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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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    5. 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).
    6. An, Runying & Yu, Biying & Li, Ru & Wei, Yi-Ming, 2018. "Potential of energy savings and CO2 emission reduction in China’s iron and steel industry," Applied Energy, Elsevier, vol. 226(C), pages 862-880.
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    10. Yu, Biying & Zhao, Zihao & Zhang, Shuai & An, Runying & Chen, Jingming & Li, Ru & Zhao, Guangpu, 2021. "Technological development pathway for a low-carbon primary aluminum industry in China," Technological Forecasting and Social Change, Elsevier, vol. 173(C).
    11. 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.
    12. Li, Ke & Lin, Boqiang, 2015. "Impacts of urbanization and industrialization on energy consumption/CO2 emissions: Does the level of development matter?," Renewable and Sustainable Energy Reviews, Elsevier, vol. 52(C), pages 1107-1122.
    13. 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.
    14. 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.
    15. 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.
    16. Li, Minghui & Liu, Chong & Shen, Chaohai, 2020. "Does cheap electricity in a target's location add value to the acquirer? Evidence from China," Energy Policy, Elsevier, vol. 145(C).
    17. 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).
    18. 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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    20. Dhar, Subash & Pathak, Minal & Shukla, Priyadarshi R., 2020. "Transformation of India's steel and cement industry in a sustainable 1.5 °C world," Energy Policy, Elsevier, vol. 137(C).

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