Energy-Efficient Manufacturing in Latin America and the Caribbean: Just Cheaper & Better

Energy efficiency is the most effective mechanism for reducing gas emissions. The manufacturing sector in Latin America and the Caribbean can do its part for the environment while lowering financing costs through international certifications for its energy management systems.

Banner

If you care about the environment, you care about energy efficiency in the industrial sector.

Energy efficiency is the most effective mechanism for reducing greenhouse gas emissions; it is a key component for an effective energy transition to clean energy sources and achieving each country's decarbonization goals.

According to the International Energy Agency (IEA), the industrial sector in Latin America and the Caribbean (LAC) consumes about 25% of all the energy used in the region. It is also worth highlighting that the industrial sector in LAC is responsible for almost half of the electricity consumed.

In LAC, manufacturing is mainly associated with the production of mass consumer goods and moderate levels of technological aggregation. The most significant and frequent final uses of energy relate to steam generation for heating, water pumping, and cooling to preserve perishable items, manufacturing of parts from raw materials and intermediate processing, the assembly of mechanical, electrical, and electronic devices, and machinery used in raw material processing and logistics.

Against this backdrop, the concept of energy management bolsters the manufacturing industry in the region, helping to identify opportunities for cost-saving measures or implementing other energy sources with better environmental performance in the production cycles.

These practices are also recognized as alternatives to increase the competitiveness of the regional industry.

Gráfico

IDB Invest supports initiatives associated with energy management system certification, as it sees these mechanisms as a highly effective way for its clients to improve their energy performance.

A good example of these efforts is the home appliance producer Indurama, the first Ecuadorian company in its field to obtain the prestigious ISO 50001:2018 certification for its energy management system, thanks to the support of IDB Invest's consulting services division.

Obtaining these certificates is not easy. Work began in 2015 and managed to sail through in part thanks to the strategic alliance with IDB Invest and its "invest to reverse" policy, which is closely linked to the resilient, low-emission development of the region's industrial sector.

This achievement positions the company as a benchmark in good manufacturing practices and sustainable development at the corporate level, and opens up the possibility of accessing preferential financing conditions in the future, thanks to the company's commitment to the efficient use of energy as part of its culture. For IDB Invest, this is one more step in its commitment to implement profitable and sustainable practices throughout the region.

Authors

Christian Parra

Christian is part of the Climate Change Team of Advisory Services Division at IDB Invest, which he joined in 2017. He is responsible for coordinating

Hilen Meirovich

Hilen leads the Climate Change Advisory Services Team at IDB Invest, which she joined in 2017. She is responsible for developing innovative strateg

Energy

Related Posts

  • Image
    Welcome to the New Hydrogen Economy!

    Green hydrogen is the new kid on the block in the renewable energy space. It’s generated through the split of hydrogen from oxygen in water using a renewable source (solar, wind energy or hydropower), causing no emissions from this process.

  • Banner
    Can Solar Panels Be the Cellphones of the Future?

    The tech revolution in solar energy, driving a significant drop in costs, is the best solution to the problem of connecting isolated communities to the power grid. These models, however, also provide a vision of a possible future with decentralized networks or even customers who not only consume energy but also produce and send it into the grid.

  • Banner
    Energy-Efficient Manufacturing in Latin America and the Caribbean: Just Cheaper & Better

    Energy efficiency is the most effective mechanism for reducing gas emissions. The manufacturing sector in Latin America and the Caribbean can do its part for the environment while lowering financing costs through international certifications for its energy management systems.