Linking of Barriers to Energy Efficiency Improvement in Indonesia’s Steel Industry

Apriani Soepardi, Pratikto Pratikto, Purnomo Budi Santoso, Ishardita Pambudi Tama and Patrik Thollander
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Apriani Soepardi: Department of Industrial Engineering, University of National Development “Veteran”, Yogyakarta 55584, Indonesia
Pratikto Pratikto: Department of Mechanical Engineering, Brawijaya University, Malang 65145, Indonesia
Purnomo Budi Santoso: Department of Industrial Engineering, Brawijaya University, Malang 65145, Indonesia
Ishardita Pambudi Tama: Department of Industrial Engineering, Brawijaya University, Malang 65145, Indonesia
Patrik Thollander: Department of Management and Engineering, Division of Energy System, Linköping University, Linköping SE-581 83, Sweden

Energies, 2018, vol. 11, issue 1, 1-22

Abstract: Energy use in Indonesia’s steel industry accounts for about 20–35% of total production costs. Consequently, energy end-use efficiency is a crucial measure that is used to reduce energy intensity and decrease production costs. This article aims to investigate the relationships among different barriers to energy efficiency improvement (EEI), using a framework with the following six constructs: government policy, the financial–economic factor, the managerial–organizational factor, the technological factor, workforce, and quality and type of feedstock and fuel used. The data were collected from steel firm practitioners in Indonesia, using a questionnaire to test our framework. The results demonstrate that the applied framework was applicable. We find that EEI is moderately influenced by all constructs but that the managerial–organizational factor has the greatest direct effect on improvements and is the most significant factor.

Keywords: energy efficiency; conceptual framework; barriers; steel industry; Indonesia (search for similar items in EconPapers)
JEL-codes: Q Q0 Q4 Q40 Q41 Q42 Q43 Q47 Q48 Q49 (search for similar items in EconPapers)
Date: 2018
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (8)

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