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Indicator Assessment

Final energy consumption intensity

Indicator Assessment
Prod-ID: IND-123-en
  Also known as: ENER 021
Published 11 Jan 2013 Last modified 11 May 2021
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This page was archived on 21 Jan 2015 with reason: Other (New version data-and-maps/indicators/final-energy-consumption-intensity-3/assessment was published)

Over the period 1990-2010, the EU-27 final energy intensity has decreased by 25% at an annual average rate of 1.4%/year. Since 2005, the reduction was slightly higher (1.5%/year), with a stronger decoupling in the agriculture and industrial sectors where the energy intensity has decreased by 2.6%/year and 2.1%/year respectively. In the service and transport sectors the final energy consumption intensities have decreased by 1.3%/year and 0.9%/year since 2005. In the household sector, the final energy consumption per capita was in 2010 almost at the same level as in 2005, as result of counterbalancing effects: larger and more numerous dwellings, greater ownership of electrical appliances on the one hand and energy efficiency improvements on the other hand. Over the period 1990-2010, the final energy intensity in non-EU EEA countries has decreased by 8.5% at an annual average growth rate of 0.4%/year.

Variation of final energy intensity in EU and EEA countries, 1990-2010

Note: The figure shows the variation of final energy intensity (the ratio between the final energy consumption and the GDP) in EU and EEA countries

Data source:

Index of final energy intensity and energy intensity by sector, EU-27

Note: Index of final energy intensity and energy intensity by sector, EU-27. Final energy intensity or final energy consumption intensity refers to the ratio between the final energy consumption and the GDP

Data source:

Final energy intensity[1]

From 1990 to 2010, the final energy intensity of the EU-27 decreased by 25% at an annual average rate of 1.4% while between 2005-2010 it decreased slightly faster by 1.5%/year. However in 2010, energy intensity in EU-27 increased by 1.5%, with the final energy consumption increasing much faster than GDP (3.7% for final energy consumption and 2.2% for GDP). In 2010, the energy intensity increased in all sectors except transport where the energy intensity decreased by 2.6%. In non-EU EEA member countries, the final energy intensity decreased by 0.4%/year. Over the period 1990-2010; between 2005 and 2010, it remained on average stable. Improvements in final energy intensity were influenced both by structural changes in the economy, such as a shift from industry towards services and, within industry, to less energy-intensive processes, and by energy efficiency improvements (see ENER 16).

Since 2005, the energy intensity mainly decreased in the agriculture and industrial sectors by respectively 2.6%/year and 2.1%/year. This energy intensity decrease in the industry is mainly due to energy efficiency improvements (see also the ODEX in ENER37) and to a lesser extent to a shift towards less energy-intensive industries. However, in 2010 the energy intensity of industry increased by 2.6% with the final energy consumption increasing by 8.9% and the gross value added by 6.1%. For agriculture, the main drivers are energy efficiency improvements and increase in productivity.

In the service and transport sectors the final energy consumption intensities decreased by 1.3%/year and 0.9%/year respectively since 2005. Changes in energy intensity in services are the result of counterbalancing drivers: energy efficiency, on the one hand, and increase in comfort (in particular with the diffusion of air conditioning) and in the use of information and communication technology (ICT) in offices, on the other hand. The underlying factors explaining the energy efficiency improvement include increase in insulation and diffusion of efficient equipment for heating, air conditioning and lighting. The decrease of the energy intensity in transport is due to different factors: on the one hand this is due to energy efficiency increase with vehicles and mainly cars and to a slowdown in the progression of car ownership because of saturation; on the other hand these benefits have been partially offset by modal shifts to more energy intensive modes of transport (increase in air traffic, in the use of cars instead of public transport and in the use of trucks instead of rail or inland waterways for good transportation). In addition since 2005, there has been no further progress in the efficiency of road transport of goods and even a deterioration with the economic crisis due to lower load factors of trucks and increase in empty running (see also the ODEX in ENER 37).

