ALBERT

Description / Table of Contents: Energy efficiency is a growing policy priority for many countries around the world. It is widely recognised as the most cost-effective and readily available means to address numerous energy-related issues, including energy security, the social and economic impacts of high energy prices and concerns about climate change. At the same time, energy efficiency increases competitiveness and promotes consumer welfare. In this context, it is important to develop and maintain well-founded indicators to better inform policy making and help decision makers formulate policies that are best suited to domestic and/or international objectives. Yet, choosing and developing appropriate indicators to support the development of policies is not straightforward. This publication and its companion document Energy Efficiency Indicators: Fundamentals on Statistics are intended to provide the necessary tools to initiate and/or further develop in-depth indicators to support the decision-making process..

Description / Table of Contents: Energy efficiency is high on the political agenda as governments seek to reduce wasteful energy consumption, strengthen energy security and cut greenhouse gas emissions. However, the lack of data for developing proper indicators to measure energy efficiency often prevents countries from transforming declarations into actions. The main objectives of this manual are to identify the main sectoral indicators and the data needed to develop these indicators; and to make surveying, metering and modeling practices existing all around the world available to all. This manual has been developed with a companion document, Energy Efficiency Indicators: Essentials for Policy Making, as a starting point towards enabling policymakers to understand where greater efficiency is needed, to implement appropriate policies and to measure their impact. The ultimate goal is to make improved energy efficiency not only a concept but a reality. The IEA has produced a supplement to this publication - the Energy Efficiency Indicators Statistics: Country Practices Database - which presents searchable practices on collection of data for developing efficiency indicators from a variety of OECD and non-OECD countries. Practices are searchable by country, sector, methodology and type of available documentation. By sharing these experiences, we hope to help countries and organisations to develop their own energy efficiency indicators programmes.

Description / Table of Contents: Integrating electricity markets across regions is vital both for the integration of renewable energies and to control production and distribution costs. But cross-border electricity trade continues to be perceived as potentially risky to security of electricity supply. In response, this report suggests the need for strong co-ordination of electricity security regulatory frameworks across jurisdictions. Based on the experience of International Energy Agency (IEA) member countries, this paper identifies two ways to integrate markets over wider geographic areas. The straightforward solution is to consolidate markets and system operations. For instance, merging system operators ensures that the same rules for electricity system security apply across all consolidated control areas. When this is not feasible, because of institutional barriers, co-ordinating markets and system operations can be improved One key finding of this report is that the integration of electricity security rules often lags behind integration the integration of markets themselves. This hinders the further developments needed to accommodate renewables. Governments can work together to coordinate electricity security regulations and develop the seamless power markets needed to attain decarbonisation targets.

Description / Table of Contents: The International Energy Agency (IEA) considers carbon capture and storage (CCS) a crucial part of efforts to limit global warming by reducing greenhouse-gas emissions. The IEA estimates that carbon dioxide emissions could be reduced to a level that would limit long‐term global temperature increases to 2°C through broad deployment of low‐carbon energy technologies, including CCS. In the IEA’s Energy Technology Perspectives 2012 2°C Scenario (2DS), CCS contributes about one‐seventh of cumulative emissions reductions from a business‐as-usual scenario through 2050. Achieving this contribution requires appropriate policy frameworks to both promote demonstration and deployment of CCS and ensure it is undertaken in a safe and environmentally responsible manner. The IEA Carbon Capture and Storage Legal and Regulatory Review aims to help countries develop their own regulatory frameworks by documenting and analysing recent CCS legal and regulatory developments from around the world. It was first published in 2010, and a new edition is released annually to provide an up‐to‐date snapshot of global CCS regulatory developments. Each edition includes short contributions from national, regional, state and provincial governments that review recent and anticipated CCS regulatory developments and highlight a particular, pre-nominated regulatory theme. To introduce each edition, the IEA provides a brief analysis of key advances and trends, based on the contributions submitted. The theme for this fourth edition of the CCS Review is policy measures to promote CCS demonstration and deployment. Other issues that have been highlighted include storage assessment and the Alberta Regulator Framework Assessment (RFA) process. Contributions from 22 governments and 6 international CCS organisations are presented in the fourth edition.

Description / Table of Contents: Industry and government decision makers and others with a stake in the energy sector all need WEO-2012. It presents authoritative projections of energy trends through to 2035 and insights into what they mean for energy security, environmental sustainability and economic development. Oil, coal, natural gas, renewables and nuclear power are all covered, together with an update on climate change issues. Global energy demand, production, trade, investment and carbon-dioxide emissions are broken down by region or country, by fuel and by sector. Special strategic analyses cover: - What unlocking the purely economic potential for energy efficiency could do, country-by-country and sector-by-sector, for energy markets, the economy and the environment. - The Iraqi energy sector, examining both its importance in satisfying the country’s own needs and its crucial role in meeting global oil and gas demand. - The water-energy nexus, as water resources become increasingly stressed and access more contentious. - Measures of progress towards providing universal access to modern energy services. There are many uncertainties; but many decisions cannot wait. The insights of WEO-2012 are invaluable to those who must shape our energy future.

Description / Table of Contents: Energy Technology Perspectives (ETP) is the International Energy Agency’s most ambitious publication on new developments in energy technology. It demonstrates how technologies – from electric vehicles to smart grids – can make a decisive difference in achieving the objective of limiting the global temperature rise to 2°C and enhancing energy security. ETP 2012 presents scenarios and strategies to 2050, with the aim of guiding decision makers on energy trends and what needs to be done to build a clean, secure and competitive energy future. ETP 2012 shows: • Current progress on clean energy deployment, and what can be done to accelerate it • How energy security and low carbon energy are linked • How energy systems will become more complex in the future, why systems integration is beneficial and how it can be achieved • How demand for heating and cooling will evolve dramatically and which solutions will satisfy it • Why flexible electricity systems are increasingly important, and how a system with smarter grids, energy storage and flexible generation can work • Why hydrogen could play a big role in the energy system of the future • Why fossil fuels will not disappear but will see their roles change, and what it means for the energy system as a whole • What is needed to realise the potential of carbon capture and storage (CCS) • Whether available technologies can allow the world to have zero energy related emissions by 2075 – which seems a necessary condition for the world to meet the 2°C target

Description / Table of Contents: The International Energy Agency (IEA) considers carbon capture and storage (CCS) a crucial part of worldwide efforts to limit global warming by reducing greenhouse-gas emissions. The IEA estimates that emissions can be reduced to a level consistent with a 2°C global temperature increase through the broad deployment of low-carbon energy technologies – and that CCS would contribute about one-fifth of emission reductions in this scenario. Achieving this level of deployment will require that regulatory frameworks – or rather a lack thereof – do not unnecessarily impede environmentally safe demonstration and deployment of CCS, so in October 2010 the IEA launched the IEA Carbon Capture and Storage Legal and Regulatory Review. The CCS Review is a regular review of CCS regulatory progress worldwide. Produced annually, it collates contributions by national and regional governments, as well as leading organisations engaged in CCS regulatory activities, to provide a knowledge-sharing forum to support CCS framework development. Each two page contribution provides a short summary of recent and anticipated CCS regulatory developments and highlights a particular, pre-nominated regulatory theme. To introduce each edition, the IEA provides a brief analysis of key advances and trends, based on the contributions submitted. The theme for this third edition is stakeholder engagement in the development of CO2 storage projects. Other issues addressed include: regulating CO2-EOR, CCS and CO2-EOR for storage; CCS incentive policy; key, substantive issues being addressed by jurisdictions taking steps to finalise CCS regulatory framework development; and CCS legal and regulatory developments in the context of the Clean Energy Ministerial Carbon Capture, Use and Storage Action Group.

