The energy policy of the Republic of Cyprus

This paper presents the energy policy of the Republic of Cyprus government controlled areas from 1960 till 2006. It describes the sectors of electricity, petroleum, natural gas and renewable energy sources. It also deals with the marine layers of oil and with environmental aspects.     

Exploring drivers of energy demand in Cyprus – Scenarios and policy options

This paper describes a new set of energy demand forecasts for the Republic of Cyprus up to the year 2040, which have been developed in support of the renewable energy roadmap that was prepared for national authorities by the International Renewable Energy Agency. The analysis takes into account national end-use data from the residential and tertiary sector that had not been exploited up to now. Four final energy demand scenarios with diverging assumptions were defined in this study, offering a wide range of possible outcomes up to 2040; in addition, four alternative scenarios were applied for sensitivity analysis. Two of these scenarios can be regarded as those continuing the trends of the recent past in Cyprus (prior to the economic and financial downturn of years 2011–2014). However, a more rigorous implementation of energy efficiency measures in buildings and transport, as defined in the fourth scenario of this study, is also realistic; despite its potential costs, it might allow Cyprus both to decrease its carbon emissions in line with the long-term EU decarbonisation targets, and to reduce its dependence on fossil fuels, thereby promoting energy efficiency as an important climate change adaptation measure.     

Examining the role of energy efficiency and non-economic factors in energy demand and CO2 emissions in Nigeria: Policy implications

This paper examines the role of energy efficiency and non-economic factors such as consumers' preferences, lifestyles and values (which have hitherto been ignored) in energy demand and CO₂ emissions modelling for Nigeria. We use a structural time series model to estimate various energy demand and CO₂ intensity models that take account of the aforementioned factors. We adopt preferred models from these estimates to analyse how energy demand and CO₂ emissions in Nigeria might evolve by generating three different future scenarios to 2025. We find energy efficiency and non-economic factors to influence energy demand and CO₂ emissions. The long-run income and price elasticities obtained differ significantly from those in existing studies that have ignored these salient factors. In a business-as-usual scenario, the results indicate that energy demand will continue to grow. Consequently, present policies do not sufficiently mitigate aggregate CO₂ emissions in Nigeria. The lesson for policy makers is that the extant policies introduced to restrain CO₂ emissions (from a production perspective) have to be combined with new policies that influence consumers' lifestyles and behaviours, develop energy efficient technologies and apply low tariffs on imported energy efficient appliances, to drive down CO₂ emissions from a consumption perspective.     

Energy saving and energy efficiency concepts for policy making

Departing from the concept of rational use of energy, the paper outlines the microeconomics of end-use energy saving as a result of frugality or efficiency measures. Frugality refers to the behaviour that is aimed at energy conservation, and with efficiency we refer to the technical ratio between energy input and output services that can be modified with technical improvements (e.g. technology substitution). Changing behaviour from one side and technology from the other are key issues for public energy policy. In this paper, we attempt to identify the effects of parameters that determine energy saving behaviour with the use of the microeconomic theory. The role of these parameters is crucial and can determine the outcome of energy efficiency policies; therefore policymakers should properly address them when designing policies.     

Structural changes in Japan''s economy and society and outlook for long-term energy supply and demand

The purpose of this report is to give an outlook for Japan's energy supply and demand to 2015, while taking into consideration structural changes in the economy and society at present and into the future, and to extract subjects that we should address today. When projecting energy supply and demand for the next two decades, we face a number of uncertainties both at home and abroad. In order to project energy supply and demand in the future, three scenarios are assumed: the standard case, the high growth case and the low growth case. Energy supply and demand are projected for each case, showing conditions under which the three scenarios are achieved.     

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.     

