The Evolution of Energy Efficiency Policy to Support Clean Energy Transitions
Introduction
In April 2203, the Group of Seven (G7) countries pledged to advance and promote a green transformation, aiming to realize economies reaching GHG net zero by 2050. They emphasized the need to increase energy security and accelerate clean energy transitions by diversifying supply, sources, and routes, including rapidly deploying clean, safe, sustainable, and affordable energy while enhancing energy efficiency significantly.
Key Takeaways
- Global Challenge: Governments, businesses, and citizens face the challenge of climate change and the need to accelerate clean energy transitions to reach net zero emissions by 2050.
- Energy Efficiency Importance: Reducing energy-related emissions involves moving away from fossil fuels to electrified systems, significant and sustained improvements in energy efficiency, and increasing renewable electricity generation capacity.
- Challenges: Implementing these solutions poses substantial challenges for governments and policymakers, particularly as the energy system progressively electrifies, requiring increased system flexibility and demand-response measures.
- Policy Evolution: Energy efficiency policies must evolve to address system-wide energy efficiency aspects like flexibility and decarbonization, with a central role for people in the clean energy transition.
- Tools and Measures: Today, governments have the tools, technologies, and measures available to not only meet the challenge but also increase ambition and accelerate global progress on clean energy transitions.
The Changing Energy System
The necessity to meet climate targets, combined with the strong economic case for clean energy and the need for energy security, is driving rapid changes in the energy sector. However, more action is needed at a faster pace to reach net zero by 2050. Clean energy transitions require substantial growth in renewable electricity generation and a significant improvement in energy intensity, along with other measures.
Flexibility and Engagement Levers
- Flexibility Levers: Address aspects of the electrical system and how it can be operated and engaged with to ensure access, reliability, responsiveness, and affordability.
- Engagement Levers: Focus on consumer engagement with the energy system, whether through deliberate decisions or prompted actions or behaviors.
Innovative Approaches
- Buildings and Equipment: Innovative demand response requirements in buildings and equipment.
- Vehicle Fuel Economy: Regulations related to vehicle fuel economy.
- Industry Reporting Systems: Industry reporting systems to support clean energy expansion.
Conclusion
This report outlines the ways in which energy efficiency policies can evolve to deliver the energy system needed for rapid change now and for the future. Governments have already begun the process of transforming their energy efficiency policies to address these challenges, and the tools, technologies, and measures are available to increase ambition and accelerate global progress on clean energy transitions.
This summary captures the key points and highlights the main themes discussed in the report.
