Projects
December 2015 / March 2016

Implementation of the Energy Efficiency Directive Energy (2012/27/EU) - ENERGY EFFICIENCY

The  Directive on energy efficiency, which entered into force on 4 December 2012 , is currently undergoing a revision process.
In the framework of that process the European Implementation Assessment was launched to accompany the Committee on Industry, Research and Energy (ITRE) in its scrutiny of the implementation of the directive.
Three independent groups of experts provided advice on this matter: CPMC SPRL, the University of Oxford and the University of Sussex, and Fondazione Eni Enrico Mattei.

The  Directive on energy efficiency, which entered into force on 4 December 2012 , is currently undergoing a revision process.
In the framework of that process the European Implementation Assessment was launched to accompany the Committee on Industry, Research and Energy (ITRE) in its scrutiny of the implementation of the directive.
Three independent groups of experts provided advice on this matter: CPMC SPRL, the University of Oxford and the University of Sussex, and Fondazione Eni Enrico Mattei.
 

The first research paper presents opinions of national stakeholders' at Member States' level, gathered during interviews and surveys.
 

The second research paper presents the Member States' plans and achievements towards the implementation of obligation schemes under Article 7 of the Directive (Energy Efficiency Obligation Schemes, EEOS).
 

The third research paper – the FEEM’s contribution to the project - presents the implementation of the Article 7 of the 2012 Energy Efficiency Directive with regard to residential consumers and buildings. The research looks at key facts highlighted in the energy economic and behavioural sciences literature on energy use by residential consumers and at results of the assessments of the implementation of the Directive, analysing the policy measures implemented in the Member States and providing some examples of best practices. The study deepens the level of detail of the analysis for two Member States (the United Kingdom and Italy) looking at the policy framework in which Article 7 is being implemented and evaluating the policies measures planned for its implementation.

Main Results and Outputs

The main output of the project is the publication of the report “Implementation of the Energy Efficiency Directive (2012/27/EU): Energy Efficiency Obligation Schemes”.
The main findings and recommendations of the project can be summarized as follows:

Key findings for energy efficiency policy design (page 128)

  • Only few MS provide an explicit sectoral split of the expected savings in the notifications that they submitted under the Article 7 of the EED.
  • The analysis of EEOs and alternative measures illustrates that the residential sector is likely to be responsible for the largest share of the 1.5% annual energy end-use savings required by the EED.
  • Overall, most measures included in the EEOs focus on implementation of ‘low-hanging fruits’, in the residential sector, such as efficient light bulbs and roof insulation.
  • Best practices can be useful to highlight replicable approaches. In particular, flexibility (both in terms of diversity of offers and freedom of methodology) emerges as key to ensure cost-effective energy savings and adaptability to technology markets, national circumstances and policy priorities.
  • Measures jointly addressing financial incentives and information/education campaigns turned out to be more effective that the two approaches taken individually.
  • Simple implementation rules complemented by a transparent process (e.g. calculation methods, detailed results per sector), as well as an effective and periodic evaluation of the scheme can result in higher effectiveness of measures.

Recommendations

(Bigano and Davide) (page 160-161)

  • Consider setting moderately more ambitious energy saving targets in the course of the revision of the Directive. Among the many merits of such effort, there is the fact that it would help counteracting the rebound effect, although only an economy-wide policy action directed to all sectors in which consumers‘ spending can generate extra energy consumption, has a chance of counteracting indirect rebound effect. This however would call for broad measures whose implementation may not be straightforward. An indirect, and still politically complex solution would be a carbon tax.
  • Support the adoption of known best practices or their strengthening where they are already in place: in particular market-based, cost-effective policies such as the Italian White Certificates and the Danish EEO approach are particularly promising.
  • Stress the importance of long term commitment in policy action, and promote national initiatives which demonstrate the adoption of clear, fair, transparent rules of the game for a reasonably long time horizon.
  • Take full advantage of the benefit of a correct use of information and information-enhancing technologies. A correct understanding of the benefits of energy efficiency schemes have the potential to raise the salience of this matter for consumer, and hence the likelihood of responding positively to policy stimuli. Proper two way communication interfaces for smart meters could boost the impact of behavioural policies such as nudging initiatives.

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