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Is energy efficiency the forgotten key to successful energy policy?: Investigating the Swedish case
KTH, School of Industrial Engineering and Management (ITM), Energy Technology, Energy and Climate Studies, ECS.ORCID iD: 0000-0003-2896-8841
2016 (English)Licentiate thesis, comprehensive summary (Other academic)
Abstract [en]

Sweden aims to become one of the first fossil-free welfare countries in the world. In 2009, specific energy and climate policy targets were announced for 2020, which exceed the ambition of respective EU targets in some areas. The overarching objective of the thesis is to understand the role of energy efficiency in Swedish energy and climate policy frameworks, and identify the gaps that need to be addressed. In this context, energy efficiency is recognized as a challenge to address. Yet, there are reasons to believe that it is not being pursued with the same dedication as other energy and climate-related targets.

This hypothesis is tested using Mixed Methods research, with cases on different sectors of the Swedish economy, namely energy intensive industry and public bus transport, as well as comparisons with energy efficiency within the EU-28. With the help of abductive reasoning, the observations are inferred to an explanation, and common themes for Swedish energy efficiency policies emerge.

The evidence indicates that energy efficiency has received lower priority than other energy and climate policies. This is demonstrated by the conflict between energy efficiency, emission reduction and renewable energy targets, for example in the case of public transport. There is generally a mismatch between targets and the instruments in place. Thus more attention should be given to energy efficiency and its potential benefits for the Swedish energy system.

Opportunities for energy efficiency improvements are not being fully realized, but new policy initiatives could provide the necessary support to harness the potential. In-depth evaluation of new policy instruments should be integrated in the policy-making process, in order to provide a clear picture of costs versus benefits. An example is given with a Cost-Benefit Analysis for energy efficiency obligations targeting the Swedish energy intensive industry.

Simplicity and transparency in the introduction and monitoring of new instruments need to be sought for. Energy efficiency should be given first priority in relation to other energy and climate targets. The basis for future policies should be grounded now in order for energy efficiency to become the key for successful Swedish energy policy. 

Place, publisher, year, edition, pages
Stockholm: KTH Royal Institute of Technology, 2016. , 62 p.
Series
TRITA-ECS Report, 16/01
Keyword [en]
energy efficiency, energy policy, Sweden, policy research, mixed-methods research, Cost-benefit analysis, energy intensive industries, public transport
National Category
Energy Systems
Research subject
Energy Technology
Identifiers
URN: urn:nbn:se:kth:diva-192291ISBN: 978-91-7729-117-6OAI: oai:DiVA.org:kth-192291DiVA: diva2:970533
Presentation
2016-10-06, B2, Brinellvägen 23, Stockholm, 10:00 (English)
Opponent
Supervisors
Note

QC 20160914

Available from: 2016-09-14 Created: 2016-09-08 Last updated: 2016-09-14Bibliographically approved
List of papers
1. Implications of an energy efficiency obligation scheme for the Swedish energy-intensive industries: an evaluation of costs and benefits
Open this publication in new window or tab >>Implications of an energy efficiency obligation scheme for the Swedish energy-intensive industries: an evaluation of costs and benefits
2016 (English)In: Energy Efficiency, ISSN 1570-646X, E-ISSN 1570-6478, 1-19 p.Article in journal (Refereed) Epub ahead of print
Abstract [en]

The EU Energy Efficiency Directive (EED) aims at improving energy efficiency by implementing actions in all sectors of the economy in the EU. Article 7 of the EED sets the target of 1.5 % cumulative annual energy end-use savings. An energy efficiency obligation scheme (EEO) is one of the policy mechanisms proposed to reach this target. This paper assesses the impact of implementing a Swedish EEO and the implications that such a scheme may have for Swedish energy-intensive industries. The assessment was based on cost-benefit analysis (CBA) methodology. The benefit-to-cost ratio (BCR) ranges from 1.56 to 2.17 and the break-even cost ranges from 83.3 to 86.9 €/MWh with sensitivity analyses performed for the emission allowance prices and eventual costs of the EEO. The annual energy savings potential is estimated to be 1.25 TWh/year. A Swedish EEO could motivate investments in energy efficiency measures and thus help Sweden reach the energy efficiency targets set in the EED.

