The manufacturing industry consumes roughly one-third of all energy used in the U.S. economy, according to the Department of Energy (DOE). The DOE notes, however, that as the cost of energy rises, the manufacturing industry becomes more efficient at using it. This is no surprise – manufacturers have much to gain by becoming more efficient; lower energy use reduces harmful emissions and reduces overall waste, but it also decreases costs for manufacturers, making them better able to compete.    

“Energy efficiency is key to reducing energy cost inputs and to stretching available energy supplies,” says the National Association of Manufacturers (NAM). “Accordingly, manufacturing is becoming more energy efficient [at twice the rate of the rest of the economy per unit of GDP] and producing more energy-efficient consumer products almost entirely without government mandates.”   

For many years, the manufacturing industry has been working with public agencies to help individual manufacturers become more efficient. The EPA’s Energy Star program, for example, works with manufacturers to:

• Guide energy management program development;
• Find providers of energy-efficient services and products;
• Gain access to energy-efficient products; and
• Develop education, training and communication campaigns.
  

NAM and the DOE also created the Industrial Technologies Program (ITP), which is dedicated to improving industrial energy efficiency and environmental performance. ITP works with industry to save energy and money, increase productivity and reduce environmental impacts by:

• Conducting R&D on new energy-efficient technologies,
• Supporting commercialization of emerging technologies, 
• Providing plants with access to proven technologies, energy assessments and software tools, and
• Promoting energy and carbon management in industry.
  

For example, in November 2009, ITP awarded more than $155 million in American Recovery and Reinvestment Act funds to 41 industrial energy efficiency projects across the country. The nine largest projects, totaling $150 million and leveraged with $634 million in private industry support, will promote the use of combined heat and power, district energy systems, waste energy recovery systems, and energy efficiency initiatives in hospitals, utilities and industrial sites.    

Additionally, through its Save Energy Now program, ITP provides plant energy assessments and technical assistance to energy-intensive industrial facilities. Its goal is to drive a reduction of 25 percent or more in industrial energy intensity in 10 years. Since Save Energy Now’s inception in 2006, more than 2,300 assessments have been completed.    

Although many manufacturers have taken major steps on their own to use energy more efficiently, government mandates are being developed. It is important for manufacturers to do as much as they can now, so they don’t have to catch up once major regulations are in place. Not only is it important for manufacturers to look ahead at how their operations can be come more efficient in their energy use, but they also should determine what sources of energy will most benefit their operations.