© OECD/IEA 2011 The Role and Importance of Energy Statistics Energy Statistics Workshop: Achievements and future challenges Beijing, China, 24 September 2012 Pierre Boileau Head of non-OECD Energy Statistics Section Energy Statistics Division

© OECD/IEA 2011 Definition of Energy Energy = Ability to do useful work What is Energy?

© OECD/IEA 2011 Law of Conservation of Energy Energy can neither be created nor destroyed The total amount of energy in a system remains constant over time

© OECD/IEA 2011 Any socio-economic category needs statistics to operate. This is also true for energy statistics Households: electricity consumption of houses, heating bills, mileage of cars, Utility XYZ A few examples:

© OECD/IEA 2011 Any socio-economic category needs statistics to operate. This is also true for energy statistics Company managers Energy bills, consumption/tonne, where to save Even truer for energy companies  Refinery: throughputs, stocks  Electricity generation: fuel input, electricity production A few examples:

© OECD/IEA 2011 Importance Importance of energy statistics for policy makers  IEA Member countries have an obligation to hold 90 days of stocks (net imports/consumption)  Need reliable and timely data on imports, consumption and stocks  OPEC Member countries: production vs quota  Need reliable and timely data on production  EU Member countries: obligation to have a minimum share of electricity consumption coming from renewables  Need reliable data on renewables  Annex 1 countries to the Conference of Parties: respect of the engagement they have ratified when signing the Kyoto Protocol (70% to 80% of GHG come from fuel combustion)  Need reliable data on both supply and demand

© OECD/IEA 2011 Energy data layout: tracking products and flows Electricity and heat output Non-energy use Other final consumption Transformation and energy industries own use Industry Transport Final consumption Supply Comparable information for all products Comparable energy units (Mtoe) Shows how energy flows through the economy Energy Balance Over 50 energy flows also defined as economic sectors

© OECD/IEA 2011 Energy data layout: like a financial balance sheet Electricity and heat output Non-energy use Other final consumption Transformation and energy industries own use Industry Transport Final consumption Supply Income Energy Balance Purchases/Sales Overhead Losses Expenses

© OECD/IEA 2011 National Administrations MOSMOS MOSMOS JODIJODI JODIJODI M-1 M-2 M-1 M-2 ORGANISATION FOR ECONOMIC CO-OPERATION AND DEVELOPMENT INTERNATIONAL ENERGY AGENCY COMMITTEE FOR ENERGY POLICY UNITED NATIONS STATISTICAL DIVISION ECONOMIC COMMISSION FOR EUROPE STATISTICAL DIVISION (QUEST/OIL/1/Rev.1) COMMISSION OF THE EUROPEAN COMMUNITIES EUROSTAT ENERGY UNIT Attached is the annual questionnaire which provides for the submission of 2000 data and a revision of 1999 data where applicable. Administrations are requested to complete the questionnaire at the latest 31 October However, if data are available earlier, please do not hesitate to send your questionnaire to the Head of Division, Energy Statistics, Combined Energy Staff, OECD, who will forward the data to the United Nations Economic Commission for Europe (Geneva). In addition, Member States of the European Union and Candidate Countries are requested to transmit the completed questionnaire to Eurostat, Head of Unit, Energy Statistics, Bâtiment Jean Monnet, Plateau du Kirschberg, L-2920, Luxembourg. M-2 25th 25 th -1st Global Database Energy Security Monthly Oil Survey July High quality energy statistics are the key to sound policy analysis MODS Oil Market Analysis

© OECD/IEA 2011 Energy Data Centre SUSTAINABLE ENERGY POLICY & TECHNOLOGY CHIEF ECONOMIST ENERGY MARKETS AND SECURITY GLOBAL ENERGY DIALOGUE Energy Statistics The “Heart” of the good analysis

© OECD/IEA 2011 But, in early 2000’s quality of energy statistics was deteriorating Completeness  More and more data are estimated  More and more data are missing and/or confidential  Less and less details, more aggregation (CHP, main activity producers vs. autoproducers, …) Quality  Efficiency of power plants > 100%  Subtotals do not add up to totals  Large statistical difference (>20%)  Breaks in time series - no revisions in time series  “Other sectors” often used as a balancing item Timeliness  More and more time to collect, process, check and release data

