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1 The Krakow Declaration for an EU Initiative for Energy Efficiency in Industry

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3 Preamble The 21 st International Conference of Efficiency, Cost, Optimisation, Simulation and Environmental Impact of Energy Systems (ECOS), in Krakow, June , identified the following important issues: Combating climate change and ensuring sufficient energy supply for the development of all nations requires important political actions as well as the coordination of the research, development and implementation of new technologies. To simultaneously meet both objectives each region in the world needs to act according to its capabilities, responsibilities and resources. No matter what energy resources are used, there is common need for developing new energy efficiency techniques and more intense actions should be expected in those sectors where there are the greatest energy savings potentials. Therefore, industry and especially the more energy intensive industries are good candidates for actions and deserve greater energy policy consideration. As an example of commit to these objectives in Europe, the European Union (EU) Energy Action Plan aims to save the EU 20% primary energy consumption by Industry accounts for 28% of the energy consumed in the EU-27 and is targeted to save 27% (the European targets).

4 There are various obstacles to success such as: l l l There is no one solution fits all : industry is heterogeneous, using a wide range of raw materials to produce a vast panorama of intermediate materials and final products. This, combined with a broad spectrum of energy-efficient equipment, techniques and processes available or in development, makes identifying common needs and capacities for improvement difficult. Energy efficiency measures are horizontal' and no industrial sectors can be identified as the developers' of the required technologies (unlike carbon capture, smart grids, etc). Industry requires processes that are reliable in volume, quality and price, and changing processes can incur hidden costs in unplanned production losses, which leads to caution when changing, particularly to new techniques. There are good reasons to believe that resolving these challenges will not only meet the targeted objectives, but exceed them. Over the last 20 years advanced techniques have appeared for optimizing, synthesizing, diagnosing and integrating energy systems. These techniques are part of thermoeconomics, which combines thermodynamics and economics for the analysis of large and complex energy systems such as power plants, polygeneration systems, chemical plants, as well as combinations of these which can be merged into eco-industrial parks. At the same time, high-efficiency equipment has appeared, enabled by new materials and designs. 2

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6 These advanced techniques and technologies are not only suitable for new build' plants, but are equally suited to renovating, refurbishing and re-powering existing plants and processes. They are also applicable to many smaller industries, as well as larger commercial and public service buildings, with heating, cooling and power systems. The majority of sites are generally not large enough to be considered under (or are excluded from) the carbon trading scheme, and are not viable for carbon capture. Energy efficiency is therefore their only viable and economic option to decrease greenhouse gas emissions. The development and implementation of these new energy efficiency techniques would not only enable energy and carbon emission targets to be met and exceeded (such as the European targets), but would be invaluable for developing manufacturing industry, engineering supply companies and energy efficiency services. This would have a major impact on profitability and growth for companies, developing and securing quality jobs and other social objectives, such as sustainability (both in production and communities). Such development can help improve energy efficiency worldwide and especially in developing countries, enabling them to meet international commitments. Development of energy efficiency would catalyse industry efforts to contribute to the strategic objectives of fighting climate change, ensuring security of energy supply and achieving sustainable economic and social development. 4

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8 The Declaration The ECOS group confirm that although a significant amount of the basic knowledge to provide the energy efficient technologies and equipment required has been developed, there is still some way to go in research, development and application to improve energy efficiency in process industries. The development of a high level of energy efficiency in industry can be accelerated through four objectives:

9 l l l Processes: develop energy efficiency techniques for those processes and activities identified as priorities for increasing energy efficiency. Products (of equipment manufacturers): assist equipment manufacturers to apply advanced techniques to produce equipment and technologies that improve the energy efficiency of the end-user industries (energy per unit produced). Procedures: develop standardised systems for precise energy and CO 2 accounting; develop enterprises for energy auditing, measurement and accreditation, as well as for systems and instrumentation for monitoring and control. l Promotion: impartial dissemination of information on energy efficiency techniques and achieved savings, as well as strategies for knowledge transfer, specific training and education.

10 The highest levels of energy efficiency can only be achieved by taking an integrated approach to the production system and considering it not only as a whole, but also as an organic part of its surrounding systems of other industries and businesses, housing, public services and environment, and exchanging energy and materials with them. Implementation at a European level requires the encouragement and development of an energy efficiency community of scientists and engineers in industry, technology suppliers and academia, industrial managers, other professionals, manufacturers (including SMES), governments, the European Commission and NGOs who share a common vision of meeting or exceeding energy efficiency objectives. l promote cooperation and industrial energy efficiency on a horizontal basis, l devise a technology road map for research, development and implementation l advise on the development of innovation and skills for energy and energy efficiency l strengthen the capacity to attract additional EU and Member State support l leverage further existing funds and resources, and l assist the impartial dissemination of information on energy efficiency techniques and achieved savings, especially to SMEs, as well as strategies for knowledge transfer. 8

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12 As a priority, the energy efficiency community should be initiated as a cost-effective contact network of interested parties and potential collaborators. To enable and sustain the development of energy efficiency in industry, energy efficiency policy for Europe needs to be clarified and developed to integrate with: l Other policies (such as other energy policies, innovation, waste, water, development and spatial planning). l Member State initiatives and market-based initiatives to provide a clear and strong EU wide lead in legislation (such as binding energy efficiency targets), enforcement, resourcing (such as by the European Commission and the European Investment Bank) and research and implementation such as through pilot and demonstration projects. The ECOS group therefore proposes these measures and invites all interested persons and parties to join them in signing. 10

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14 Contact

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