FRANKFURT (Oct 24): Global industry could save around US$437 billion (RM2 trillion) a year from 2030 via energy efficiency savings and could also achieve big reductions in carbon emissions, a study showed.
The report by the Energy Efficiency Movement, an industry collective, which has Switzerland's ABB, Germany's DHL Group, Sweden's Alfa Laval and Microsoft among its members, said four gigatonnes of carbon emissions could be saved by 2030 each year — if companies doubled down on efficiency measures.
That would be the equivalent of taking 60% of the world's internal combustion vehicles off the roads, the report, seen by Reuters, said.
Companies could undertake regular energy audits, review the ideal size of industrial assets, connect sites and machines to reap energy synergies and use more efficient engines, the report said.
"Ahead of COP28, it is important to demonstrate that there are mature and concrete technology solutions readily available to address the global warming issues we are facing," said ABB executive committee member Tarak Mehta.
The COP28 climate conference will take place later this year.
"Since renewables can only provide a part of the answer, the critical role energy efficiency plays in accelerating the energy transition toward reaching net-zero emissions by 2050 is undeniable."
Industry, including makers of cement, steel and chemicals, use some of the most polluting production techniques, and are faced with the costly process to decarbonise to meet climate goals as well as staying competitive.
Last week, the US Energy Information Administration (EIA) said global energy consumption will likely increase through 2050 and outpace advances in energy efficiency, boosted by population growth and higher living standards, among other factors.
Non-fossil fuel-based resources, including renewables, will produce more energy through 2050, but that growth is not likely to be enough to reduce global energy-related CO2 emissions, it said.