Combining IPPC and emission trading: an assessment of energy efficiency and CO2 reduction potentials in the Austrian paper industry

Panel: Panel 7. New economic instruments

Authors:
Otto Starzer, The Austrian Energy Agency
Oliver Dworak, Austropapier

Abstract

In the frame of an innovative project partnership E.V.A. - the Austrian Energy Agency accompanied the Austrian paper industry for the last 2 ½ years in developing a branch specific climate change strategy. Within the scope of this project an assessment of the energy efficiency status of the branch was carried out as well as an evaluation of still realisable energy savings and CO2 reduction potentials.

The paper presents the methodology applied, which combines a top down approach (benchmarking & best practice) with a bottom up approach (on-site interviews & energy audits), supported by a huge data collection process.

Within the benchmarking process all Austrian paper industry installations affected by the EU emission trading directive were benchmarked against their respective IPPC/BAT values. Furthermore an extensive list of best practice examples derived from existing or ongoing studies was compared with the energy efficiency measures already carried out by the companies ("early actions").

These theory-oriented findings were complemented by several on-site interviews with the respective energy managers as well as by detailed energy audits carried out by a consulting company, covering in total more than 80% of the Austrian paper industry's CO2 emissions.

The paper concludes with the main results of the project, presenting the pros and cons of working with IPPC documents and BAT values in terms of energy efficiency assessments. Recommendations are presented on how to improve the allocation exercise for the next emission trading period from 2008 to 2012.