Energy continues to grow. “Energy efficiency is by far the most cost- effective way to fulfill 3 major energy- related challenges: increase energy security,

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Presentation transcript:

Energy continues to grow

“Energy efficiency is by far the most cost- effective way to fulfill 3 major energy- related challenges: increase energy security, reduce energy costs and attain a cleaner environment.” - International Energy Agency (IEA)

Our energy efficiency challenge Australia has large quantities of low cost energy (coal/ /gas) = competitive advantage in energy prices Business systems & capital decisions based on cheap energy = competitive disadvantage in energy efficiency BUT Increasing demand for clean fuels = global parity pricing Coal based electricity more expensive due to C cost SO To protect competitive position businesses must improve EE

Scope to improve EE ApplicationProcessDistributionConversionFuel 10-20% of original fuel delivers service required Energy Source Application Process Distribution Conversion

Abatement cost curve This greatly underestimates EE savings. Also include savings from: * Cogeneration/trigeneration * Systems optimisation * Process change * Materials management/recycling/reuse

Government leadership Zero energy growth by 2012 – reduce 20% by 2020 Carbon price plus: –Investment Incentives –Demand management –EE regulation

Our business opportunity $25-30B/year spent by business $5B/year EE savings = >10% emissions reduction $1.5B/year government incentive = increased investment over 5-7 years Positive revenue for government

Take Action on EE Now!