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Speaking the same language
The way forward in tracking
industrial Energy efficiency and
CO2 Emissions
Marco Mensink
IEA, Paris, 1st and 2nd of October 2007
ICFPA
• The organization of the world's forest and
paper industry associations
• 19 members from all over the world
representing 90% of global pulp and
paper capacity and 50% of woodworking
capacity
• A forum of global dialogue, coordination
and cooperation
• Today speaking for the pulp and paper
industry.
ICFPA and Climate change
• The global forest products industry is strongly
committed to meeting the challenges of climate
change.
• Trees, wood and paper products are uniquely
renewable and recyclable resources that help
reduce greenhouse gasses by storing CO2 from
the atmosphere.
• Fibre from sustainably managed forests makes a
positive contribution to the world’s future energy
supply.
• The industry is committed to innovative energy
solutions that will increase efficiency, reduce
reliance on fossil fuel and expand the use of
renewable energy sources.
The sector in summary
• The global pulp and paper industry consists of
about 5000 pulp and paper mills.
• Although there are many international and
global companies, a large part of the sector is
also made up of medium and smaller
enterprises.
• Pulp and paper are made around the world
and there is an active global trade both in
resources and final products. It is a globally
competing sector.
• Pulp and paper are umbrella words for many
different products and “grades”, from business
to business to direct consumer products.
Pulp Production by Region in 2005
Latin
America
8%
Asia
21%
Rest of
the World
3%
CEPI
Countries
22%
Other
Europe
4%
North
America
42%
Total: 189.0 Million Tonnes
Pulp Consumption by Region in 2005
Latin
America
5%
Asia
28%
Rest of
the World
2%
CEPI
Countries
26%
Other
Europe
3%
North
America
36%
Total: 188.5 Million Tonnes
Paper Production by Region in 2005
Latin
America
5%
Asia
35%
Rest of
the World
2%
CEPI
Countries
27%
Other
Europe
3%
North
America
28%
Total: 367.0 Million Tonnes
Paper Consumption by Region in 2005
Latin
America
6%
Asia
37%
Rest of the
World
3%
CEPI
Countries
24%
Other
Europe
3%
North
America
27%
Total: 366.3 Million Tonnes
Recovered Paper Balance (2005)
80%
Europe *
Collection rate %
70%
North America
60%
Asia
Oceania
50%
40%
Latin America
Eastern Europe
30%
20%
-25000
Africa
Net Exporters
Net Importers
-20000
-15000
-10000
-5000
1000 t
0
5000
10000
15000
20000
*EU27 plus Norway and Switzerland
Recovered Paper Net Trade
Grades: Milady’s Fan
PAPER AND PAPERBOARD PRODUCTION IN
Degree of fossil CO2 emitted
WESTERN EUROPE
during production
High
End products - Substitution
High growth
Medium high
> 3%
Medium growth 1.75 - 3%
Medium low
Low/No growth < 1.75%
Low
Substitution ranges
Newsprint
Other
Total: >70 million tons
Food
Packaging
Sacks
Bags
Misc.
Energy in pulp and paper production
IEA key findings in tracking
• The pulp, paper and printing industry
consumed 6.45 EJ of final energy in
2004, accounting for 5.7% of total
industry energy use. Printing
represents a small share of the
industry's energy demand.
• In pulp and paper production, the
industry generates about half of its
own energy needs from biomass
residues and makes extensive use of
combined heat and power (CHP)
technology,
IEA key findings in tracking (2)
• There are notable differences in energy
use for pulp and paper production
between countries, due to a range of
factors such as product mix, processes
used, plant size, technology, technical
age, feedstock quality, fuel prices and
management attention to energy
efficiency.
IEA key findings in tracking (3)
• Energy efficiency gains can be
achieved if existing mills are retrofitted
with current energy efficient
technology, but investment costs and
competitiveness are key determinants.
• There is potential for more use of heat
recovery. Putting excess heat to use in
a more effective way could provide
savings, but the economic viability
depends on the need for low grade
heat.
IEA key findings in tracking (4)
• Increased paper recycling and
recovered paper use could help
reduce energy consumption in the
industry.
• While Europe, Japan and Korea
appear to be close to the practical
limits for paper recycling, North
America and parts of Asia could
benefit from more effective policies on
waste disposal to encourage higher
On the IEA methodology
• An indicator method is developed in this
study that compares a theoretical sector
energy use if best available technology
(BAT) were applied with actual energy use
according to IEA statistics.
• The method discerns energy use for
mechanical and chemical pulp, pulp from
recovered paper and various paper qualities.
These indicators are suited to identify areas
where further analysis is warranted.
• This indicators analysis raises a number of
issues concerning data quality which
requires further discussion on the availability,
quality and consistency of data across
countries.
But a firm conclusion
• Based on country comparisons, the
remaining energy efficiency potential in the
pulp and paper industry is estimated to be
1.0 EJ per year of final energy, or 1.3 to 1.5
EJ in primary energy terms, depending on
the efficiency for power and steam
generation.
• If higher recycling rates and CHP were also
considered, the total final savings potential
would be 2.1 to 2.4 EJ of final energy per
year.
• ?
Feedback (1)
• IEA has done a tremendous effort and
groundbraking work. Our
compliments.
but
• These seem to be huge and important
conclusions compared to the issues
remaining in the methodology and
data collection.
Speaking the same language
• IEA statistics still do not match the definitions
and categories of the international pulp and
paper industry federations, or for example the
EU ETS.
• A crucial issue is the treatment of CHP in the
statistics. Also printing should be removed, or we
should go down one statistical class.
• We have now worked on global definitions of
energy use in the Pulp and paper industry (IEA
Paprican project), so that industry speaks the
same language.
• But that does not mean the same language as
An outlook to the future
• The global pulp and paper industry
within the forest based sector cluster
can be a solution in climate change
mitigation.
• Carbon storage in forests and carbon
storage in products are, combined
with paper recycling and energy
efficiency, attributes that can take us
there.
• A strong effort is needed, indeed, but
the industry can be the enabler for
Improving performance by technology
• Installing latest technology and
improving efficiency is a continous
target and process.
• The investment climate determines
progress, as the industry depends on
major investments in long investment
cycles.
• The technology race for technologies
like black liquor gassification or
biorefineries is not run yet. Let alone for
CCS.
• The step from lab to demo to full scale
Feedback 2
• Todays workshop with estimates on
tracking industrial emissions and
future scenarios for emissions might
be a bit premature.
• Both methodology and data collection
still need work, before we in turn can
assess the estimates of IEA in a
proper way.
• Also energy data have a clear
competition law element and global
management needs to be organised.
Summary
• We clearly recognise the urgent need
and challenges.
• We need a joint industry and
government approach to jump the
hurdles described.
• But that is not the debate if there will
be CCS by 2015, but on how to bring
5000 companies together in a single
approach.
• We look forward to this debate.