Insurmountable opportunities? Canada's energy efficiency resources

We review the potential for increased energy efficiency in Canada. Following discussion of the theoretical and conceptual basis for treating energy efficiency as a resource, the potential for increased efficiency is assessed in three categories: resource base (the maximum physical potential), ultimate recoverable resources (the maximum technical potential), and proven resources (cost-effective and technically available efficiency increases). The resulting estimates are compared with estimates from a companion paper, in which we assess energy-supply resources using the same set of categories. The policy implications of both sets of estimates are discussed.     

Does energy efficiency save energy? The debate and its consequences

This paper considers the debate in the UK and the USA on some economists' claims that improving energy efficiency will lead to a greater energy consumption (than would have otherwise occurred), a concept termed the Khazzoom–Brookes postulate. It analyses the criticisms of this claim and of the responses, particularly of the concept of ‘dematerialization’. The paper attempts to tackle the paucity of empirical evidence in the UK by looking at long-term trends in efficiency and use with respect to UK public lighting. Finally, it focuses on the views of two economists, namely Len Brookes and William Rees, who both accept the postulate but have differing views and policies on measures to reduce carbon emissions from fossil fuels. Brookes believes in free-market solutions, whereas Rees puts forward a vision of a sustainable future based on ecological tax-reform and reafforestation.     

Do energy efficiency measures really reduce household energy consumption? A difference-in-difference analysis

This study investigates the impact of energy efficiency measures installed through the Carbon Emission Reduction Target (CERT) and the Community Energy Saving Programme (CESP) on domestic gas and total energy consumptions. The recently released National Energy Efficiency Data-Framework (NEED) database is used to examine the changes in domestic gas and total energy consumptions for the dwellings in the sample relative to the changes in gas and total energy consumptions for a comparable control group in the year after installation. The results obtained from this difference-in-difference analysis confirm that observed energy consumption decreases significantly in dwellings following upgrades such as cavity wall insulation, loft insulation and a new efficient boiler. The single most effective energy efficiency measure when installed alone is found to be cavity wall insulation, reducing annual gas consumption by 10.5 % and annual total energy consumption by 8.0 % in the year following installation. Comparing bundles of different energy efficiency measures, we find that dwellings retrofitted with both cavity wall insulation and a new efficient boiler experience the largest reductions in annual gas and total energy consumptions of 13.3 and 13.5 %, respectively. This is followed by a mean annual reduction of 11.9 and 10.5 % in gas and total energy consumptions for dwellings with all three energy efficiency measures installed in the same year. Contrary to expectations, installing cavity wall insulation on its own is found to be more effective in reducing measured energy consumption than combining loft insulation and a new efficient boiler.     

Fiscal impacts of energy efficiency programmes—The example of solid wall insulation investment in the UK

Programmes supporting the installation of energy efficiency measures typically incur a cost in the form of subsidies as well as lost VAT income due to reduced energy consumption. Those costs are to some extent offset by the tax receipts and other revenue streams generated as a result of the activities promoted under the programme. In this paper we analyse the budgetary effects of energy efficiency programmes focusing on the example of solid wall insulation in the UK. Three distinct subsidy options have been defined and modelled for the purpose of this research including two policies with varying degrees of direct subsidy and a low interest loan scheme. Our analysis shows that a significant amount of the cost of a scheme funding solid wall insulation would be offset by increased revenues and savings. A loan scheme, due to the high leverage, achieves not only budget neutrality but generates additional revenue for the Exchequer.     

