Mekanissa Alcohol and Liquor Factory is a branch of National Alcohol and Liquor Factoryrnwhich uses molasses or technical alcohol as raw material to produce ethanol. The productionrnprocess consists of five major sections i.e. molasses treatment, fermentation, distillery, liquorrnand utilities. Raw material and energy utilization efficiencies of all sections are evaluated basedrnon cleaner production manual. Where, cleaner production options were assessed, filtered andrnevaluated for all sections. rnIn the fiscal year, factory produced alcohol was71.37% of the designed capacity. Overallrnefficiency of the alcohol production was 81.64%; of which the efficiency of fermentation andrndistillery were 72% and 97.2% respectively. And it is low compared to expected performance atrnfermentation and distillation; which is 94.6% and 99% respectively. Average residual sugar inrnfermentation was 2,252 kg per day. The total absolute alcohol loss per day from the fermentationrnand distillation were 946.76 and 535.79 liters respectively. Molasses, technical alcohol, andrnwater consumptions per liter of produced alcohol were found to be 4.23 kg, 1.131liters andrn15.13liters respectively. Thermal energy and electric energy consumptions per liter of alcoholrnwere found to be 14,635.552 kJ and 1,575.50kJ respectively which are higher than factoryrnstandards. rnBoiler combustion efficiency and thermal efficiency were 82.66% and 71.75% respectively. Allrnboiler energy losses are evaluated; of which, energy loss due to dry flue gas is the maximum onernwhich is 15.69%. There are two heat integrations proposed in this study to conserve energy; onernis in molasses treatment section and the other is between boiler and distillery sections. Recoveryrnof heat from dark and white stillages, CO2 recovery, waste water recycling and heat lostrnrecoveries; are proposed to improve resource utilization and reducing environmental pollution.