In the household sector, the final energy consumption per capita was in 2010 almost at the same level as in 2005. The final household energy consumption has grown slightly faster than the population since 1990 (average annual rate of 0.3% for the population compared to 0.6% for the energy consumption). As a result, the final energy intensity in the household sector, measured by the ratio “energy consumption divided by population” has increased moderately by 5.5% between 1990 and 2010, i.e. at an average annual rate of 0.3%. This trend is the result from counterbalancing effects: on the one hand larger dwellings, increased comfort levels and greater ownership of electrical appliances, and on the other hand improvements in the efficiency of electrical and heating appliances and of the buildings’ envelope (see ENER 37). The final energy consumption intensity in the households sector is also closely linked with climatic conditions, as the major part of the energy is used for space heating: the data here are not corrected for the climate (for details on energy efficiency improvements in the household sector see also ENER 37)[2]. In particular, the increase in the final energy consumption intensity of the household sector in 2010 (+4.1%) is mainly explained by the cold winter (6% colder than a normal winter and 9% colder than 2005). As a result of the observed trends, the final energy consumption per capita is in 2010 almost at the same level as in 2005.

Final energy intensity decreased rapidly in most new EU member countries: by more than 4%/year on average since 1990 in Estonia, Romania, Lithuania, Slovakia and Bulgaria, between 2 and 4%/year in The Czech Republic, Poland, Luxembourg, Ireland and Latvia, mainly due to energy efficiency progress and restructuring in industry. Since 2005, Romania, Slovakia, Bulgaria, The Czech Republic and Luxembourg, are still experiencing the same pace of decrease; in addition in Spain and Germany, there was a much larger intensity reduction than before (2.3%/year between 2005 and 20010 compared to respectively 0.2 and 1.6%:year over the whole period 1990-2010) particularly because significant reductions in final energy consumption.

In non-EU EEA member countries, the final energy intensity only decreased slightly, by 8.5 % over the period 1990-2010, at an annual average rate of 0.4%: GDP grew at an average annual rate of 2.7% while final energy consumption increased by an average annual rate of 2.2%. Therefore, in these countries, there is a slower pace of decoupling between final energy consumption and economic growth, mainly due to developments in Turkey. Over the period 2005-2010, the intensity decreased even slower, by 0.1%/year, and increased by 1.3% in 2010.


[1]Final energy intensity or final energy consumption intensity refers to the ratio between the final energy consumption and the GDP.


[2]Please note that figures presented in this indicator are not directly comparable with the figures presented in the ENER 22. Most of the trends presented in ENER 022 refer to consumption adjusted from climate to make more realistic comparison between countries to avoid climatic variations and influence (in particular to compare Nordic and Southern countries). 

Supporting information

Indicator definition

 

Final energy consumption covers energy supplied to the final consumer for all energy uses. It is calculated as the sum of final energy consumption of all sectors. These are disaggregated to cover industry, transport, households, and services and agriculture.

Total final energy intensity is defined as total final energy consumption (consumption of transformed energy such as electricity, publicly supplied heat, refined oil products, coke, etc., and the direct use of primary fuels such as gas or renewables, e.g. solar heat or biomass) divided by gross domestic product (GDP) at constant 2005 prices. The GDP figures are taken at constant prices to avoid the impact of inflation, base year 2005.

    • Household energy intensity is defined as household final energy consumption divided by population.
    • Transport energy intensity is defined as transport final energy consumption divided by GDP at constant 2005 prices.
    • Industry energy intensity is defined as industry final energy consumption divided by industry Gross Value Added at constant 2005 prices. This excludes final energy consumption and gross value added from construction. 
    • Services energy intensity is defined as services final energy consumption divided by services Gross Value Added at constant 2005 prices. Value added of services is the sum of 3 value added :
      • G_H_I : Wholesale and retail trade, repair of motor vehicles, motorcycles and personal and household goods; hotels and restaurants; transport, storage and communication,
      • J_K - Financial intermediation; real estate, renting and business activities and
      • L_TO_P - Public administration and defence, compulsory social security; education; health and social work; other community, social and personal service activities; private households with employed persons