LMDI decomposition analysis of energy consumption in Andalusia (Spain) during 2003–2012: the energy efficiency policy implications

The aim of this paper is to analyse the changes in final energy consumption in Andalusia through logarithmic mean Divisia index (LMDI) decomposition analysis during the period 2003–2012. The results lead us to conclude that a reduction of final energy (FE) consumption of 1 % took place as a result of a diminishing in structural effect by 11 % and an increase in the activity effect and intensity effect by 7.4 and 3.5 %, respectively. Chain-linked LMDI decomposition shows the existence of two sub-periods, with a turning point in 2008. The first period, coinciding to a great extent with the Andalusian Energy Plan 2003–2006 (PLEAN), showed an increase in final energy consumption, mostly due to the activity effect but also to the intensity effect. The second period, coinciding with the implementation of the Andalusian Sustainable Energy Plan 2007–2013 (PASENER), shows a reduction in the activity, structure and intensity effects. The results allow us to conclude that many of the energy efficiency measures, implemented through the PASENER, are related to sectors that experienced a decline in energy consumption due to the intensity effect, such as transport, primary and service sectors. Additionally, although they were included in PASENER, more policy attention should be given to the energy transformation, residential and industrial sectors which increased the demand for energy due to the intensity effect during this period. Finally, the energy-saving behaviour of economic agents due to the economic downturn should also be considered as an explanation for the diminishing in energy consumption during this sub-period.     

Economic efficiency of a renewable energy independent microgrid with energy storage by a sodium–sulfur battery or organic chemical hydride

The present study uses numerical analysis to investigate the operating methods and costs of an independent microgrid incorporating a sodium–sulfur (NAS) battery or an energy storage system using organic hydrides. Details relating to the operation of the system and its installed capacity and cost were clarified, assuming the introduction of an independent microgrid in Kitami City, a cold region in Japan. Analysis results indicate that energy storage technology using the organic hydride system is economically inferior to the NAS battery owing to large losses associated with the water electrolyzer and dehydration reactor. Therefore, for the widespread use of the organic hydride system, it is necessary to improve the efficiency of these components.     

Trends of energy efficiency in Finnish road freight transport 1995–2009 and forecast to 2016

A framework for modeling and analyzing the energy efficiency of road freight transport is presented in this paper. This framework is tested by using the data from the Finnish Goods Transport by Road statistics. The data was enhanced by calculating the fuel consumption for each trip in the data. To calculate this, weight-fuel consumption functions were estimated for each Euro-class vehicles and road type. This is a new method for analyzing the energy efficiency of road freight transport and it could be applied also in other countries gathering freight transport data with continuous company surveys. The analysis show that the energy efficiency of road freight transport in Finland improved during 1995–2002, but has declined since. The major drivers in the development have been the changes in the level of empty running and vehicle fuel efficiency. Extrapolating current statistical trends of factors that influence the energy efficiency show that the target set by the Finnish government for improving energy efficiency by 9% until 2016 will not be achieved. However, the target is possible to be achieved by a combination of small changes to some determinants.     

To cool a sweltering earth: Does energy efficiency improvement offset the climate impacts of lifestyle?

As technical efficiency improvement in energy use remains a touchstone measure to curb greenhouse gas (GHG) emissions, there is substantial concern about whether this approach can offset the large and expanding impacts of human actions. Critics contend that without adjustments to the prevailing consumptive lifestyle, energy efficiency improvement will generate only token reductions in GHG emissions. I address this concern by examining the extent to which technical efficiency improvement in energy use offsets the impacts of housing-related lifestyle on GHG emissions. I build from two perspectives, the physical–technical–economic models that consider energy efficiency improvement as a potent strategy to curb residential energy consumption, and the lifestyle and social–behavioral approach, which questions this view. The analyses reveal consistent positive relationship between lifestyle and energy consumption. The results also indicate that energy efficiency improvement has mixed effects on energy consumption. In fact, model-based figures show that technical efficiency improvement in energy use leads to slightly higher energy consumption if it is not accompanied by adjustments to lifestyle.     