Trigeneration primary energy saving evaluation for energy planning and policy development

Trigeneration or combined heat, cooling and power (CHCP) is becoming an increasingly important energy option, particularly on a small-scale basis (below 1 MW_e), with several alternatives nowadays available for the cooling power production and the coupling to cogeneration systems. This paper deals with the introduction of a suitable framework for assessing the energy saving performance of trigeneration alternatives, orientated towards energy planning studies and the development of regulatory policies. In particular, a new generalized performance indicator—the trigeneration primary energy saving (TPES)—is introduced and discussed, with the aim of effectively evaluating the primary energy savings from different CHCP alternatives. The potential of the TPES indicator is illustrated through specific analyses run over different combinations of trigeneration equipment, providing numerical examples based on time-domain simulations to illustrate the dependence of the energy saving characteristics on the CHCP system configurations and equipment, as well as on the loading levels. In addition, the key aspect of adequately establishing the reference efficiencies for the conventional separate production of electrical, thermal and cooling power is addressed in detail. This aspect affects both equipment selection and potential profitability of the considered solutions under the outlook of receiving financial incentives.     

The coming sustainable energy transition: History,strategies, and outlook

Facing global climate change and scarce petroleum supplies, the world must switch to sustainable energy systems. While historical transitions between major energy sources have occurred, most of these shifts lasted over a century or longer and were stimulated by resource scarcity, high labor costs, and technological innovations. The energy transition of the 21st century will need to be more rapid. Unfortunately, little is known about how to accelerate energy transitions. This article reviews past transitions and factors behind them, along with their time frames. Three modern case studies are discussed: Brazil, which shifted from an oil-based transportation system to one based on sugarcane-ethanol (success); France, which shifted from oil-fired electric power to nuclear power (success); and the United States, which attempted to shift from foreign oil to a mix of domestic energy resources (failure). Lessons from these attempts to govern energy transitions are discussed. Several policy instruments to accelerate a transition are identified, though even under ideal circumstances a global energy supply transition will be very slow. Given the need to simultaneously implement programs in countries with different political economies, a greater focus on energy efficiency, promotion of Smart Grids, and possibly a new treaty should yield more timely results.     

Energy efficiency outlook in China’s urban buildings sector through 2030

This study uses bottom-up modeling framework in order to quantify potential energy savings and emission reduction impacts from the implementation of energy efficiency programs in the building sector in China. Policies considered include (1) accelerated building codes in residential and commercial buildings, (2) increased penetration of district heat metering and controls, (3) district heating efficiency improvement, (4) building energy efficiency labeling programs and (5) retrofits of existing commercial buildings.Among these programs, we found that the implementation of building codes provide by far the largest savings opportunity, leading to an overall 17% reduction in overall space heating and cooling demand relative to the baseline. Second are energy efficiency labels with 6%, followed by reductions of losses associated with district heating representing 4% reduction and finally, retrofits representing only about a 1% savings.     

Red light for Green Paper: The EU policy on energy efficiency

The EU Green Paper on energy efficiency calls for action to decrease energy use and thus achieve increased competitiveness, fulfil the environmental targets and increase security of supply. In this comment, we examine the role the EU Commission suggest that energy efficiency, and policies supporting energy efficiency, takes. The policies and the suggestions are qualitatively elaborated upon in the light of the goal of a common European electricity market. We suggest that the rationales for the energy efficiency measures are weak, and that the suggested goals of increased competitiveness, environmental targets, and security of supply are best reached with the direct measures especially designed for each goal. Some of the energy efficiency measures may counter-act other direct policies. Further, The Green Paper measures may prove detrimental to the European Electricity market insofar as the policies suggested could lead to a policy fatigue among the electricity consumers.     

