Anticipated advances in electricity efficiency

Whereas fuel efficiency has improved substantially during the last two decades in all final energy sectors, electricity intensity has stagnated or even increased in the industries of most OECD countries. The development of industrial electricity efficiency in several major OECD economies over the past decade, however, gives credit to the hypothesis that this trend is coming to an end. The paper illustrates that a high technical and economic potential exists in many industrial sectors for improving electricity effiency despite the undeniable efforts of industry over two decades to improve electricity-intensive processes. The paper points to existing obstacles that hinder the full use of economic saving potentials. On the basis of these facts the authors discuss policy options for local and State Governments as well as for industrial associations, utilities and consultants.