Energy intensity of the economy as a variable to measure the energy efficiency of a country: comparison between European member states

Abstract

When renewable energies were included in the energy policies of the EU partners, a target was set for 2020; 20% of the energy production in the member states should be renewable. However, with the beginning of the economic crisis in 2007, growth forecasts were not met; there was an overcapacity in certain countries, which meant that the energy situation had to be reconsidered to develop a stronger, more consolidated interconnection among member states and therefore ensure a secure quality supply, in which the technical and financial management of the system is balanced and there is less dependence on foreign energy. Supporting a mix of energy sources based on a high penetration of renewables is putting pressure on the electricity tariffs. Hence, renewables should be promoted but without negatively affecting the competitiveness of countries. In a recession, efficiency indicators, not growth at any price must be controlled. Therefore, a key indicator to be considered is the Energy Intensity of the Economy that compares the total primary energy consumption and the GDP. Any discussion of energy strategy should focus on three fundamental parameters: security of supply, environmental sustainability and economic efficiency. The energy policies of EU countries are based on these three key areas.