Energy efficiency

This 2016 report assesses the progress achieved by 2014 in achieving the target of improving energy efficiency by 20% by 2020 and implementing the Energy Efficiency Directive.

On the basis of the Member States' annual reports for 2016 and the latest available data from Eurostat (2014), the Commission is optimistic that the objective of reducing primary energy consumption by 20% will be achieved if Member States comply with their commitments.

Progress towards the EU's energy efficiency target for 2020: the report notes that the EU has made considerable progress in recent years. By 2014, its primary energy consumption was only 1.6% higher than its target by 2020. Its final energy consumption was even 2.2% below the target set for 2020.

By 2014, the final energy consumption of 17 Member States was already below their indicative target for 2020. Transportation accounted for the largest share (33%) of total final energy consumption, followed by industry (26%), the residential sector (25%), the tertiary sector (13%) and the other sectors (3%).

National sectoral trends: most Member States have decreased their final and primary energy consumption between 2005 and 2014. If this pace is maintained, they should meet the 2020 targets, with the exception of Estonia, Malta and Sweden in the case of primary energy consumption, and with the exception of Austria, Belgium, Lithuania, Malta and Slovakia in terms of final energy consumption.

An analysis carried out for the EU-28 shows that the decline in primary energy consumption between 2005 and 2014 is mainly due to an improvement in energy intensity. The slowdown in the economy, changes in the combination of fuels and structural changes played a relatively minor role. The energy savings achieved have reduced the energy bills of consumers and reduced greenhouse gas emissions by about 800 million tonnes of CO2 in 2014. The Commission considers that public policies have played a key role in improving energy efficiency.

The report shows that the majority of Member States have improved their final energy intensity in industry and in the services sector and have reduced the average energy consumption per m² in the residential sector over the period 2005-2014. The transport sector was the only sector to have recorded an increase in final energy consumption in 2014 compared to 2013.

Recommendations: the report calls on the Member States to:

• improve energy efficiency in the transport sector: increased use of public passenger transport, use of low-emission alternative energy, low-consumption vehicles and the deployment of related infrastructure such as charging systems for electric vehicles;
• continue efforts to renovate existing buildings, in particular by improving financing conditions for investments in energy efficiency. Information and communications technologies (ICTs) can play an important role in this regard by providing consumers with the tools to be better informed and to manage their energy consumption intelligently. In order to further mobilise public and private investment, the Commission presented an initiative entitled ‘Accelerating clean energy in buildings’ in 2016. It also adopted a communication entitled “Accelerating Clean Energy Innovation’ which proposes to concentrate the funds available under Horizon 2020 on the decarbonisation of the Union's housing stock.

The Commission will continue to closely monitor the implementation of the Energy Efficiency Directive. In 2017, it will initiate a dialogue with all Member States to verify the conformity of national legislation with the Directive.