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Efficient improvement of energy efficiency in small and medium- sized Swedish firms
Linköping University, Department of Management and Engineering, Energy Systems. Linköping University, The Institute of Technology.
2014 (English)Doctoral thesis, comprehensive summary (Other academic)
Abstract [en]

This is a dissertation about efficient implementation of energy efficiency measures in small and medium-sized Swedish firms. The aim is to investigate the potential for economically efficient implementation of energy efficiency improvement measures in small and medium-sized firms. The thesis contains five papers that analyse different aspects that have been put forth in policy documents and academic debate as  methods to improve energy efficiency in non-energy intensive sectors.

By reading policy documents, interviewing representatives of small and medium- sized firms and energy auditors as well as analysing data from the Swedish energy audit program, different aspects of energy management practices, energy services and energy audits are considered. The thesis is the product of an interdisciplinary context but economic theory is at the foundation of the analysis and has helped formulate questions and hypotheses that have been tested and explored with the data.

The results show that while the potential for improving energy efficiency in the small and medium- sized sector in Sweden is large there are challenges to realizing it in each individual firm. There is potential for improving energy efficiency in the sector and not just for investments in new technology but also for adjusting existing machinery and changing behaviour, but costs for investigating the potential and implementing the measures are large relative to the improvement potential in each company. Energy management practices in this sector are lacking and energy services will only be demanded if reduction in production cost is estimated larger than transaction costs of the service. The Swedish energy audit program has led to the implementation of energy efficiency improvements in the participating firms but compared to other policy instruments it has been a less cost-efficient way to improve energy efficiency in Sweden.

Abstract [sv]

Detta är en avhandling om effektiv implementering av energieffektiviseringsåtgärder i svenska små och medelstora företag. Syftet är att undersöka och diskutera potentialen för att på ett ekonomiskt effektivt sätt öka implementering av energieffektiva åtgärder i svenska företag. Avhandlingen består av fem papper som analyserar olika aspekter som framförts som möjliga tillvägagångssätt för att öka graden av energieffektivitet i icke-energiintensiva sektorer.

Genom att studera styrmedelsdokument, intervjua representanter för små medelstora företag och energikartläggare samt att studera data från det svenska energikartläggningsstödet har potentialen för energiledning, energitjänster och energikartläggningar undersökts. Avhandlingen är en produkt av en tvärvetenskaplig kontext men med en ekonomisk teoretisk tyngdpunkt som hjälpt formulera frågeställningar och hypoteser.

Resultaten visar att trots att det finns en stor potential för att öka graden av energieffektivitet i svenska små och medelstora företag så är det svårt att komma åt den i enskillda företag. Det finns energieffektiviserings potentialer både i nya investeringar och i energiledningsåtgärder, som att justera teknik och ändra beteenden, men kostnaderna för att undersöka dessa potentialer och implementera åtgärder är stora relativt kostnadsbesparingarna i varje enskilt företag. Energiledningsrutiner brister i sektorn och energitjänster kommer enbart att efterfrågas om kostnadsminskningarna bedöms större än transaktionskostnader förknippade med tjänsten. Det svenska energikartläggningsstödet har lett till ökad implementering av energieffektiva åtgärder men kostnaderna är högre jämfört med andra styrmedel för att öka energieffektivitet i Sverige.

Place, publisher, year, edition, pages
Linköping: Linköping University Electronic Press, 2014. , 59 p.
Series
Linköping Studies in Science and Technology. Dissertations, ISSN 0345-7524 ; 1634
Keyword [en]
Energy efficiency potential, small and medium- sized firms, energy management, energy audits, energy services
Keyword [sv]
Energieffektiviseringspotential, små och medelstora företag, energiledning, energikartläggningar, energitjänster
National Category
Energy Systems
Identifiers
URN: urn:nbn:se:liu:diva-112269ISBN: 978-91-7519-179-9 (print)OAI: oai:DiVA.org:liu-112269DiVA: diva2:764708
Public defence
2014-12-12, ACAS, A-huset, Campus Valla, Linköpings universitet, Linköping, 10:15 (Swedish)
Opponent
Supervisors
Available from: 2014-11-20 Created: 2014-11-20 Last updated: 2015-01-30Bibliographically approved
List of papers
1. Extending the Energy efficiency gap
Open this publication in new window or tab >>Extending the Energy efficiency gap
2012 (English)In: Energy Policy, ISSN 0301-4215, E-ISSN 1873-6777, Vol. 51, 392-396 p.Article in journal (Refereed) Published
Abstract [en]