Description / Table of Contents: Due to its clean burning properties, low investment costs and flexibility in production, natural gas is often put forward as the ideal partner fuel for wind power and other renewable sources of electricity generation with strongly variable output. This working paper examines three vital questions associated with this premise: 1) Is natural gas indeed the best partner fuel for wind power? 2) If so, to what extent will an increasing market share of wind power in European electricity generation affect demand for natural gas in the power sector? and 3) Considering the existing European natural gas markets, is natural gas capable of fulfilling this role of partner for renewable sources of electricity?

Description / Table of Contents: Natural gas is poised to enter a golden age, but this future hinges critically on the successful development of the world’s vast unconventional gas resources. North American experience shows unconventional gas - notably shale gas - can be exploited economically. Many countries are lining up to emulate this success. But some governments are hesitant, or even actively opposed. They are responding to public concerns that production might involve unacceptable environmental and social damage. This report, in the World Energy Outlook series, treats these aspirations and anxieties with equal seriousness. It features two new cases: a Golden Rules Case, in which the highest practicable standards are adopted, gaining industry a "social licence to operate"; and its counterpart, in which the tide turns against unconventional gas as constraints prove too difficult to overcome.

Description / Table of Contents: World Energy Outlook 2011 brings together the latest data, policy developments, and the experience of another year to provide robust analysis and insight into global energy markets, today and for the next 25 years. This edition of the IEA’s flagship WEO publication gives the latest energy demand and supply projections for different future scenarios, broken down by country, fuel and sector. It also gives special focus to such topical energy sector issues as: • Russia’s energy prospects and their implications for global markets. • The role of coal in driving economic growth in an emissions-constrained world. • The implications of a possible delay in oil and gas sector investment in the Middle East and North Africa. • How high-carbon infrastructure “lock-in” is making the 2°C climate change goal more challenging and expensive to meet. • The scale of fossil fuel subsidies and support for renewable energy and their impact on energy, economic and environmental trends. • A “Low Nuclear Case” to investigate what a rapid slowdown in the use of nuclear power would mean for the global energy landscape. • The scale and type of investment needed to provide modern energy to the billions of the world’s poor that do not have it. WEO-2011 provides invaluable insights into how the energy system could evolve over the next quarter of a century. The book is essential reading for anyone with a stake in the energy sector.

Description / Table of Contents: The IEA’s Smart Grids Technology Roadmap identified five global trends that could be effectively addressed by deploying smart grids. These are: increasing peak load (the maximum power that the grid delivers during peak hours), rising electricity consumption, electrification of transport, deployment of variable generation technologies (e.g. wind and solar PV) and ageing infrastructure. Along with this roadmap, a new working paper – Impact of Smart Grid Technologies on Peak Load to 2050 – develops a methodology to estimate the evolution of peak load until 2050. It also analyses the impact of smart grid technologies in reducing peak load for four key regions; OECD North America, OECD Europe, OECD Pacific and China. This working paper is a first IEA effort in an evolving modelling process of smart grids that is considering demand response in residential and commercial sectors as well as the integration of electric vehicles.

Description / Table of Contents: Electricity use is growing worldwide, providing a range of energy services: lighting, heating and cooling, specific industrial uses, entertainment, information technologies, and mobility. Because its generation remains largely based on fossil fuels, electricity is also the largest and the fastest-growing source of energy-related CO2 emissions, the primary cause of human-induced climate change. Forecasts from the IEA and others show that “decarbonising” electricity and enhancing end-use efficiency can make major contributions to the fight against climate change. Global and regional trends on electricity supply and demand indicate the magnitude of the decarbonisation challenge ahead. As climate concerns become an essential component of energy policy-making, the generation and use of electricity will be subject to increasingly strong policy actions by governments to reduce their associated CO2 emissions. Despite these actions, and despite very rapid growth in renewable energy generation, significant technology and policy challenges remain if this unprecedented essential transition is to be achieved. The IEA Climate and Electricity Annual 2011 provides an authoritative resource on progress to date in this area, with statistics related to CO2 and the electricity sector across ten regions of the world. It also presents topical analyses on meeting the challenge of rapidly curbing CO2 emissions from electricity, from both a policy and technology perspective.

Description / Table of Contents: The main message of this paper is that while carbon pricing is a prerequisite for least-cost carbon mitigation strategies, carbon pricing is not enough to overcome all the barriers to cost-effective energy efficiency actions. Energy efficiency policy should be designed carefully for each sector to ensure optimal outcomes for a combination of economic, social and climate change goals. The main message of this paper is that while carbon pricing is a prerequisite for least-cost carbon mitigation strategies, carbon pricing is not enough to overcome all the barriers to cost-effective energy efficiency actions. Energy efficiency policy should be designed carefully for each sector to ensure optimal outcomes for a combination of economic, social and climate change goals. This paper aims to examine the justification for specific energy efficiency policies in economies with carbon pricing in place. The paper begins with an inventory of existing market failures that attempt to explain the limited uptake of energy efficiency. These market failures are investigated to see which can be overcome by carbon pricing in two subsectors – electricity use in residential appliances and heating energy use in buildings. This analysis finds that carbon pricing addresses energy efficiency market failures such as externalities and imperfect energy markets. However, several market and behavioural failures in the two subsectors are identified that appear not to be addressed by carbon pricing. These include: imperfect information; principal-agent problems; and behavioural failures. In this analysis, the policies that address these market failures are identified as complementary to carbon pricing and their level of interaction with carbon pricing policies is relatively positive. These policies should be implemented when they can improve energy efficiency effectively and efficiently (and achieve other national goals such as improving socio-economic efficiency).

Description / Table of Contents: This paper explores the relationships between climate policy and renewable energy policy instruments. It shows that, even where CO2 emissions are duly priced, specific incentives for supporting the early deployment of renewable energy technologies are justified by the steep learning curves of nascent technologies. This early investment reduces costs in the longer term and makes renewable energy affordable when it needs to be deployed on a very large scale to fully contribute to climate change mitigation and energy security. The paper also reveals other noteworthy interaction effects of climate policy and renewable policy instruments on the wholesale electricity prices in deregulated markets, which open new areas for future research.

Description / Table of Contents: Increased focus has been placed on the issues of energy access and energy poverty over the last number of years, most notably indicated by the United Nations (UN) declaring 2012 as the “International Year of Sustainable Energy for All”. Although attention in these topics has increased, incorrect assumptions and misunderstandings still arise in both the literature and dialogues. Access to energy does not only include electricity, does not only include cook stoves, but must include access to all types of energy that form the overall energy system. This paper chooses to examine this energy system using a typology that breaks it into 3 primary energy subsystems: heat energy, electricity and transportation. Describing the global energy system using these three subsystems provides a way to articulate the differences and similarities for each system’s required investments needs by the private and public sectors.

Description / Table of Contents: Timely and effective deployment of demand response could greatly increase power system flexibility, electricity security and market efficiency. Considerable progress has been made in recent years to harness demand response. However, most of this potential remains to be developed. The paper draws from IEA experience to identify barriers to demand response, and possible enablers that can encourage more timely and effective demand response including cost reflective pricing, retail market reform, and improved load control and metering equipment. Governments have a key role to play in developing and implementing the policy, legal, regulatory and market frameworks needed to empower customer choice and accelerate the development and deployment of cost-effective demand response.

