This study deals with the decomposition of industrial energy consumpti
on at two levels of sector disaggregation or more. Past studies are re
viewed and the need for multilevel decomposition is examined. Simple p
rocedures for multilevel decomposition are presented. The proposed pro
cedures, which are extensions of often used single-level decomposition
procedures, allow estimates of various effects at different disaggreg
ation levels to be made and interpreted in a consistent manner. Applic
ation studies using the data of Singapore industry are presented. Seve
ral application issues pertinent to multilevel decomposition are also
discussed.