Browse by: "E"

Energy Efficiency 2020 is the latest edition of the IEA’s annual update on global developments in energy efficiency. Through analysis of energy data, policies and technology trends, it provides a comprehensive view of energy efficiency trends worldwide.

Energy efficiency plays an essential role in accelerating clean energy transitions and achieving global climate and sustainability goals. This year’s report focuses on the impact of the Covid-19 pandemic on energy efficiency and global energy markets this year, as well as analysis of 2019 trends. By analysing the inclusion and impacts of energy efficiency in stimulus packages, the report also highlights the role of efficiency in supporting sustainable recovery efforts around the world by creating jobs and stimulating spending while reducing greenhouse gas emissions.

Energy Efficiency 2021 is the IEA’s annual update on global developments in energy efficiency. This year’s edition explores recent trends in energy efficiency markets at the economy-wide and sectoral levels, including developments in policy and investment.

The report also focuses on the role of energy efficiency in achieving net zero emissions in the energy sector by 2050, including an examination of the crucial role of efficient appliances and equipment, as well as all major energy efficiency net zero milestones in buildings, transport and industry.

In addition, the report analyses recent trends in digital innovation, examining how digitalisation is expanding the scale and scope of energy efficiency markets and how business models are evolving to take advantage of these opportunities.

Energy Efficiency 2022 is the IEA’s primary annual analysis on global developments in energy efficiency markets and policy. It explores recent trends in energy intensity, demand and efficiency-related investment, innovation, policy and technology while also discussing key questions facing policy makers. This year record-high consumer energy bills and securing reliable access to supply are urgent political and economic imperatives for almost all governments. In response to the energy crisis countries are prioritising energy efficiency action due to its ability to simultaneously meet affordability, supply security and climate goals.

While efficiency investment has recently been increasing to reach new record levels, the pace of global energy intensity improvements had noticeably slowed in the second half of the last decade and virtually stalled during the first two years of Covid-19. With efforts to better manage energy consumption as a result of the crisis increasing the rate of improvement once more, the question as to whether 2022 will see a sustained efficiency turning point, and what more can be done, are key themes of this year’s report.

Energy efficiency is widely recognised as the most cost-effective and readily available means to address numerous energy-related issues, including energy security, the social and economic impacts of high energy prices, and concerns about climate change. At the same time, energy efficiency increases competitiveness and promotes consumer welfare. In this context, it is important to develop and maintain well-founded indicators to better inform policy making and help decision makers formulate policies that are best suited to domestic and/or international objectives.

This publication enables energy analysts and policy makers to identify priority areas for the development of energy efficiency indicators, define which sector(s) offer the greatest potential to further improve energy efficiency, select the data and indicators that best support policy development in these sectors, and develop a strategy to advance policy development through the improved use of indicators to track progress of energy efficiency policies.

Energy efficiency is high on the political agenda as governments seek to reduce wasteful energy consumption, strengthen energy security and cut greenhouse gas emissions. However, the lack of data for developing proper indicators to measure energy efficiency often prevents countries from transforming declarations into actions.

This manual identifies the main sectoral indicators and the data needed to develop these indicators; and to make surveying, metering and modeling practices existing all around the world available to all. It has been developed with a companion document, Energy Efficiency Indicators: Essentials for Policy Making, as a starting point towards enabling policymakers to understand where greater efficiency is needed, to implement appropriate policies and to measure their impact.

The evidence is clear: energy efficiency has played, and continues to play, a large and valuable role in the sustainable development of the global economy. The energy demand that is avoided as a result of steady improvements in the efficiency of energy-using stock such as buildings, cars and appliances is larger than the total final consumption from coal, oil or gas in IEA member countries.

The market for energy efficiency investments is very large – estimated between USD 310 billion and USD 360 billion in 2011 – and this market is producing results: total final consumption in IEA countries is estimated to be 60% lower today because of energy efficiency improvements over the last four decades. Since 2001, investments in energy efficiency in 18 IEA countries have helped to avoid over 1 700 million tonnes of oil-equivalent from being consumed.

