Energy efficiency and CO2 mitigation potential of the Turkish iron and steel industry using the LEAP (long-range energy alternatives planning) system

Abstract

With the assistance of the LEAP (long-range energy alternatives planning) energy modeling tool, this study explores the energy efficiency and CO2 emission reduction potential of the iron and steel industry in Turkey. With a share of 35%, the steel and iron industry is considered as the most energy-consuming sector in Turkey. The study explores that the energy intensity rate can be lowered by 13%, 38% and 51% in SEI (slow-speed energy efficiency improvement), AEI (accelerating energy efficiency improvement) and CPT (cleaner production and technology scenario) scenarios, respectively. Particularly the projected aggregated energy savings of the scenarios CPT and AES are very promising with saving rates of 33.7% and 23% respectively. Compared to baseline scenarios, energy efficiency improvements correspond to economic potential of 0.1 billion dollars for SEI, 1.25 dollars for AEI and 1.8 billion dollars for CPT scenarios annually. Concerning GHG (greenhouse gas) emissions, in 2030 the iron and steel industry in Turkey is estimated to produce 34.9 MtCO2 in BAU (business-as-usual scenario), 32.5 MtCO2 in SEI, 24.6 MtCO2 in AEI and 14.5 MtCO2 in CPT a scenario which corresponds to savings of 9%–39%. The study reveals that energy consumption and GHG emissions of the iron and steel industry can be lowered significantly if the necessary measures are implemented. It is expected that this study will fill knowledge gaps pertaining to energy efficiency potential in Turkish energy intensive industries and help stakeholders in energy intensive industries to realize the potential for energy efficiency and GHG mitigation.