The latest Australian Bureau of Agricultural and Resource Economics figures found mining sector energy consumption grew by 23% in 2006-07 which was the fastest growth in the sector since 1989-1990.
Energy consumption in Australia remained below the rate of growth in gross domestic product which was welcomed by federal Resources and Energy Minister Martin Ferguson.
“Statistics show that growth in energy consumption since the early 1990s has generally remained below the rate of growth in GDP,” Ferguson said.
“This indicates a longer-term decline in energy intensity of the Australian economy.”
ABARE said the less energy-intense Australian economy could be put down to two factors: greater efficiency being achieved through technological improvement and fuel switching; and rapid growth in less energy intensive sectors and moderate growth of the energy-intensive manufacturing sector.
Ferguson said Australian industry should be applauded for its innovation to become more energy efficient while maintaining its international competitiveness.
The fuel mix in Australia’s domestic energy use was largely unchanged between 2005-06 and 2006-07 with black and brown coal accounting for the greatest share of 40% followed by oil at 34%, natural gas at 20% and renewable energy at 5%.
Renewable energy maintained its share of the fuel mix with a rise in biogas, bioliquids, solar and wind energy.
However, these energy sources accounted for only 1% of Australian energy consumption.
ABARE found energy production in 2006-07 rose sharply with 17,000 petajoules of primary energy, with coal making up 51% of energy produced.
Coal production rose by 480PJ to 9300PJ, three times more than was consumed domestically, with black coal production growing by 5.6%.
Coal continued to dominate energy exports, accounting for more than half the total exports in 2006-07.
Ferguson said the Federal Government recognised the importance of coal as a reliable energy source and was committed to improving the environmental performance of Australia’s coal-generated electricity.
