ENERGY



Energy expenditure

Electricity and gas

Electricity generation


ENERGY MANAGEMENT

During 2008-09, 5% of all businesses conducted an energy usage audit, and 4% of businesses had established energy usage performance targets or indicators. Large businesses were most likely to undertake these two activities with 47% and 29% respectively.

By industry Electricity, gas and waste services had the highest proportion of businesses conducting energy usage audits with 24% (or 600 businesses). The next largest proportions were the Mining and Manufacturing industries with 13% (or 500 businesses) and 10% (or 5,600 businesses) respectively. In contrast, the Administrative and support services, Transport, postal and warehousing, and Construction industries had the lowest participation rates, with 1%, 2% and 2% respectively.

During 2008-09, 55% of all businesses undertook energy efficiency or energy reduction measures. These activities included good housekeeping, regularly maintaining equipment and facilities, improving the energy efficiency of lights and lighting systems, and improved transport fleet management. Large businesses had the highest participation rates in implementing these measures, with 88% and 54% of small businesses undertook energy efficiency or energy reduction measures.

During 2008-09, 1% (or 14,200) of all Australian businesses operated renewable energy systems or equipment. The most common renewable systems were solar panels (photovoltaic cells).

For the same period, capital expenditure on renewable energy systems or equipment totalled $661m which represented around 0.3% of total industries capital expenditure for the year. The Electricity, gas and waste services industry was the largest contributor to these expenditures with $417m (or 63% of this total) and representing 3.2% of the total capital expenditure of this industry for the year.

During 2008-09, 41% of Australian businesses reported they had experienced at least one barrier to reducing energy consumption and/or improving energy efficiency. Of all businesses, 21% cited the major barrier to investing in improving energy efficiency practices was the cost involved or the length of the payback time. A lack of time or staff resources was the next most commonly cited major barrier at 17%.

ENERGY EXPENDITURE

During 2008-09, total expenditure on electricity and fuels was $75.0b with large businesses accounting for $49.1b (or 66%) of this total. This expenditure was dominated by electricity and non-renewable fuels. Total expenditure on non-renewable fuels included $17.5b on diesel, $13.0b on electricity and $5.9b on natural gas. A total of $29b was spent on other non-renewable fuels (excluding LPG, Petrol, Coal, coke and coal by-products), largely crude oil used by the petroleum industry.

The Manufacturing industry accounted for $33.4b (or 45%) of the total expenditure on electricity and fuels. This comprised $4.6b on electricity and $4.0b on natural gas, as well as $21.1b on other non-renewable fuels (excluding LPG, Petrol, Coal, coke and coal by-products). The Transport, postal and warehousing industry was the second largest contributor to electricity and fuel expenditure, accounting for $12.0b (or 16%) of the total.

Renewable fuels, which includes liquid biofuel, biogas, bagasse and wood/wood waste, accounted for $60m of all business expenditure on energy.

ELECTRICITY AND GAS

During 2008-09, businesses purchased 142,506 GWh of electricity which equated to $13.0b in expenditure. Large businesses accounted for 87,993 GWh (or 62%) of all electricity purchased by businesses, and accounted for $6.6b (or 51%) of the total expenditure on electricity. Small businesses accounted for 32,931 GWh (or 23%) of the electricity purchases and $3.6b (or 28%) of business expenditure on electricity.

For the same period, the Manufacturing industry accounted for the highest quantity (68,940 GWh or 48%) and purchases ($4.6b or 35%) of all industries expenditure on electricity. The Mining industry was the next largest, accounting for 14,772 GWh (or 10%) and $1.1b (or 8%) of the quantity and value respectively. Retail trade was third largest accounting for 13,582 GWh (or 10%) and $1.4b (or 11%) respectively.

During 2008-09, expenditure by businesses on GreenPower electricity accounted for $0.1b (or 1%) of total business expenditure on electricity. GreenPower includes accredited hydroelectric and wind power generated electricity.

During 2008-09, businesses purchased 730 PJ of natural gas which equated to $5.9b of expenditure. Large businesses accounted for 548 PJ (or 75%) of total purchases and $3b (or 51%) of total business expenditure on natural gas. In comparison, small businesses accounted for 82 PJ (or 11% ) of the total purchases and $2.3b (or 39%) of the total business expenditure on natural gas.

Australian businesses purchased 142,506 GWh of electricity in 2008-09. Large businesses accounted for 62% of this quantity, compared with 51% of the total expenditure on electricity. Small businesses purchased 23% of the total electricity quantity and 28% of expenditure, and medium-sized businesses purchased 15% of the quantity and 22% of expenditure on electricity.

The Manufacturing industry accounted for 372 PJ (or 51%) of all natural gas purchases by businesses, and contributed $4b (or 67%) to total natural gas expenditure during 2008-09. The second largest consumer of natural gas was the Electricity, gas and waste services industry which purchased 212 PJ (or 29% ) and accounted for $1.0b (or 17%) of total business expenditure on natural gas for the year.

ELECTRICITY GENERATION

During 2008-09, Australian businesses generated 261,053 GWh of electricity with 90% generated by the Electricity, gas and waste services industry.

Of the total electricity generated, 93% (or 243,474 GWh) used non-renewable fuels including Coal, coke or coal by-products (70% or 186,134 GWh) and Natural Gas (19% or 48,361 GWh). The remaining 7% of electricity generated (17,579 GWh) was sourced from renewables, with hydroelectricity (11,849 GWh) the predominant source.