An econometric study on long-term energy outlook and the implications of renewable energy utilization in Malaysia

We developed a comprehensive econometric model to study the long-term outlook of Malaysia's economy, energy and environment to 2030. Our projections under the reference scenario indicated that Malaysia's gross domestic production (GDP) is expected to average 4.6% from 2004 to 2030, and total primary energy consumption will triple by 2030. Coal import will increase following governmental policy of intensifying its use for power generation. Oil import is predicted to take place by 2013 and reach 45 Mtoe in 2030. Hence, in the near future, Malaysia's energy import dependency will rise. Carbon emissions will triple by 2030. On the other hand, our projections under an alternative renewable energy (RE) scenario showed that the utilization of RE is a strategic option to improve the long-term energy security and environmental performance of Malaysia. However, substantial governmental involvements and support, as well as the establishment of a regulatory framework are necessary.     

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.     

Assessment of energy efficiency performance measures in industry and their application for policy

Energy efficiency improvement is a basic yet significant way of addressing both energy security and environment concerns. There are various measures of industrial energy efficiency performance, with different purposes and applications. This paper explores different ways to measure energy efficiency performance (MEEP): absolute energy consumption, energy intensity, diffusion of specific energy-saving technology and thermal efficiency. It discusses their advantages and disadvantages, and roles within policy frameworks. Policy makers should consider the suitability of MEEP based on criteria such as reliability, feasibility and verifiability. The limitations of both energy intensity and necessity of broader all-inclusive indicators and technology diffusion indicators are also discussed. A case study on Japan's iron and steel industry illustrates the critical role of proper boundary definitions for a meaningful assessment of energy efficiency in industry. Depending on the boundaries set for the analysis, the energy consumption per ton of crude steel ranges from 16 to 21 GJ. This paper stresses the importance of a proper understanding of various methods to assess energy efficiency, and the linkage with policy objectives and frameworks. Possible next steps for improvement of MEEP, such as database development, were also discussed.     

The unexpected challenges of using energy intensity as a policy objective: Examining the debate over the APEC energy intensity goal

AimsEnergy intensity (energy demand per unit of economic output) is one of the most widely used indicators of energy efficiency in energy policy discussions. Yet its application in real-world policymaking can be surprisingly problematical. This paper aims to provide guidance to governments and organizations considering using energy intensity as a policy objective.ScopeIn 2007 the APEC community adopted, then in 2011 revised, an APEC region-wide energy intensity improvement goal. This paper presents a case study of that experience, focusing on three key ‘lessons learned’. These lessons are not original findings. However, none of them have received the recognition they deserve, and consequently, they came as a surprise to many of those involved in APEC's policy discussions.ConclusionsThe three lessons are as follows: (1) Energy intensity improvement is happening surprisingly quickly, but not quickly enough to meet the world's energy challenges. (2) It is difficult to find a definition of energy intensity that can make it suitable for use as an indicator of regional energy efficiency. (3) Whether the GDP's of individual economies are converted to common currency using market exchange rates or purchasing power parity (PPP) can dramatically change regional energy intensity improvement calculations.     

Assessment of energy savings from the revised building energy code of Thailand

The government of Thailand legislated an Energy Conservation Promotion Act (ECP Act) in 1992 and set bye-laws that identify designated buildings (DBs) and detail mandatory requirements for energy conservation for DBs in 1995. An Energy Conservation Promotion Fund (ENCON Fund) was also created to fund energy audits on 1900 DBs. Recently the requirements and procedures for energy conservation in buildings have been revised where system performance requirements for building envelope, lighting, air-conditioning, and hot water generation are adopted. Moreover, the new building energy code (BEC) distinguishes different categories of DBs, provides credit for use of solar energy, and introduces a new option of whole building energy compliance. The authors develop building models from data obtained from energy audit reports and use them to estimate savings on energy and peak demand from future new buildings using forecasted energy and peak demand data from the Load Forecast Subcommittee, a panel tasked to forecast future electric load of Thailand. From a modest level of energy saving in the first year that the code is expected to be enforced, the level of saving rise to over 10% and 20% annually of requirement of target buildings in 6 and 12 years respectively.     

UK energy policy – Stuck in ideological limbo?

