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Concept version

Generally the final energy demand of the industry is simulated as a function of changes in population, in economic activity and in energy intensity. We simplify and consider the demand for energy to be a function of 3 groups of parameters and processes: 1) activity data, i.e. population, income and more explicit, bottom-up, activity indicators such as steel productions;2) processes that determine the intensity of use, such as structural change (SC), autonomous energy efficiency improvement (AEEI) and price-induced energy efficiency improvement (PIEEI) and, finally, and 3) price-based fuel substitution i.e. the choice fuels on the basis of their relative costs.