Enhancement of energy generation efficiency in industrial facilities by SOFC – SOEC systems with additional hydrogen production

Industry is one of the highest energy consumption sector: some facilities like steelworks, foundries, or paper mills are highly energy-intensive activities. Many countries have already implemented subsidies on energy efficiency in generation and utilisation, with the aim of decreasing overall consumption and energy intensity of gross domestic product. Meanwhile, researchers have increased interest into alternative energy systems to decrease pollution and use of fossil fuels. Hydrogen, in particular, is proposed as a clean alternative energy vector, as it can be used as energy storage mean or to replace fossil fuels, e.g. for transport.This work analyses the re-vamping of the energy generation system of a paper mill by means of reversible solid oxide cells (RSOCs). The aim is not only to increase efficiency on energy generation, but also to create a polygeneration system where hydrogen is produced. Application on a real industrial facility, based in Italy with a production capacity of 60000 t/y of paper, is analysed. First, the current energy system is studied. Then, a novel system based on RSOC is proposed. Each component of the systems (both existing and novel) is defined using operational data, technical datasheet, or models defined with thermodynamic tools. Then, the interaction between them is studied. Primary energy analysis on the novel system is performed, and saving with respect to the current configuration is evaluated. Even if the complexity of the system increases, results show that saving occurs between 2 and 6%. Hydrogen generation is assessed, comparing the RSOC integrated system with proton exchange membrane (PEM) electrolysis, in terms of both primary energy and economics. Results exhibit significant primary energy and good economic performance on hydrogen production with the novel system proposed (hydrogen cost decreases from 10 €/kg to at least 8 €/kg).     

Capturing energy efficiency in European iron and steel production—comparing specific energy consumption and Malmquist productivity index

European iron and steel producers are working towards increased energy efficiency to meet requirements set by European policies such as the Energy Efficiency Directive. In this study, we show that the specific energy consumption (SEC), representing the iron and steel sector in the Odyssee energy efficiency index (ODEX)—the tool for policy evaluation recommended by the European Commission—is insufficient for capturing energy efficiency trends of European iron and steel production. European producers focus on niche markets, diversifying and specialising their set of products well beyond crude steel, which is the benchmark product for deriving the SEC. We compare the SEC with the more comprehensive Malmquist productivity index (MPI) methodology, which is calculated using data envelopment analysis (DEA) techniques. An evaluation of energy efficiency trends during 2000–2010 showed that the SEC overestimated energy efficiency improvements for European steel industries, while underestimating the improvements achieved by Swedish steel industries. A comparison between the SEC, the MPI/DEA approach, and energy intensity based on value added in the Swedish case provides further insight to the methodological differences between the approaches. We conclude that the approaches highlight different aspects of energy efficiency analyses and that the SEC is not sufficient for capturing the energy efficiency of steel industries.     

Relationship between the total energy efficiency of a sodium–sulfur battery system and the heat dissipation of the battery case

The relationship between the total energy efficiency of an Na/S battery system and the heat dissipation through its battery case, was investigated. The total energy efficiency was heavily influenced by the heat dissipation of the battery case, and little influenced by the energy efficiency of its cells. In order to obtain a higher total energy efficiency, it is essential to design the battery case with less heat dissipation.     

Fusion energy : An energy source of the future?

With an increasing world population and a growing economy, the demand for energy is sure to grow. The latest predictions for world energy demand all show an upward trend and even with increased energy efficiency we will still need substantially more energy by 2050 than we use today. Where's it to come from? Dr Federico Casci of the European Fusion Development Agreement (EFDA) organisation believes part of the answer is fusion…     

An energy efficient Swedish pulp and paper industry – exploring barriers to and driving forces for cost-effective energy efficiency investments

Despite the need for increased industrial energy efficiency, studies indicate that cost-effective energy efficiency measures are not always implemented, which is explained by the existence of barriers to energy efficiency. This paper investigates whether this holds for the Swedish pulp and paper industry, and if so, investigates the barriers inhibiting and the driving forces stressing cost-effective energy efficiency investments. By so, this case study covers about 2% of the EU-25 industrial end-use of energy. The overall results from a questionnaire show that there is an energy efficiency gap in the sector and that the largest barriers were technical risks such as risk of production disruptions, cost of production disruption/hassle/inconvenience, technology inappropriate at the mill, lack of time and other priorities, lack of access to capital, and slim organization. As regards the driving forces for energy efficiency, the highest ranked driving forces were cost reductions resulting from lower energy use, people with real ambition, long-term energy strategy, the threat of rising energy prices, the electricity certificate system, the PFE. The results show that many of the barriers and driving forces were not solely market-related, e.g., lack of time or other priorities, slim organization, other priorities for capital investments, lack of staff awareness, and long decision chains indicate that firm-specific barriers plays an important role. These barriers may not be overcome by market-related public policy instruments but is rather a consequence of how the energy issue is organized within the firms. The second and the third largest driving forces, people with real ambition and a long-term energy strategy further support this.

