Browse by: "2017"

Electricity Information provides a comprehensive review of historical and current market trends in the OECD electricity sector, including 2016 provisional data. It provides an overview of the world electricity developments in 2015 covering world electricity and heat production, input fuel mix, supply and consumption, and electricity imports and exports. More detail is provided for the 35 OECD countries with information covering production, installed capacity, input energy mix to electricity and heat production, consumption, electricity trades, input fuel prices and end-user electricity prices. It provides comprehensive statistical details on overall energy consumption, economic indicators, electricity and heat production by energy form and plant type, electricity imports and exports, sectoral energy and electricity consumption, as well as prices for electricity and electricity input fuels for each country and regional aggregate.

Electricity Information is one of a series of annual IEA statistical publications on major energy sources; other reports are Coal Information, Natural Gas Information, Oil Information and Renewables Information.

Energy is essential for humanity to develop and thrive. In 2015, the new Sustainable Development Goals, adopted by 193 countries, included for the first time a target to ensure affordable, reliable, sustainable and modern energy for all, underscoring a new level of political agreement on the importance of access to modern energy services. At the same time, the declining cost of decentralised renewables, increased access to affordable energyefficient appliances and the use of mobile platforms are changing the way we think about providing energy access. It is against this backdrop that the IEA produced this Special Report, part of its flagship World Energy Outlook (WEO) series.

This report:

• Expands and updates the WEO’s country-by-country electricity and clean cooking access database, and assesses the status for all developing countries, reviewing recent trends and policy efforts up to 2016.
• Presents a global and regional electricity and clean cooking access outlook to 2030, with a dedicated chapter on sub-Saharan Africa.
• Provides a pathway for achieving access to modern energy for all by 2030, identifying policy priorities, detailing investment needs, and the role that decentralised and on-grid solutions may play.
• Analyses how energy development can unleash economic growth in sectors such as agriculture, and explores how energy access intersects with other issues such as gender, health and climate change.

Energy efficiency is central to all global energy transitions. It is the world’s most available, secure and affordable energy resource and every government around the world has the power to further exploit efficiency for widespread benefit.

Energy Efficiency 2017 is the global tracker examining the trends, indicators, impacts and drivers of energy efficiency progress. The questions addressed in this year’s report include:

• How quickly is the world becoming more energy efficient? Which countries are making most progress?
• What are the impacts of energy efficiency on the global economy and energy system?
• How does energy efficiency affect global, regional and national energy security? How has policy, a key driver of energy efficiency, progressed globally?
• How does policy vary between countries, economic sectors and end-use appliances?
• How has energy efficiency affected household energy expenditure? What technology changes might unlock future savings?
• How is efficiency evolving in the major end-use sectors of industry, buildings and transport?
• What happened to energy efficiency investment in 2016? What business models and sources of finance are driving greater investment?
• How has the market for energy services changed? In which markets is energy efficiency being commoditised?

This year’s report also includes a special country focus on Indonesia, the largest energy consumer in Southeast Asia.

The IEA is working to improve understanding of the status, drivers and benefits of energy efficiency. Energy Efficiency 2017 is the key global tracker of energy efficiency progress and a vital information resource for policy makers and companies seeking to reap the multiple benefits of energy efficiency.

This first review of Mexico’s energy policies by the International Energy Agency comes at a momentous time for the country’s energy sector. The broad-based Energy Reform, beginning with the Constitutional changes of December 2013, has continued at a steady and impressive pace. Its reach and scope amounts to one of the most ambitious energy system transformations in decades. The IEA applauds the government of Mexico for the progress made to date.

Starting from a largely closed and monopoly-driven energy market, the reform has taken concrete steps to harness market forces to attract investments and increase production while ensuring transparency and rule of law, improving energy security and strengthening the environmental sustainability of the energy sector.

Some policy areas, such as promoting competition and redesigning emergency preparedness, will have to remain a priority. The transition to open energy markets should continue in a transparent manner, and with regulatory certainty. The new roles and responsibilities for the public and private entities, in particular for energy supply emergencies and energy data collection, should be defined well. It is also critical to ensure sufficient resources for the several new or strengthened regulatory authorities.

