What term describes an industry that has high energy demands so the factories are often built near major sources of cheap, abundant power?

• A. Heavy Industry
• B. Light Industry
• C. Service Industry
• D. Energy Dependent Industry

Answer: (D)

The main idea is energy intensity and how it shapes where manufacturing plants are located. When an industry requires a lot of energy, electricity and fuel costs become a dominant part of production costs. To keep those costs low and keep production affordable, these firms tend to cluster near cheap, abundant power sources—like large hydro plants or power grids with low rates. This proximity to energy supplies makes operations more competitive, especially for activities such as aluminum smelting, steelmaking, cement, and chemicals. While heavy industry covers large-scale manufacturing, it isn’t by itself defined by the necessity to be near power sources; light and service industries don’t rely on such heavy energy inputs. So the term that best captures this idea is energy dependent industry.