Impact of energy policy instruments on the estimated level of underlying energy efficiency in the EU residential sector

The promotion of energy efficiency is seen as one of the top priorities of EU energy policy (EC, 2010). In order to design and implement effective energy policy instruments, it is necessary to have information on energy demand price and income elasticities in addition to sound indicators of energy efficiency. This research combines the approaches taken in energy demand modelling and frontier analysis in order to econometrically estimate the level of energy efficiency for the residential sector in the EU-27 member states for the period 1996 to 2009. The estimates for the energy efficiency confirm that the EU residential sector indeed holds a relatively high potential for energy savings from reduced inefficiency. Therefore, despite the common objective to decrease ‘wasteful’ energy consumption, considerable variation in energy efficiency between the EU member states is established. Furthermore, an attempt is made to evaluate the impact of energy-efficiency measures undertaken in the EU residential sector by introducing an additional set of variables into the model and the results suggest that financial incentives and energy performance standards play an important role in promoting energy efficiency improvements, whereas informative measures do not have a significant impact.     

Energy efficiency in New Zealand's residential sector: A systemic analysis

This paper examines the complexity arising from the multiple, time varying factors that impact energy efficiency in New Zealand's residential sector. Initial problem structuring involved the analysis of behaviour over time of main variables and incorporated stakeholder analysis using a systems approach. Further, a systems model of the problem situation was developed using a participative group model building process. The analysis of the model revealed a set of feedback loops operating in the system identified as responsible for the complexity of the problem situation relating to energy efficiency. The paper concludes by highlighting some of the main results relating to long-term structural changes suggested by the stakeholders involved in this study to change the behaviour of the system.     

Government regulation as an impetus for innovation: Evidence from energy performance regulation in the Dutch residential building sector

The recent implementation of energy performance policy as a way to tackle energy consumption in the building sector in Europe draws attention to the effect it has on the development and diffusion of energy-saving innovations. According to innovation system literature, government regulation through norms and standards is one of the factors stimulating innovation. This paper concentrates on the role of stricter government regulation as an incentive to innovation in the Dutch residential building sector. Innovation in this sector is predominantly a process of applying incremental modifications to comply with new and stricter government regulations and standards. Energy performance policy in its current shape will therefore not contribute to the diffusion of really new innovation in energy techniques for residential buildings in the Netherlands. If diffusion of really new innovation is an explicit aim of energy performance policy then the European wide introduction of this scheme needs reconsideration.     

Life-cycle energy of residential buildings in China

In the context of rapid urbanization and new construction in rural China, residential building energy consumption has the potential to increase with the expected increase in demand. A process-based hybrid life-cycle assessment model is used to quantify the life-cycle energy use for both urban and rural residential buildings in China and determine the energy use characteristics of each life cycle phase. An input–output model for the pre-use phases is based on 2007 Chinese economic benchmark data. A process-based life-cycle assessment model for estimating the operation and demolition phases uses historical energy-intensity data. Results show that operation energy in both urban and rural residential buildings is dominant and varies from 75% to 86% of life cycle energy respectively. Gaps in living standards as well as differences in building structure and materials result in a life-cycle energy intensity of urban residential buildings that is 20% higher than that of rural residential buildings. The life-cycle energy of urban residential buildings is most sensitive to the reduction of operational energy intensity excluding heating energy which depends on both the occupants' energy-saving behavior as well as the performance of the building itself.     

Evaluating public policy instruments in the Greek building sector

This paper applies a multi-criteria analysis (MCA) to evaluate public policy mechanisms that foster energy efficiency and renewable energy sources in the Greek building sector, based on stakeholders’ understanding and perceptions of the functionality of policy instruments. The objective is to shed light on the implementation of currently employed policy mechanisms that aim to achieve the 2020 energy savings targets and beyond, providing useful information to policy makers for future policy (re-) formulations. In this framework, policy instruments were evaluated against process-related criteria, such as implementation costs, distributional effects, and coherence of policy processes, so as to highlight successful policy practices during their implementation phase as well as to unveil cases of policy underperformance or unintended policy outcomes. To hedge uncertainties related to policy instrument selection, the method employs probabilistic evaluations of every alternative against each criterion. The MCA results showed that the country is still missing significant energy saving opportunities that could be reached through more streamlined implementation practices and political support. In times of fiscal crisis, the Greek government should also revitalize the implementation of alternative funding mechanisms and support policy alternatives such as green public procurement, voluntary agreements, and energy performance contracting.     

