Barriers to and driving forces for industrial energy efficiency improvements in African industries – a case study of Ghana's largest industrial area

Abstract

Barriers to industrial energy efficiency improvements in developing countries are more pronounced due to the existence of factors like weak energy policy frameworks, financial constraints, weak information systems and many more. This study is an explorative and qualitative research aimed at enhancing the knowledge of industrial energy efficiency and management strategies in Ghana, by investigating the barriers to and the driving forces for the implementation of energy efficiency measures in Ghana's largest industrial area. Results from the study revealed that energy is poorly managed in the various industries and that there is an energy efficiency gap resulting from the low implementation of energy efficiency measures. In addition, the study revealed that the most important factors impeding the implementation of cost effective energy efficiency technologies in the firms are principally economic (or market) barriers like “lack of budget funding” and “access to capital”. The study also shows that these economic barriers are linked to the lack of adequate government framework for industrial energy efficiency. The study also revealed that market factors related to “cost reductions resulting from lowered energy use” and “threats of rising energy prices” are the most important drivers for implementing energy efficiency measures or technologies.