European Union Energy Efficiency Research Articles

Can distributor system operators play a role in the European Union energy efficiency financing game?

On-bill schemes are innovative financial frameworks for supporting energy renovation based on private capital. Direct intervention of public authorities may not be necessary. The pivotal role is assumed by energy utilities which are the originators of the business and act as market aggregators. On-bill schemes are based on a simple principle, namely the utility supports the energy renovation of final users by providing the upfront capital to repay on the utility bill. This implies that energy supply and renovation services are provided by the same company. This could be a limitation since the user may be obliged to stay with the same energy supplier for all the duration of the on-bill scheme. Even more complications can arise when the dwelling is sold or rent to another tenant. For such a reason it is important to find solutions for the possible decoupling of energy supply and energy renovation services. The present paper introduces an innovative business model which involves Distribution System Operators or other designated entities acting as market facilitators supporting the decoupling between energy supply and building energy renovation services. To characterise precisely the business ecosystem and the relations among the different actors, the Value Flow Model is employed.

Improved methodology for affordable, reliable deep building renovations

European Union energy efficiency goals put refurbishments in focus as the existing building stock takes a high share in the final energy consumption meanwhile current refurbishment rates are lower than expected. This research attempts to answer the question: How can renovation processes be improved to raise renovation rates? The methodology development process consisted of identifying the methodological background, the phases and steps of the renovation process and the validation strategies. As a result, five methodological phases were identified. Renovations start with the Feasibility phase where a simple financial and technical assessment is carried out. During the Preparation phase necessary information is collected which results in a calibrated simulation model that can support the design. In the Design phase the renovation options are developed and assessed together with a business plan for financing the implementation through renovation cycles. The renovation measures are carried out during the Implementation phase. In the Operation phase the performance of the refurbished building is monitored and improved. The developed methodology is expected to provide more affordable, reliable building renovations, which reduces the performance gap, the upfront investment and the disruption of user life by reducing overall time on site. This results in an increased investment efficiency leading to higher uptake of refurbishments.

Communication solutions for smart buildings

Building energy is a priority in the European Union's energy efficiency directives. In line with this, the EnerOptima module implemented within the framework of the Earth Energy Competence Center Project aims to optimize the building energy of existing buildings. The selection of the communication of the measuring and control modules to be implemented in the project requires great care, as it determines the quality of the IoT network. The article deals with the communication options used in different building energetics and their comparison. The purpose of this article is to compare communication protocols that are well-suited to the project and to select the optimal one for the project.

Exploring advocacy coalitions for energy efficiency: Policy change through internal shock and learning in the European Union

This empirical study analyses policy change in the area of European Union energy efficiency policy by applying the advocacy coalition framework (ACF). The energy efficiency directive (EED) and its provisions on individual metering and billing (IMB) is used as a case study. IMB provisions have rendered substantial debate for almost a decade and the provisions were amended following successful advocacy work of the coalition opposing IMB. The study confirms recent developments of the ACF theory that internal shocks are important for policy change. Policy change followed other pathways too, particularly policy-oriented learning. As for policy-oriented learning, it was manifested in different ways, e.g. the acceptance of the core beliefs and proposals for amending the IMB provisions put forward by the coalition opposing IMB by a majority of Member States in the Council of the European Union, the European Parliament and the proponents of IMB. Besides contributing to development of scientific theory, the knowledge provided in the paper can inform various stakeholders to better shape their future strategies in advocacy work in European Union policy making and national policy implementation.

A comparative meta-analysis of residential green building policies and measures in the EU, and their impact on overall energy patterns

