News Releases

No. 90/06
October 19, 2006

SAVING 20% BY 2020: EU UNVEILS ACTION PLAN ON ENERGY EFFICIENCY

As a major step toward meeting the unprecedented energy challenges facing the EU, the European Commission today presented its Energy Efficiency Action Plan. The Plan contains a package of priority measures covering a wide range of cost-effective energy efficiency initiatives.

"Europeans need to save energy. Europe wastes at least 20% of the energy it uses. By saving energy, Europe will help address climate change, as well as its rising consumption, and its dependence on fossil fuels imported from outside the Union's borders," said Energy Commissioner Andris Piebalgs. "Energy efficiency is crucial for Europe: If we take action now, the direct cost of our energy consumption could be reduced by more than €100 billion annually by 2020; around 780 million tons of CO2 will also be avoided yearly."

The plan calls for actions to make energy appliances, buildings, transport and energy generation more efficient. It proposes stringent new energy efficiency standards, promotion of energy services and specific financing mechanisms to support more energy efficient products. The Commission will furthermore establish a Covenant of Mayors of the 20-30 most pioneering cities in Europe and will propose an international agreement on energy efficiency. Altogether the plan includes over 75 measures.

The Action Plan, which will be implemented over the next 6 years, is in response to the urgent call from Heads of State and Government at the Spring European Council this year for a realistic Energy Efficiency strategy. The plan underlines the importance of minimum energy performance standards for a wide range of appliances and equipment (from household goods such as fridges and air conditioners to industrial pumps and fans) and for buildings and energy services. In combination with performance ratings and labeling schemes, minimum performance standards represent a powerful tool for removing inefficient products from the market, informing consumers of the most efficient products and transforming the market to make it more energy efficient. Minimum performance requirements for new and renovated buildings will be developed. Very low energy consumption buildings (or passive houses) will also be promoted.

The plan emphasizes the considerable potential for reducing losses in the generation, transmission and distribution of electricity. The Action Plan proposes targeted instruments to improve the efficiency of both new and existing generation capacity and to reduce transmission and distribution losses. A comprehensive set of measures for improving energy efficiency in the area of transport is put forward. The plan recognizes that energy savings can be achieved, in particular, by ensuring fuel efficiency of cars, developing markets for cleaner vehicles, ensuring proper tire pressure and by improving the efficiency of urban, rail, maritime and aviation transport systems. The plan recognizes the importance of changing transportation behavior. The Action Plan also calls for appropriate and predictable price signals, essential for improving energy efficiency and overall economic performance. The plan also contains a number of additional proposals to raise energy efficiency awareness, such as education and training. Finally, the plan emphasizes the urgent need for energy efficiency issues to be addressed on a global level through international partnerships.

The Action Plan on Energy Efficiency, when fully implemented, can thus improve the Union's competitiveness, improve the living standards of its citizens, boost employment and increase exports of new, energy-efficient technology. On an individual level, small changes in our energy consumption patterns will mean saving money, improving the environment and doing our share for our common European goals.

For further information on the action plan please see:

http://www.eurunion.org/newsweb/HotTopics/energy.htm

Further Contact Information
Press and Public Diplomacy
Delegation of the European Commission
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Washington, DC 20037
http://www.eurunion.org/PressRoom
Tel: 202-862-9552
Fax: 202-429-1766