In order to reach the EU: s 20–20–20 primary energy savings target, energy efficiency needs to increase. Previous research on energy use and energy efficiency has focused mainly on the diffusion of energy efficient technologies. The discrepancy between optimal and actual implementation of energy efficient technologies has been illustrated in numerous articles and is often referred to as the energy efficiency gap. However, efficient technologies are not the only ways to increase energy efficiency. Empirical studies have found that a cost-effective way to improve energy efficiency is to combine investments in energy-efficient technologies with continuous energy management practices. By including energy management into an estimated energy efficiency potential this paper introduces an extended energy efficiency gap, mainly in manufacturing industries and the commercial sector. The inclusion of energy management components in future energy policy will play an important role if the energy savings targets for 2020, and later 2050, are to be met in the EU.

Place, publisher, year, edition, pages
Elsevier, 2012
National Category
Engineering and Technology Social Sciences
Identifiers
urn:nbn:se:liu:diva-86546 (URN)10.1016/j.enpol.2012.08.042 (DOI)000312620000042 ()
Available from: 2012-12-18 Created: 2012-12-18 Last updated: 2017-12-06Bibliographically approved
2. The energy service gap: What does it mean?
Open this publication in new window or tab >>The energy service gap: What does it mean?
2011 (English)In: ECEEE 2011 Summer Study; Energy efficiency first: The foundation of a low-carbon society: Conference proceedings, Stockholm Sweden: European Council for an Energy Efficient Economy (ECEEE), 2011, 649-656 p.Conference paper, Published paper (Other academic)
Abstract [en]

Through the formulation of the 2020-targets, the EU has set as 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 what is 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 energy efficiency and sustainability. In other words, the developmentof the energy service market is of crucial importance if a Member 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 large part of the potential for energy services is not being implemented today - this is identified as the energy-service gap. The gap is explained by transaction cost economics; relatively hightransaction costs for consulting ESCOs inhibit further marketdevelopment. The ESCO market in Sweden is estimated, by the Swedish state, to still be immature but have potential forfurther development. A government report does not identify the market barriers on the energy service market as market failures. By introducing market development mechanisms (e.g.standardized contracts and an accreditation system) the state could 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.

Place, publisher, year, edition, pages
Stockholm Sweden: European Council for an Energy Efficient Economy (ECEEE), 2011
Keyword
Energy efficiency, Energy Service, ESCO, Energy Efficiency Gap
National Category
Social Sciences
Identifiers
urn:nbn:se:liu:diva-71759 (URN)978-91-633-4455-8 (ISBN)
Conference
ECEEE 2011 Summer Study Energy efficiency first: The foundation of a low-carbon society, Belambra Presqu’île de Giens, France, 6–11 June 2011
Available from: 2011-11-10 Created: 2011-11-03 Last updated: 2014-11-20Bibliographically approved
3. Impact after three years of the Swedish energy audit program
Open this publication in new window or tab >>Impact after three years of the Swedish energy audit program
2015 (English)In: Energy, ISSN 0360-5442, Vol. 82, 54-60 p.Article in journal (Refereed) Published
Abstract [en]

The Swedish energy audit program is a publicly financed program, mainly targeting small and medium-sized firms to help them finance energy audits. By examining suggested and implemented energy efficiency measures from the energy audits conducted in 241 firms in the program, the aim of this paper is to examine the energy efficiency implementation gap and the cost efficiency of the program.