Developments of energy in EU–unlocking the wave energy potential

The New Entrance Reserve (NER300) is one of the leading mechanisms used for the application and promotion of clean energy projects. In this context, this study aims to investigate the evolution of wave energy projects within the first and second call of NER300. Furthermore, the study tries to identify the reasons of successful applications through an estimation analysis of energy production, avoided emission and energy security. Milder resources contain ‘hidden’ opportunities for wave energy, with lower expenditure and capacity factors equivalent and even over 20%. Lower extreme events indicate that associated installation costs can be considered reduced, thus the potential cost of energy may act as a positive driver for future development. The results of the study argue that there are regions with ‘hidden’ opportunities that can accelerate proof-of-concept and enhance viability for wave energy.     

Modeling energy efficiency investment choices – a case study on Croatia’s residential sector

This article presents a methodological approach for incorporating household consumption characteristics and investment choices into energy efficiency policy models. The approach used is based on country-level stated preferences survey for evaluating consumer decisions and attitudes toward energy efficiency. The decision-making process was analyzed and modeled with logistic regression and applied onto the existing single-family housing stock. By applying the described framework, policymakers, or any other subsidy providing authority aiming to reach specific energy savings target, can obtain the distribution of financial incentives among different income classes. The developed model provides a framework for cost minimization and energy saving maximization. The model provides the minimal level of subsidies needed to achieve energy savings goals or maximum level of energy savings possible with a predefined budget for energy subsidies. The model accounts for consumer disaggregation and all results are provided per expenditure groups.     

Climbing the energy ladder or diversifying energy sources? The continuing importance of household use of biomass energy in urbanizing communities in Northeast Thailand

Following the energy ladder model, the role of biomass energy will diminish and even disappear as rural communities become more urbanized. However, the alternative fuel stacking model suggests that, as households become more urbanized, they diversify their energy sources while continue using firewood and charcoal. This study aimed to assess the extent to which biomass energy still plays an important role as a source of energy for household consumption across the urbanization spectrum of communities. Three villages in Khon Kaen province in Northeast Thailand representing the rural, suburban and urban communities were selected for study. Data were collected on energy uses at household level using a formal questionnaire survey along with field observation and field measurement. The results showed that total household energy consumption increased with urbanization. The absolute quantity of biomass energy used slightly increased when going from rural (5.52 GJ caput⁻¹ y⁻¹) to suburban (6.06 GJ caput⁻¹ y⁻¹) but greatly decreased for urban community (1.98 GJ caput⁻¹ y⁻¹), while the relative share declined with greater urbanization, being 46.2, 37.4 and 10.2% for the rural, suburban and urban communities, respectively. Both firewood and charcoal were used primarily for cooking, with a small amount used for home industry. It was concluded that, although the share of biomass energy in household energy portfolios does decline relative to modern energy sources in the course of urbanization, as predicted by the energy ladder model, there is no sharp discontinuity in utilization of energy sources between communities at different stages of urbanization and biomass continue to be an important component of household energy portfolios in all communities, supporting the fuel stacking model. It appears likely that biomass will remain an important source of household energy in Thailand for an extended period.     

G8+5 collaboration on energy efficiency and IPEEC: Shortcut to a sustainable future?

