Abstract
Understanding the developments of energy efficiency in the context of the global energy network is key to advance energy regulation and fight climate change. We develop a global panel dataset on energy usage accounts based on territorial production, final production and consumption over 1997–2014. We apply structural decomposition analysis to isolate energy efficiency changes and study the effectiveness of the European Union Energy Services Directive [2006/32/EC] on energy efficiency. The effectiveness of the Directive is mixed. The different dynamics found among the European Union members result from differences in the ambition of national energy policies and from the structure of their supply chains. The observed trends towards energy efficiency gains and increases in renewable energy shares are not specific to the European Union, but are common among high-income countries. Energy policies in high-income countries are less effective for energy footprints. Our findings are indicative of energy leakage. Energy regulation should account for global supply chains.
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