Data shows residential energy consumption constituting a significant portion of the overall energy end use in the European Union (EU), ranging between 15% and 30%. Furthermore, the EU’s dependency on foreign fossil fuel-based energy imports has been steadily increasing since 1993, constituting approximately 60% of its primary energy. This paper provides an analytical review of diverse residential building/energy policies in targeted EU countries, to shed insight on the impact of such policies and measures on the energy use and efficiency trends. Accordingly, the adoption of robust residential green and energy efficient building policies in the EU has increased in the past decade. Moreover, the data from the EU energy efficiency and consumption databases attributes 44% of total energy savings since 2000 to energy upgrades and improvements within the residential sector. Consequently, many EU countries and organizations are continuously evaluating residential building energy consumption patterns to increase the sector’s overall energy performance. To that end, the energy efficiency gains in EU households were measured at 1% in 2000 compared to 27.8% in 2016, a 2600% increase. Accordingly, 36 policies have been implemented successfully since 1991 across the EU targeting improvements in residential energy efficiency and reductions in the energy use. Moreover, the adoption of National Energy Efficiency Actions Plans (NEEACP) across the EU has been a major driver of energy savings and energy efficiency. Most energy efficiency plans have followed a holistic multi-dimensional approach targeting the following areas, legislative actions, financial incentives, fiscal tax exemptions, and public education and awareness programs and campaigns. These measures and policy instruments have cumulatively generated significant energy savings and measurable improvements in the energy performance across the EU since their inception. As a result, the EU residential energy consumption trends show a consistent decrease over the past decade. The purpose of this analysis is to explore, examine, and compare the various green building and energy-related policies in the EU, highlighting some of the more robust and progressive aspects of such policies. Lastly, the paper analyzes the multiple policies and guidelines across targeted EU nations.

Empowering Small Electricity Consumers to Help European Member States to Reach the Energy Efficiency Targets of the European Union

In Europe, small electricity consumers are not using the full potential offered by smart meters. Although the European Union requires Member States to provide consumers with their energy usage data, small consumers are not using this data for improving their energy efficiency. This paper proposes: first, the standardization of the electrical load curve offered to small energy consumers at European level. Second, the use of open innovation challenges as a policy instrument in the European Union to improve the energy efficiency of the small electricity consumers and to encourage the development of new market niches. Finally, the paper quantifies how ICT energy efficiency solutions for small electricity consumers can contribute to the achievement of the 2020 European Union energy efficiency targets.

A comparative meta-analysis of residential green building policies and their impact on overall energy consumption patterns

Data shows residential energy consumption constituting a significant portion of the overall energy end use in the European Union (EU), ranging between 15% and 30%. Furthermore, the EU’s dependency on foreign fossil fuel-based energy imports has been steadily increasing since 1993, constituting approximately 60% of its primary energy. This paper provides an analytical re-view of diverse residential building/energy policies in targeted EU countries, to shed insight on the impact of such policies and measures on energy use and efficiency trends. Accordingly, the adoption of robust residential green and energy efficient building policies in the EU has increased in the past decade. Moreover, data from EU energy efficiency and consumption databases attributes 44% of total energy savings since 2000 to energy upgrades and improvements within the residential sector. Consequently, many EU countries and organizations are continuously evaluating residential building energy consumption patterns to increase the sec-tor’s overall energy performance. To that end, energy efficiency gains in EU households were measured at 1% in 2000 compared to 27.8% in 2016, a 2600% increase. Accordingly, 36 policies have been implemented successfully since 1991 across the EU targeting improvements in residential energy efficiency and reductions in energy use. Moreover, the adoption of National Energy Efficiency Actions Plans (NEEACP) across the EU have been a major driver of energy savings and energy efficiency. Most energy efficiency plans have followed a holistic multi-dimensional approach targeting the following areas, legislative actions, financial incentives, fiscal tax exemptions, and public education and awareness programs and campaigns. These measures and policy instruments have cumulatively generated significant energy savings and measurable improvements in energy performance across the EU since their inception. As a result, EU residential energy consumption trends show a consistent decrease over the past decade. The purpose of this analysis is to explore, examine, and compare the various green building and energy-related policies in the EU, highlighting some of the more robust and progressive aspects of such policies. The paper will also analyze the multiple policies and guidelines across targeted European nations. Lastly, the study will assess the status of green residential building policies in Lebanon, drawing from the comprehensive European measures, in order to recommend a comprehensive set of guidelines to advance energy policies and building practices in the country. Keywords: Building Policies; Residential Energy Patterns; Residential Energy Consumption; Energy Savings

Is there climate policy integration in European Union energy efficiency and renewable energy policies? Yes, no, maybe

