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Renewables Lead the Way: Energy Trends in the EU Pulp and Paper Industry (2019–2023)

New data from Eurostat, the statistical office of the European Union, reveals a notable transformation in the energy mix of Europe’s pulp and paper industry. Over the past five years, the sector has not only reduced its total energy consumption but has also accelerated its shift toward renewable energy sources—most significantly in the manufacture of paper products.

This article highlights the key findings from Eurostat’s most recent update on final energy consumption in industry, with a focus on the pulp and paper segments. It examines the fuel mix evolution between 2019 and 2023 and outlines what these changes mean for the future of sustainable manufacturing in Europe.

Overview of Industrial Energy Use in the EU

In 2023, total final energy consumption in the EU’s industrial sector stood at 8,990 petajoules (PJ), a decrease of 5.3% from 2022, according to Eurostat. This continued a longer-term downward trend, driven by rising energy efficiency, structural shifts in production, and the broader economic context.

The industrial energy mix remains dominated by electricity (32.6%) and natural gas (31.3%), with renewables and biofuels steadily increasing their share to 11.2% in 2023.

Focus: Pulp and Paper Industry

The paper, pulp, and printing industry accounted for 14.3% of final energy consumption in EU industry in 2023, totaling 1,225 PJ. The energy use patterns within this industry vary significantly depending on the type of production activity.

Manufacture of Pulp

In pulp manufacturing, the sector continues to rely heavily on bio-based fuels. In 2023, renewables and biofuels supplied 302.5 PJ, accounting for 70.3% of total energy consumption in this sub-sector. This long-standing dominance is largely due to the use of black liquor and wood residues for combined heat and power generation within integrated pulp mills.

Manufacture of Paper and Paper Products (Excluding Pulp)

In a major development, renewables and biofuels became the largest single energy source in the manufacture of paper and paper products (excluding pulp) for the first time in 2023. With 246.8 PJ consumed, they accounted for 33.9% of the energy mix, surpassing both electricity (32.6%) and natural gas (20.3%).

Five-Year Trends: 2019–2023

From 2019 to 2023, the pulp and paper sector has demonstrated clear momentum toward a more sustainable energy profile:

  • Overall industrial energy use declined steadily, reflecting both demand-side efficiency and structural changes.
  • Renewables and biofuels increased their share across the board, particularly in paper production.
  • Electricity remains a vital part of the energy mix, but its share has been matched or overtaken by renewables in certain sub-sectors.
  • Natural gas usage declined, influenced by fuel switching and increased energy costs in recent years.

What’s Driving the Shift?

  1. Biomass Utilization in Pulp Mills
    Pulp production has long benefited from self-generated bioenergy through the combustion of black liquor and biomass waste, making it a frontrunner in renewable energy use within industry.
  2. Decarbonization and Energy Transition Policies
    European energy policy, including the Renewable Energy Directive and Emissions Trading System (ETS), has encouraged the use of renewables, especially in heat-intensive sectors like paper manufacturing.
  3. Strategic Investments by Industry
    Manufacturers are investing in biomass boilers, recovery systems, and electrification technologies to reduce dependence on fossil fuels and meet tightening emissions regulations.

Energy Mix in Paper and Pulp: 2023 Snapshot

Sub-sector

Energy Source

Share of Final Energy Use

Manufacture of pulp

Renewables and biofuels

70.3% (302.5 PJ)

Paper and paper products (excl. pulp)

Renewables and biofuels

33.9% (246.8 PJ)

Paper and paper products (excl. pulp)

Electricity

32.6% (236.9 PJ)

Paper and paper products (excl. pulp) Natural gas

20.3% (147.3 PJ)