Energy Efficiency Policies and Practices in the Midwest

Industrial Sector

The industrial sector makes up 35% of electric use and 33% of natural gas use in the Midwest. Nationwide, it is the largest consumer of energy by sector. The greatest potential for investments in energy efficiency are in this sector—nationwide, 40% of the economy’s energy efficiency potential exists in the industrial sector.  Industrial sector energy efficiency programs also tend to be the most cost-effective.

The Midwest is home to a significant industrial and manufacturing base. Energy efficiency is an important investment to improve the competitiveness of these businesses, create jobs, and save money. Most energy efficiency programs offer specific opportunities for industrial sector businesses.

These investments play an important role in overall efficiency investment in the region and are a valuable contribution to energy efficiency policy outcomes. Some industrial customers may advocate that they not be included in efficiency programs. However, it is important that all customers share the responsibility for energy efficiency investment and are treated fairly. Including all customers in energy efficiency policies is the best way to achieve this goal.

Pic: Industrial Electric Energy Efficiency Policies Pic: Industrial Natural Gas Energy Efficiency Policies

Figure 1: Industrial Efficiency Opt-Out and Self-Direct Policies in the Midwest

Additional Resources

In light of the importance of providing energy efficiency resources to the industrial sector, MEEA launched the Midwest Industrial Initiative. For more information on industrial energy efficiency programs, policies, resources, and contacts, please visit: www.midwestindustrial.org.

For more general information on energy efficiency policies and programs in the Midwest, including information on industrial efficiency, please visit our updated Energy Efficiency Resource Guide for Policymakers.

For additional questions, please contact us at industrial@mwalliance.org.

Papers and Presentations from 2015 ACEEE Industrial Summer Study

MEEA's Mark Milby and Greg Ehrendreich presented at ACEEE's biennial Summer Study on Energy Efficiency in Industry at the beginning of August, 2015.

Read their papers A Midstream Cogged V-Belt Pilot Program: Concept and Early Challenges and Living Up to Its Potential: Industrial Energy Efficiency in the Midwest and view their presentations in our Publications section.