Description / Table of Contents: The International Energy Agency’s Energy Efficiency Unit (EEU) has begun a new programme of work on innovative energy-efficiency policies for mitigating fuel poverty. The IEAs current research focuses on the potential for low-income weatherisation programmes to address poor housing quality – the main driver of fuel poverty - as well as innovative methods for financing and evaluating such programmes. A common problem is that the energy-saving benefits accruing to fuel-poor households barely offset the investment required, suggesting a weak return on government spending. However, these investments have additional co-benefits for participants as well as for energy providers, property owners, local communities and society as a whole. This first IEA workshop focused on methods for incorporating the range of co-benefits into evaluation of low-income weatherisation programmes. The presentations given by top experts in the fuel poverty field are summarised in this report, along with conclusions and proposals for further research.

Description / Table of Contents: Special early excerpt of the World Energy Outlook 2010 for the United Nations General Assembly on the Millenium Development Goals.

Description / Table of Contents: The International Energy Agency (IEA) estimates that 100 carbon capture and storage (CCS) projects must be implemented by 2020 and over 3 000 by 2050 if CCS is to fully contribute to the least-cost technology portfolio for CO2 mitigation. To help countries address the many legal and regulatory issues associated with such rapid deployment, the IEA launched the Carbon Capture and Storage Legal and Regulatory Review (CCS Review) in October 2010. The CCS Review gathers contributions by national and regional governments, as well as leading organisations engaged in CCS regulatory activities, to provide a knowledge-sharing forum that supports national-level CCS regulatory development. Each contribution provides a short summary of recent and anticipated developments and highlights a particular regulatory theme (such as financial contributions to long-term stewardship). To introduce each edition, the IEA provides a brief analysis of key advances and trends. Produced bi-annually, the CCS Review provides an up-to-date snapshot of global CCS regulatory developments. The theme for the second edition of the CCS Review, released in May 2011, is long-term liability for stored CO2. Other key issues addressed include: national progress towards implementation of the EU CCS Directive; developments in marine treaties relevant to CCS; international climate change negotiations; and the development process for CCS regulation.

Description / Table of Contents: The International Energy Agency (IEA) estimates that 100 Carbon Capture and Storage (CCS) projects will be required by 2020 and over 3 000 by 2050 if CCS is to contribute fully to the least-cost technology portfolio for CO2 mitigation. For CCS to reach its emissions reduction potential, the 2009 IEA publication Technology Roadmap: Carbon Capture and Storage recommends that international legal obstacles associated with global CCS deployment be removed by 2012 – including the prohibition on transboundary CO2 transfer under the London Protocol. The London Protocol was amended by contracting parties in 2009 to allow for cross-border transportation of CO2 for sub-seabed storage, but the amendment must be ratified by two-thirds of contracting parties to enter into force. It is unlikely that this will occur in the near term; this working paper therefore outlines options that may be available to contracting parties under international law to address the barrier to deployment presented by Article 6, pending formal entry into force of the 2009 amendment.

Description / Table of Contents: Increased focus has been placed on the issues of energy access and energy poverty over the last number of years, most notably indicated by the United Nations (UN) declaring 2012 as the “International Year of Sustainable Energy for All”. Although attention in these topics has increased, incorrect assumptions and misunderstandings still arise in both the literature and dialogues. Access to energy does not only include electricity, does not only include cook stoves, but must include access to all types of energy that form the overall energy system. This paper chooses to examine this energy system using a typology that breaks it into 3 primary energy subsystems: heat energy, electricity and transportation. Describing the global energy system using these three subsystems provides a way to articulate the differences and similarities for each system’s required investments needs by the private and public sectors.

Description / Table of Contents: Ensuring energy security has been at the centre of the IEA mission since its inception, following the oil crises of the early 1970s. While the security of oil supplies remains important, contemporary energy security policies must address all energy sources and cover a a comprehensive range of natural, economic and political risks that affect energy sources, infrastructures and services. In response to this challenge, the IEA is currently developing a Model Of Short-term Energy Security (MOSES) to evaluate the energy security risks and resilience capacities of its member countries. The current version of MOSES covers short-term security of supply for primary energy sources and secondary fuels among IEA countries. It also lays the foundation for analysis of vulnerabilities of electricity and end-use energy sectors. MOSES contains a novel approach to analysing energy security, which can be used to identify energy security priorities, as a starting point for national energy security assessments and to track the evolution of a country’s energy security profile. By grouping together countries with similar “energy security profiles”, MOSES depicts the energy security landscape of IEA countries. By extending the MOSES methodology to electricity security and energy services in the future, the IEA aims to develop a comprehensive policy-relevant perspective on global energy security. Ensuring energy security has been at the centre of the IEA mission since its inception, following the oil crises of the early 1970s. While the security of oil supplies remains important, contemporary energy security policies must address all energy sources and cover a a comprehensive range of natural, economic and political risks that affect energy sources, infrastructures and services. In response to this challenge, the IEA is currently developing a Model Of Short-term Energy Security (MOSES) to evaluate the energy security risks and resilience capacities of its member countries. The current version of MOSES covers short-term security of supply for primary energy sources and secondary fuels among IEA countries. It also lays the foundation for analysis of vulnerabilities of electricity and end-use energy sectors. MOSES contains a novel approach to analysing energy security, which can be used to identify energy security priorities, as a starting point for national energy security assessments and to track the evolution of a country’s energy security profile. By grouping together countries with similar “energy security profiles”, MOSES depicts the energy security landscape of IEA countries. By extending the MOSES methodology to electricity security and energy services in the future, the IEA aims to develop a comprehensive policy-relevant perspective on global energy security. This Working Paper is intended for readers who wish to explore the MOSES methodology in depth; there is also a brochure which provides an overview of the analysis and results.

Description / Table of Contents: As demonstrated by the March 2011 earthquake and tsunami-triggered blackouts in Japan, electricity shortfalls can happen anytime and anywhere. Countries can minimise the negative economic, social and environmental impacts of such electricity shortfalls by developing emergency energy-saving strategies before a crisis occurs. This new IEA report Saving Electricity in a Hurry: Update 2011 highlights preliminary findings and conclusions from electricity shortfalls in Japan, the United States, New Zealand, South Africa and Chile. It draws on recent analysis to: - reinforce well-established guidelines on diagnosing electricity shortfalls, identifying energy-saving opportunities and selecting a package of energy-saving measures; and - highlight proven practice for implementing emergency energy-saving programmes. This paper will be valuable to government, academic, private-sector and civil-society stakeholders who inform, develop and implement electricity policy in general, and emergency energy-saving programmes in particular.

Description / Table of Contents: What impact will the return of high energy prices have on the fragile economic recovery? Will geopolitical unrest, price volatility and policy inaction defer investment in the oil sector and amplify risks to our energy security? What will renewed uncertainty surrounding the role of nuclear power mean for future energy and environmental trends? Is the gap between our climate actions and our climate goals becoming insurmountable? World Energy Outlook 2011 tackles these and other pressing questions. The latest data, policy developments, and the experience of another turbulent year are brought together to provide robust analysis and insight into global energy markets. WEO-2011 once again gives detailed energy demand and supply projections out to 2035, broken down by region, fuel, sector and scenario.