AbstractThe integration of climate policy concerns in other policy areas where decisions are taken that determine greenhouse gas emissions is a prerequisite for effectively mitigating climate change. There are particularly strong interlinkages between energy and climate policy as the major part of greenhouse gas emissions is related to energy supply and use. We compile a set of five output‐focused indicators for assessing climate policy integration (political commitment, functional overlap, policy instruments, weighting, and time perspective). We then apply the criteria for an appraisal of climate policy integration in European Union (EU) energy policy during the last decade; that is, we focus on climate policy integration from a horizontal perspective. The focus of our research lies on the comparison of the Renewable Energy and the Energy Efficiency Directives of the Energy Union Package with their predecessors. Our results show that climate change mitigation is a key objective in these documents. The energy policy objectives are generally synergetic with climate policy. The Energy Union Package makes progress in some areas like the more stringent EU targets for renewable energy and energy efficiency or the more stringent sustainability criteria for biofuels. However, some conflicting issues arise. The shift from national to an overall EU renewables target and the change towards more market‐oriented support schemes might together with the elimination of preferential grid access for renewable electricity entail negative impacts on renewable investment and on achieving emission reductions. It remains to be seen whether the adaptations in EU energy policy will lead to the required acceleration of the energy transition.

Policy coherence by subterfuge? Arenas and compromise‐building in the European Union's energy efficiency policy

AbstractThis paper looks at how policy‐makers use various alternative decision arenas to avoid internal policy incoherence. Inconsistency between goals and measures in a policy indirectly results from conflicting interests pulling in different directions within a heterarchical institutional setting. To avoid deadlock, negotiators rely on consensus‐building techniques such as watering down, issue redefinition, and the setting of targets without actions. These techniques facilitate moving away from the status quo, but they come at the expense of coherence. This paper shows that alternative decision arenas may bypass conflict, and thereby make the use of consensus‐building techniques unnecessary, resulting in more coherence. Examples from the emerging field of energy efficiency policy substantiate this claim.

Analysis of regulatory instruments promoting building energy efficiency

Building energy efficiency is important for reaching both global climate goals and European Union energy efficiency goals. Although building energy efficiency is a long-time government priority, renovation projects are developing at a rather slow rate and may be an obstacle for a transition to a low carbon energy system. The development of Energy Service Companies in the building renovation sector is even slower. The systems dynamic model for building renovations has been already developed in 2011. With more data on renovated buildings it is possible to improve the performance of the model, analyze the impact of support measures, including grant schemes, and propose a support intensity for future programs. It was found that grant schemes are beneficial for the energy performance measures, however, insufficient for fast implementation of large scale energy efficiency improvements.

Adoption of Energy Design Strategies for Retrofitting Mass Housing Estates in Northern Cyprus

This research project is undertaken in the Turkish Republic of Northern Cyprus (T.R.N.C.). The objective of the research is to investigate the occupants’ behaviour and role in the refurbishment activity by exploring how and why occupants decide to change building systems and how to understand why and how occupants consider using energy-efficient measurements. The housing estates are chosen from 16 different projects in four different regions of the T.R.N.C. that include urban and suburban areas. The study is conducted through semi-structured interviews to identify occupants’ behaviour as it is associated with refurbishment activity. This paper presents the results of semi-structured interviews with 70 homeowners in a selected group of 16 housing estates in four different parts of the T.R.N.C. Alongside the construction process and its impact on the environment, the results point out the need for control mechanisms in the housing sector to promote and support the adoption of retrofit strategies and to minimise non-controlled refurbishment activities. The results demonstrate that European Union Energy Efficiency directives need not only inform households about technological improvements that can be installed in their residential properties, but should also strongly encourage and incentivise them to use them efficiently. Furthermore, the occupants’ energy consumption behaviour and the applicable policy interventions will make the difference between implementing policy which in fact delivers on its aims for energy efficiency and sustainability.

Achievable or unbelievable? Expert perceptions of the European Union targets for emissions, renewables, and efficiency

In 2007, the European Union (EU) set goals to reduce greenhouse gas (GHG) emissions, called H2020 targets, by 2020. Following the adoption and implementation of policies related to these targets, this study surveyed 187 experts from 25EU countries to analyse their perceptions regarding the achievement of the H2020 targets. The experts' countries are grouped in five geographical regions: Central European countries (CEC), Western European countries (WEC), South-Eastern European countries (SEEC), Nordic countries (NC), and East European countries (EEC). The survey results demonstrate a broad scepticism among those interviewed: 49% perceive that the renewable energy (RE) target will not be accomplished, 60% perceive that the EU's GHG emission policies are not sufficient to fulfil the GHG reduction target, and 85% state that the EU's energy efficiency will not succeed. The regional comparison reveals that an overwhelming majority (82–93%) from SEEC, NC, and EEC feel that consistent and sufficient incentives are necessary to meet the RE targets for biomass. Contrary to the majority opinion among WEC experts, the majority from all other regions perceive that the EU GHG policies are insufficient and that the H2020 targets will not be achieved.

