Energy Efficient LightingA Quick, Practical and cost-effective way to save energy

An introduction to the European Lighting Industry’s Roll Out Member States (ROMS) Programme

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Our agenda today

About us

Setting the scene

Overcoming the obstacles - What can be done?

How can we help you?

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About us

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European Lamp Companies Federation (ELC)

collectively employ over 50,000 people in Europe

account for 5 billion Euro European turnover

www.elcfed.org

HID

7 Member companies

HID

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European Luminaires and Gear Industry (CELMA)

18 National Manufacturers Associations for Luminaires and Electrotechnical Components for Luminaires

Represents around 1200 companies (majority of small and medium-sized companies)

In 14 EU countries

Directly employ more than 60 000 people

Generate around 10 billion Euro annually

http://www.celma.org

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The lighting industry ROMS (Roll Out Member State) Programme

The first joint lighting industry national outreach programme on energy

efficiency

Currently, one of few such joint industry programmes in Europe

Currently operating actively in 12 countries and soon operating in 27 (+2) European countries

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Working together to

Support European governments to develop policy and other measures that deliver significant CO2 emission reductions through increasing the uptake of energy efficient lighting.

Help governments to meet their National and European targets in a quick, practical and cost effective way.

Help to identify the barriers to change and assist end users to overcome these barriers.

Work with a range of stakeholders (our value chain, NGOs, retailers etc) to develop and communicate user friendly information to end consumers on how to achieve savings through energy efficient lighting technology.

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Setting the scene

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The EU’s new climate goals Not just hot air…

Background

Political changes in the EU and outside are making aggressive climate policy a reality

High energy prices and political concerns over energy producing states has made energy a “Head of State” issue

As Europe looks for a new vocation, energy policy is the leading contender, making it a Presidential issue

New targets 20% Emission Reduction by 2020

30% if others make similar pledges

60-80% emission reduction by 2050

20% Energy Efficiency by 2020

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Lamps ICONIC to transition to a Low Carbon Economy…

José Manuel Barroso, President of the European Commission and Andris Piebalgs, Member of the European Commission in charge of Energy at the press conference for the presentation of the Green Paper on Energy. March 2006

CE | Brussels - EC/Berlaymont | P-011945/00-03 | 08/03/2006

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Lighting – a significant consumer of electricity

Lighting consumes 14% of all electricity consumption within the EU and 19% of global electricity consumption

International Energy Agency

“Lighting requires as much electricity as is produced by all gas-fired generation and 15% more than produced by either hydro or nuclear power”.Light’s Labour’s Lost – Policies for Energy-efficient

Lighting. IEA

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The current pictureOver 60% of all Europe’s lighting = inefficient

1/3 of street lighting in Europe still based on old, outdated and inefficient technology current switch over rate is 3% per year - meaning it will take another

generation to upgrade average life-time of lighting installation = 40 years new technology available, more energy efficient and better quality light

More than 75% of office lighting systems still inefficient current switch over rate is 7% per year average life-time of lighting installation = 25 years huge differences in efficiency between old and new systems (energy

saving potential 30-80%)

Approximately 85% of lamps currently in EU homes are energy inefficient.

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Potential savings – an example

0

50

100

150

200

250

300

350

400

1990 1995 2000 2005 2010 2015 2020 2025 2030

Other uses

Circulation pumps

PCs

Standby

Television

Dishwashing

Clothes-drying

Clothes-washing

Refrigeration

Lighting

Cooking

Water heating

Space cooling

Space heating

TWh/year

Projected potential electrical energy savings by end-use (domestic) through using more energy efficient products….

Source IEA, 2006

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The factsEstimated savings

 

Savings potential (per year)*

CO2 (Million tonnes)

Savings potential (KWh) = 0.37 kg

CO2/kWh***

Savings potential euros (@ 15.28 Euro per

100 kw/h**)

Domestic Lighting 23 62,162,162,162 € 9,498,378,378.38

Office Lighting 8 21,621,621,622 € 3,303,783,783.78

Industrial Lighting 8 21,621,621,622 € 3,303,783,783.78

Street Lighting 3.5 9,459,459,459 € 1,445,405,405.41

Total 42.5 114,864,864,865 € 17,551,351,351.35

* Figure is based on the latest (conservative) industry estimates for the a total switch to energy efficient street, office, industry and domestic lighting in the EU (27). Detailed savings potential figures from each EU member states are in the process of being calculated by the ROMS programme.

