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The Economic Impact of Electricity Price Increases on ... - Eskom

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<str<strong>on</strong>g>Electricity</str<strong>on</strong>g> intensity is another measure <str<strong>on</strong>g>of</str<strong>on</strong>g> the reliance <str<strong>on</strong>g>of</str<strong>on</strong>g> an industry<br />

<strong>on</strong> electricity based <strong>on</strong> actual c<strong>on</strong>sumpti<strong>on</strong> rather than expenditure <strong>on</strong><br />

electricity.<br />

Sectors<br />

19<br />

<str<strong>on</strong>g>Electricity</str<strong>on</strong>g> intensity<br />

<str<strong>on</strong>g>Electricity</str<strong>on</strong>g> intensity<br />

GWh/$milli<strong>on</strong> Ranking<br />

Output<br />

share Ranking<br />

Basic metals 1.095 1 7.1% 7<br />

Mining and quarrying 0.634 2 14.6% 2<br />

N<strong>on</strong>-metallic minerals 0.524 3 1.6% 12<br />

Agriculture and forestry 0.316 4 6.0% 8<br />

Paper, pulp and printing 0.207 5 2.8% 10<br />

Chemical and<br />

petrochemical 0.203 6 16.3% 1<br />

Transport 0.089 7 12.5% 3<br />

Wood and wood products 0.069 8 1.4% 13<br />

Textile and leather 0.067 9 2.5% 11<br />

Food and tobacco 0.021 10 12.0% 4<br />

Machinery and equipment 0.005 11 2.9% 9<br />

Transport equipment 0.003 12 9.8% 6<br />

C<strong>on</strong>structi<strong>on</strong> 0.002 13 10.5% 5<br />

Source: (Inglesi-Lotz & Blignaut, 2011)<br />

<str<strong>on</strong>g>Electricity</str<strong>on</strong>g> intensity by sector, 2006<br />

Vulnerability <str<strong>on</strong>g>of</str<strong>on</strong>g><br />

sectors to rising<br />

electricity prices<br />

Key points<br />

• <str<strong>on</strong>g>The</str<strong>on</strong>g>re is c<strong>on</strong>siderable variati<strong>on</strong> from<br />

<strong>on</strong>e manufacturer to the next.<br />

• Basic metals industry (which<br />

includes ir<strong>on</strong> and steel and n<strong>on</strong>ferrous<br />

metals) is the most<br />

electricity-intensive <str<strong>on</strong>g>of</str<strong>on</strong>g> the thirteen<br />

industries<br />

• But some <str<strong>on</strong>g>of</str<strong>on</strong>g> the other<br />

manufacturing activities including<br />

transport equipment, machinery and<br />

food in are am<strong>on</strong>g the least energyintensive.<br />

©2012 Deloitte Touche Tohmatsu Limited. All rights reserved.<br />

2

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