Futures

Keeping Cool in a Hotter World: The Importance of Energy Efficiency, from (20230819.)

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Summary

The world is experiencing record-breaking temperatures and heatwaves, leading to increased demand for air conditioning and electricity. This surge in energy usage has major consequences for global energy systems and greenhouse gas emissions. Inefficient air conditioners are causing people to pay more than necessary to keep cool, exacerbating the global energy crisis. The rising demand for cooling is particularly significant in emerging and developing economies with limited access to air conditioning. As a result, power systems are strained, leading to shortages, blackouts, and the use of older and more polluting power plants. To mitigate these challenges, stronger standards for air conditioning units and new incentive programs from grid operators are needed. Additionally, promoting energy efficiency, adopting demand response strategies, and implementing mandatory minimum energy performance standards can help reduce energy consumption, lower emissions, and ease the strain on power systems. The international community must prioritize these interventions to ensure a sustainable and efficient energy future.

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Signals

Signal Change 10y horizon Driving force
Rising temperatures increasing demand for air conditioning and electricity Increased demand for cooling and electricity Higher energy efficiency standards, more sustainable energy systems Climate change and extreme heat
Higher electricity prices due to global energy crisis Higher costs for cooling Increased investment in energy efficiency programs Global energy crisis and inefficient air conditioners
Rising demand for air conditioners in emerging economies Increasing demand for cooling Increased access to air conditioning in developing countries Rising temperatures and rising living standards
Power grid strains due to increased cooling demand Strain on power systems Adoption of demand response programs and energy flexibility Strain on power grids and need for balance
Inefficient air conditioners and consumer choices Inefficient cooling technology Implementation of energy performance standards and labels Lack of awareness and incentives for efficiency

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