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An outlook into energy consumption in large scale industries in India: The cases of steel, aluminium and cement

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  • Dutta, Monica
  • Mukherjee, Saptarshi

Abstract

All the growth-oriented sectors in a developing economy consume enormous energy in their production processes. Steel, aluminium and cement are the key manufacturing industries in India which provide inputs to various other sectors such as construction, transportation, power transmission, etc. As a result, their demand is consistently rising. These industries are heavily energy-intensive and use raw materials such as iron ore, coal, electricity, steam, and fuel oil, whose supply can act as severe production constraints over a period of time and can hinder sustainable development. Hence it becomes imperative for these industries to continuously innovate more energy efficient techniques. This paper makes a foray into the energy demand for these industries and explores the potential of any future reduction in their energy consumption. The paper offers a projection scenario for 2001-2031 (based on the MARKAL Modeling exercise for India) for possible catching up in reduction in energy consumptions in these sectors under alternative situations. The analysis suggests the existence of some plausible energy efficiency enhancing techniques in these industries. Exploring these options will definitely ensure cost effectiveness and competitiveness of these three key sectors in the global market.

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  • Dutta, Monica & Mukherjee, Saptarshi, 2010. "An outlook into energy consumption in large scale industries in India: The cases of steel, aluminium and cement," Energy Policy, Elsevier, vol. 38(11), pages 7286-7298, November.
    • Handle: RePEc:eee:enepol:v:38:y:2010:i:11:p:7286-7298
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    2. van Ruijven, Bas J. & van Vuuren, Detlef P. & Boskaljon, Willem & Neelis, Maarten L. & Saygin, Deger & Patel, Martin K., 2016. "Long-term model-based projections of energy use and CO2 emissions from the global steel and cement industries," Resources, Conservation & Recycling, Elsevier, vol. 112(C), pages 15-36.
    3. Das, Khanindra Ch. & Mahalik, Mantu Kumar, 2023. "Renewable energy use and export performance of manufacturing firms: Panel evidence from six industries in India," Energy Economics, Elsevier, vol. 125(C).
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    6. Sinha, Rakesh Kumar & Chaturvedi, Nitin Dutt, 2019. "A review on carbon emission reduction in industries and planning emission limits," Renewable and Sustainable Energy Reviews, Elsevier, vol. 114(C), pages 1-1.
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    10. Fodstad, Marte & Crespo del Granado, Pedro & Hellemo, Lars & Knudsen, Brage Rugstad & Pisciella, Paolo & Silvast, Antti & Bordin, Chiara & Schmidt, Sarah & Straus, Julian, 2022. "Next frontiers in energy system modelling: A review on challenges and the state of the art," Renewable and Sustainable Energy Reviews, Elsevier, vol. 160(C).
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    12. Khan Rahmat Ullah & Marudhappan Thirugnanasambandam & Rahman Saidur & Kazi Akikur Rahman & Md. Riaz Kayser, 2021. "Analysis of Energy Use and Energy Savings: A Case Study of a Condiment Industry in India," Energies, MDPI, vol. 14(16), pages 1-25, August.
    13. Thirugnanasambandam, M. & Hasanuzzaman, M. & Saidur, R. & Ali, M.B. & Rajakarunakaran, S. & Devaraj, D. & Rahim, N.A., 2011. "Analysis of electrical motors load factors and energy savings in an Indian cement industry," Energy, Elsevier, vol. 36(7), pages 4307-4314.
    14. Giri, Prashant & Sharma, Tarun, 2024. "Market instrument for the first fuel and its role in decarbonizing Indian industrial production," Energy Policy, Elsevier, vol. 190(C).
    15. Yue, Qiang & Wang, Heming & Gao, Chengkang & Du, Tao & Liu, Liying & Lu, Zhongwu, 2015. "Resources saving and emissions reduction of the aluminum industry in China," Resources, Conservation & Recycling, Elsevier, vol. 104(PA), pages 68-75.
    16. Shen, Angxing & Zhang, Jihong, 2024. "Technologies for CO2 emission reduction and low-carbon development in primary aluminum industry in China: A review," Renewable and Sustainable Energy Reviews, Elsevier, vol. 189(PA).
    17. Sarada Dakua, 2020. "Relevance of Capital Structure in Developing Countries: A Special Focus on India," Journal of Finance and Economics Research, Geist Science, Iqra University, Faculty of Business Administration, vol. 5(1), pages 46-58, March.
    18. Chen, Wenying & Yin, Xiang & Ma, Ding, 2014. "A bottom-up analysis of China’s iron and steel industrial energy consumption and CO2 emissions," Applied Energy, Elsevier, vol. 136(C), pages 1174-1183.
    19. Comodi, G. & Cioccolanti, L. & Gargiulo, M., 2012. "Municipal scale scenario: Analysis of an Italian seaside town with MarkAL-TIMES," Energy Policy, Elsevier, vol. 41(C), pages 303-315.
    20. Riccardi, R. & Oggioni, G. & Toninelli, R., 2012. "Efficiency analysis of world cement industry in presence of undesirable output: Application of data envelopment analysis and directional distance function," Energy Policy, Elsevier, vol. 44(C), pages 140-152.

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