** Figure courtesy of EUROSTAT - Statistics in Focus: "Electricity prices for EU households and industrial consumers on 1 January 2007“

*** Figure courtesy of the International Energy Agency - 0.37kg CO2/kWh - CO2 EMISSIONS FROM FUEL COMBUSTION (2006 Edition) - II. 61

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A triple win!

1. WIN for the environment through achieving significant reductions in emissions of CO2 .

2. WIN for society through improved and innovative energy efficient light sources in the work place and at home.

3. WIN for the economy through delivering more jobs and growth from innovation, financial savings to government, businesses and individual citizens from lower energy costs.

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The obstacles to making the switch

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Budgets

Budgets geared towards short term costs rather than long term savings

Who pays? Many private and commercial users (people in rented accommodation, offices, small companies) do not pay directly for the buildings’ energy use therefore no sense of responsibility

Lack of awareness of the cost-effective savings potential of energy efficient lighting technology

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Free riders

Poor market surveillance systems mean that sub standard products enter onto Europe’s lighting market

This undermines consumer confidence in energy efficient lighting technology.

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Overcoming the obstacles

What can be done?

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1.Public awareness/ education2.Building regulations and codes3.Green Procurement4.Financial incentives (e.g. VAT)5.Financial discincentives (e.g. Green Taxes)

1. Minimum Energy Performance Standards for lamps2. Amended CE Label for energy efficient lamps3. International standards and voluntary agreements (e.g. CFLi quality charter)

The Lighting Industry Strategy

Objective Increase the

uptake of energy efficient lamps in

the EU

MOST EFFICIENT LIGHTING PRODUCTS AND SYSTEMS

LEAST EFFICIENT LIGHTING PRODUCTS AND SYSTEMS

Stimulate DEMAND of most efficient products

Restrict AVAILABILITY of least efficient

products

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Stimulate DEMAND of most efficient products

• End Use Energy Services Directive (ESD)

• Energy Performance of Buildings Directive (EPBD)

• Eco-Design Directive (EUP)Implementing measures on Street, Office and Domestic Lighting

• Labelling Directive

European legislative tools to support strategy

Objective Increase the

uptake of energy efficient lamps in

the EU

MOST EFFICIENT LIGHTING PRODUCTS AND SYSTEMS

LEAST EFFICIENT LIGHTING PRODUCTS AND SYSTEMS

Restrict AVAILABILITY of least efficient

products

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The Opportunities (1)

EU Member States are required to establish 3 national energy efficiency action plans (NEEAPs) under the Energy End-Use Efficiency and Energy Services Directive (ESD).

The European Commission and national policy makers are currently formulating minimum energy performance standards for Street, Office and Domestic lighting products. These will eventually become implementing measures under the EUP Directive

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The Opportunities (2)

The Energy Performance in Buildings Directive (EPBD) – that aims to ensure that building standards across Europe placed a high emphasis on minimising energy consumption will be revised in 2009.

It is widely recognised that “market-based instruments” such as green taxes or reductions on value added tax (VAT) can help get the prices of ‘green goods’ - like energy efficient lighting - right.

In 2007, the European Commission will propose further guidance to strengthen Green Public Procurement (GPP) in the EU. They will also be debating whether GPP should be compulsory for public procurement or remain indicative.

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How can we help you?

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How can we help you?

Help you develop policies and initiatives to support the market transformation to more energy efficient lighting and deliver significant CO2 emission reductions in a quick, practical and cost effective way

Provide technical information about energy efficient lighting - alternatives, savings potentials, procurement guidelines etc

Help to identify the barriers to change Work with a range of stakeholders (our value chain, NGOs,

retailers etc) to develop and communicate user friendly information to assist end users to overcome these barriers.

Provide information and best practice examples from our colleagues in Europe and share information on key developments

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Some questions

What market transformation programmes/ measures/ policies initiatives are currently in place for lighting? In homes In businesses In the public sector

How recent European initiatives (ESD and national action plans, EUP, EPBD) being developed at a national level? Is lighting a key element of your national action plan on energy efficiency? Are you currently working on your national position on the EUP implementing

measures for lighting? Will you be representing your member state on the EUP regulatory committee?

What kind of information would you find useful from our industry? Are you interested in initiatives from elsewhere in Europe? How do you prefer to receive information?

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Thank you