Fuel Use and Distribution in Ireland
LIEN – Reporting Energy & CO2 Emissions for
Carbon Tax and Emissions Trading.
Fuel Use & Distribution
• Where does Industry fit in the overall energy picture
• Industry’s fuel mix
• Industry CO2
• Carbon Tax
• Profile of Industrial Energy Consumption
• Competitiveness and Energy
• Industrial economic activity and energy consumption
Index of GDP, TPER &
Energy Related CO2
220
200
Index 1990 = 100
180
160
140
120
100
1990
1991
1992
GDP (CSO)
1993
1994
1995
TPER
1996
1997
1998
1999
2000
Energy CO2 (EPA)
2001
Total Primary Energy
Requirement by Fuel Type
16
14
12
Mtoe
10
8
6
4
2
0
1990
1992
Coal
1994
Peat
1996
Oil
Gas
1998
Hydro
2000
Other RE
Total Primary Energy
Requirement by Sector
16
14
12
Mtoe
10
8
6
4
2
0
1990
1991
Industry
1992
1993
Transport
1994
1995
Residential
1996
1997
1998
Commercial / Public
1999
2000
Agriculture
2001
Energy Import Dependency
90%
85%
Import Dependency
80%
75%
70%
65%
60%
55%
50%
45%
1990
1991
1992
1993
1994
Ireland
1995
1996
1997
EU-15
1998
1999
2000
2001
Total Final Consmption of
Energy by Fuel Type
12
10
Mtoe
8
6
4
2
0
1990
1992
Coal
1994
Peat
1996
Oil
Gas
1998
Electricity
2000
Biomass
Total Final Consmption of
Energy by Sector
12
10
Mtoe
8
6
4
2
0
1990
1992
Industry
1994
Transport
1996
Residential
1998
Commercial
2000
Agricultural
Electricity Primary Fuel Mix
6.0
5.0
Mtoe
4.0
3.0
2.0
1.0
0.0
1990
1991
Coal
1992
1993
Peat
1994
Fueloil
1995
1996
Gasoil
1997
Gas
1998
Hydro
1999
2000
Other RE
2001
Greenhouse Emissions by
Source, 1990 & 2001
Land Use
Change &
Forestry
0%
1990
Waste
3%
Waste
2%
Land Use Change
& Forestry
1%
Agriculture
34%
Agriculture
27%
Solvent & Other
Product Use
0%
Industrial
Processes
6%
2001
Solvent & Other
Product Use
0%
Energy
57%
Industrial
Processes
5%
Energy
65%
Energy Related CO2 by Sector
– includes primary electricity CO2
45
40
35
30
Mt CO2
25
20
15
10
5
0
1990
1991
Industry
1992
1993
Transport
1994
1995
1996
Residential
1997
1998
Commercial
1999
2000
Agriculture
2001
Industry Energy by Fuel
2.5
2.0
Mtoe
1.5
1.0
0.5
0.0
1990
1991
Coal
1992
Peat
1993
1994
Briquettes
1995
1996
Oil
1997
Gas
1998
Renewables
1999
2000
Electricity
2001
Industry CO2
12
10
Mt CO2
8
6
4
2
0
1990
Coal
1991
1992
Kerosene
1993
Fueloil
1994
1995
LPG
1996
Gasoil
1997
1998
1999
Natural Gas
2000
2001
Electricity
Profile of Industrial Energy
Consumption
• Pareto principle states that;
• A vital few of the factors are responsible for the
bulk of the effects
• 80/20 rule
• 80% of the effects are caused by 20% of the
factors
• It has long been assumed that the bulk of energy
consumption in Industry was by a small number of
enterprises.
