Effects of firm characteristics and energy management for improving energy efficiency in the pulp and paper industry

Abstract

The Swedish pulp and paper industry (PPI) must increase energy efficiency to remain competitive on the global market, which has experienced entries from countries with cheaper energy and raw material supplies. Interactions among variables for energy use, production, energy management, electricity price and firm characteristics (FC), in different types of mills, i.e., pulp, paper and integrated mills, in Sweden from 2006 to 2015 indicate that correlations among the studied variables were different in different types of mills. This difference between types of mills seemed to originate partly from varying accessibility to production residue that could be used for energy. For all types of mills, variation of electricity prices did not correlate significantly with energy efficiency during the study period. The studied FC were firm's age, number of employees, number of companies in company group, net sales and profit for the year. Energy efficiency was more affected by the variables characterizing energy and production compared to the variables representing FC. This study also suggested presence of possible discrepancies between FC that were perceived as barriers to energy management towards energy efficiency, according to previous studies, and what was shown by the data combining variables representing energy use, production and FC.