Drivers and Barriers for Efficient Energy Management Practices in Energy-Intensive Industries: A Case-Study of Iron and Steel Sector

Abstract

The two major reasons behind the world’s energy crisis are losses in energy transmission and less efficient energy use at sinks. The former flaw can be catered by changing the entire energy transmission system which requires investment and planning on a large scale, whereas the later deficiency can be overcome through proper management of energy utilizing systems. Energy-intensive industries have a substantial share in energy consumption and equally high energy saving potentials if they adopt some integrated and improved energy efficiency. This study investigates the energy management systems in the iron and steel sector of Pakistan, and compare it with findings of similar work in Sweden, Bangladesh, and Ghana. A systematic questionnaire was circulated in the iron and steel sector across the country and afterward the collected data was analyzed to find major barriers and drivers for efficient energy management practices. In addition, questions on non-energy benefits and information sources relevant to the energy efficiency were also part of the questionnaire. Cost reduction resulting from lowered energy use was rated as the most important driver for applying energy-efficient operation. On the other hand, the cost of production disruption was considered among high-level barriers to the implementation of improved energy efficiency. An increase in the life-time of equipment was labeled as the top non-energy benefits. Company peers and seminars/conferences were referred as the best information sources related to energy efficiency. The outcome of the study will be helpful to the decision-maker in the industry, as well as the government levels.