© OECD/IEA 2011

Multiple Benefits of Energy Efficiency:

How to increase investments

Philippe Benoit, Head

Energy Efficiency and Environment Division

IEA, Paris, 20 April 2015

© OECD/IEA 2012

Energy efficiency can help drive economic prosperity

Cumulative investments in energy efficiency of $12 trillion are more than offset by fuel savings & trigger economic growth of a cumulative $18 trillion

GDP in Efficient World Scenario versus New Policies Scenario, 2035

1%

2%

3%

4%

Japan & Korea OECD Europe United States China India

© OECD/IEA 2014

0

10

20

30

40

50

60

2011 2020 2030 2040 2050

Gt CO2

Portfolio of actions to reduce energy sector emissions

© OECD/IEA 2014

0

10

20

30

40

50

60

2011 2020 2030 2040 2050

Nuclear 7%

Renewables 30%

End-use fuel switching 9%

CCS 14%

End-use fuel and electricity

efficiency 38%

Gt CO2

fuel switching 2%

Power generation efficiency and

Portfolio of actions to reduce energy sector emissions

© OECD/IEA 2014

0

10

20

30

40

50

60

2011 2020 2030 2040 2050

End-use fuel and electricity

efficiency 38%

Gt CO2

fuel switching 2%

Power generation efficiency and

Portfolio of actions to reduce energy sector emissions

EE provides largest contribution to abatement

© OECD/IEA 2014

20%

40%

60%

80%

100%

Industry Transport Power generation

Buildings

Realised energy efficiency potential

Unrealised energy efficiency potential

Two-thirds of the economic potential to improve energy efficiency remains untapped in the period to 2035

Energy efficiency potential used by sector in the WEO 2012 New Policies Scenario

A huge opportunity going unrealised

© OECD/IEA 2012

Impact of supply- and demand-side improvements on US oil import needs

Source: WEO 2012

0

2

4

6

8

10

2011 2015 2020 2025 2030 2035

mb

/d

Demand-side efficiency

Biofuels use in transport

Natural gas use in transport

Increased oil supply

Reductions due to:

2011 net oil import level

Projected net imports

© OECD/IEA 2014

•Energy prices

•Resource management

•GHG emissions abatement International

•Macroeconomic effects

• Job creation

•Energy security

•Public budget impacts

National

• Increased asset values

•Energy provider and infrastructure benefits

• Industrial productivity and competitiveness Sectoral

•Health, wellbeing and social improvements

•Poverty alleviation: energy affordability & access

• Increased disposable income Individual

More Public/Private Stakeholders

The Public

Building bridges . . .

© OECD/IEA 2014

Exploiting the multiple benefits of EE