A Greener Industry Sector

The industry sector is also sensitive to energy substitution as heating requires considerable amounts of energy, which can partially be supplied by renewable energies, essentially biomass. The International Energy Agency (2009) estimates that over 900 Mtoe of biomass energy could be used in the industry sector by 2050 in a high-base scenario (© OECD/IEA, Technology Industry 2009). This would represent an additional substitution of 700 Mtoe of fossil fuels compared to today’s situation.

Regional Perspectives

Eventually, the deployment of renewable energies could lead to fuel switching strategies which would help save up to 2600 Mtoe. This means that up to 20% of the total primary energy demand (based on fossil fuels) could be saved by substituting conventional fuels (used for heating and transportation) with renewable energies.

The primary regions with high transportation and buildings intensity are North America, South America and Europe. Other regions such as China and the rest of Asia Pacific also present strong potential for moving away from conventional fuels in the transportation and buildings sectors, even though the share of the industry sector is stronger in their overall energy mix (Fig. 5.19).

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