FIGURE 4.1 Total energy use in the U.S. industrial sector in 2004, quadrillion Btu (quads). Values include electricity-related losses. Total U.S. energy use in 2004 was 100.4 quads; total U.S. industrial energy use in 2004 was 33.6 quads.

FIGURE 4.1 Total energy use in the U.S. industrial sector in 2004, quadrillion Btu (quads). Values include electricity-related losses. Total U.S. energy use in 2004 was 100.4 quads; total U.S. industrial energy use in 2004 was 33.6 quads.

Source: Craig Blue, Oak Ridge National Laboratory, based on EIA (2004) (preliminary) and estimates extrapolated from EIA (2002).

Globally, industry is the largest consumer of energy—the energy that it consumes exceeds that devoted to transportation, the residential sector, and commercial buildings combined. According to the International Energy Outlook 2009, the industrial sector worldwide used 51 percent of the total delivered energy (or 50 percent of the primary energy) in the year 2006, and its demand was projected to grow by an annual rate of 1.4 percent between 2006 and 2030 (EIA, 2009a).1 Before 1973, manufacturing was the largest energy consumer in most member countries of the Organisation for Economic Cooperation and Development (OECD), but in recent years its dominance has subsided as industrial output has slowed, energy efficiency has increased, and other sectors have surged ahead (Schipper, 2004). As a result, industrial energy demand in OECD countries was anticipated to grow only 0.6 percent annually. In contrast, industrial-sector energy



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