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 € (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 €/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.

This paper focuses on an area that has been neglected in energy analysis: the non-energy intensive industries. Using data at the 3-digit level for the Dutch manufacturing industry, we analyzed the performance of the sector with respect to its energy intensity, value added, value of production and energy costs. We found that energy consumption has increased by 30% between 1988 and 1999 while there has not been a decrease on energy intensity. A decomposition analysis was performed in order to separate structural, production and intensity effects. We found that structural changes played a minor role and that in fact, intensity effects added further energy requirements to those induced by output growth. The results of our study highlight the need for policy-makers and scientists to increase their attention to the non-energy intensive sector and encourage industries in these sectors to adopt energy-efficient technologies and management practices.