    Units

    Final energy consumption is measured in 1000 tonnes of oil equivalent (ktoe) and GDP in million Euro at 2000 market prices. Energy intensity is measured in tonnes of oil equivalent per million Euro (GDP or GVA), except in the case of household energy intensity which is measured in tonnes of oil equivalent per 1000 people

     

    Policy context and targets

    Context description

      Environmental context

      In Europe there are two prevailing objectives: to continue generating economic growth (the Lisbon Agenda) while, at the same time protecting the environment and ensuing security of energy supply. Achieving these goals simultaneously requires decoupling the economic growth from energy-consumption. This indicator shows the extent to which this is happening (or not) for the four main sectors (for definitions for each sector please see the “Methodology” section): households, services and agriculture, industry and transport. Relative decoupling occurs when energy consumption grows, but more slowly than the underlying driver. Absolute decoupling occurs when energy consumption is stable or falls while the driver grows.

      A shift towards absolute decoupling would indicate that pressures on the environment from energy production and consumption are decreasing (because of avoided energy supply) but the magnitude of the impact depends both on the total amount of avoided energy consumption as well as the implications for the energy mix (in other words which fuels have been used less because of the reduction in final energy consumption).

      Policy context

      • Directive2012/27/EUof the European Parliament and the Council of 25 October 2012on energy efficiency, amending
      • Directives 2009/125/EC and 2010/30/EU and repealing Directives 2004/8/EC and 2006/32/EC.
        Establishes a common framework of measures for the promotion of energy efficiency within the Union in order to ensure the achievement of the Union’s 2020 20% headline target on energy efficiency and to pave the way for further energy efficiency improvements beyond that date.
      • Commission Implementing Decision of 22 May 2013 (notified under document C(2013) 2882; 2013/242/EU)

      Establishing a template for National Energy Efficiency Action Plans under Directive 2012/27/EU of the European Parliament and of the Council

      • A Roadmap for moving to a competitive low carbon economy in 2050 (COM(2011) 112 final)

      Presents a roadmap for action in line with a 80-95% greenhouse gas emissions reduction by 2050.

      • Energy Efficiency Plan 2011 (COM(2011) 109 final)

      Proposes additional measures to achieve the 20% primary energy saving target by 2020.

      • Council adopted on 6 April 2009 the climate-energy legislative package containing measures to fight climate change and promote renewable energy. This package is designed to achieve the EU's overall environmental target of a 20% reduction in greenhouse gases and a 20% share of renewable energy in the EU's total energy consumption by 2020.The climate action and renewable energy (CARE) package includes the following main policy documents
      • Directive 2009/29/ECof the European parliament and of the Council amending directive 2003/87/EC so as to improve and extend the greenhouse gas emission allowance trading scheme of the community
      • Directive 2009/31/EC of the European parliament and of the Council on the geological storage of carbon dioxide
      • Directive 2009/28/EC of the European parliament and of the Council on the promotion of the use of energy from renewable sources
      • Community guidelines on state aid for environmental protection (2008/c 82/01)
      • Directive 2008/101/EC of the European parliament and of the Council amending directive 2003/87/EC so as to include aviation activities in the scheme for greenhouse gas Emission allowance trading within the community
      • Regulation (EC) no 443/2009 of the European parliament and of the Council setting emission performance standards for new passenger cars as part of the community’s integrated approach to reduce CO2 emissions from light-duty vehicles
      • Energy Services Directive; Directive 2006/32/EC

      Sets out clear mandatory targets for annual energy intensity improvements at Member States’ level and for the share of energy efficient public procurement for the period 2006-2012. For the same period, strong incentives were given by the Directive for Member States to ensure that suppliers of energy offer a certain level of energy services.