Profile of Industrial Energy
Consumption
100
90
80
% of Energy Consumption
70
60
50
40
30
20
10
0
0
10
20
30
40
50
60
70
80
90
% of Enterprises
Total
Electricity
Fuel
100
CO2 Factors
TJ/ktoe
Coal
Peat
Briquettes
Gasoline
Kerosene
Fueloil
LPG
Gasoil
Gas
Source: EPA
Carbon Factor
t C/TJ
t CO2/TJ kg CO2/TJ kg CO2/MJ kg CO2/kWh
41.87
24.60
90.20
90200
90.20
324.72
41.87
29.57
108.42
108423
108.42
390.32
41.87
29.57
108.42
108423
108.42
390.32
41.87
18.90
69.30
69300
69.30
249.48
41.87
19.47
71.39
71390
71.39
257.00
41.87
20.73
76.01
76010
76.01
273.64
41.87
17.37
63.69
63690
63.69
229.28
41.87
19.99
73.30
73297
73.30
263.87
41.87
14.98
54.93
54927
54.93
197.74
Electricity CO2
(kg CO2/kWh)
0.95
0.9
kg CO2/kWh
0.85
0.8
0.75
0.7
0.65
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
Carbon Tax
• Taking an indicative tax of €10/tonne CO2;
•
This equates to 1c/kg CO2
• Therefore a fuel that produces say 0.2kg CO2/kWh
will incur a tax of 0.2c/kWh
• Variations on the €10/tonne can be easily calculated
from this.
Carbon Tax
Carbon Tax Rates
Coal
Peat
Briquettes
Gasoline
Kerosene
Fueloil
LPG
Gasoil
Gas
Electricity
€10/tonne €15/tonne €20/tonne €25/tonne
c/kWh
c/kWh
c/kWh
c/kWh
kg CO2/kWh
€5/tonne
c/kWh
0.325
0.162
0.325
0.487
0.649
0.812
0.390
0.195
0.390
0.585
0.781
0.976
0.390
0.195
0.390
0.585
0.781
0.976
0.249
0.125
0.249
0.374
0.499
0.624
0.257
0.129
0.257
0.386
0.514
0.643
0.274
0.137
0.274
0.410
0.547
0.684
0.229
0.115
0.229
0.344
0.459
0.573
0.264
0.132
0.264
0.396
0.528
0.660
0.198
0.099
0.198
0.297
0.395
0.494
0.774
0.387
0.774
1.161
1.548
1.935
Cost Competitiveness
• Energy Productivity
• How much wealth can be created for a given
amount of energy?
• How do we compare on price paid for energy?
• What proportion of manufacturing costs is accounted
for by expenditure on energy?
Primary Energy Intensity
0.25
0.2
kgoe/€95
0.15
0.1
0.05
0
1990
1991
1992
1993
Primary Intensity
1994
1995
1996
1997
1998
EU Primary Intensity
1999
2000
Final Energy Intensity
Structural Effect
0.18
0.17
kgoe/€95
0.16
0.15
0.14
0.13
0.12
1990
1991
1992
Total Intensity
1993
1994
1995
1996
1997
1998
1999
2000
Intensity at 1990 sectoral intensity
Electricity Prices to Industry
7
c/kWh (excise taxes included)
6
5
4
3
2
1
0
1990
1991
1992
1993
1994
Ireland
1995
1996
1997
EU Average
1998
1999
2000
Fuel Oil Prices to Industry
250
€/tonne (excise taxes included)
200
150
100
50
0
1990
1991
1992
1993
1994
Ireland
1995
1996
1997
1998
EU Average
1999
2000
2001
Industry Expenditure on
Energy 1990 vs 1998 (1990 prices)
160
140
€million (1990 prices)
120
100
1990
1998
80
60
40
20
0
Mining,
quarrying and
turf
Metals and
engineering
Manufacture of
Chemicals
Food, drink and Textile industry
non-metallic
(including mantobacco
mineral products made fibres)
Timber and
wooden
furniture
industries
Paper and paper
products
Miscellaneous
industries
Industry Expenditure on
Energy 1998
€147.0m
140
Total:
€582 million
Fuel:
€205 million
Electricity: €377 million
120
Fuel
Electricity
€ (millions)
100
€90.5m
€73.8m
80
€66.4m
60
€48.1m
40
€34.1m
€15.6m
20
€18.8m
€23.4m
€24.5m
€16.3m
€16.0m
€7.9m
0
Mining and
quarrying
Manufacture Manufacture Manufacture Manufacture Manufacture Manufacture Manufacture Manufacture Manufacture Manufacture
of food
of textiles and of wood and of pulp, paper of chemicals, of rubber and of other nonof basic
of machinery of electrical
products;
textile
wood
and paper
chemical
plastic
metallic
metals and
and
and optical
beverages and products
products
products;
products and
products
mineral
fabricated
equipment
equipment
tobacco
publishing
man-made
products
metal
n.e.c.
and printing
fibres
products
Manufacture Manufacturing
of transport
n.e.c.
