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Technological change or process innovation – An empirical study of implemented energy efficiency measures from a Swedish industrial voluntary agreements program

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  • Paramonova, Svetlana
  • Nehler, Therese
  • Thollander, Patrik

Abstract

The implementation of energy efficiency measures (EEMs) is the primary means of improving industrial energy efficiency (IEE). Almost 69% of industrial electricity use emanates from motor systems. IEE has traditionally been explained with technology-diffusion models. According to these models, increased diffusion of more effective motors and drives onto the market leads to improved efficiency. Electric motor systems are represented by three levels: electric motor, core motor system, and total motor system. The first and second levels are related to stand-alone technology measures while the third has a more operational character. Based on a unique dataset of implemented energy-efficiency motor system measures from the 100 most electricity-intensive industrial companies in Sweden, the aim of this paper is to study whether technology diffusion is a valid model for understanding improved energy efficiency in electricity-intensive industries. Results show that 59% of the implemented EEMs from the dataset go beyond technology diffusion models, implying a need for revised models to understand how energy efficiency and technology diffusion occur in energy-intensive industry.

Suggested Citation

  • Paramonova, Svetlana & Nehler, Therese & Thollander, Patrik, 2021. "Technological change or process innovation – An empirical study of implemented energy efficiency measures from a Swedish industrial voluntary agreements program," Energy Policy, Elsevier, vol. 156(C).
    • Handle: RePEc:eee:enepol:v:156:y:2021:i:c:s0301421521003037
    DOI: 10.1016/j.enpol.2021.112433
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