Effect of building regulation on energy consumption in residential buildings in Korea

According to the International Energy Agency (IEA), the energy demand for the building sector constituted about 25.3% of the final energy use in South Korea. The energy demand for residential buildings counts for 50.3% of the building sector and has also increased by 2.9 percent every year. The Korean government has shifted focus and is now promoting energy efficiency within the building sector and has set long-term energy conservation goals.Despite these efforts to minimize building energy, the Korean government has changed the building regulation to allow remodeling of the balcony space as a living space. Remodeling the balcony space to become an indoor space means that a buffer space for the outdoor environment is lost, causing thermal discomfort and discomfort glare and moreover, increasing the heating and cooling energy demand in residential buildings. Also, it results in an increase in building energy demand in South Korea.In this study, the effect of the alteration of balcony space on the indoor thermal environment and the heating and cooling energy demand of residential buildings in Korea were investigated by field measurement and simulation. From the measurement results, the indoor temperature of the condition without a balcony was 0.8 °C lower than that with a balcony. The heating and cooling load of the unit without the balcony space was 39% and 22% higher, respectively, than that of the unit with the balcony space. This increase results in considerable energy loss in the national scale and the ratio will be 0.3% of the final energy use in Korea. Also, it represents about 1.3% of the final energy use within the building sector of Korea.     

Architectural and urban design potentials for residential building energy saving in the Gulf region

Systematic computer simulations and energy performance studies are conducted for a typical residential building and prevalent conditions in the Gulf region. The studies systematically deal with variations of the main geometrical parameters of the building envelope, comprising plan proportion, orientation, glazing allocation and obstruction. Comparative evaluations and sensitivity analyses expose the effects of these variables and define their relative contributions to prime energy-performance indicators. The combined effectiveness and potentials of the parameters compensate for their limited individual contributions to warrant their practical consideration for passive architectural and urban design application.     

On policy instruments for support of micro combined heat and power

The performance of residential micro combined heat and power (micro-CHP)—a technology to provide heat and some electricity to individual dwellings—is generally dependent on the magnitude of household thermal energy demand. Dwellings with larger and more consistent thermal consumption perform well economically and achieve greater greenhouse gas emissions savings. Consequently, the performance of micro-CHP is dependent on the level of thermal insulation in a dwelling. Therefore, emerging policy approaches regarding energy use in the residential sector, which generally support both energy efficiency measures such as thermal insulation and adoption of micro-CHP, may inadvertently incentivise micro-CHP installation where CO₂ reductions are meagre or not cost-effective. This article examines this issue in terms of the changes in economic and environmental performance that occur for three micro-CHP technologies under changing patterns of residential thermal insulation in the United Kingdom. The results of this analysis are used to comment on the structure of policy instruments that support micro-CHP. It is found that simultaneous support for energy efficiency measures and micro-CHP can be justified, but care must be taken to ensure that the heat-to-power ratio and capacity of the micro-CHP system are appropriate for the expected thermal demand of the target dwelling.     

An analysis of energy conservation possibilities in the residential sector in New Zealand

A model which simulates residential energy use in New Zealand until the year 2000 has been developed. This paper describes some of the energy conservation possibilities and their effect on energy use for space and water heating. an engineering analysis made to determine the effect of various factors on energy use for space heating is first described. the information gained from many computer simulations is used to develop a quantitative relationship between space heating energy and major determinants—climatic location, building type and intensity of use. Results from an engineering analysis of a water heating unit are used to establish the energy savings due to improved cylinder insulation and lower storage temperature. A solar space and water heating system is analysed to determine the fraction of total heating load that can be met by harnessing solar energy. the analyses demonstrate that the potential of conservation measures to reduce energy use can be substantial—by raising the insulation level on the building and on the water heating cylinder, by lowering the water storage temperature, and by installing an optimized solar heating system, the energy requirement can be reduced to 0·37 times what it is today for a typical uninsulated home.     