Energy Efficiency and Energy Management Nexus

Global energy resources are constantly being depleted and prices of primary energy resources are increasing. Therefore more attention should be paid to the development of alternative energy resources and rational utilization of existing resources. European Union's Energy Efficiency Directive is dedicated to rational utilization of energy resources by implementing energy efficiency measures for energy end user. In order to use benefits from the energy efficiency measures and to achieve new energy efficiency benchmarks, company's energy management is necessary. Only the energy efficiency and energy management nexus enables to achieve potentially the best result.In this research is explained that simple benchmarking at benchmarking 1 level does not give the possibility to achieve maximum energy consumption savings. More thorough energy efficiency and energy management nexus gives opportunity to determine that it is possible to regulate production capacity so that facility operates with a minimum electricity consumption per unit of production.

An ex-ante evaluation of the EU Energy Efficiency Directive - Article 7

The European Union's Energy Efficiency Directive calls for EU Member States to put in place ambitious energy efficiency policies and requires them to establish energy saving targets. One of the most important Articles of the Directive is Article 7, which required Member States to implement Energy Efficiency Obligations and/or alternative policy instruments in order to reach a reduction in final energy use of 1.5% per year. This paper assesses how Article 7 has been applied by Member States and what the implications are. Analysing the plans of all 28 Member States we evaluate how Article 7 is implemented across the EU. This includes an analysis of the types of policies used, the distribution of the anticipated savings across the different policy instruments, and whether or not the way Article 7 is applied in reality meets the requirements set by the Directive. Our analysis shows that Member States take very different approaches with some using up to 112 policy measures and others just one. We also identify areas of concern particularly related to the delivery of the energy savings with respect to the Article 7 requirements, the calculation methods, and the monitoring and verification regimes adopted by Member States. We model to what extent the projected savings are likely to materialise and whether or not they will be sufficient to meet the target put forward by Article 7. In our paper we also make suggestions for modifying the Energy Efficiency Directive in order to address some of the problems we encountered.

A harmonized calculation model for transforming EU bottom-up energy efficiency indicators into empirical estimates of policy impacts

This study is an impact analysis of European Union (EU) energy efficiency policy that employs both top-down energy consumption data and bottom-up energy efficiency statistics or indicators. As such, it may be considered a contribution to the effort called for in the EU's 2006 Energy Services Directive (ESD) to develop a harmonized calculation model. Although this study does not estimate the realized savings from individual policy measures, it does provide estimates of realized energy savings for energy efficiency policy measures in aggregate. Using fixed effects panel models, the annual cumulative savings in 2011 of combined household and manufacturing sector electricity and natural gas usage attributed to EU energy efficiency policies since 2000 is estimated to be 1136PJ; the savings attributed to energy efficiency policies since 2006 is estimated to be 807PJ, or the equivalent of 5.6% of 2011 EU energy consumption. As well as its contribution to energy efficiency policy analysis, this study adds to the development of methods that can improve the quality of information provided by standardized energy efficiency and sustainable resource indexes.

A proposal to combine classical and hypothetical extraction input–output methods to identify key sectors for the production and distribution of electricity

This analysis explores the possibility of merging into a ‘combined’ proposal two standard I-O methods identifying key sectors, the Classical Multiplier and Hypothetical Extraction. In the context of the latest revision of the European Union Energy Efficiency Plan, we use this proposal to single out key sectors that boost potential energy savings in the economic system—specifically, in the production and distribution of electricity. Using the main distinctions and complementarities of the two traditional I-O key-sector approaches, the combined formulation allows us to disaggregate the backward stimuli of the electricity sector into three indicators: total, internal and external backward indicators. This combined proposal provides additional insights into the structure of the industrial linkages that participate in the production and distribution of electricity. Our results reveal that the explanation for the intensity of the backward effects of the electricity sector depends not only on other energy sectors but also on some manufacturing industries. We put forward that these findings may be important for developing a more balanced and cost-effective design for energy efficiency policies.