1. Plenary Discussion Energy Efficiency – a challenge for sustainable Development ENERGY EFFICIENCY IN THE ELECTRICITY SECTOR Hans Zeinhofer Energie Allianz Austria, Energie AG Vertrieb GmbH & Co KG Vienna, 22nd of October

2. Folie 2 Eurelectric – based in Brussells – represents the interests of the electricity industry of the European member states and coordinates the single and sometimes different points of view of its members and dicusses all relevant matters with policy makers in the EU. Energy efficiency belongs to the core business of electricity generators and suppliers. The industriy therefore supports a policy to optimise energy efficiency. High energy efficiencies contribute to cost efficient operation, to conservation of fuels and to minimizing both dependence of fuel imports from outside Europe and all kinds of emissions. General Remarks

3. Folie 3 A special point of attention for Eurelectric is focussed on the tuning with all relevant directives and guidelines, especially on: nLarge Combustion Plants Directive a BREF LCP nEnergy End-Use Efficiency and Energy Services nPromotion of Cogeneration nEnergy performance of buildings nRenewable Energy Sources Emission Trading of Greenhouse Gases

4. Folie 4 As figure 1 demonstrates, the efficiency is strongly depending on the type of generation and the fuel. However, not all the types like hydro, nuclear and solar plants are IPPC installations. For this reason the following paragraphs only deal with thermal power plants above 50 MW. 1) 1) Nuclear plants excluded Fig. 1 Energy efficiency of power generation

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6. Folie 6 Development in the Efficiency of Thermal Plants

7. Folie 7 We conclude that high energy efficiency has always been a primary goal of the electricity industry during many decades. As the economy in a free market also requires optimum (energy) efficiency, this attitude will not change. The CO 2 -emission trading to be introduced within the EU in 2005 will effectively mean higher fuel costs and so provide an extra incentive to improve energy efficiency. The need for extra rules to improve energy efficiency in power installations is therefore very limited. The main effect of such rule will be the public demonstration that energy efficiency has already been optimised indeed as much as economically feasible. Conclusions on trends in energy efficiency concerning generation

8. Folie 8 Energy Efficiency on the Demand side nsignificant improvements in the efficiency of domestic applications nhigh potential in lighting nrelative small dpecific improvements by electric motors and drives (ca. 50 % of the total electricity consumption nsignificant potential of electric technologies used in transport ngreat potenital for (primany) energy savings from heat pumps nenergy savings (and product quality) improvement achieved by industrial applications

9. Folie 9 Industrial applications: examples for energy efficiency nElectroheat technologies comprise high-power heating processes which are powered through electrical energy. Electroheat technologies cover a large percentage of industrial electricity consumption, ranging from 20 to 40 % within the EU. nDue to the possibility of precise control of electroheat installations there is less material wasted and the electroheat process results in better product quality. nIn general, electroheat technologies lead to energy savings, reduced costs, reduced CO2 emissions, product quality improvements and production of new materials, e.g. thixo-forming of aluminium. nIn many cases, electric-heating applications are more energy-efficient than their alternatives, especially at high temperatures, where gas furnaces are less efficient. Optimal efficiency of an electric furnace can reach up to 95 % process efficiency, whilst the equivalent for a gas furnace is only 40 to 80 %. nIn the long term, electroheat processes will play an important role in supporting the development of new technologies such as nanoelectronics and optoelectronics.

10. Folie 10 In many cases the use of modern electrotechnologies can reduce the energy consumption by 90 percent compared to conventional technologies. Other industrial applications using electricity for a better efficiency nElectrodeposition (e.g. for recycling of metals present in liquide waste) nElectrolysis (e.g. for the synthesis of nylon) nMembrane technologies: micro-, ultra-, nanofiltration, reverse osmosis nIndustrial refrigeration, heat recuperation, heat pumps nMechanical vapour compression