Stagnating energy efficiency in the Swedish building sector—Economic and organisational explanations

The development towards higher energy efficiency in the Swedish building sector stagnated in the late 1980s and 1990s. In new buildings the average specific energy use for heating is twice as high as in the best performing buildings 20 years ago. By combining econometric studies and interviews with actors in the building sector we analyse the underlying economic and organisational causes for this development. In the stock of buildings, specific energy use for heating (kWh/m²/yr) has a high correlation with increasing energy prices and price elasticities have not changed markedly over time. This implies that the stagnation to a large extent can be explained by energy price trends. On the contrary, in new buildings the correlation between energy prices and specific energy use is much weaker. One important cause of low sensitivity to price changes is that information about the life cycle cost (LCC) of different investment alternatives is often not available to the involved actors. The most common investment criterion is instead the requirements of the national building energy standard which has developed into a norm rather than a minimum for energy performance. In this paper we also discuss potential improvements in the learning processes within the sector.     

The potential for energy efficiency gains in the Canadian commercial building sector: A stochastic frontier study

The achievement of energy efficiency in commercial buildings is a function of the activities undertaken, the technology in place, and the extent to which those technologies are used efficiently. We study the factors that affect efficient energy use in the Canadian commercial sector by applying a stochastic frontier approach to a cross-section of Canadian commercial buildings included in the Commercial and Institutional Building Energy Use Survey (CIBEUS). Structural and climate-control features of the buildings as well as climatic conditions are assumed to determine the location of the frontier, while management-related variables including such factors as ownership type and activities govern whether or not the maximally attainable efficiency along the frontier is achieved. Our results indicate that although, on average, buildings appear to be fairly efficient, certain types of operations are more likely than others to exhibit energy efficiencies that are significantly worse than average. These results, along with those related to the effects of physical characteristics on the stochastic efficiency frontier, suggest that there is scope for focused policy initiatives to increase energy efficiency in this sector.     

Long-term energy savings and greenhouse gas emission reductions in the Swiss residential sector

The aim of this paper is to explore the possibilities to reach two long-term targets regarding energy consumption and greenhouse gas emissions of the Swiss residential building stock: a reduction of the final energy consumption by a factor of 3 and of _CO2${\mathrm{CO}}_2$ emissions by a factor of 5 until 2050. A model is constructed to describe the dynamics of the energy-relevant properties of the residential building stock. Appropriate scenarios are discussed in terms of decisions made during construction or renovation of residential buildings which affect heat demand and determine the energy carriers used for heating and hot water generation. We show that both targets could be reached, although ambitious efforts are necessary. The central element of a successful strategy is to reduce the specific heat demand of existing buildings during renovation and to substitute the heating and hot water systems by less carbon intensive ones. Our results suggest that there is more flexibility to reach the emission target than the energy reduction target.     

Energy saving potential in the residential sector of Uzbekistan

In 2003, the residential sector of Uzbekistan has consumed about 15.073 Mtoe (million ton of oil equivalent) of energy or 27.3% of the total energy consumed in the country. This value is approximately twice as much as that of residential sector of Turkey and Romania. The climate of above countries is comparable to that of Uzbekistan. In this article we suggest to use the heating degree-day method for determining the natural gas consumption norms for residential heating. Taking the climatic differences into account, the norms of natural gas consumption in respect to each resident are submitted for each region of Uzbekistan. The realization of suggested proposals allows saving about 9.2 billion m³ of natural gas annually.     

Compact fluorescent lighting and residential natural gas consumption: Testing for interactive effects

Replacing incandescent light bulbs with compact fluorescents (CFLs) has traditionally been seen as a cost effective means of promoting energy conservation. Recently, however, the magnitude of energy savings associated with CFLs has been called into question. Specifically, recent findings suggest an “interactive effect” associated with the replacement of incandescent light bulbs with CFLs in the residential sector. In this scenario, the reduced wattage of CFLs, relative to incandescent bulbs, generates less heat, which in turn, requires additional natural gas usage during the heating season. Engineering studies suggest the magnitude of the effect is significant in energy terms, which implies that the energy savings associated with CFLs may be significantly overstated. In this paper, we use billing analysis to test for the presence of interactive effects. Our analysis is based on a comprehensive dataset that includes monthly household electricity and natural gas usage, the number of CFL bulbs installed, the installation date, and a set of household characteristics. Our results suggest that CFLs do indeed save electricity. However, we do not find any support for the hypothesis that CFLs cause increased usage of natural gas.     