This year’s report includes an in-depth look at energy efficiency developments in the transport sector and in finance. Huge new waves of demand for mobility are emerging in OECD non‑member economies, bringing with them the challenges of pollution and congestion already faced in OECD countries. Fuel-economy standards and other policies are expected to help shape the market for more energy-efficient vehicles in the years to come. In financial markets, energy efficiency is becoming an important segment in its own right, aided by a growing range of financial products. We document the growing scale and diversity of energy efficiency products and actors.

Finally, this report reviews national energy efficiency market developments in various jurisdictions around the world, including Canada, China, the European Union, India and Italy. These case studies provide snapshots of specific energy efficiency sub-markets, and insights into how these markets may evolve in the coming years.

Energy efficiency improvements over the last 25 years saved a cumulative USD 5.7 trillion in energy expenditures. This virtual supply of energy generates multiple benefits to governments, businesses and households, including greater energy security from reduced dependence on energy imports and billions of tonnes of greenhouse gas emissions reductions.

Strengthening our understanding of the energy efficiency market and the prospects over the medium term is becoming increasingly important. The 2015 Energy Efficiency Market Report (EEMR) evaluates the impact of energy efficiency in the energy system and assesses the scale and outlook for further energy efficiency investment using detailed country-by-country energy efficiency indicator data and IEA expertise.

This year’s report includes an in-depth look into the buildings energy efficiency market and the electricity sector. Energy efficiency investments in the buildings sector totaled between USD 80‑100 billion in 2014. In the electricity sector, energy efficiency has proved critical in flattening electricity consumption in Organisation for Economic Co‑operation and Development member countries, driving utilities to adapt their business models.

Promoting and expanding energy efficiency markets is a worldwide phenomenon, and EEMR 2015 presents a number of case studies at the national, state and municipal level. These include examinations of Latin America’s two largest economies, Brazil and Mexico, which are looking to efficiency to boost productivity and social development. Energy-producing countries like Saudi Arabia and the Russian Federation are also increasingly turning to efficiency to increase exports and reduce the costs of growing domestic energy consumption. In addition to national governments, major urban areas such as Tokyo, Seoul and Paris are increasingly enabling energy efficiency investment.

Often called the “first fuel” of the global energy system, energy efficiency is one of the most important steps that any government can take to move towards a sustainable energy system.

To check on the progress made on this front, the IEA Energy Efficiency Market Report tracks the core indicators of energy efficiency. This year, the report takes a new approach and expands the scope of analysis by examining the drivers of energy efficiency programmes in emerging economies, as well as the impact of those policies.

Some of the questions that are addressed in this year’s report include:

• Which countries and policies are having the greatest impact, and what is the recipe for their success?
• Are we improving energy efficiency fast enough to achieve our climate goals?
• What is the size of energy efficiency investments around the world and in key energy-consuming sectors?
• What has been the impact of low energy prices on these efficiency investments?
• What are the benefits of efficiency programmes on climate policy, energy security and public budgets?
• What are the market trends for energy efficiency services and financing?

The Energy Efficiency Market Report is the global tracker for energy efficiency programmes, providing policy makers and the private sector with insights on the latest trends and market prospects.

Energy efficiency continues to play a critical role in improving living standards around the world and is the first and best response to simultaneously meet affordability, supply security and climate goals. As Kenya looks to drive forward its clean energy transition in the face of the global climate and energy crises, there is a growing role for energy efficiency in supporting its aims to ensure affordable, reliable access to electricity while allowing greater integration of renewable energy technologies.

As part of the Energy Efficiency in Emerging Economies (E4) Programme, this report aims to provide an overview of current progress in energy efficiency and its potential for improving people's lives through delivery of a sustainable, modern energy system. The report assesses progress, opportunities and challenges for energy efficiency across four key areas: Buildings, Appliances, Clean Cooking and Electricity System Losses.

The report gives suggestions on potential policy actions that can be taken to enhance progress, drawing on case studies and examples from Kenya and other countries in Africa and globally. It represents part of the IEA’s growing collaboration with Kenya in the build-up to the IEA’s Energy Efficiency in Emerging Economies Training Week and 9th Annual Global Conference on Energy Efficiency, which will take place in Nairobi in March and May 2024 respectively.

Growing innovation capacity among emerging markets and increasing investment flows between them are creating new, reciprocal opportunities through the deployment of technological innovations and knowledge transfer. The case of Brazil and China is particularly relevant in this context. Between 2005 and 2012, the Brazilian energy sector absorbed USD 18.3 billion worth of investments from China. Sino-Brazilian trade and political relations have intensified over the past decade.