      • Second Strategic Energy Review; COM(2008) 781 final

      Strategic review on short, medium and long term targets on EU energy security.

      • Eco-Design Directive; COM(2008) 778 final/2

      Directive on intensification of existing regulation on energy-efficiency of products.

      • Energy Performance Buildings Directive; Directive 2002/91/EC

      The Member States must apply minimum requirements as regards the energy performance of new and existing buildings, ensure the certification of their energy performance and require the regular inspection of boilers and air conditioning systems in buildings.

      • Energy Performance Buildings Directive (recast); Directive 2010/31/EU

      Strengthens the energy performance requirements of the 2002 Directive.

      Targets

      The Directive 2012/27/eu on energy efficiency establishes a common framework of measures for the promotion of energy efficiency within the European Union in order to achieve the headline target of 20% reduction in gross inland energy consumption. Member States are requested to set indicative targets. It is up to the Member states whether they base their targets on gross inland consumption, final energy consumption, primary or final energy savings or energy intensity.

      Related policy documents

       

      Methodology

      Methodology for indicator calculation

      Meta data

      Technical information
      1. Data source:
        Total final energy consumption and final energy consumption by sector, Gross domestic product, Gross Value Added: Eurostat (historical data) http://ec.europa.eu/eurostat/.
        GDP growth rate: World Bank (World Development Indicators 2012) http://data.worldbank.org/data-catalog/world-development-indicators
      2. Description of data / Indicator definition:
        Final energy consumption covers energy supplied to the final consumer for all energy uses. It is calculated as the sum of final energy consumption of all sectors. These are disaggregated to cover industry, transport, households, and services and agriculture.
        Total final energy intensity is defined as total final energy consumption divided by gross domestic product (GDP) at constant 2005 prices. The GDP figures are taken at constant prices to avoid the impact of inflation, base year 2005.
      3. Household energy intensity is defined as household final energy consumption divided by population.
        Transport energy intensity is defined as transport final energy consumption divided by GDP at constant 2005 prices.
        Industry energy intensity is defined as industry final energy consumption divided by industry Gross Value Added at constant 2005 prices.
        Services energy intensity is defined as services final energy consumption divided by services Gross Value Added at constant 2005 prices. Value added of services is the sum of 3 value added:
        • Wholesale and retail trade, repair of motor vehicles, motorcycles and personal and household goods; hotels and restaurants; transport, storage and communication,
        • Financial intermediation; real estate, renting and business activities and
        • Public administration and defence, compulsory social security; education; health and social work; other community, social and personal service activities; private households with employed persons
        Units
      4. Final energy consumption is measured in 1000 tonnes of oil equivalent (ktoe) and GDP in million Euro at 2005 market prices. Energy intensity is measured in tonnes of oil equivalent per million Euro (GDP or GVA), except in the case of household energy intensity which is measured in tonnes of oil equivalent per 1000 people.
      5. Temporal coverage: 1990-2012
      6. Methodology and frequency of data collection:
        Data collected annually.
        Eurostat definitions and concepts for energy statistics http://epp.eurostat.ec.europa.eu/cache/ITY_SDDS/en/nrg_quant_esms.htm

        Methodology of data manipulation:
        The coding (used in the Eurostat New Cronos database) and specific components of the indicators are:

        • Total final energy intensity: final energy consumption 101700 divided by the gross domestic product, conducted from the Eurostat datasheets (b1gm Gross domestic product at 2005 market prices mio_eur_clv2005)           

        • Household energy intensity: Final energy consumption households 102010 divided by PJAN Population by sex and age on 1. January of each year.

        • Transport energy intensity: Final energy consumption transport 101900 divided by B1GM GDP and main components - Constant   2005 prices.

