaluating different decarbonization pathways? Not in adequate detail, as it is found that very few models capture industrial details while many represent the industrial sector as a whole. But even the more industry detailed energy models could profit by adding knowledge on key areas from bottom-up industry analysis and material flow analysis and improve their projections. Improvements assessed include the energy efficiency and material efficiency options, industry inter-linkages, and change in the approaches used for material demand projections. Results have pointed that i) cost-effective energy efficiency measures do exist, but they are commonly overlooked by models, ii) policies in one sector impact the CO2 emissions in another sector (e.g., the facing out of coal-fired power plants will limit the generation of by-products used for CO2 reduction in the cement industry) and, iii) demand projections can be drastically different when results from material flow analysis are used instead of the simplified and widely used approach of relating historical trends between economic activity and consumption levels.

Moving to a sustainable industry and weaning electricity supply off coal are critical to mitigate ambient air pollution and climate change. This is particularly true in China which is globally the largest manufacturer and relies heavily on coal-fired electricity. Three key knowledge gaps are relevant in this thesis: 1) how much electricity can saved in China’s industries; 2) what is the potential impact of industrial electricity savings on the evolution of electricity supply systems among different power grids; and 3) what is the relationship between electricity use, energy efficiency investments, GHG and air pollution emissions, on various spatial scales. Given the identified knowledge gaps, the objective of this thesis is to conduct an in-depth analysis of electricity saving potentials and cost-benefits of emission mitigation due to scaling up energy efficiency in industries. Our research targets industrial electric efficiency improvements in China, where electricity supply heavily depends on a coal-fired power plant fleet and faces multiple challenges to a sustainable future. Our research presents that improving energy efficiency in industry can help reshape electricity systems to combat global warming and air pollution cost-effectively, not only in China but for the countries where electricity use is likewise dominated by industry and heavily dependent on coal-based electricity, such as India, Germany, Poland, The Netherlands, and South Africa. We suggest that national policymakers who aim to co-control air pollutants and carbon emissions through decreasing the dependency on coal-intensive electricity need to recognize the importance of concurrent efforts to improve demand-side electricity use efficiency.