Description / Table of Contents: MOSES contains a novel approach to analysing energy security, which can be used to identify energy security priorities, as a starting point for national energy security assessments and to track the evolution of a country’s energy security profile. By grouping together countries with similar “energy security profiles”, MOSES depicts the energy security landscape of IEA countries. By extending the MOSES methodology to electricity security and energy services in the future, the IEA aims to develop a comprehensive policy-relevant perspective on global energy security. Ensuring energy security has been at the centre of the IEA mission since its inception, following the oil crises of the early 1970s. While the security of oil supplies remains important, contemporary energy security policies must address all energy sources and cover a a comprehensive range of natural, economic and political risks that affect energy sources, infrastructures and services. In response to this challenge, the IEA is currently developing a Model Of Short-term Energy Security (MOSES) to evaluate the energy security risks and resilience capacities of its member countries. The current version of MOSES covers short-term security of supply for primary energy sources and secondary fuels among IEA countries. It also lays the foundation for analysis of vulnerabilities of electricity and end-use energy sectors. MOSES contains a novel approach to analysing energy security, which can be used to identify energy security priorities, as a starting point for national energy security assessments and to track the evolution of a country’s energy security profile. By grouping together countries with similar “energy security profiles”, MOSES depicts the energy security landscape of IEA countries. By extending the MOSES methodology to electricity security and energy services in the future, the IEA aims to develop a comprehensive policy-relevant perspective on global energy security. This Brochure provides and overview of the analysis and results. Readers interested in an in-depth discussion of methodology are referred to the MOSES Working Paper.

Description / Table of Contents: What impact will the return of high energy prices have on the fragile economic recovery? Will geopolitical unrest, price volatility and policy inaction defer investment in the oil sector and amplify risks to our energy security? What will renewed uncertainty surrounding the role of nuclear power mean for future energy and environmental trends? Is the gap between our climate actions and our climate goals becoming insurmountable? World Energy Outlook 2011 tackles these and other pressing questions. The latest data, policy developments, and the experience of another turbulent year are brought together to provide robust analysis and insight into global energy markets. WEO-2011 once again gives detailed energy demand and supply projections out to 2035, broken down by region, fuel, sector and scenario.

Description / Table of Contents: This working paper evaluates cost and performance trends related to carbon dioxide (CO2) capture from power generation, based on extensive analysis of data from major engineering studies published between 2006 and 2010. Since individual studies use different methodologies and boundary conditions, study estimates for over 50 CO2 capture installations are re-evaluated on a consistent basis and updated to current cost levels. The paper discusses the need for further standardisation of evaluation methodologies and additional data for specific CO2 capture routes. Further analysis for non-OECD countries is considered crucial for global energy scenario models, and for improving the skills and knowledge developing countries need to evaluate the role of CCS in their national energy contexts.

Description / Table of Contents: Brazil, China, India and South Africa have each worked to improve access to electricity services. While many of the challenges faced by these countries are similar, the means of addressing them varied in their application and effectiveness. This report analyses the four country profiles, determining the pre-requisites to successful rural electrification policies.

Description / Table of Contents: Two years after the G8 leaders commitment to the broad deployment of carbon capture and storage (CCS) by 2020, significant progress has been made towards commercialisation of CCS technologies. Yet the 2008 Hokkaido G8 recommendation to launch 20 large-scale CCS demonstration projects by 2010 remains a challenge and will require that governments and industry accelerate the pace toward achieving this critical goal. This is one of the main findings of a new report by the International Energy Agency (IEA), the Carbon Sequestration Leadership Forum (CSLF), and the Global CCS Institute, to be presented to G8 leaders at their June Summit in Muskoka, Canada.

Description / Table of Contents: ETP2010 will build on the success of earlier editions, by providing decision makers with more detailed practical information and tools that can help kick-start the transition to a more secure, sustainable and affordable energy future. The new publication will present: - Updated scenarios with greater regional detail providing insights on which new technologies will be most important in the different regions of the world; - Sectoral deep dives highlighting the key technological challenges and opportunities in each of the main energy-using sectors and the new policies that will be needed to realise change; - Roadmaps and transition pathways identifying the technical and policy barriers to accelerated deployment of the most important clean technologies and how these can be overcome.

Description / Table of Contents: This paper reviews key design features of mandatory emissions trading systems that had been established or were under consideration in 2010, with a particular focus on implications for the energy sector. Putting a price on greenhouse gas emissions is a cornerstone policy in climate change mitigation. To this end, many countries have implemented or are developing domestic emissions trading systems.

Description / Table of Contents: This joint report by the International Energy Agency (IEA) and the OECD Nuclear Energy Agency (NEA) is the seventh in a series of studies on electricity generating costs. It presents the latest data available for a wide variety of fuels and technologies, including coal and gas (with and without carbon capture), nuclear, hydro, onshore and offshore wind, biomass, solar, wave and tidal as well as combined heat and power (CHP). It provides levelised costs of electricity (LCOE) per MWh for almost 200 plants, based on data covering 21 countries (including four major non-OECD countries), and several industrial companies and organisations. For the first time, the report contains an extensive sensitivity analysis of the impact of variations in key parameters such as discount rates, fuel prices and carbon costs on LCOE. Additional issues affecting power generation choices are also examined. The study shows that the cost competitiveness of electricity generating technologies depends on a number of factors which may vary nationally and regionally. Readers will find full details and analyses, supported by over 130 figures and tables, in this report which is expected to constitute a valuable tool for decision makers and researchers concerned with energy policies and climate change.

Description / Table of Contents: Oil and gas markets have been marked by an increased divergence in recent months. On the one hand, oil market developments have generated an unpleasant sense of déja vu: rapid demand growth in emerging markets eclipsed sluggish supply growth to push prices higher even before the conflict in Libya tightened supplies still further. Oil prices around $100/bbl are weighing down on an already-fragile macroeconomic and financial situation in the OECD, pressuring national budgets in the non-OECD and causing price inflation of other commodities, as well as political concerns about speculation. There is an uncanny resemblance to the first half of 2008. On the other hand, in the world of natural gas an amazing disconnect has developed as demand recovered to well above pre-financial-crisis levels in most major regions. Gas markets have tightened in Europe and Asia, where prices are about twice the level seen in the United States, as the unconventional gas revolution is in full swing. From the upstream implications of the Arab Spring to the macroeconomic consequences of the eurozone crisis, energy markets are experiencing one of the most uncertain periods in decades. Medium-Term Oil and Gas Markets 2011 provides a comprehensive outlook for oil and gas fundamentals through 2016. The oil market analysis covers demand developments on a product-by-product and key-sector basis, as well as a detailed bottom-up assessment of upstream and refinery investments, trade flows, oil products supply and OPEC spare capacity. The gas market analysis offers a region-by-region assessment of demand and production, infrastructure investment, price developments and prospects for unconventional gas. It also examines the globalising LNG trade.

Description / Table of Contents: The purpose of this report is to help EE practitioners, government officials and stakeholders to establish the most effective EE governance structures, given their specific country context. It also aims to provide readers with relevant and accessible information to support the development of comprehensive and effective governance mechanisms. The International Energy Agency (IEA) conducted a global review of many elements of EE governance,including legal frameworks, institutional frameworks, funding mechanisms, co-ordination mechanisms and accountability arrangements, such as evaluation and oversight. The research tools included a survey of over 500 EE experts in 110 countries, follow-up interviews of over 120 experts in 27 countries and extensive desk study and literature searches on good EE governance.