For the long term, as Mexico’s population, cities and economy are projected to grow strongly, a cross-sectoral approach is required to limit the increase in energy demand and energy-related greenhouse gas emissions. This review analyses the energy policy challenges facing Mexico and provides recommendations for further policy improvements. It is intended to help guide the country towards a more secure, sustainable and affordable energy future.

The Czech Republic recently approved a new National Energy Policy (SEP) that aims to reduce energy consumption and improve the economy’s energy intensity. This IEA country review provides a snapshot of the energy sector in the Czech Republic and examines the impact of the SEP. The review warns that reaching long-term energy targets will require greater effort if the country is to play its part in the on-going global energy transition.

The SEP broadly seeks to strengthen security of energy supply and build a competitive and sustainable energy sector. While the Czech Republic has experienced strong growth in the renewable energy sector – notably solar PV – policy changes have created uncertainty. Meanwhile, greenhouse gas emissions, which have been falling since 2000, are expected to increase. Coal dominates the power sector and is the largest source of carbon emissions and also poses a substantial threat to local air quality.

The review finds that natural gas supply security remains strong, and the country is expected to remain a net exporter of electricity. The expansion of nuclear power is one of the main pillars of the SEP, and will play a greater role in coming years. The SEP also establishes key targets for energy security, emissions, energy savings, electricity generation and affordability.

This review also provides recommendations for further policy improvements that are intended to help guide the country towards a more secure and sustainable energy future.

Denmark has a long tradition of setting ambitious national energy targets. In 2030, renewables should cover at least half of the country’s total energy consumption. By 2050, Denmark aims to be a low-carbon society independent of fossil fuels. The country is moving convincingly to meet these world-leading targets.

The International Energy Agency’s latest review of Denmark’s energy policies focuses on two interrelated issues: how to integrate increasing volumes of variable renewable energy in the power system beyond its current share of 45%, and how to decarbonise the heating sector.

Electricity generation in Denmark has changed fundamentally over the past two decades. Coal generation has been vastly eroded, and the bulk of power generation now comes from wind and bioenergy. Supported by a flexible domestic power system and a high level of interconnection, Denmark is now widely recognised as a global leader in integrating variable renewable energy while at the same time maintaining a highly reliable and secure electrical-power grid.

The heating sector is also critical for Denmark’s low-carbon ambitions. Denmark’s large-scale use of combined heat and power plants with heat storage capacity, and the increasing deployment of wind power offer great potential for efficient integration of heat and electricity systems. However, policies and regulations need to be aligned to realise that potential. Finding the right levels of energy taxation is particularly important.

Denmark has successfully decoupled its economic growth from greenhouse gas emissions, thanks to a combination of energy efficiency improvements, and fuel switching to renewables. As in all countries, more needs to be done to limit emissions from transport.

France has a significantly low-carbon electricity mix, owing to the key role of nuclear energy. However, much of France’s nuclear fleet is reaching the end of its lifetime. Against this background, France has started an ambitious energy transition: it is a world leader in designing a governance framework with a national low-carbon strategy, carbon budgets, a carbon price trajectory and plans for energy investment.

France plans to reduce the share of nuclear to 50% in the electricity mix by 2025. While some nuclear reactors may continue long-term operation under safe conditions, maintaining security of supply and a low-carbon footprint while reducing nuclear energy will require investments in renewable energy and efficiency. The 2016 IEA review of France’s energy policies highlights these and several other areas that are critical to the success of the energy transition. For example, planned growth of the share of electric vehicles and variable renewable electricity will require enhanced power system operation and flexibility, including demand-side response, smart grids and metering, and more interconnections.

The financing of this transition depends upon continued carbon price signals, increasingly open markets, competition, and consumer empowerment in gas and electricity retail markets.

This review analyses the energy policy challenges facing France and provides recommendations for further policy improvements. It is intended to help guide the country towards a more secure, sustainable and affordable energy future.

Greece is currently implementing comprehensive energy sector reforms towards creating competitive energy markets. The reforms will reveal opportunities for investors and for transformation of the energy system, thereby providing sustainable outcomes for the environment and for Greek society. This International Energy Agency review highlights the areas that are critical to the success of Greece’s energy policy agenda.

