Korean Energy Economic Review ISSN:1599-7057(Print) 에너지경제연구

This paper analysed the cause of the change of electricity and final energy consumption in industrial and manufacturing sectors by utilizing LMDI decomposition methodology. For industrial sector, the increase of power consumption was led by the expansion of production activities (activity effect) and the structural change toward power-intensive industries (structure effect). For manufacturing sector, however, the production effect in power consumption was larger than the case of industrial sector. On the other hand, the structure effect led the fall of power consumption, largely caused by the structural change towards fabricated metal industry. Meanwhile the intensity effect contributed to the increased of power consumption. These results indicate that efforts for saving and efficiency improvement in power consumption were insufficient in manufacturing sector.