Description / Table of Contents: The International Energy Agency (IEA) considers carbon capture and storage (CCS) a crucial part of worldwide efforts to limit global warming by reducing greenhouse-gas emissions. The IEA has estimated that the broad deployment of low-carbon energy technologies could reduce projected 2050 emissions to half 2005 levels – and that CCS could contribute about one-fifth of those reductions. Reaching that goal, however, would require around 100 CCS projects to be implemented by 2020 and over 3 000 by 2050.

Description / Table of Contents: The power sector carries a considerably great burden of the CO2 emission reductions required to address climate change, a feature common to many scenarios of emissions abatement. These reductions will only be possible if existing plants are replaced with more efficient and less-emitting types of plants over the coming decades. This report identifies the investments needed in the power sector, and their related risk factors.

Description / Table of Contents: Energy-related carbon dioxide (CO2) emissions are set to double by 2050 unless decisive action is taken. International Energy Agency (IEA) analysis demonstrates, however, that it is possible – in the same timeframe to 2050 – to reduce projected greenhouse-gas emissions to half 2005 levels, but this will require an energy technology revolution, involving the aggressive deployment of a portfolio of low-carbon energy technologies.

Description / Table of Contents: The transport sector is currently responsible for 23% of energy-related CO2 emissions, and transport associated CO2 emissions will more than double by 2050. This working paper evaluates the potential costs and benefits of using natural gas as a vehicle fuel for road transportation, as well as the policy related to its market development.

Description / Table of Contents: For the first time, the IEA has merged its medium-term market reports for oil and gas, thereby giving readers a broader perspective on global trends. Critical questions persist for both markets, including whether economic and energy demand outlooks are clearer than in mid-2009. For the first time, the IEA has merged its medium-term market reports for oil and gas, thereby giving readers a broader perspective on global trends. Critical questions persist for both markets, including whether economic and energy demand outlooks are clearer than in mid-2009. Do oil markets show a genuine structural shift in demand patterns? Will they sustain a nascent recovery in upstream spending evident in 2010? And how long will current levels of OPEC spare capacity persist? For the gas market, will demand recover from its collapse in 2009? How long will the gas glut last? Will unconventional gas revolutionise gas markets outside North America? And how is consumption changing in China, Russia and the Middle East? Medium-Term Oil and Gas Markets 2010 presents a comprehensive outlook for oil and gas market fundamentals over the next three to five years. The oil market analysis develops two demand scenarios that reflect uncertainties about the path of economic recovery after the global slow-down in 2008/09. Market balances are generated from detailed analysis of upstream investment projects, oil field decline rates, product-by-product demand trends, and refinery investment and operations. The gas market analysis assesses prices, unconventional gas, future demand developments and LNG markets, as well as investment across the gas value chain. With a focus on key producers (including Russia, the Caspian region and the Middle East) and rising LNG exporters (such as Australia), it examines implications for global gas markets.

Description / Table of Contents: Since WEO-2008, the economic downturn has led to a drop in energy use, CO2 emissions and energy investment. Is this an opportunity to arrest climate change or a threat that any economic upturn might be stifled at birth? What package of commitments and measures should the climate negotiators at Copenhagen put together if they really want to stop global temperatures rising? How much would it cost? And how much might the developed world have to pay to finance action elsewhere? How big is the gas resource base and what is the typical pattern of production from a gas field? What does the unconventional gas boom in the United States mean for the rest of the world? Are we headed for a global gas glut? What role will gas play in the future energy mix? And how might the way gas is priced change? All these questions and many others are answered in WEO-2009. The data are extensive, the projections more detailed than ever and the analyses compelling.

Description / Table of Contents: Since 2005, the OECD and IEA have been examining the possibility to expand international carbon markets by granting broader access to developing countries. This note summarises key elements in this area, drawing on earlier publications done under the aegis of the Annex I Expert Group on the UNFCCC (AIXG).

Description / Table of Contents: This paper first reviews proposals for the design of sectoral and related market mechanisms currently debated, both in the UNFCCC negotiations, and in different domestic legislative contexts. Secondly, it addresses the possible principles and technical requirements that Parties may wish to consider as the foundations for further elaboration of the mechanisms. The third issue explored herein is domestic implementation of sectoral market mechanisms by host countries, incentives to move to new market mechanisms, as well as how the transition between current and future mechanisms could be managed.

Description / Table of Contents: Investment in the energy system of tomorrow requires substantial resources and informed policy making to achieve energy-security,economic and environmental objectives. The International Energy Agency (IEA) estimates 26 trillion USD in investments will be needed in the energy sector by 2030 to sustain current energy trends. Energy business-as-usual, however, and the resulting environmental impacts, are not sustainable as they result in energy insecurity and climate damages. Investment in the energy system of tomorrow requires substantial resources and informed policy making to achieve energy-security, economic and environmental objectives. The International Energy Agency (IEA) estimates 26 trillion USD in investments will be needed in the energy sector by 2030 to sustain current energy trends. Energy business-as-usual, however, and the resulting environmental impacts, are not sustainable as they result in energy insecurity and climate damages.

Description / Table of Contents: Measurable, Reportable and Verifiable Mitigation Actions and Support

Description / Table of Contents: Coal Mine Methane in China

Description / Table of Contents: This information paper provides policy makers and managers, facing tough energy policy challenges, with a wider perspective of how the same issues are being addressed by different IEA member countries. The topics included are: Government structures for co-ordinating energy and climate policies The use of long-term energy forecasts and scenarios Progress in the delivery of key energy security policies

Description / Table of Contents: Industry accounts for one-third of global energy use and almost 40% of worldwide CO2 emissions. Achieving substantial emissions reduction in the future will require urgent action from industry. Industry accounts for one-third of global energy use and almost 40% of worldwide CO2 emissions. Achieving substantial emissions reduction in the future will require urgent action from industry. What are the likely future trends in energy use and CO2 emissions from industry? What impact could the application of best available technologies have on these trends? Which new technologies are needed if these sectors are to fully play their role in a more secure and sustainable energy future? Energy Technology Transitions for Industry addresses these questions through detailed sectoral and regional analyses, building on the insights of crucial IEA findings, such as Energy Technology Perspectives 2008: Scenarios and Strategies to 2050. It contains new indicators and methodologies as well as scenario results for the following sectors: iron and steel, cement, chemicals, pulp and paper and aluminium sectors. The report discusses the prospects for new low-carbon technologies and outlines potential technology transition paths for the most important industrial sectors. This publication is one of three new end-use studies, together with transport and buildings, which look at the role of technologies in transforming the way energy is used in these sectors.

Description / Table of Contents: This article assesses the long-term economic and climatic effects of introducing price caps and price floors in hypothetical global climate change mitigation policy. Based on emission trends, abatement costs and equilibrium climate sensitivity from IPCC and IEA reports, this quantitative analysis confirms that price caps could significantly reduce economic uncertainty. This uncertainty stems primarily from unpredictable economic growth and energy prices, and ultimately unabated emission trends. In addition, the development of abatement technologies is uncertain. Furthermore,this analysis shows that rigid targets may entail greater economic risks with little or no comparative advantage for the climate. More ambitious emission objectives, combined with price caps and price floors, could still entail significantly lower expected costs while driving similar, or even slightly better, climatic outcomes in probabilistic terms.

