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The purpose of this paper is to analyse altering energy demand patterns and energy factor substitution possibilities over time in the pulp and paper industry in order to increase our understanding of suitable policy options for increasing energy efficiency. The investigation employs a flexible translog cost function and an unbalanced panel data set covering 32 pulp and paper mills over the time period 1974-2005 in Sweden. Specifically, we test whether energy factor demand patterns in the industry for the period 1974-1990 differ from those during the latter period, 1991-2005. The empirical results reveal that even though the Swedish pulp and paper industry is relatively insensitive to changes in energy factor input prices in the short run, we find evidence of significant changes over time. According to the results, the own-price sensitivity of fuel has increased since the 1970s and the 1980s, thus indicating that fuel demand has become more sensitive to short-run changes in relative prices. The estimated cross-price elasticities between electricity and fuel also support the hypothesis of increased substitutability over time. However, the null hypothesis of an equal own-price elasticity of electricity demand across the two time periods cannot be rejected. [ABSTRACT FROM AUTHOR]

This paper investigates problem areas related to energy efficiency implementation in Swedish multifamily buildings. The paper first presents a generic list of (theoretical) problem areas identified through a literature survey. Using a qualitative approach, the paper also investigates if the problem areas identified in the literature also have an impact on the Swedish building sector. Results from the interview study reveal a strong coherence between problem areas in the literature and those expressed by the interviewees. However, this paper identifies seven novel challenges that cannot be derived from the list of barriers in the literature. Moreover, results reveal that as many as 12 problem areas have their origin in national factors such as agreement structures, incentive schemes, and cost calculation methods. [ABSTRACT FROM AUTHOR]

The EU Energy Efficiency Directive (EED) aims at improving energy efficiency by implementing actions in all sectors of the economy in the EU. Article 7 of the EED sets the target of 1.5 % cumulative annual energy end-use savings. An energy efficiency obligation scheme (EEO) is one of the policy mechanisms proposed to reach this target. This paper assesses the impact of implementing a Swedish EEO and the implications that such a scheme may have for Swedish energy-intensive industries. The assessment was based on cost-benefit analysis (CBA) methodology. The benefit-to-cost ratio (BCR) ranges from 1.56 to 2.17 and the break-even cost ranges from 83.3 to 86.9 €/MWh with sensitivity analyses performed for the emission allowance prices and eventual costs of the EEO. The annual energy savings potential is estimated to be 1.25 TWh/year. A Swedish EEO could motivate investments in energy efficiency measures and thus help Sweden reach the energy efficiency targets set in the EED. [ABSTRACT FROM AUTHOR]

The direct rebound effect for private car transport was estimated by following a large sample of Swedish households (28,876) that acquired a new car in 2009. For some households, this resulted in an improvement in fuel efficiency, whereas others acquired a less or similarly fuel efficient car. The households' travel distances were measured and analysed for a period of 3 years before and 3 years after the car was replaced. This approach differs from previous econometric analyses in which fleet-average changes in distance travelled were studied, often using fluctuations in fuel cost as a proxy for changes in fuel efficiency. No significant bivariate relationship was found between changes in fuel efficiency and annual distance travelled but a multivariate analysis that also included changes in income, number of cars in the household, car weight and car power, resulted in a significant rebound effect of 24 %. Households who bought a car that was labelled 'green' did not exhibit any rebound effect, while households who bought a 'normal' car displayed a rebound effect of 32 %. This could indicate that households that buy a car with improved fuel efficiency for environmental reasons also avoid the economically induced rebound effect. The analysis did not indicate any significant differences in the rebound effect between different socio-demographic groups. [ABSTRACT FROM AUTHOR]

We present a method for quantifying the energy efficiency gap ex ante. To do this, we define the energy efficiency gap as being the difference between the ex ante market and techno-economic energy savings potentials. The estimation of market potential is based on top-down (econometric) modelling of energy demand using data from the period 1970-2005. The techno-economic estimates are made using a bottom-up building stock model (ECCABS) to assess the effects and cost-efficiency of various energy efficiency measures. Common to these two modelling approaches are two scenarios of energy prices, which differ only with respect to the carbon tax component. We implement the method for the case of useful energy demand for space and water heating in the Swedish residential sector up to 2030. In comparison to the level of energy use in 2005 (74 TWh), the top-down model predicts for 2030 reductions in demand for the two price scenarios of 17 and 21 TWh respectively. The bottom-up model predicts corresponding reductions in demand of 25 and 31 TWh respectively. Thus, there is an energy efficiency gap calculated of at least 8 TWh in 2030. An implicit discount rate of 10 % would render the results from the bottom-up modelling identical to those from the top-down modelling. The presence of the energy efficiency gap indicates that there is a need for enhanced policies in order to make future reductions in energy demand reach the levels predicted by the bottom-up modelling. [ABSTRACT FROM AUTHOR]