Monday, May 15, 2017

Energy Efficiency Investment Toolkit presents a new perspective on boosting investments

The G20's Energy Efficiency Investment Toolkit, published by International Partnership for Energy Efficiency Cooperation, provides a set of collaborative and voluntary options for G20 countries to boost energy efficiency investments and realize the significant economic, environmental and social benefits of energy efficiency in their economies. 
The majority of $221 billion global investments in energy efficiency occurred in the buildings sector with $118 billion or 53% of all efficiency investment. Transport was the second largest at $64 billion with investment  split between the passenger and freight sub-sectors. Industry came third with $39 billion energy efficiency investment almost evenly split between heavy industry and lighter manufacturing.

The Toolkit presents a new perspective on the challenge of scaling-up energy efficiency investments by defining and separating “core” energy efficiency investments, i.e. those standalone projects where the delivery of energy savings is the lead driver, and “integral” energy efficiency investments, where overall asset performance is the lead driver, while multiple benefits,including improved energy performance, are delivered by an incremental “embedded” investment. 
There are estimates that across multiple sectors in multiple countries, “core” energy efficiency investments represent just “single digit” percentages of total investments. For example,  ESCO markets are about 10% of total energy efficiency investments, and nearly zero-energy buildings currently have a small share of total global building investment, At the same time, incremental energy efficiency investment is integrated or embedded in around 30% of assets, and the largest proportion of assets (60%) are either inefficient or do not visibly consider energy efficiency, what contain a strong potential and big opportunities to deliver improved economic, social and environmental outcomes. Read more at