Greece can use the economic recovery as an opportunity to get ahead with longer-term emissions reduction outcomes by pursuing initiatives that support sustainable increases in efficiency and by increasing the share of natural gas and renewable energy in the energy mix. A key part of this process will be to develop a national energy and climate plan for 2030 and beyond, as well as to incorporate climate objectives into integrated energy planning.

The country has seen an impressive increase in the share of renewables in electricity generation, even over-achieving the targets set for solar photovoltaics. Enhanced exploitation of its renewable energy potential could result in a more balanced energy mix and contribute to increasing energy security.

Greece should continue pursuing the implementation of ambitious energy efficiency policies, drawing on the evaluation of outcomes from past and current measures and on the lessons learned by other countries. This review also provides recommendations for further policy improvements that are intended to help guide the country towards a more secure and sustainable energy future.

Hungary’s new energy strategy, the National Energy Strategy to 2030, published in 2012, was a major step in formulating a long-term vision for government policy in the sector. The main objective of the strategy was to ensure a sustainable and secure energy sector while supporting the competitiveness of the economy.

Mindful of high energy costs and their impact on family incomes, the government initiated a policy of mandatory price cuts to reduce household energy bills. While the short-term impact has been a reduction in energy bills, in the long term, this policy may damage national competitiveness. Renewable energy production has increased significantly in the last decade but growth in the sector has slowed. Recent reforms and the introduction of a new support system for electricity from renewable sources could arrest this slowdown. On the other hand, measures that limit wind power developments are likely to have a negative impact on the sector.

Greenhouse gas emissions have declined as the economy has become less carbon-intensive. Nonetheless, the country could adopt more ambitious targets for emission reductions. Energy security has been strengthened and there have been a number of large investments in oil, electricity and natural gas infrastructure. Further investments are expected, notably the construction of two new nuclear power generating units.

This latest review of Hungary’s energy policies, the first since 2011, examines the current energy-policy landscape and makes recommendations for improvements. These recommendations are intended to guide the country towards a more secure and sustainable energy future.

Since the last in-depth review in 2009, Italy has made strong progress in the development and implementation of energy policy. The most notable improvement has been the publication of a comprehensive long-term energy strategy.

The adoption of the National Energy Strategy in 2013 sent a strong signal to stakeholders as to the government’s medium- and long-term objectives for the energy sector. It established clear goals: reduce energy costs, meet environmental targets, strengthen security of energy supply and foster sustainable economic growth. Nonetheless, the adoption of the Strategy is only a first step towards achieving the government’s ambitions. Monitoring implementation and maintaining momentum will present a challenge for the government.

Italy has experienced impressive growth in the renewable energy sector and has been successful in integrating large volumes of variable renewable generation. Containing costs is a priority, and policies need to focus on bringing deployment costs towards international benchmarks.

Italy has also continued to progress in terms of market liberalisation and infrastructure development, notably in the electricity market where transmission improvements between north and south, as well as market coupling, have resulted in price convergence throughout the country and wholesale prices tending towards those elsewhere in Europe. Development in the gas sector has been slower, and greater progress is needed if Italy is to be become a southern European gas hub. Furthermore, institutional arrangements within the energy sector remain complex and should be reformed and strengthened. Implementation of the National Energy Strategy provides a timely opportunity to address each of these challenges in a comprehensive way.

This review analyses the energy policy challenges facing Italy and provides recommendations for further policy improvements. It is intended to help guide the country towards a more secure and sustainable energy future.

Since the last IEA in-depth review in 2010, New Zealand has further developed its energy policy, as reflected in its energy strategy to 2021 and new rules for more competitive electricity markets.

With its unique resource base, New Zealand is a success story for the development of renewable energy, notably hydro and geothermal, without government subsidies. Geographically isolated, New Zealand has developed robust policies for security of supply. Outside of its largely low-carbon power sector, managing the economy’s energy intensity and greenhouse gas emissions while still remaining competitive and growing remains a challenge.

The IEA review highlights the areas that are critical to the success of the energy policy agenda in New Zealand.

To support sustainable growth in line with the Paris Agreement, the government should facilitate technology opportunities for renewable energy and energy efficiency, in buildings, industrial heat, transport and agriculture.