Keyword
Energy efficiency obligation scheme, Cost-benefit analysis, Industrial energy efficiency, Energy efficiency directive, Sweden
National Category
Energy Systems
Research subject
Energy Technology
Identifiers
urn:nbn:se:kth:diva-185749 (URN)10.1007/s12053-016-9446-7 (DOI)2-s2.0-84964240147 (ScopusID)
Note

QP 201604

Available from: 2016-04-26 Created: 2016-04-26 Last updated: 2016-09-14Bibliographically approved
2. On the road to fossil-free public transport: The case of Swedish bus fleets
Open this publication in new window or tab >>On the road to fossil-free public transport: The case of Swedish bus fleets
2016 (English)In: Energy Policy, ISSN 0301-4215, E-ISSN 1873-6777Article in journal (Refereed) Epub ahead of print
Abstract [en]

Public transport is important for Sweden to acquire a fossil-fuel independent vehicle fleet by 2030. The aim of this paper is to assess the status of Swedish public bus fleets towards decarbonization, and explore factors affecting regional performance variations and fuel choices. Environmental performance indicators such as renewable fuel shares, CO2 emissions, and energy efficiency are analyzed nationally and regionally. Fuel preferences and best practices are investigated through a survey and interviews with experts working with strategic planning at Public Transport Authorities. Almost 60% of the bus transport volume ran on renewables in 2014 compared to 8% in 2007, but regional variations are significant, partly due to factors such as driving conditions, bus and fuel types, typical trip lengths, and climatic conditions. However, there is no strong correlation between population densities or bus transport volume and the share of renewables achieved. This places political will, strategic planning and policies to promote public transport as key factors affecting renewable fuel deployment. Environmental factors are a priority when choosing fuels, while barriers to renewable fuels are mainly economic and political. Meanwhile, despite the overall progress, achievements in energy efficiency improvement are falling short in comparison to emissions reduction and adoption of renewable fuels, thus requiring further attention.

Keyword
Public transport, Bus, Emissions, Energy efficiency, Renewable fuels, Sweden
National Category
Energy Systems
Research subject
Energy Technology
Identifiers
urn:nbn:se:kth:diva-185748 (URN)10.1016/j.enpol.2016.02.024 (DOI)
Projects
Fuel options for public bus fleets in Sweden - funded by f3 The Swedish Knowledge Centre on Renewable Transportation Fuels
Note

QP 201604

Available from: 2016-04-26 Created: 2016-04-26 Last updated: 2016-09-14Bibliographically approved
3. Leading or lagging in the EU? Sweden’s progress towards energy efficiency targets for 2020
Open this publication in new window or tab >>Leading or lagging in the EU? Sweden’s progress towards energy efficiency targets for 2020
2016 (English)In: Energy Strategy Reviews, ISSN 2211-467X, E-ISSN 2211-4688Article in journal (Refereed) Submitted
Abstract [en]

Sweden aims at becoming one of the first fossil-free welfare countries in the world. In line with that goal, ambitious energy and climate targets were announced in 2009. The focus of this paper is energy efficiency, since its progress towards the 2020 target lags in relation to the other energy and climate policy targets. Statistical methods for time series analysis are applied in order to compare the country’s performance in comparison to the EU-28 average and explore the potential development of energy use at national and sectoral level in the years up to 2020. The results show that Swedish progress with energy efficiency does not stand out within the EU-28, in contrast with other energy and climate targets. The trend analysis also shows that it is uncertain whether the targets for 2020 will be achieved. Energy intensity may not be the most appropriate indicator for monitoring energy efficiency improvement, and absolute final energy savings should be used instead. The analysis for the three main Swedish end-use sectors shows decreasing final energy use trends in the past ten years.  However, none of the sectors is expected to show strongly decreasing trends in the upcoming years. In order to enhance the role of energy efficiency in energy and climate policy, its contribution in reducing emissions should be clarified and promoted. Finally, increased simplicity and transparency should be established when setting targets for energy efficiency and monitoring progress.

National Category
Energy Systems
Research subject
Energy Technology
Identifiers
urn:nbn:se:kth:diva-192523 (URN)
Note

QC 20160927

Available from: 2016-09-14 Created: 2016-09-14 Last updated: 2016-09-27Bibliographically approved

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