Electricity and Control January-February 2025

Energy management + energy efficiency RESKILLING, UPSKILLING + TRAINING

Faster progress needed on energy efficiency

At COP29, the 29th Conference of Parties to the United Nations Framework Convention on Climate Change (UNFCC), in November 2024, apart from the negotiations on the new climate finance goal, intentions to take forward the so-called UAE consensus were pushed out to 2025.

T he landmark energy package that emerged from COP28 in Dubai in 2023 confirmed governments’ agreement on the need to triple renewable energy capacity and double the rate of energy efficiency improvements by 2030, and to transition away from the use of fossil fuels in energy systems. Just ahead of COP29 last year, the International Energy Agency (IEA) released its Energy Efficiency 2024 report on developments in energy efficiency around the world. One year on from the historic global pledge made at COP28 to double the rate of energy efficiency improvements by 2030, the report showed that countries are not yet on track to achieve this goal. The IEA points to the need for stronger action and cooperation among countries to align with their stated ambitions. Energy Efficiency 2024 found that global primary energy intensity – a measure of efficiency – was set to improve by around 1% in 2024. This is the same rate as in 2023, and around half of the average rate of improvements achieved between 2010 and 2019. The agreement on the goal to double the rate of progress in energy efficiency, would mean increasing it from 2% in 2022 to 4% by 2030. Getting more from everyday technologies Boosting energy efficiency is about getting more from everyday technologies and industrial processes for the same amount of energy input. It also means more jobs, healthier cities, a cleaner environment and a range of other benefits. Improving the efficiency of buildings, vehicles, industrial processes and other areas where energy is used, is central to clean energy transitions everywhere. It helps to improve energy security, lowers energy bills for consumers and reduces greenhouse gas emissions. The report from the IEA shows that governments worldwide are making policy progress, with those representing more than 70% of global energy demand implementing new or updated efficiency policies in 2024. The European Union, for example, revised regulations to achieve zero-emission building stock by 2050; China overhauled appliance standards and strengthened national targets for efficiency; the United States tightened its fuel economy standards for heavy-duty vehicles; and Kenya made its building code mandatory to ensure all new buildings are more efficient. However, to align with global targets, according to the report, fresh policies need to be formulated more quickly around the world, and many existing policies need to be tightened. “Energy efficiency is a key pillar of secure, affordable and inclusive energy transitions. The IEA is working more closely with governments around the world to ensure that it remains a top policy priority,” said IEA Executive Director Dr Fatih Birol. “Fortunately, the policies and technologies to accelerate efficiency progress are readily available today, and many governments are taking important steps forward. What we hope to see now is faster

The IEA says doubling the rate of improvement in energy efficiency will require countries to accelerate policy implementation, and would also improve energy security, reduce energy costs and lower emissions.

and stronger policy responses around the globe.”

A progress tracker To increase visibility on energy efficiency and support stronger progress towards the global doubling target, the IEA launched a new Energy Efficiency Progress Tracker when it released the report – extending the analysis of Energy Efficiency 2024 to provide detailed insights via the most up-to-date regional indicators on energy intensity, demand and electrification levels. The Energy Efficiency Progress Tracker is an easy to access online dashboard that enables users to explore historical data, latest market estimates, and scenarios for energy demand, energy efficiency and progress in electrification. It complements the agency’s wider analytical support for governments, such as the IEA Energy Efficiency Policy Toolkits that are published annually. The Energy Efficiency 2024 report does highlight some important elements of progress worth noting, especially in major emerging economies and in the growing global deployment rates of heat pumps and electric vehicles, which generally use much less energy than the technologies they replace. However, greater efficiency will need substantially more investment. Investment in energy-efficient technologies grew by 4% in 2024 – and is on course to reach a record USD 660 billion, according to the report. New IEA analysis reveals that efficient technologies do not necessarily cost more to buy than less efficient ones – and often cost much less over their lifetime, because they are cheaper to run. Best-in-class air conditioners, for example, can save up to 40% in total costs compared with inefficient systems.

For more information visit: www.iea.org

JAN-FEB 2025 Electricity + Control

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