Energy savings and the use of renewable energy have been fundamental energy management objectives of the pulp, paper, packaging and wood products manufacturing industry for decades. The industry is a leader in the use of renewable energy and highly-efficient combined heat and power (CHP), or cogeneration.
- Pulp, paper, packaging and wood products facilities account for 62 percent of the renewable biomass energy consumed by facilities in manufacturing sectors.
- Since 1990, AF&PA members decreased purchased energy (mostly fossil fuels) use in their pulp and paper mills by 25 percent.
- Pulp, paper, packaging and wood products mills produce 30 percent of the CHP electricity generated by manufacturing facilities. In fact, 96 percent of electricity produced by the industry is CHP-generated.
Despite being the largest user of renewable biomass energy in the manufacturing sector, purchased energy remains a major manufacturing cost for the forest and paper industry.
- AF&PA supports policies that
- Reduce the cost of energy by encouraging fuel diversity, increasing access to supplies both on and offshore, investing in breakthrough technologies, and promoting conservation.
- Encourage power generation from highly-efficient energy sources, such as cogeneration facilities.
- Fairly compensate demand response resources, which are a cost-effective way to reduce electricity demand, thereby reducing costs for all rate payers.
- EPA’s final greenhouse gas (GHG) regulation of existing electric utilities under the Clean Air Act could increase energy costs, decrease the reliability of the electric system, and set adverse precedent for potential GHG regulation of our industry.
- As the nation confronts the challenge of upgrading its electrical transmission infrastructure, care must be taken to ensure that upgrades are based on sound economic analysis and that their costs are paid for in a fair and equitable manner.
While the industry is a leader in the use of renewable biomass for energy, it is also concerned about the new demands being imposed on the resource from market-distorting government mandates and incentives.