Moving beyond equipment and to systems optimization: techno-economic analysis of energy efficiency potentials in industrial steam systems in China

The industrial sector dominates China's total energy consumption, accounting for about 70% of primary energy use and 72% of country's CO2 emissions in 2012. On average, industrial steam systems account for around 30% of manufacturing industry energy use worldwide. The goal of this study is to develop and apply a steam system energy efficiency cost curve modeling framework to quantify the energy saving potential and associated costs of implementation of an array of steam system optimization measures on coal-fired boilers and steam systems in China's industrial sector. This study found that total cost-effective (i.e. the cost of saving a unit of energy is lower than purchasing a unit of energy) and technically feasible fuel savings potential in industrial coal-fired steam systems in China in 2012 was 1687 PJ and 2047 PJ, respectively. These account for 23% and 28% of the total fuel used in industrial coal-fired steam systems in China in that year, respectively. The CO2 emission reduction potential associated with the cost-effective and total technical potential is equal to 165.82 MtCO2 and 201.23 MtCO2, respectively. By comparison, the calculated technical fuel saving potential for industrial coal-fired steam systems in China is approximately 9% of the total coal plus coke used in Chinese manufacturing in 2012.