Description / Table of Contents: This paper compares model estimates of national and sectoral GHG mitigation potential across six key OECD GHG-emitting economies: Australia, Canada, the EU, Japan, Mexico and the US. It examines the implications of model structure, baseline and policy assumptions, and assesses GHG mitigation potential estimates across a variety of models, including models that are used to inform climate policy-makers in each of these economies.

Description / Table of Contents: The report, released at the COGEN Europe meeting in Brussels on 21 April 2009, provides “best practice” policy approaches used by different countries to expand CHP and district energy use. The report follows the 2008 IEA CHP study as part of the IEA International CHP Collaborative effort.

Description / Table of Contents: This paper is a background document on the global chemical and petrochemical sector for the IEA publication Energy Technology Transitions in Industry (IEA, 2009). It provides further, more detailed information on the methodology and data issues for energy efficiency indicators for the sector. The indicators discussed offer insight regarding the energy efficiency improvement potential in the short- to medium-term (by proven technologies). This paper is a background document on the global chemical and petrochemical sector for the IEA publication Energy Technology Transitions in Industry (IEA, 2009). It provides further, more detailed information on the methodology and data issues for energy efficiency indicators for the sector. The indicators discussed offer insight regarding the energy efficiency improvement potential in the short- to medium-term (by proven technologies).

Description / Table of Contents: Addressing climate change requires nothing short of an energy revolution. Electricity, mostly generated from fossil fuels, is at the core of this challenge, accounting for more than 40 % of global energy-related CO2 emissions. This issue is most pressing for developing countries where growth in power demand is particularly high, fueling the risk of irreversible investment in CO2-intensive capacity, the so-called “carbon lock-in”. Addressing climate change requires nothing short of an energy revolution. Electricity, mostly generated from fossil fuels, is at the core of this challenge, accounting for more than 40 % of global energy-related CO2 emissions. This issue is most pressing for developing countries where growth in power demand is particularly high, fueling the risk of irreversible investment in CO2-intensive capacity, the so-called “carbon lock-in”. Sectoral Approaches in Electricity – Building Bridges to a Safe Climate shows how the international climate policy framework could effectively support a transition towards low-CO2 electricity systems in developing countries. Sectoral approaches are intended to address sectors that require urgent actions, without waiting for countries to take nation-wide commitments. Once built, power generation capacity lasts for decades. Investing massively in CO2-intensive technologies to meet surging electricity demand will either make it impossible or overly costly to stabilise CO2 concentrations at sustainable levels. The technology mix needed to avoid such a development is clear: higher generation efficiency, CO2 capture and storage, nuclear and renewables. Earlier IEA publications have extensively reviewed developed countries’ efforts to steer generation away from carbon-intensive production modes, from dedicated support to low-carbon technologies to, increasingly, the reliance on CO2 pricing via emissions trading. Following the same logic, there are proposals seeking to use the international carbon market to drive changes at sectoral level in developing countries. This publication illustrates the pros and cons of such an approach in a few key emerging economies. It also asks how international climate policy could support and enhance ongoing efforts on end-use energy efficiency - an essential piece of the climate change/electricity puzzle.

Description / Table of Contents: China’s rapid economic growth has aroused intense interest around the world. Policy makers, industrialists, investors, environmentalists, researchers and others want to better understand the issues that this populous nation faces as it further develops an already thriving economy largely fuelled by coal. This study sheds light on the Chinese coal supply and transformation sectors. China’s rapid economic growth has aroused intense interest around the world. Policy makers, industrialists, investors, environmentalists, researchers and others want to better understand the issues that this populous nation faces as it further develops an already thriving economy largely fuelled by coal. This study sheds light on the Chinese coal supply and transformation sectors. China’s coal, mined locally and available at a relatively low cost, has brought enormous benefits to energy consumers in China and to those outside the country who enjoy the products of its coal-based economy. Yet from another perspective, China’s coal use has a high cost. Despite progress, health and safety in the thousands of small coal mines lag far behind the standards achieved in China’s modern, large mines. Environmental degradation is a real and pressing problem at all stages of coal production, supply and use. Adding to these burdens, emissions of carbon dioxide are of concern to the Chinese government as it embarks on its own climate protection strategy. Technology solutions are already transforming the way coal is used in China and elsewhere. This study explores the context in which the development and deployment of these technologies can be accelerated. Providing a large amount of new data, it describes in detail the situation in China as well as the experiences of other countries in making coal cleaner. Above all, the report calls for much greater levels of collaboration – existing bi-lateral and multi-lateral co-operation with China on coal is found lacking. China’s growing openness presents many commercial opportunities. Establishing a global market for cleaner coal technologies is key to unlocking the potential of technology – one of ten major recommendations made in this study.

Description / Table of Contents: The IEA has identified energy efficiency as essential to achieving a sustainable energy future. In order to improve energy efficiency in industry one of the priority areas for further action is the promotion of more and higher quality energy management (EM) activity. However, there are significant gaps in the current implementation of EM. One method of bridging these gaps would be the creation of an EM Action NetworK (EMAK) to bring practical support to energy managers, connect energy managers to energy policy makers, and interconnect these networks globally.

Description / Table of Contents: This special early excerpt of WEO-2009 is a contribution from the energy sector to inform the negotiations leading into Copenhagen. It summarises the results of a fully-updated Reference Sceario, detailing by sector and by country/region the trends in energy use and emissions and the investments and funding needed to meet the 450 Scenario.

Description / Table of Contents: This article assesses the long-term economic and climatic effects of introducing price caps and price floors in hypothetical global climate change mitigation policy. Based on emission trends, abatement costs and equilibrium climate sensitivity from IPCC and IEA reports, this quantitative analysis confirms that price caps could significantly reduce economic uncertainty. This uncertainty stems primarily from unpredictable economic growth and energy prices, and ultimately unabated emission trends.In addition, the development of abatement technologies is uncertain. Furthermore,this analysis shows that rigid targets may entail greater economic risks with little or no comparative advantage for the climate. More ambitious emission objectives, combined with price caps and price floors, could still entail significantly lower expected costs while driving similar, or even slightly better, climatic outcomes in probabilistic terms.

Description / Table of Contents: This study assesses the long-term economic and environmental effects of introducing price caps and price floors in hypothetical climate change mitigation architecture, which aims to reduce global energy-related CO2 emissions by 50% by 2050. Based on abatement costs in IPCC and IEA reports, this quantitative analysis confirms what qualitative analyses have already suggested: introducing price caps could significantly reduce economic uncertainty. This uncertainty stems primarily from unpredictable economic growth and energy prices, and ultimately unabated emission trends. In addition, the development of abatement technologies is uncertain. With price caps, the expected costs could be reduced by about 50% and the uncertainty on economic costs could be one order of magnitude lower. Reducing economic uncertainties may spur the adoption of more ambitious policies by helping to alleviate policy makers’ concerns of economic risks. Meanwhile, price floors would reduce the level of emissions beyond the objective if the abatement costs ended up lower than forecasted. If caps and floors are commensurate with the ambition of the policy pursued and combined with slightly tightened emission objectives, climatic results could be on average similar to those achieved with “straight” objectives (i.e. with no cost-containment mechanism). This papers reviews current proposals in the UNFCCC negotiations for future mechanisms to report and record Parties’ GHG mitigation actions and commitments, as well as support provided for such actions. It explores the possible purposes, coverage and form of a reporting/recording mechanism post-2012 and highlights the decision points that are needed in order to establish such a mechanism. It examines what information such a mechanism could include in terms of actions, commitments and support, as well as the institutional implications of different design options.

