Energy Efficiency and it’s Impact on Energy Demand

OilPrice.com ^ | 02/28/2010 | Marco Bertoli

[goldenwings]

Energy efficiency is one of the themes most discussed by those who are interested in issues regarding energy and the environment. The key question is how effective these proposed solutions will be. Will these technological solutions labeled as ‘energy efficiency’ (i.e. an increase in power plants generation efficiency, cogeneration, home insulation, more efficient electric motors, cars, light bulbs, etc.) really lead to a decrease in the global demand for energy?

First of all, we should distinguish between two different economic spheres: production and consumption.

With respect to production, the proposed solutions (increases in power plants efficiency, changes to EFF1 electric motors, inverters applied to pumps and motors, improvements in the efficiency of compressed air systems, etc.) will inevitably get caught in the trap of Jevons paradox. We should also remember that industrial development comes from a long history of efficiency increases in the use of productive resources, those being either energy or labor or credit or raw materials. (‘More with less!’ is the claim.)

Resource consumption has continued to increase in the long term, in spite of acknowledged gains in efficiency and productivity. Considering that, the myth of entrepreneurs reluctant to adopt available methods to increase efficiency should be abandoned: in fact, investment in energy efficiency should be considered business as usual. Full article at: Energy Efficiency

[wbill]

Good Article... I liked: "he/she will not be satisfied with the same utility he/she reached earlier if he/she is able to reach a higher utility for the same expense!"

I'd also add a point that the author misses... If the so-called "energy efficient" alternatives are *less* effective than the ones currently in use, more of the "energy efficient" resources will be utilized.

Think of needing multiple CFLs to equal the brightness provided by one incandescent. Or, to take things to an extreme, think of hauling things (people? furniture?) in a Prius vs hauling the same amount in a Suburban. If it takes three trips to provide the same result, there's no "efficiency" to be considered.

[E. Pluribus Unum]

All this proves is that the peasants are ignorant and require a firm hand from their government masters to make them live in the correct way.

[SunkenCiv]

This isn't news, either. Thanks goldenwings.

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The Bottomless Well: The Twilight Of Fuel, The Virtue Of Waste, and Why We Will Never Run Out Of Energy by Peter Huber and Mark P. Mills Basic Books, 2005 Manhattan Institute page Google

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