This paper analyses energy efficiency in the EU, both in terms of reductions in energy intensity and in terms of physical indicators, looking at the differences among sectors and among Member States. We test econometrically the existence of convergence in energy intensity across Europe. We find a sensible catching–up of less performing countries, particularly in the agricultural and in the industrial sectors. Against this background, we analyse the role played by energy policies in EU Member States and we identify the most effective classes of policies and measures by means of a panel analysis of the EU-15 and Norway. It turns out that, in the residential sector, energy efficiency is particularly affected by heating regulations, by subsidies as well as tax reductions; in the transport sector, effective policies are tax reductions, incentives to eliminate old and polluting cars, car sharing, commuter plan and traffic management; in the industrial sector, mandatory technology standards, financing at low interest rate, information activities, education and outreach proved to be effective.
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Paper provided by University Library of Munich, Germany in its series MPRA Paper with number
15763.
Find related papers by JEL classification: Q48 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Government Policy O13 - Economic Development, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products E65 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook - - - Studies of Particular Policy Episodes Q01 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - General - - - Sustainable Development Q43 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Energy and the Macroeconomy
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