Description / Table of Contents: An Assessment of Technology, Policy and Financial Issues Relating to CMM in China, based on Interviews Conducted at Coal Mines in Guizhou and Sichuan Provinces.

Description / Table of Contents: This paper discusses coal mine methane emissions (CMM) in the Russian Federation and the potential for their productive utilisation. It highlights specific opportunities for cost-effective reductions of CMM from oil and natural gas facilities, coal mines and landfills, with the aim of improving knowledge about effective policy approaches.

Description / Table of Contents: The aim of this paper is to describe and analyse current approaches to encourage energy efficiency in building codes for new buildings. Based on this analysis the paper enumerates policy recommendations for enhancing how energy efficiency is addressed in building codes and other policies for new buildings. This paper forms part of the IEA work for the G8 Gleneagles Plan of Action. These recommendations reflect the study of different policy options for increasing energy efficiency in new buildings and examination of other energy efficiency requirements in standards or building codes, such as energy efficiency requirements by major renovation or refurbishment. In many countries, energy efficiency of buildings falls under the jurisdiction of the federal states. Different standards cover different regions or climatic conditions and different types of buildings, such as residential or simple buildings, commercial buildings and more complicated high-rise buildings. There are many different building codes in the world and the intention of this paper is not to cover all codes on each level in all countries. Instead, the paper details different regions of the world and different ways of standards. In this paper we also evaluate good practices based on local traditions. This project does not seek to identify one best practice amongst the building codes and standards. Instead, different types of codes and different parts of the regulation have been illustrated together with examples on how they have been successfully addressed. To complement this discussion of efficiency standards, this study illustrates how energy efficiency can be improved through such initiatives as efficiency labelling or certification, very best practice buildings with extremely low- or no-energy consumption and other policies to raise buildings’ energy efficiency beyond minimum requirements. When referring to the energy saving potentials for buildings, this study uses the analysis of recent IEA publications, including the World Energy Outlook 2006 (WEO) and Energy Technology Perspective (ETP). Here, we based the estimates of potentials on the scenarios presented, in particular on the predictions of consumption in the residential and commercial sectors in the WEO 2006. Finally, this paper recommends policies which could be used to realise these large and feasible energy saving potentials in new buildings, and the use of building codes by renovation or refurbishment. The paper addresses as well experts as policy makers and interest groups with particular interest in energy efficiency in new buildings. Some parts might hence seem simplified and known for some experts, such as the discussions on barriers or the climatic impact on efficiency. Other parts might on the other hand seem a little technical for the policy oriented reader or for some interest groups. But there are large and compelling opportunities, this is recognised by many experts as well as there is a will to act by many policymakers and governments. But still too little happen because there are barriers and low understanding also in the institutional parts or little communications between different layers of the implementation process. The paper hence aims to bridge these gabs by addressing several different groups at the same time. So hopefully the reader will accept these inconveniences.

Description / Table of Contents: This report explores the effects of the EU emissions trading scheme on the aluminium sector (i.e. competitiveness loss and carbon leakage). With its very high electricity intensity, primary aluminium stands out in the heavy industry picture: a sector whose emissions are not capped in the present EU ETS, European aluminium smelters still stand to lose profit margins and, possibly, market shares, as electricity prices increase following CO2 caps on generators’ emissions - the famous pass-through of CO2 prices into electricity prices. The analysis includes a method of quantification of this issue, based on two indicators: profit margins and trade flows. As the EU is at the forefront of such policy, the paper provides policy messages to all countries on how trade exposed energy-intensive industries can be ‘moved’ by carbon constraint. This also is a contentious topic in Australia, Japan, New Zealand, and the US, where ambitious climate policies – including cap-and-trade systems – are currently debated.

Description / Table of Contents: Are world oil and gas supplies under threat? How could a new international accord on stabilising greenhouse-gas emissions affect global energy markets? World Energy Outlook 2008 answers these and other burning questions. WEO-2008 draws on the experience of another turbulent year in energy markets to provide new energy projections to 2030, region by region and fuel by fuel. It incorporates the latest data and policies. WEO-2008 focuses on two pressing issues facing the energy sector today: - Prospects for oil and gas production: How much oil and gas exists and how much can be produced? Will investment be adequate? Through field-by-field analysis of production trends at 800 of the world’s largest oilfields, an assessment of the potential for finding and developing new reserves and a bottom-up analysis of upstream costs and investment, WEO-2008 takes a hard look at future global oil and gas supply. - Post-2012 climate scenarios: What emissions limits might emerge from current international negotiations on climate change? What role could cap-and-trade and sectoral approaches play in moving to a low-carbon energy future? Two different scenarios are assessed, one in which the atmospheric concentration of emissions is stabilised at 550 parts per million (ppm) in CO2 equivalent terms and the second at the still more ambitious level of 450 ppm. The implications for energy demand, prices, investment, air pollution and energy security are fully spelt out. This groundbreaking analysis will enable policy makers to distill the key choices as they strive to agree in Copenhagen in 2009 on a post-Kyoto climate framework. With extensive data, detailed projections and in-depth analysis, WEO-2008 provides invaluable insights into the prospects for the global energy market and what they mean for climate change.

Description / Table of Contents: The world needs ever increasing energy supplies to sustain economic growth and development. But energy resources are under pressure and CO2 emissions from today’s energy use already threaten our climate. What options do we have for switching to a cleaner and more efficient energy future? How much will it cost? And what policies do we need? This second edition of Energy Technology Perspectives addresses these questions, drawing on the renowned expertise of the International Energy Agency and its energy technology network. This publication responds to the G8 call on the IEA to provide guidance for decision makers on how to bridge the gap between what is happening and what needs to be done in order to build a clean, clever and competitive energy future. The IEA analysis demonstrates that a more sustainable energy future is within our reach, and that technology is the key. Increased energy efficiency, CO2 capture and storage, renewables, and nuclear power will all be important. We must act now if we are to unlock the potential of current and emerging technologies and reduce the dependency on fossil fuels with its consequent effects on energy security and the environment. This innovative work demonstrates how energy technologies can make a difference in an ambitious series of global scenarios to 2050. The study contains technology road maps for all key energy sectors, including electricity generation, buildings, industry and transport. Energy Technology Perspectives 2008 provides detailed technology and policy insights to help focus the discussion and debate in energy circles..

Description / Table of Contents: At their 2007 Summit in Heiligendamm, G8 leaders called on countries to “adopt instruments and measures to significantly increase the share of combined heat and power (CHP) in the generation of electricity.” As a result, energy, economic, environmental and utility regulators are looking for tools and information to understand the potential of CHP and to identify appropriate policies for their national circumstances. This report forms the first part of the response. It includes answers to policy makers’ questions about the potential economic, energy and environmental benefits of an increased policy commitment to CHP. It also includes for the first time integrated IEA data on global CHP installations, and analyses the benefits of increased CHP investment in the G8+5 countries. A companion report will be produced later in 2008 to document best practice policy approaches that have been used to expand the use of CHP in a variety of countries.