equipment
Industrial Energy
Consumption 1998
700
635
600
Total: 2,159ktoe
500
400
ktoe
341
300
250
200
235
190
100
190
58
41
60
55
46
19
38
0
Mining and
quarrying
Manufacture Manufacture Manufacture Manufacture Manufacture Manufacture Manufacture Manufacture Manufacture
of food
of textiles and of wood and of pulp, paper of chemicals, of rubber and of other non- of basic metals of machinery
products;
textile
wood
and paper
chemical
plastic
metallic
and fabricated
and
beverages and
products
products
products;
products and
products
mineral
metal
equipment
tobacco
publishing
man-made
products
products
n.e.c.
and printing
fibres
Manufacture
of electrical
and optical
equipment
Manufacture Manufacturing
of transport
n.e.c.
equipment
Industry CO2 1998 (Mt CO2)
3
Total:
10.03 Mt CO2
Fuel:
4.39 Mt CO2
Electricity: 5.64 Mt CO2
2.5
Fuel
Electricity
1.24
2
1.5
0.50
1
0.91
1.47
0.77
0.44
0.37
0.5
0.89
0.43
0
Mining and
quarrying
0.18
0.13
0.25
0.05
0.22
0.09
0.43
0.32
0.06
0.40
0.16
0.06
0.30
0.09
0.03
0.20
0.05
Manufacture of Manufacture of Manufacture of Manufacture of Manufacture of Manufacture of Manufacture of Manufacture of Manufacture of Manufacture of Manufacture of Manufacturing
food products; textiles and
wood and
pulp, paper
chemicals,
rubber and
other nonbasic metals machinery and electrical and
transport
n.e.c.
beverages and textile products wood products and paper
chemical
plastic
metallic
and fabricated
equipment
optical
equipment
tobacco
products;
products and
products
mineral
metal products
n.e.c.
equipment
publishing and man-made
products
printing
fibres
€Billions
Industry Gross Value-added
1998
9
8.04
8
Total Industry Value Added: €22 billion
7
6
5
4.47
3.99
4
3
1.97
2
1
0.26
0.41
0.17
0.45
0.57
0.56
0.64
0.33
0.56
0
Mining and
quarrying
Manufacture Manufacture Manufacture Manufacture
of food
of textiles and of wood and of pulp, paper
products;
textile
wood
and paper
beverages and products
products
products;
tobacco
publishing
and printing
Manufacture Manufacture Manufacture Manufacture Manufacture Manufacture Manufacture Manufacturing
of chemicals, of rubber and of other nonof basic
of machinery of electrical of transport
n.e.c.
chemical
plastic
metallic
metals and
and
and optical equipment
products and products
mineral
fabricated
equipment
equipment
man-made
products
metal
n.e.c.
fibres
products
Expenditure on Energy as %
of Gross Value Added
14%
12%
10%
8%
6%
4%
2%
0%
Mining and
quarrying
Manufacture Manufacture Manufacture Manufacture Manufacture Manufacture Manufacture Manufacture Manufacture Manufacture Manufacture Manufacturing
of food
of textiles and of wood and of pulp, paper of chemicals, of rubber and of other nonof basic
of machinery of electrical
of transport
n.e.c.
products;
textile
wood
and paper
chemical
plastic
metallic
metals and
and
and optical
equipment
beverages and products
products
products;
products and
products
mineral
fabricated
equipment
equipment
tobacco
publishing
man-made
products
metal
n.e.c.
and printing
fibres
products
Ratio of Energy Expenditure
to “Direct Costs”
• 97% of Industrial Enterprises have an energy to
“costs” ratio of less than or equal to 4%
• This accounts for 67.3% of Industry energy CO2
(primary basis)
• 99.6% of Industrial Enterprises have a ratio of 10%
•
Accounting for 80.5% of industry energy CO2
• 19 enterprises have ratios between 10% and 60%
•
19.5% of industry energy CO2
Conclusion
• Industry value-added grew by approx. 170% between
1990 and 2000
• Industry energy consumption grew by 31% in the
same period
• Energy intensity fell by 3.7%/annum on average over
the period
• Reduction in energy intensity cannot all be attributed
to efficiency gains
• Energy intensive sectors are most sensitive to energy
price change (carbon tax)
Fuel Use and Distribution in Ireland
LIEN – Reporting Energy & CO2 Emissions for
Carbon Tax and Emissions Trading.
Thank you