Economic optimization and sensitivity analysis of energy requirements in residential space heating

An analytical model which relates performance with costs of additional insulation has been developed and the optimum set of insulation values for the various surfaces of a new building has been determined in a generalized form. On this basis the determinants of the specific energy requirements, corresponding to an optimal level of insulation are identified. The sensitivity of the energy needs to variations in the building structure or design, in the economic conditions, and in the climate characteristics, is also investigated.     

Efficiency and the role of government in energy policy

It is well established that the presence of a monopolist producer removes efficiency from the world oil market. Efficiency in energy resource utilization can nevertheless be the proclaimed objective of an energy policy by an oil-importing nation if imported oil is considered a non-produced resource available at a given price. This article presents an example of such a policy which consists of the institution of price guarantees for energy alternatives and of government subsidies for the development of new energy technologies. We illustrate how this policy will attain efficiency, and the ratio of benefits to the costs associated with its adoption are calculated.     

Electricity end-uses in the residential sector of Brazil

The residential energy consumption has been studied in many countries as it usually accounts for a large percentage of the total energy consumption. Energy end-uses have also been a matter of concern as they can assist energy system planning. The objective of this paper is to assess the actual scenario of electricity consumption and estimate electricity end-uses in the residential sector of Brazil for different bioclimatic zones. The analysis is based on a survey performed by 17 energy utilities enclosing a total of 17,643 houses or flats over 12 states in Brazil. The survey was performed to obtain electricity consumption data for all household appliances found in houses and flats. The electricity end-uses were estimated by performing weighted averages according to the location of the dwellings in each bioclimatic zone. Results indicate that the largest end-uses are for refrigerator and freezer together, which account for about 38–49% of the electricity consumption in dwellings in Brazil. Air-conditioning and electric shower are the end-uses that are more dependent on the climatic conditions. The main conclusion that can be made from the analysis is that air-conditioning should be a major concern in the residential sector of Brazil in the near future as its ownership is still low, but its electricity consumption is already significant mainly over summer.     

Prediction of greenhouse gas reduction potential in Japanese residential sector by residential energy end-use model

A model is developed that simulates nationwide energy consumption of the residential sector by considering the diversity of household and building types. Since this model can simulate the energy consumption for each household and building category by dynamic energy use based on the schedule of the occupants’ activities and a heating and cooling load calculation model, various kinds of energy-saving policies can be evaluated with considerable accuracy. In addition, the average energy efficiency of major electric appliances used in the residential sector and the percentages of housing insulation levels of existing houses is predicted by the “stock transition model.” In this paper, energy consumption and CO₂ emissions in the Japanese residential sector until 2025 are predicted. For example, as a business – as-usual (BAU) case, CO₂ emissions will be reduced by 7% from the 1990 level. Also evaluated are mitigation measures such as the energy efficiency standard for home electric appliances, thermal insulation code, reduction of standby power, high-efficiency water heaters, energy-efficient behavior of occupants, and dissemination of photovoltaic panels.     

A method of identifying and weighting indicators of energy efficiency assessment in Chinese residential buildings

This paper describes a method of identifying and weighting indicators for assessing the energy efficiency of residential buildings in China. A list of indicators of energy efficiency assessment in residential buildings in the hot summer and cold winter zone in China has been proposed, which supplies an important reference for policy makings in energy efficiency assessment in buildings. The research method applies a wide-ranging literature review and a questionnaire survey involving experts in the field. The group analytic hierarchy process (group AHP) has been used to weight the identified indicators. The size of survey samples are sufficient to support the results, which has been validated by consistency estimation. The proposed method could also be extended to develop the weighted indicators for other climate zones in China.