TodayApril 17, 2022

Industrial Energy Efficiency and Emissions

From the International Energy Agency (IEA)

Paris, 25 June 2007

New Comprehensive Overview of World Industrial Energy Efficiency and CO2 Intensity “Manufacturing industries in OECD countries have made great progress in energy efficiency during the last 25 years, but important opportunities to reduce emissions remain,” said Claude Mandil, Executive Director of the Paris-based International Energy Agency (IEA), today at the launch of a new publication that contributes to the G8 “Plan of Action for Climate Change, Clean Energy and Sustainable development”.

Tracking Industrial Energy Efficiency and CO2 Emissions shows that efficiencies differ widely between countries producing similar products and using similar processes, which is a clear indication of the potential for further efficiency gains. This finding is of global significance as the manufacturing industry accounts for 36% of world CO2 emissions.

“Good information and analyses of trends in energy and emissions “ or indicators — are vita,” Claude Mandil said. This study elaborates on a set of powerful new indicators that look at energy use per unit of a physical product. This approach has been developed in close collaboration with industry experts.

Much of the efficiency differences that have been identified can be attributed to the age of plants. New plants tend to be more efficient than older ones. As a consequence, the most efficient industries can in some cases be found in emerging economies where production is expanding. For example, the most efficient aluminum smelters are in Africa, and Brazil is among the most efficient cement producers. Similarly, some of the most efficient steel plants can be found in China. Industrial energy efficiency is consistently high in certain IEA member countries such as Japan, which has had active efficiency policies for decades.

Another notable finding is that China accounts for four-fifths of the growth in industrial production and CO2 emissions during the past 25 years. China is now the single largest industrial producer of a wide range of energy-intensive industrial commodities such as aluminum, ammonia, cement, and steel. The rapid growth of production in less efficient developing countries has limited the average
efficiency gains worldwide. “Improving industrial energy efficiency is an approach that can help developing countries in their economic growth and contribute to a significant global greenhouse gas reduction”, noted Claude Mandil.

We know a lot about the efficiency of specific industrial processes, but much less about the overall energy efficiency of conventional factory systems and product life cycles. This includes motor and steam systems, combined heat and power generation and the efficiency of materials and resource use.

The analysis identifies an even greater potential for energy savings in these areas. This offers important additional opportunities for decision-makers to reduce the energy and CO2 footprint.

The study suggests a technical efficiency improvement potential of 18-26% for the whole manufacturing industry if process improvement options and systems options are taken into account. As this estimate does not consider the potential role of new technologies, the impact could be much larger. “The potential is so large that more efforts are warranted, in order to achieve deep CO2
emission reductions, reduce fossil fuel dependence and increase industrial competitiveness.” concluded Claude Mandil.

Lou Ann Hammond

Lou Ann Hammond is the CEO of Carlist and Driving the Nation. She is the co-host of Real Wheels Washington Post carchat every Friday morning and is the Automotive, energy correspondent for The John Batchelor Show and a Contributor to Automotive Electronics magazine headquartered in Korea. Hammond is a founding member of the Women's World Car of the Year #WWCOTY, and board member of the Women in Automotive.

Leave a Reply

Your email address will not be published.