The government has ambitious plans to boost the share of electric vehicles and renewable energy. The country has a flexible power system, but future growth requires fine-tuning of market rules in favour of even more flexibility, demand response, smart and effective electricity retail and distribution.

While security of supply is well ensured by effective markets, an energy-constraint system can benefit from market-based risk managements tools, including a safety net for dry years as well as access to global LNG markets.

This review analyses the energy policy challenges facing New Zealand and provides recommendations to help guide the country towards a more secure, sustainable and affordable energy future.

As one of the world’s largest energy exporters, Norway advances the energy security of consuming countries. And at the same time, as a global advocate for climate change mitigation, Norway is committed to environmental sustainability and climate policy.

The latest review of Norway’s energy policies by the International Energy Agency finds that the country continues to manage its significant hydrocarbon resources and revenues in a sustainable way, and remains a reliable supplier of oil and gas. But as the world looks to cut its reliance on fossil fuels, Norway’s government should also consider measures to prepare for a future with lower oil and gas revenues.

Norway’s large hydropower generation is another valuable energy asset particularly at a time when European electricity markets are integrating and variable renewable energy generation is growing. More cross-border connections are coming online and will help realise the full potential of hydropower for balancing variations in demand and supply in the regional market. This will also improve electricity security in Norway in times of low hydropower availability. This review looks at how market-based investments in low-carbon generating capacity can be encouraged by changes in taxation and subsidy systems.

In order to meet its ambitious targets to reduce greenhouse gas emissions, this review finds that Norway needs to step up efforts at home. The IEA encourages the government to spell out more in detail how the emissions reduction targets will be met. There is a major potential to do so in transportation, oil and gas production and manufacturing. In this context, a high level of public spending on energy RD&D and strong efforts to develop carbon capture and storage are very welcome.

Coal dominates the power sector of Poland, where it is the largest source of greenhouse gas emissions as well as a major employer. Whether coal continues to fuel the economy over the longer term will be one of the central issues addressed in an update to Poland’s long-term energy strategy, which is expected in 2017.

The country’s new energy plan will prioritise long-term energy security, placing a strong emphasis on reducing greenhouse gas emissions and air pollution, increasing energy efficiency and decarbonising the transport system. Nuclear power could play a significant role in the country’s energy supply. While the country has experienced strong growth in renewable energy over the past decade, the future looks uncertain.

Given these possible changes, the new energy strategy will require significant investments to reduce the share of carbon-intensive power plants and increase the share of low-carbon energy. While Polish energy infrastructure has been modernised, further investments are needed to strengthen integration with neighbouring markets.

In this context, this latest IEA review of the energy policies of Poland examines the present landscape and makes recommendations for further improvements – recommendations that are intended to guide the country towards a more secure and sustainable energy future.

The global energy system is moving closer to a historic transformation.  This year’s edition of the International Energy Agency (IEA)’s comprehensive publication on energy technology focuses on the opportunities and challenges of scaling and accelerating the deployment of clean energy technologies. This includes looking at more ambitious scenarios than the IEA has produced before.

Improvements in technology continue to modify the outlook for the energy sector, driving changes in business models, energy demand and supply patterns as well as regulatory approaches. Energy security, air quality, climate change and economic competitiveness are increasingly being factored in by decision makers. Energy Technology Perspectives 2017 (ETP 2017) details these trends as well as the technological advances that will shape energy security and environmental sustainability for decades to come.

For the first time, ETP 2017 looks at how far clean energy technologies could move the energy sector towards higher climate change ambitions if technological innovations were pushed to their maximum practical limits. The analysis shows that, while policy support would be needed beyond anything seen to date, such a push could result in greenhouse gas emission levels that are consistent with the mid-point of the target temperature range of the global Paris Agreement on climate change. The analysis also indicates that regardless of the pathway chosen for the energy sector transformation, policy action is needed to ensure that multiple economic, security and other benefits to the accelerated deployment of clean energy technologies are realised through a systematic and co-ordinated approach.

ETP 2017 also features the  annual IEA Tracking Clean Energy Progress report, which shows that the current progress in clean energy technology development and deployment remains sub-optimal. It highlights that progress has been substantial where policies have provided clear signals on the value of technology innovation. But many technology areas still suffer from a lack of financial and policy support.