Energy policy in the UK has undergone a paradigm change over recent decades – from the free market stance of the 1990s to the more interventionist measures of the 21st century. However, the two approaches have not been reconciled – even as the Government intervenes, it reaffirms its goal of creating more competitive markets. The contradictions are most apparent with electricity, which has been the main focus of intervention to date, in line with decarbonisation strategy. Investment is dependent on Government support, which changes in response to circumstances, creating uncertainty and undermining the basis of market operation – so leading to the need for more intervention. The future for other sources – natural gas, nuclear power and carbon capture and storage in particular – remains unclear. The Government risks getting the worst of both worlds – without the coordination and direction which could come from a centralised approach or the efficiencies and innovation which might emerge from a more consistent market based policy. Unless a fuller policy statement, expected later this year, can clarify matters, UK energy policy will not be fit for purpose and will fail to meet its key goals, of economic effectiveness, environmental protection and energy security.     

The Apollo fallacy and its effect on US energy policy

US Policy makers have made continual references to the Apollo Program as a model for development of alternative energy technologies. This model, however, is inappropriate for energy policy, and its use is termed the Apollo fallacy. The goal of the Apollo Program was the demonstration of engineering prowess while any alternative energy technology must succeed in the marketplace. Several Apollo-like energy programs have been tried and all have failed at high cost. It is argued that the use of Apollo has political benefits but that it is detrimental to the adoption of potentially effective energy policies.     

Voluntary agreements with white certificates for energy efficiency improvement as a hybrid policy instrument

In this paper we examine the implementation of a combined policy scheme that consists of a traditional instrument, the voluntary agreements (VAs), and an innovative one, the white certificates (WhC). The basic structure of this scheme is that energy suppliers who undertake an energy efficiency obligation under a white certificate scheme can make use of voluntary actions to enhance investments in innovative energy savings projects. Energy suppliers and other market parties can additionally or in parallel participate in voluntary agreements and set energy efficiency targets. For fulfilling their voluntary agreement target, these market parties can receive tax exemptions or receive white certificates that they can sell in the market. Transaction costs and baseline definition for demonstrating energy efficiency improvement deserve special attention. This policy can assist a country to enhance energy efficiency improvement while it stimulates innovation. Cost effectiveness can be higher than the case of stand-alone policy instruments, since more financing options are available for more expensive projects. Nevertheless, the added value of the scheme lies more in the implementation of innovative measures for enhanced energy efficiency. Furthermore, market parties can discover more business opportunities in energy efficiency and establish a green image; hence an integrated scheme should achieve higher political acceptability.     

Renewable energy policy development in the Caribbean

The Caribbean region is endowed with renewable energy resources which remain largely untapped. With an average insolation of 15-20 MJ m⁻² day⁻¹, investment in some renewable energy technologies is feasible. The major problem confronting the region is lack of financial resources. Petroleum imports continue to dominate the energy scenario except for Trinidad and Tobago and Barbados. However, increased awareness of sustainable development issues throughout the region is a major factor in support of renewable energy implementation and is a driving force for energy policy decision-making. With the necessary joint-venture partnerships and government fiscal incentives, photovoltaic technologies, wind energy and solar energy industries are poised to expand thus reducing the dependency on fossil fuel imports while preserving the environment.     

Potential energy savings and environmental impact by implementing energy efficiency standard for household refrigerators in China

With the rapid economic growth and improvement in standard of living, Chinese people are employing more and more household appliances to make their living convenient and comfortable, of which refrigerators are indispensable. Because refrigerators operate continuously irrespective of seasons and regions, the total electricity consumption of refrigerators is huge and consequently causes severe energy-related environmental issues. China has been paying more and more attention to this and issued a national energy efficiency standard, GB12021.2-2003, for refrigerators. This paper first describes the standard briefly. Then it develops a mathematic model to evaluate the potential energy savings and environmental impacts of the standard. The estimated results indicate implementing the standard will save large energy, as well as benefit greatly to environment. Thus, it is very necessary to implement energy efficiency standard for refrigerators in China.