In recent years, the G8+5 system has proven to be a major focal point of international cooperation in the field of energy efficiency. The G8 has set up multiple dialogues and collaborative frameworks with five emerging economies (China, India, Brazil, Mexico and South Africa) on energy and energy efficiency. The most prominent initiative so far is the creation of the International Partnership for Energy Efficiency Cooperation (IPEEC) in 2009. This article critically evaluates these joint efforts between the G8 and the ‘Plus Five’ on energy efficiency. More specifically, the purpose of this article is (1) to frame and explain the emergence of this kind of great-power cooperation; (2) to map G8+5 collaboration on energy efficiency; and (3) to provide a critical assessment of the relevance, impact and results of G8+5 initiated energy efficiency initiatives. The main conclusion is that the G8+5 system has performed better on the external dimension (steering global governance) than on the internal dimension (coordination of domestic policies) of global energy efficiency governance.     

Switching towards coal or renewable energy? The effects of financial capital on energy transitions

Does a country's stock of financial capital affect its ability to achieve energy transitions? This paper uses data for up to 137 countries for the period 1998–2013 to investigate the importance of financial capital for changes in the use of each energy type. I find that financial capital supports transition to more capital-intensive energy types. For high-income countries, financial capital facilitates transitions from fossil fuels to modern renewable energy sources, especially wind. Both private credit from banks and domestic private debt securities support greater shares of wind energy. For lower-income countries, financial capital supports progression from biomass towards fossil fuel energy sources such as coal. I also find that countries with larger stocks of financial capital are more likely to move to more capital-intensive electricity generation systems.     

Thermal cooling using low-temperature waste heat: a cost-effective way for industrial companies to improve energy efficiency?

As a typical cross-cutting technology, cooling and refrigeration equipment is used for a variety of industrial applications. While cooling is often provided by electric compression cooling systems, thermal cooling systems powered by low-temperature waste heat could improve energy efficiency and promise a technical saving potential corresponding to 0.5?% of the total electricity demand in the German industry. In this paper, we investigate the current and future cost-effectiveness of thermal cooling systems for industrial companies. Our focus is on single-stage, closed absorption and adsorption cooling systems with cooling powers between 40 and 100?kW, which use low-temperature waste heat at temperature levels between 70?°C and 85?°C. We analyse the current and future cost-effectiveness of these alternative cooling systems using annual cooling costs (annuities) and payback times. For a forecast until 2015, we apply the concept of experience curves, identifying learning rates of 14?% (absorption machines) and 17?% (adsorption machines) by an expert survey of the German market. The results indicate that thermal cooling systems are currently only cost-effective under optimistic assumptions (full-time operation, high electricity prices) when compared to electric compression cooling systems. Nevertheless, the cost and efficiency improvements expected for this still young technology mean that thermal cooling systems could be more cost-effective in the future. However, depending on future electricity prices, a high number of operating hours is still crucial to achieve payback times substantially below 4?years which are usually required for energy efficiency measures to be widely adopted in the industry.     

Study of the combustion efficiency of polymers using a pyrolysis–combustion flow calorimeter

The combustion efficiency of various polymeric materials was studied using a pyrolysis–combustion flow calorimeter (PCFC). Decreasing the combustion temperature in a PCFC leads to partial combustion and lower heat release rates. Combustion efficiency versus combustion temperature was modeled using a phenomenological equation and model parameters were related to the chemical structures of eight pure polymers. The flame inhibition effect was evaluated for two classical approaches in flame retardancy by plotting the combustion efficiency versus the combustion temperature. In the first one (the reactive approach), polystyrenes with different chemical groups substituted on the aromatic ring were studied. In the second one (the additive approach), three well-known flame retardants were incorporated into an ABS matrix: ammonium polyphosphate, tetrabromobisphenol A (TBBA), and a TBBA/antimony trioxide system. Results confirm the flame inhibition effect of halogenated compounds in both approaches. Finally, a correlation between peaks of heat release rate (pHRR) in a cone calorimeter and in a PCFC was attempted. Predicting pHRR in a cone calorimeter using a PCFC appears possible when no barrier effect is expected, if PCFC tests are carried out at a precise combustion temperature, for which the combustion efficiencies in both tests are the same.