Energy efficiency has a central role in tackling climate change, a task made all the more urgent by the recent rise in emissions and the limited time to achieve mitigation targets, as outlined by the recent Intergovernmental Panel on Climate Change (IPCC) special report on Global Warming of 1.5oC. Energy efficiency is one of the key ways the world can meet energy service demand with lower energy use, which is crucial in most of the IPCC GHG emissions pathways limiting global warming to 1.5oC (IPCC, 2018).
Energy-related GHG emissions increased by 1.4% to over 32.5gigatonnes of CO2equivalent (Gt CO2-eq) in 2017 – the first increase since 2014, after strong global economic growth led to greater use of emissions-intensive fuels. At the same time, efficiency helped to constrain the recent growth in emissions: had efficiency not improved since 2000, emissions would have been nearly 4Gt CO2-eq, or 12%, higher in 2017.
Based on modelling developed as part of Energy Efficiency 2018, if the world was to implement all of the cost-effective energy efficiency measures, based on existing technology1, it would lead to a peak in energy-related GHG emissions before 2020 and by 2040. According to this projection, detailed in our Efficient World Scenario (EWS), energy efficiency could deliver a reduction in annual energy-related emissions of 3.5Gt CO2-eq (12%) compared with 2017 levels, delivering over 40% of the abatement required to be in line with the Paris Agreement. Combined with renewable energy and other measures, energy efficiency is therefore indispensable to achieving global climate targets.
Energy-related GHG emissions, with and without efficiency, 2000-17 (left) and in the NPS and EWS, 2000-40 (right)3
FAQs
Energy efficiency delivers a number of environmental benefits. It notably reduces GHG emissions, both direct emissions from fossil fuel combustion or consumption, and indirect emissions reductions from electricity generation.
What are the multiple benefits of energy efficiency and renewable energy? ›
Energy efficiency can bring multiple benefits, such as enhancing the sustainability of the energy system, supporting strategic objectives for economic and social development, promoting environmental goals and increasing prosperity.
What are the environmental benefits of energy efficiency? ›
Benefits of Energy Efficiency
Environmental: Increased efficiency can lower greenhouse gas (GHG) emissions and other pollutants, as well as decrease water use. Economic: Improving energy efficiency can lower individual utility bills, create jobs, and help stabilize electricity prices and volatility.
What is the significance of energy efficiency? ›
Better for the environment. Energy efficiency reduces greenhouse gas emissions. When we responsibly use energy, we consume fewer resources, which contributes to reducing emissions and our carbon footprint.
What is saving energy? ›
Energy conservation is the decision and practice of using less energy. Turning off the light when you leave the room, unplugging appliances when they're not in use and walking instead of driving are all examples of energy conservation.
What are 3 benefits of energy efficiency? ›
The potential benefits of energy efficiency measures include improved physical health such as reduced symptoms of respiratory and cardiovascular conditions, rheumatism, arthritis and allergies, as well as fewer injuries.
How does energy efficiency reduce emissions? ›
Reducing energy use is essential in the fight against climate change, because traditional power plants burn fossil fuels that release greenhouse gases and contribute to air pollution. Energy-efficient homes and buildings are also better equipped to switch to renewable energy, which does not produce harmful emissions.
How much does renewable energy reduce carbon emissions? ›
Renewables and energy efficiency, boosted by substantial electrification, can provide over 90% of the necessary reductions in energy-related carbon emissions.
Are there benefits to energy efficiency other than protecting the environment? ›
By lowering energy use, energy efficiency reduces monthly energy bills and makes energy more affordable for businesses and families. Some energy-efficient products cost more to buy than other options, but they typically save you money over the long term.
What is energy efficiency in ESG? ›
MARCH 22, 2023 | ENERGY MANAGEMENT AND MONITORING, ENERGY EFFICIENCY, ESG, SUSTAINABILITY. Energy management and monitoring refer to the processes and systems used to optimize energy usage in buildings, industries, and more.
Energy efficiency has the potential to cost-effectively contribute to: Climate progress: delivering 40 percent of the emissions savings goals of the Paris Agreement. Energy access: accelerating energy access progress by allowing the energy produced to serve more people.
Why is energy efficiency important in sustainable development? ›
Efficient energy use has some economic, social and environmental aspects. Therefore, energy efficiency has an important role for ensuring sustainable development. It is a need for the sustainable developments of the countries to obtain the energy resources easily and at a reasonable cost in the long term.
What are some examples of energy efficiency? ›
Some energy efficiency examples include the use of LED (Light-Emitting Diode) bulbs, reusing energy, using renewable resources like solar panels, efficient designs of buildings, lifestyle changes, so on and so forth. In the context of sustainable energy, energy efficiency and renewable energy are extremely important.
What is the difference between energy efficiency and energy conservation? ›
Energy efficiency means to use less energy to perform the same task. Basically to eliminate energy waste. Energy conservation is to not use energy. For example, turning lights off in an unused room is energy conservation while switching to more energy efficient lights such as LEDs is energy efficiency.
What is the ultimate goal of energy conservation efforts? ›
Energy conservation is the means of reducing the consumption of energy. To reduce the environmental impact on society, energy conservation measures are being imparted.
What are 3 benefits and 3 challenges of pursuing renewable energy systems? ›
Table of contents
| ADVANTAGES | DISADVANTAGES |
|---|
| Renewable energy won't run out. | Renewable energy has high upfront costs. |
| Renewable energy has lower maintenance requirements. | Renewable energy is intermittent. |
| Renewables save money. | Renewables have limited storage capabilities. |
5 more rowsNov 2, 2022
Summary: The pros and cons of renewable energy
| Pros | Cons |
|---|
| It's infinite | High upfront costs |
| It's environmentally friendly | Not always reliable |
| Reduces international dependence on fossil fuel-rich nations | Limited storage capabilities |
| Creates job opportunities | Geographic limitations |
2 more rowsAug 2, 2022
The Advantages of Renewable Energy Resources
- 1) A Fuel Supply That Never Runs Out. ...
- 2) Zero Carbon Emissions. ...
- 3) Cleaner Air and Water. ...
- 4) A Cheaper Form of Electricity. ...
- 5) Renewable Energy Creates New Jobs. ...
- 1) Higher Capital Costs. ...
- 2) Electricity Production Can Be Unreliable. ...
- 3) Energy Storage Is a Challenge.
Power generation from many types of renewables are 100% efficient in international energy statistics, while fossil power plants achieve only 25–85% efficiency.
