EIA Energy Manage

EIA Predicts Industrial Sector Energy Use Grows 28% by 2040

EIA Energy ManageThe US Energy Information Administration’s Annual Energy Outlook 2014 (AEO2014) predicts that total delivered energy consumption in the industrial sector will increase by 28 percent from 2012 to 2040.

Much of the growth is projected from natural gas use, which accounts for 34 percent of the total increase in energy consumption from 2012 to 2025 and 59 percent of the increase from 2025 to 2040, as a result of relatively low natural gas prices from steady increases in domestic natural gas production through 2040. The mix of industrial energy sources stays relatively constant, reflecting limited remaining capability for switching from other fuels to natural gas in most industries.

AEO2014 projects renewable fuel consumption in the industrial sector to increases by 53 percent from 2012 to 2040, although as a percentage of total energy consumption, renewable fuels remain small, at 10 percent of total energy consumption in 2040. The paper industry remains the predominant user of renewable energy, accounting for roughly 66 percent of the energy consumed for heat and power in that industry.

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