This report focuses on three main questions: What are the drivers behind Chinese investment in the Brazilian energy sector? What potential exists for inter-firm technology transfer between the Chinese and Brazilian companies involved? Do government-sponsored activities and academic exchanges complement inter-firm technology transfer? The analysis highlights the potential of energy technology co-operation between Brazil and China, the deployment of innovations in third countries and, more generally, the intensification of global co-operation in

Conveniently located near the world’s fastest growing energy markets, the resource-rich and transit countries of Eastern Europe, Caucasus and Central Asia contribute significantly to world energy security. However, shared challenges across the region include aged infrastructure, high energy intensity, low energy efficiency, untapped alternative energy potential and poorly functioning regional energy markets.

This publication highlights the energy policies and sector developments of Armenia, Azerbaijan, Belarus, Georgia, Kazakhstan, Kyrgyzstan, Moldova, Tajikistan, Turkmenistan, Ukraine and Uzbekistan during 2013-14 and provides a summary of key recommendations for policy makers in the region.

Energy policy analysis is conducted in line with the INOGATE Programme’s four main pillars of energy development: energy market convergence, energy security, sustainable development and investment attraction. Started in 1996, the INOGATE Programme is one of the longest running energy technical assistance programmes funded by the European Union and works within the policy frameworks of the Baku Initiative and the Eastern Partnership. The INOGATE Programme co-operates with 11 Partner Countries to support reduction in their dependency on fossil fuels and imports, to improve the security of their energy supply and to mitigate overall climate change. It also supports the Eastern Partnership, a joint initiative between the European Union, EU Member States, and the Eastern European and Caucasus countries. Launched in 2009, the Eastern Partnership aims at advancing political association and economic integration.

This publication has been produced with European Union financial assistance provided through the European Neighbourhood and Partnership Instrument.

Chile’s energy policy has evolved dynamically in recent years. In response to changes in the domestic and international environment, significant institutional and policy reforms as well as major infrastructure projects have been carried out. The National Energy Policy 2050 was adopted in 2015, following an exceptionally inclusive public consultation. The electricity sector, in particular, has developed quickly.

This second review of Chile’s energy policies by the International Energy Agency finds that the country has emerged as a world-class destination for solar and wind energy developers. New legislation encourages investment in generating capacity across the electricity sector. The expanded role of the state in energy planning has helped to boost project development, especially in electricity transmission. The country now also has an interconnected national electricity system.

Integrating growing shares of variable renewable energy requires a flexible power system. More transmission infrastructure, storage, and demand-side response are needed. The government should now ensure that the electricity market design and infrastructure facilitate the integration of solar and wind power. By exploiting its vast renewable energy potential, Chile can help reduce electricity prices and dependency on fuel imports.

Renewables and energy efficiency can also help limit carbon emissions and air pollution. Chile should make more use of mandatory energy performance standards for products, equipment, vehicles and buildings. Efficient and clean use of firewood and alternative heating technologies can be supported through policies, regulation and financial incentives. Energy and climate aspects should also be an integral part of the long-term policies for transport and urban development.

Conveniently located near the world’s fastest growing energy markets, the resource-rich and transit countries of Eastern Europe, Caucasus and Central Asia contribute significantly to world energy security. However, shared challenges across the region include aged infrastructure, high energy intensity, low energy efficiency, untapped alternative energy potential and poorly functioning regional energy markets.

This publication highlights the energy policies and sector developments of Armenia, Azerbaijan, Belarus, Georgia, Kazakhstan, Kyrgyzstan, Moldova, Tajikistan, Turkmenistan, Ukraine and Uzbekistan during 2013-14 and provides a summary of key recommendations for policy makers in the region.

Energy policy analysis is conducted in line with the INOGATE Programme’s four main pillars of energy development: energy market convergence, energy security, sustainable development and investment attraction. Started in 1996, the INOGATE Programme is one of the longest running energy technical assistance programmes funded by the European Union and works within the policy frameworks of the Baku Initiative and the Eastern Partnership. The INOGATE Programme co-operates with 11 Partner Countries to support reduction in their dependency on fossil fuels and imports, to improve the security of their energy supply and to mitigate overall climate change. It also supports the Eastern Partnership, a joint initiative between the European Union, EU Member States, and the Eastern European and Caucasus countries. Launched in 2009, the Eastern Partnership aims at advancing political association and economic integration.