        • Industry energy intensity: Final energy consumption industry 101800 divided by the gross value added for industry conducted from the Eurostat datasheets (NACE C_D_E Total industry GVA)

        • Services energy intensity: Final energy consumption Services and Others 102035, 102040 divided by the gross value added of services (Wholesale and retail trade, Financial intermediation; Public administration and defence: NACE G to P)

        • Agriculture energy intensity: Final energy consumption Agriculture, fisheries 102030, 102020 divided by the gross value added of agriculture, hunting, forestry and fishing –NACE A_B

         The gross value added (GVA) for Industry, Agriculture and Tertiary and GDP are not available in Eurostat for all the countries before 1995. GDP before 1995 has been calculated with GDP growth rate published by country by the World Bank (Reference World Development Indicators 2012). GDP for EU28 is the sum of countries. The countries for which this gap-filling method has been used are: Bulgaria, Cyprus, Czech Republic, Germany, Estonia, Croatia, Hungary, Ireland, Lithuania, Luxembourg, Malta, Poland, Portugal and Slovakia.

        Average annual rate of growth calculated using: [(last year / base year) ^ (1 / number of years) –1]*100.

        Qualitative information

      7. Strength and weaknesses (at data level)
        Data have been traditionally compiled by Eurostat through the annual Joint Questionnaires, shared by Eurostat and the International Energy Agency, following a well established and harmonised methodology. Methodological information on the annual Joint Questionnaires and data compilation can be found in Eurostat's web page for metadata on energy statistics. http://epp.eurostat.ec.europa.eu/cache/ITY_SDDS/en/nrg_quant_esms.htm

      8. Reliability, accuracy, robustness, uncertainty (at data level):
        Indicator uncertainty (historic data)

        The sectoral breakdown of final energy consumption includes industry, transport, households, services, agriculture, fisheries and other sectors. To be consistent with projection data, the indicator aggregates agriculture, fisheries and other sectors together with the services sector. The inclusion of agriculture and fisheries together with the services sector is however questionable given their divergent trends.

        Because the main focus of the indicator is on trends, energy intensity is presented as an index. It should be noted that the final energy intensities between sectors, and also the total final energy intensity, are not directly comparable, because as described above, the definitions of energy intensity within each sector not identical. The indicator serves to highlight the evolution in energy intensity within each sector.

      9. Overall scoring – historic data (1 = no major problems, 3 = major reservations):

        Relevance: 1
        Accuracy: 2
        Comparability over time: 2
        Comparability over space: 2

        Methodology for gap filling

        No methodology for gap filling has been specified. Probably this info has been added together with indicator calculation.

        Methodology references

        No methodology references available.

         

        Uncertainties

        Methodology uncertainty

        The sectoral breakdown of final energy consumption includes industry, transport, households, services, agriculture, fisheries and other sectors. To be consistent with projection data, the indicator aggregates agriculture, fisheries and other sectors together with the services sector. The inclusion of agriculture and fisheries together with the services sector is however questionable given their divergent trends.

        Because the main focus of the indicator is on trends, energy intensity is presented as an index. It should be noted that the final energy intensities between sectors, and also the total final energy intensity, are not directly comparable, because as described above, the definitions of energy intensity within each sector not identical. The indicator serves to highlight the evolution in energy intensity within each sector.

        Data sets uncertainty

        Data have been traditionally compiled by Eurostat through the annual Joint Questionnaires, shared by Eurostat and the International Energy Agency, following a well established and harmonised methodology. Methodological information on the annual Joint Questionnaires and data compilation can be found in Eurostat's web page for metadata on energy statistics. http://epp.eurostat.ec.europa.eu/cache/ITY_SDDS/en/nrg_quant_esms.htm

        Rationale uncertainty

        No uncertainty has been specified

        Data sources

        • No datasets have been specified.

        Other info

        DPSIR: Driving force
        Typology: Descriptive indicator (Type A - What is happening to the environment and to humans?)
        Indicator codes
        • ENER 021
        Frequency of updates
        Updates are scheduled once per year
        EEA Contact Info

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        Geographic coverage

        Temporal coverage

        Dates

        Topics

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