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Investments to reduce energy use in manufacturing also reduce emissions

Ottawa, ON -- Canada's manufacturing sector reported capital spending of nearly $306 million on energy-related...


Ottawa, ON — Canada’s manufacturing sector reported capital spending of nearly $306 million on energy-related processes and technologies in 2006, Statistics Canada reported in a study released Dec. 9, 2009. These either reduced the amount of energy used for a process, or lowered the amount of greenhouse gas emissions and air pollutants produced through the production and use of energy.

 

The largest capital investment in such technologies was made by the paper manufacturing industry. This industry spent $69.5 million, which accounted for 5.6% of its total capital investment, compared with 1.8% for the sector as a whole.

 

In 2006, the paper manufacturing industry was also one of the most energy-intensive industries within the manufacturing sector. It used 62 terajoules of energy for every million dollars of gross domestic product (GDP) it produced, the second highest in the sector.

 

The wood products manufacturing industry reported the second largest capital spending, $59.5 million, on energy-related processes and technologies, which represented 5.0% of its total capital investment. However, this industry was much less energy-intensive. It used 11 terajoules for every million dollars of GDP, less than one-fifth the energy intensity of the paper manufacturing industry.

 

By far, the most energy-intensive industry in the manufacturing sector was the petroleum and coal products manufacturing industry. It had an energy intensity three times higher than the paper manufacturing industry. In 2006, it reported capital spending of $33.6 million on energy-related processes and technologies, 1.4% of its total capital investment.

 

In the entire manufacturing sector, almost a quarter of establishments used an energy-related process or technology in 2006. The most widely reported included the use of waste energy recovery technologies, energy management or monitoring systems and the implementation of an energy audit.

 

Overall, 46% of establishments in energy-intensive industries used an energy-related process or technology, compared with just under 20% in non-energy-intensive industries. Energy-intensive industries tended to use several different energy-related processes or technologies. Over 20% of each of these industries used more than two energy-related processes or technologies. In particular, over 12% of the paper manufacturing industry used five or more technologies.

 

Renewable energy technologies were not frequently reported by the manufacturing sector as a whole. However, a higher proportion of establishments in the paper manufacturing and in the wood products industry reported the use of biomass energy technologies.

 

Note: Energy-related processes or technologies are those that either reduce the amount of energy used for a process, or reduce the amount of greenhouse gas emissions and air pollutants produced through the production and use of energy. The primary data source for this article was the 2006 Survey of Environmental Protection Expenditures. It provided a measure of the expenditures made by Canadian industry for environmental protection in response to or in anticipation of environmental regulations, conventions and voluntary agreements.

 

The article “The Canadian manufacturing industry: Investments and use of energy-related processes or technologies” is available in EnviroStats, Winter 2009, Vol. 3, no. 4 (16-002-X, free), from the Key resource module at www.statcan.gc.ca, under Publications.

 

The article “Ecoregion profile: Lower Mainland of British Columbia” is also available in this issue of EnviroStats.