Sectoral potentials for energy efficiency improvements in the Netherlands

The objective of this paper is to obtain an insight into the potential for energy efficiency improvements in the Netherlands for the period 1990-2000. Using a database containing information on improvement potential and details of the costs of more than 400 energy efficient technologies, we determine the technical, economic and profitable potential in six economic sectors: heavy and light industry, households, services, transport and agriculture. It is shown that the potential varies considerably from sector to sector, ranging from 17% in transport to more than 70% in agriculture (average 36%). Governmental goals are technical feasible in all sectors. However, in light industry, the services sector and households the profitable potential using a three-year pay-back criterion is smaller than the governmental goal. A categorisation of measures is made. The largest single category is reduction of heat loss through surfaces, which can be achieved by insulation. Other important measures are combined generation of heat and power, and more efficient conversion of power to movement. Finally, the possible effect of a combination of an energy tax and an investment grand is investigated. It is shown that an increase in the energy price of 4.5 to 7% is sufficient to finance a 40% subsidy on investments in the industry and services sector. The average profitable potential increases from 17 to 22%. In households a tax of 11% is required to finance a 40% subsidy. However, in that case the profitable potential increases from 21 to 35%.