Industrial energy efficiency in light of climate change negotiations

Abstract

In light of the commitments accepted within the Framework Convention on Climate Change there is an increasing need for useful information on energy consumption and energy efficiency. Governments can use this information in designing policies to reduce greenhouse gas emissions and prioritizing energy savings options. International comparisons of energy efficiency can provide a benchmark against which a country's performance can be measured and policies can be evaluated. A methodology for international comparisons of industrial energy efficiency was developed by the International Network on Energy Demand analysis in the Industrial Sector. In this paper this methodology is used to analyze the energy efficiency of two energy-intensive industries in major developing countries. Energy consumption trends are shown for the steel and cement industry and an analysis is made of technologies used. In light of the Byrd-Hagel resolution, which states that the U.S. will not ratify any climate treaty unless it also mandates commitments to limit greenhouse gas emissions for developing countries, the energy efficiency in the two sectors is compared to that of the U.S. The analysis shows that in the iron and steel sector South Korea and Brazil are more energy-efficient than the U.S, while Mexico has achieved a comparable energy efficiency level in recent years. For Cement, South Korea, Brazil and Mexico are the most efficient countries analyzed. In recent years, China, and especially, India appear to have achieved energy efficiency levels, more or less comparable to that of the U.S. In light of data constraints, however, further analysis is required.