BAKU, Azerbaijan, Nov.17
By Leman Zeynalova – Trend:
Energy efficiency trends are expected to return to their ten-year average after the worst year in a decade, Trend reports with reference to the International Energy Agency (IEA).
However, the rate of improvement needs to double from current levels to match the gain outlined in the IEA Net Zero Emissions by 2050 Scenario.
“In 2021, global energy intensity – a key measure of the economy’s energy efficiency – is expected to improve (that is, to fall) by 1.9 percent after improving by only 0.5 percent in 2020. Over the past five years, energy intensity has improved on average by 1.3 percent a year, down from 2.3 percent between 2011 and 2016, and well below the 4 percent described in the Net Zero Emissions by 2050 Scenario over 2020-2030,” reads the IEA report.
The agency notes that government policies are expected to help energy efficiency investment rise by 10 percent in 2021 to almost $300 billion.
“However, to be consistent with levels foreseen in the IEA Net Zero Emissions by 2050 Scenario, overall annual investment would need to triple by 2030. Recent investment growth has been concentrated largely in Europe, suggesting polices are needed in other regions to achieve global climate goals.
IEA analysts note that in 2020, stronger buildings efficiency programs in Europe compensated for transport, where COVID-19 pushed down total spending.
“Transport efficiency investments are now recovering while buildings investments are reaching record highs. Additional and stricter standards and regulations, higher public spending, incentive structures, and streamlined planning laws and procedures can all help lift investment and make efficiency projects more attractive to private finance. For example, the energy services market in the People’s Republic of China (hereafter “China”) increased its deployment of digital technologies and expanded by 12% in 2020, assisted by tax incentives.”
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