The energy-service gap: What does it mean?

摘要

Through the formulation of the 2020-targets, the EU has set asan objective to reduce the use of primary energy with 20 % by2020. The target is supposed to be reached through increasedenergy efficiency. Despite a large potential for energy efficiency,cost effective measures are not always implemented which isexplained by market failures and barriers to energy efficiency.This difference between potential energy-efficiency and whatis actually implemented, is referred to as the energy-efficiencygap. Energy service companies (ESCOs) have been put forth asa potential means of overcoming this gap to energy-efficiency.Well-functioning markets for ESCOs are therefore addressedas one of the key elements in the Energy Services Directive(ESD), a tool for the economy to move towards increased energyefficiency and sustainability. In other words, the developmentof the energy service market is of crucial importance if aMember State is to achieve the ambitious 2020-target.The aim of this article is to analyse the market for energyservices towards industrial small- and medium sized Enterprises(SMEs). Focus will be on the Swedish market, howevergeneral conclusions may be drawn from this example. A largepart of the potential for energy services is not being implementedtoday - this is identified as the energy-service gap. Thegap is explained by transaction cost economics; relatively hightransaction costs for consulting ESCOs inhibit further marketdevelopment. The ESCO market in Sweden is estimated, bythe Swedish state, to still be immature but have potential forfurther development. A government report does not identifythe market barriers on the energy service market as marketfailures. By introducing market development mechanisms (e.g.standardized contracts and an accreditation system) the statecould decrease the transaction and thus the energy service gap.Reducing the energy-service gap could be a cost effective wayof reducing the energy efficiency gap and reach the 2020-target.