Description / Table of Contents: This study assesses the long-term economic and environmental effects of introducing price caps and price floors in hypothetical climate change mitigation architecture, which aims to reduce global energy-related CO2 emissions by 50% by 2050. Based on abatement costs in IPCC and IEA reports, this quantitative analysis confirms what qualitative analyses have already suggested: introducing price caps could significantly reduce economic uncertainty. This uncertainty stems primarily from unpredictable economic growth and energy prices, and ultimately unabated emission trends. In addition, the development of abatement technologies is uncertain. See also Assessing the value of price caps and floors, November 2009 This study assesses the long-term economic and environmental effects of introducing price caps and price floors in hypothetical climate change mitigation architecture, which aims to reduce global energy-related CO2 emissions by 50% by 2050. Based on abatement costs in IPCC and IEA reports, this quantitative analysis confirms what qualitative analyses have already suggested: introducing price caps could significantly reduce economic uncertainty. This uncertainty stems primarily from unpredictable economic growth and energy prices, and ultimately unabated emission trends. In addition, the development of abatement technologies is uncertain. With price caps, the expected costs could be reduced by about 50% and the uncertainty on economic costs could be one order of magnitude lower. Reducing economic uncertainties may spur the adoption of more ambitious policies by helping to alleviate policy makers’ concerns of economic risks. Meanwhile, price floors would reduce the level of emissions beyond the objective if the abatement costs ended up lower than forecasted. If caps and floors are commensurate with the ambition of the policy pursued and combined with slightly tightened emission objectives, climatic results could be on average similar to those achieved with “straight” objectives (i.e. with no cost-containment mechanism).

Description / Table of Contents: The aim of this IEA Information Paper is to help policy makers and other stakeholders understand the challenges facing the incorporation of high efficiency combined heat and power (CHP) into greenhouse gas (GHG) Emissions Trading Schemes (ETSs) – and to propose options for overcoming them.

Description / Table of Contents: The conflicts over the break-up of the former Yugoslavia damaged much of the energy infrastructure and compounded the challenge of providing reliable energy supply. The Western Balkans – composed of Albania, Bosnia and Herzegovina, Croatia, the Former Yugoslav Republic of Macedonia, Montenegro, Serbia and Kosovo – is a complex region facing significant energy challenges. The conflicts over the break-up of the former Yugoslavia damaged much of the energy infrastructure and compounded the challenge of providing reliable energy supply. Electricity systems in many parts of the region remain fragile and in need of investment. A priority across the region is to put into place the institutions, infrastructure and policies that can support the provision of reliable, affordable and sustainable energy. For the Western Balkans as a whole, a key element of the reform effort is the Energy Community Treaty – a regulatory and market framework to which the entire region has now subscribed. This Treaty aims to create an integrated regional market for electricity and gas compatible with the European Union’s internal energy market. This Energy Policy Survey is the first comprehensive review of energy policies and strategies in the Western Balkan region, and also covers important cross-cutting topics such as co-operation and energy trade, oil and gas transportation, and the links between energy and poverty. It identifies and assesses the reforms that are still needed to deliver efficient, modernised energy systems that can assist economic development, address energy poverty and reduce the environmental impacts of energy use.

Description / Table of Contents: Climate change is a major challenge. Secure, reliable and affordable energy supplies are needed for economic growth, but increases in the associated carbon dioxide (CO2) emissions are the cause of major concern. About 69% of all CO2 emissions, and 60% of all greenhouse gas emissions, are energy-related. Recent IEA analysis in Energy Technology Perspectives 2008 (ETP) projects that the CO2 emissions attributable to the energy sector will increase by 130% by 2050 in the absence of new policies or supply constraints, largely as a result of increased fossil fuel usage. The 2007 Intergovernmental Panel on Climate Change (IPCC) 4th Assessment Report indicates that such a rise in emissions could lead to a temperature increase in the range of 4-7°C, with major impacts on the environment and human activity. It is widely agreed that a halving of energy-related CO2 emissions is needed by 2050 to limit the expected temperature increase to less than 3 degrees. To achieve this will take an energy technology revolution involving increased energy effi ciency, increased renewable energies and nuclear power, and the decarbonisation of power generation from fossil fuels. The only technology available to mitigate greenhouse gas (GHG) emissions from large-scale fossil fuel usage is CO2 capture and storage (CCS). The ETP scenarios demonstrate that CCS will need to contribute nearly one-fi fth of the necessary emissions reductions to reduce global GHG emissions by 50% by 2050 at a reasonable cost. CCS is therefore essential to the achievement of deep emission cuts. Most of the major world economies recognise this, and have CCS technology development programmes designed to achieve commercial deployment. In fact, at the 2008 Hokkaido Toyako summit, the G8 countries endorsed the IEA’s recommendation that 20 large-scale CCS demonstration projects need to be committed by 2010, with a view to beginning broad deployment by 2020. Ministers specifi cally asked for an assessment by the IEA in 2010 of the implementation of these recommendations, as well as an assessment of progress towards accelerated deployment and commercialisation. Current spending and activity levels are nowhere near enough to achieve these deployment goals. CCS technology demonstration has been held back for a number of reasons. In particular, CCS technology costs have increased signifi cantly in the last 5 years. In the absence of suitable fi nancial mechanisms to support CCS, including signifi cant public and private funding for nearterm demonstrations and longer-term integration of CCS into GHG regulatory and incentive schemes, high costs have precluded the initiation of large-scale CCS projects. The regulatory framework necessary to support CCS projects also needs to be further developed. Despite important progress, especially in relation to international marine protection treaties, no country has yet developed the comprehensive, detailed legal and regulatory framework that is necessary effectively to govern the use of CCS. CCS is also poorly understood by the general public. As a result, there is a general lack of public support for CCS as compared to several other GHG mitigation options. This report attempts to address some of these issues by collecting the best global information about the cost and performance of CO2 capture, transport and storage technologies throughout the CCS project chain. Chapters 1-4 contain this information, and use it to conduct a scenario analysis of the role of CCS in climate change mitigation. Chapter 5 discusses the fi nancial incentive mechanisms that governments can use to provide both short- and long-term incentives for CCS. This chapter also contains an expansion and update of the 2007 IEA publication Legal Aspects of CO2 Storage: Updates and Recommendations and examines the current state of public awareness and acceptance of the relevant technologies. Chapter 6 includes a review of the status of CCS policies, research and demonstration programmes, and CO2 storage prospects for several regions and countries. Chapter 7 concludes with a proposed CCS roadmap that includes the necessary technical, political, fi nancial and international collaboration activities to enable CCS to make the contribution it needs to make to global GHG mitigation in the coming decades.

Description / Table of Contents: This report explores the vulnerability of heavy industry to carbon leakage and competitiveness loss. It reviews the existing literature on competitiveness and carbon leakage under uneven climate policies. It also suggests a statistical method to track carbon leakage, and applies this methodology to Phase I of the EU emissions trading scheme, for various industrial activities: iron and steel, cement, aluminium and refineries. Finally, it reviews measures to mitigate carbon leakage, as discussed in Australia, Canada, Europe, New Zealand and the US.

Description / Table of Contents: This report presents the findings of a new assessment of the techno-economic and policy-related efficiency improvement potential in the North American building stock conducted as part of a wider appraisal of existing buildings in member states of the International Energy Agency. It summarizes results and provides insights into the lessons learned through a broader global review of best practice to improve the energy efficiency of existing buildings. At this time, the report is limited to the USA because of the large size of its buildings market. At a later date, a more complete review may include some details about policies and programs in Canada. If resources are available an additional comprehensive review of Canada and Mexico may be performed in the future.