This publication has been produced with European Union financial assistance provided through the European Neighbourhood and Partnership Instrument.

This review of Estonia’s energy policies analyses the energy policy challenges and opportunities facing Estonia, and provides critiques and recommendations for future policy improvements. It finds that Estonia is actively seeking to reduce the intensity of its energy system. Many of these efforts are focused on oil shale, which the country has been using for almost a century and which meets 70% of its energy demand. While it provides a large degree of energy security, oil shale is highly carbon-intensive.
The government is seeking to lessen the negative environmental impact by phasing out old power plants and developing new technologies to reduce significantly CO2 emissions.

The efforts on oil shale complement Estonia’s solid track record of modernising its overall energy system. Since restoring its independence in 1991, Estonia has fully liberalised its electricity and gas markets and attained most national energy policy targets and commitments for 2020. It has also started preparing its energy strategy to 2030, with an outlook to 2050. Estonia is also promoting energy market integration with neighbouring EU member states.

Indonesia can claim many economic and political achievements over the last 15 years: the country posted consistently high economic growth rates, joined the G20, stabilised its young democracy, and devolved budgetary power and decision making. Extending this track record further depends on Indonesia’s ability to deliver sustainable and sufficient energy supply to markets and ultimately to consumers.

Even though it remains a net energy exporter due to the expansion of its coal and liquid biofuel production, the country is consuming more energy as a result of rising living standards, population growth and rapid urbanisation. Indonesia is already highly dependent on oil imports. Meeting demand growth and ensuring the environmental sustainability of energy supplies must remain key pillars of its economic and investment policies and strategies.

Indonesia has implemented important changes since the IEA published its first review of the country’s energy polices in 2008. Key milestones include the 2007 Law on Energy, the 2008 National Energy Policy, the 2009 Law on Electricity, and the 2009 Law on Mineral and Coal Mining. However, the government needs to continue this reform process vigorously and implement further improvements to Indonesia’s institutional set-up, alongside stronger policy planning and implementation, more investment in critical energy infrastructure, and continued movement towards regulated energy markets and cost-reflective pricing.

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

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 Kingdom of Morocco is over 90 % dependent on energy imports, so a major challenge is to develop indigenous resources. Topography and climate are favourable to wind, solar and additional hydropower. By 2020 Morocco aims to derive more than 40 % of its electrical capacity from these sources, strengthening both energy security and sustainability. At the same time, Rabat aims to retain its attractive investment conditions for oil and gas exploration.

To reduce the burden of energy subsidies, transport fuels have progressively been brought up towards full market prices, and electricity tariffs are also being adjusted upward. Energy efficiency has been elevated to a national priority, with a range of measures on lighting, building standards, appliances and vehicles.

Morocco’s electricity grid now covers more than 98 % of households. The sector is being progressively liberalised, with foreign investment in both renewables and coal-fired power stations. The energy mix is diversified further by imports of gas from Algeria and electricity from Spain.

Morocco has established new national agencies to promote energy efficiency, renewable energy, and research and development. Co‑operation on climate change within the United Nations framework is widely perceived as exemplary. Persevering in this direction could help Morocco emerge as a regional leader in energy sector reform, as well as in the renewable energy technologies in which it has a natural advantage.

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

The International Energy Agency (IEA) regularly conducts in-depth peer reviews of the energy policies of its association countries, a process that supports energy policy development and encourages the exchange of international best practices and experiences. This report on Morocco discusses the advancements made as well as the challenges faced by the country’s ambitious domestic energy transition pathway to 2030.

With an impressive track record in solar technologies, Morocco is leading the deployment of renewable energy in North Africa. Further progress, however, can be made in commercial or industrial applications that continue to rely on fossil fuel imports. Although successful in providing electricity access to its rising population, Morocco also faces the challenging task of keeping energy demand in check.

In this report, the IEA provides recommendations for how to strengthen Morocco’s energy efficiency policies to help the country continue to transform its energy sectors in order to meet the renewable energy and energy efficiency targets.