Energy conservation and efficient usage are vital to the countryâ€™s development. Demand forrnenergy is ever increasing worldwide due to the depletion of fossil fuel sources and otherrnrelated issues. Focusing on energy utilization assessment and consumption reduction effortsrnthrough improvement, better production management and also introduction of newrntechnologies significant results can be achieved; saving money on energy bills, improvingrnenergy efficiency and maintaining sustainable environment.rnThe cost of energy as part of the total production cost is significant in the mughar cementrnindustry in Ethiopia. They spend millions of dollars annually on electric power and fuel oil forrntheir energy requirement. Hence, considerable work of efficiency improvement on energyrnutilization efficiency at the selected cement factory is important.rnThe aim of this thesis is to assess the energy sources and utilization in the selected factory.rnAnd also, it is to study and identify energy utilization efficiencies of the different utilities ofrnthe factory. Finally, to suggest alternatives based on measurements collected data andrnbenchmarked cement factories experiences.rnIn this thesis work energy losses at the selected factory have been assessed. Based on thernlosses, energy efficiency performance assessments on the major energy intensive equipmentsrnlike electric motors and drives, lightings and the kiln have been done. At last energyrnefficiency improvement opportunities both for electrical energy as well as fuel energy arernrecommended.rnKey words: Energy efficiency, energy intensity Mughar cement factory, electric motors,rnindustrial energy.