© OECD/IEA 2011 The reasons for decreasing data quality Liberalisation of the market  From one company to hundreds Confidentiality (linked to liberalisation)  More work passed to statistics offices:  More companies to survey (liberalisation)  Renewables (remote information)  Energy efficiency indicators (including socio-economic data)  Environment (estimation of GHG emissions, ….) Resources do not follow work load  Statistics still have a low profile, budget cuts Fast turnover in staff: lack of experience, continuity New developments make the tasks of statisticians much harder

© OECD/IEA 2011 Not only a lack of resources… UN Secretaria de Energía Mexico APEC IEA OLADE OPEC UN Crude Oil Production for Mexico (in kbd) An obvious need to react at all levels 5% gap also a lack of harmonization and co-operation

© OECD/IEA 2011 Organisations started to react At the political level:  Several presentations on the situation at the IEA Governing Board  Transparency and statistics were also high on the agenda of the Ministerial Meeting in May 2005 At the technical level:  Release of an Energy Statistics Manual (together with Eurostat)  Training of statisticians from Member / Non-Member countries  A series of meetings with Member countries Recognition/Commitment/Resources Expertise/Recognition/Commitment Creation of the OCG and the InterEnerStat

© OECD/IEA 2011 The momentum was there….. Objectives:  To hear from each organisation what they do, what are their problems and their expectation for more co-operation  To pave the way for more harmonization and for strengthening bilateral and international co-operation Participants:  24 major regional and international organisations. Both data providers (IEA, UNSD, OPEC, Eurostat, FAO) and users (WB, IMF, UNFCCC,…) IEA in consultation with UNSD decided to hold the 1 st InterEnerStat meeting (Nov. 2005)

© OECD/IEA 2011 Two Clear Requests Harmonisation Methodologies Definitions Units Conversion factors Harmonised demands and questionnaires Handbooks and manuals Training Quality framework Harmonisation Methodologies Definitions Units Conversion factors Harmonised demands and questionnaires Handbooks and manuals Training Quality framework Co-operation Raising political awareness Harmonisation Joint Questionnaires Joint Training Common manuals Joint quality assessment Exchange of data Co-operation Raising political awareness Harmonisation Joint Questionnaires Joint Training Common manuals Joint quality assessment Exchange of data

© OECD/IEA 2011 Harmonisation: first step was to collect from each organisation its own set of definitions WORLD BANK FAO UN OPEC OAPEC The 2 nd step was to assemble them in a transparent way easy to access

© OECD/IEA 2011 Website presented at InterEnerStat 2 (Nov 2007)

© OECD/IEA 2011 From InterEnerStat 2 to InterEnerStat 3 An expert was contracted to:  Look at flows and products  Highlight similarities and differences  Propose a “compromise” definition for each flow/product

© OECD/IEA rd and 4th InterEnerStat meetings (Oct 2008 and Nov 2009) Expert provided first draft report for harmonised definitions Discussions with international organisations A series of decisions adopted Decisions translated into revised definitions

© OECD/IEA 2011 Where is InterEnerStat now? By the end of 2010 all the minor outstanding points were agreed between groups working on InterEnerStat, OCG and IRES. These definitions will be guidelines to help organisations to arrive to a common understanding of what is a covered by a particular flow or a particular product. Definitions have been used in the International Recommendations for Energy Statistics manual of the UNSD, which was approved by the Statistical Commission in February 2011… So, what next ?

© OECD/IEA 2011 FAO UN OPEC OAPEC ? AFREC 1. One questionnaire: dream or reality ?          

© OECD/IEA 2011 The Joint IEA/Eurostat Energy Statistics Manual (now available in 10 languages) Arabic Farsi The IRES Manual (UNSD and Oslo City Group) (in cooperation with many organisations and countries) The Manual on Energy Statistics for Energy Efficiency Indicators (IEA, ODYSSEE, others) 2. Provide better manuals Manual on Energy Statistics for Energy Efficiency Indicators

© OECD/IEA Joint trainings for energy statisticians Indonesia (in Paris, Nov. 2011) Azerbaijan (in Baku, Sept. 2011) IEA training centre (in Paris, Mar. and Oct. each year) El Salvador (Nov for Central American countries) South Africa (in Johannesburg) Energy Community (in Paris) Chinese secondees (11 over 3 years) Examples of recently conducted training sessions: The MEDSTAT programme Regular training for APEC economies (i.e. Bangkok) Several training sessions including on line training

© OECD/IEA 2011 A few words to conclude Harmonisation will not happen overnight. It needs time, effort, resources and commitment. The first results have been published that establish the basis for moving further harmonisation forward. Underlying principle: evolution not revolution. The main objective is to support energy policy and energy analysis. Thank you