The autis show that the firms’ average annual energy efficiency improvement potential is between 860 and 1270 MWh/year which corresponds to a total energy efficiency improvement potential of between 6,980 -11,130 MWh / firm. The implementation rate of the suggested energy efficiency improvement measures in the SEAP is 53%. The program has resulted in investments in energy efficiency improvements between € 74,100- € 113,000 / firm.

Place, publisher, year, edition, pages
Elsevier, 2015
National Category
Energy Systems
Identifiers
urn:nbn:se:liu:diva-112267 (URN)10.1016/j.energy.2014.12.068 (DOI)000351788700005 ()
Available from: 2014-11-20 Created: 2014-11-20 Last updated: 2015-05-20Bibliographically approved
4. Estimations of energy efficiency management potential in small and medium sized firms
Open this publication in new window or tab >>Estimations of energy efficiency management potential in small and medium sized firms
2014 (English)Manuscript (preprint) (Other academic)
Abstract [en]

Energy management; information and knowledge gained by continuous work and attention to energy use can help discover inefficiencies, malfunctioning equipment and assess the performance and operation. This paper investigates how small and medium sized firms and energy auditors estimate energy efficiency potentials from energy management measures by studying the firms that have participated in the Swedish energy audit program. The largest potential for energy efficiency improvements in the energy audit reports is found in generic technologies and support processes, i.e. cross cutting technologies mainly in ventilation, space heating and lighting. Out of the suggested measures investments in new technology accounts for 48% of the estimated potential, and adjustments of existing technology for 27%. Behavioural changes in the energy audit reports accounts for a vanishingly small percentage of total suggested energy efficiency measures in the energy audit reports. Firms participating in the study estimate a higher potential for energy efficiency from behavioural changes than the energy auditors, as high as a quarter of the total potential. Implementation rates of suggested measures from the energy audit program rates are higher in the behavioural category. Despite this, the study shows that energy management practices at the firms are lacking. Energy auditors argue that energy management has low priority in firms because firm’s main focus on core business.

National Category
Energy Systems
Identifiers
urn:nbn:se:liu:diva-112268 (URN)
Available from: 2014-11-20 Created: 2014-11-20 Last updated: 2015-01-30Bibliographically approved
5. Energy service collaborations—it is a question of trust
Open this publication in new window or tab >>Energy service collaborations—it is a question of trust
2013 (English)In: Energy Efficiency, ISSN 1570-646X, E-ISSN 1570-6478, Vol. 6, no 3, 511-521 p.Article in journal (Refereed) Published
Abstract [en]

Energy services have been highlighted both in European Union directives and in academic literature as an important tool to increase energy efficiency. Performance-based energy services, i.e., outsourcing energy management in performance-based remuneration contracts, is said to overcome many of the barriers that have been used to explain the energy efficiency gap. Energy service companies (ESCOs) help organizations to implement energy-efficient solutions in order to reduce energy costs. By combining science and technology studies (STS) analysis and economics in an interview study of firms, the paper contributes insights on the relational nature of energy service collaborations. The objective of the study is to describe how knowledge and incentives affect trust between partners in performance-remunerated energy service collaborations. Performance-based remuneration is one aspect that makes energy service contracts complex. On the one hand, risk is recognized as an important barrier to energy efficiency. Since remuneration to ESCOs is based on energy savings, they also share the financial and technical project risk with their clients. On the other hand, performance-based remuneration can create a lack of trust. Performance is measured in calculations made by the ESCO, calculations that demand expertise that client firms do not possess. ESCOs are consulted for their knowledge on energy efficiency and therefore an imbalance of knowledge is in the nature of energy service collaborations. The paper concludes that if the initial doubt is overcome, long-term collaborations can be advantageous for both parties, since this builds trust and generates long-term profits.

Place, publisher, year, edition, pages
Springer Netherlands, 2013
Keyword
ESCO, Energy services, Barriers to energy efficiency, Energy efficiency, Trust
National Category
Economics Social Sciences Interdisciplinary
Identifiers
urn:nbn:se:liu:diva-87148 (URN)10.1007/s12053-012-9189-z (DOI)000321437000006 ()
Available from: 2013-01-10 Created: 2013-01-10 Last updated: 2017-12-06

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