the rate of currency conversion that equalises the purchasing power of different currencies. It makes allowance for the differences in price levels and spending patterns between different countries.
Working together to ensure reliable, affordable and clean energy
Glossary
The following definitions reflect those used by the International Energy Agency (IEA); definitions used by other organisations and publications may vary.
AAU
assigned amount unit
active solar thermal
active solar thermal
ASHP
air-source heat pumps
AST
active solar thermal
BAT
best available technology
BAU
business-as-usual, implying no change in policies, no government intervention
BCC
biomass co-combustion
BEV
battery electric vehicles
BF
blast furnace
BFBC
bubbling fluidised-bed combustion (boiler type)
BIGCC
biomass-integrated gasification with combined cycle
Bio-SNG
bio-synthetic natural gas
BOF
basic oxygen furnace
BPT
best practical technology
BRIC
Brazil, Russia, India, China
BRICS
Brazil, Russia, India, China, South Africa
BRIICS
Brazil, Russia, India, Indonesia, South Africa
BTL
biomass-to-liquids
CAAGR
compound average annual growth rate
CAFE
corporate average fuel economy (standards in the US)
CAPEX
capital expenditures
CBE
Committee on Budget and Expenditure (of the IEA); also indicated as Budget Committee
CBM
coalbed methane
CBTL
coal-and-biomass-to-liquids
CCGT
combined-cycle gas turbine
CCHP
combined cooling, heat and power
CCRC
Climate Change Research Centre
CCS
carbon capture and storage
CCT
clean coal technologies
CDQ
coke dry quenching
CDU
crude distillation unit
CEM
Clean Energy Ministerial
CEQ
Council on Environmental Quality (United States)
CER
Certified Emission Reductions issued by CDM Executive Board, representing 1 tonne of CO2 equivalent
CERT
Committee on Energy Research and Technology (of the IEA)
CFBC
circulating fluidised-bed combustion (boiler technology)
CFI
commercial financial institutions
CFL
compact fluorescent lamp
CH4
methane
CHP
combined heat and power (generation)
CIF
Climate Investment Fund
CLEEN
Cluster for Energy and the Environment (Finland)
CMM
coal mine methane
CNG
compressed natural gas
CO
carbon monoxide
CO2
carbon dioxide
CO2-eq
carbon-dioxide equivalent
COD
chemical oxygen demand
COG
coke-oven gas
CPC
Caspian Pipeline Consortium
CPOGT
Collaborative Platform on Oil and Gas Technologies
CPRS
Carbon Pollution Reduction Scheme
CSG
coal seam gas
CSH
concentrating solar heating
CSM
coal seam methane
CSP
concentrating solar power
CSS
cyclic steam stimulation
CTC
coal to chemicals
CTF
Clean Technology Fund (World Bank)
CTG
coal-to-gas
CTL
coal-to-liquids
DER
distributed energy resources, such as PV photo voltaic solar and wind
DFI
development finance institution
DH
district heating
DHC
district heating and cooling
DME
dimethyl ether
DRI
direct reduced iron
E&P
exploration and production
EAF
electric arc furnace
ECA
export credit agency
ECBM
enhanced coalbed methane recovery
EEA
European Economic Area
EERE
Office of Energy Efficiency and Renewable Energy, Department of Energy (United States)
EFRC
Energy Frontier Research Center (United States)
EGR
enhanced gas recovery
EGSE
Experts Group on Science for Energy, (formerly known as the Ad Hoc Group on Science and Energy Technologies)
EITs
economies in transition: Russia, Former Soviet Union (FSU) and East & Central Europe (ECE)
ENARD
electricity networks analysis, research and development
EOR
enhanced oil recovery
EPA
Environmental Protection Agency (United States)
EPC
engineering, procurement and construction
ERE
Emergency Response Exercise
ERR
Emergency Response Review
ERU
emission reduction units
ES
electricity storage
ESCO
energy service company
ESMIG
European Smart Meters Industry Group
ETBE
ethyl tertiary butyl ether
ETC
energy technology collaboration
ETP
Energy Technology Perspectives(IEA publication)
ETS
emissions trading scheme
EUA
European Union allowances
EUP
Energy-using product
Eurostat
Eurostat is the statistical office of the European Union
EV
electric vehicle
ExternE
external costs of energy (research project of the European Commission)
FAME
fatty acid methyl ester
FBC
fluidised bed combustion
FCV
fuel-cell vehicles
FDI
foreign direct investment
FFV
flex-fuel vehicle
FID
final investment decision
FIT
feed-in tariff
FOB
free-on-board
FP
framework programmes for research and technology development
FPCC
Fusion Power Co-ordinating Committee (Fusion Working Party)
FSU
Former Soviet Union
FYP
five-year plan
G20
group of 20 finance ministers and central bank governors. The group is made up of all G8 members, plus Argentina, Australia, Brazil, China, India, Indonesia, Mexico, Saudi Arabia, South Africa, South Korea and Turkey. The European Union is the twentieth member.
G2V
grid-to-vehicle
G8
group of eight industrialised nations – Canada, France, Germany, Italy, Japan, Russia, United Kingdom and the United States.
GDP
gross domestic product
GFCF
gross fixed capital formation
GHG
greenhouse gases
GHP
geothermal heat pumps
GIS
geographic information systems
GIS
Green Investment Scheme
GREET
The Greenhouse Gases, Regulated Emissions, and Energy Use in Transportation Model
GSHP
ground-source heat pumps
GTL
gas-to-liquids
H2
hydrogen
H20
water
HAPs
hazardous air pollutants
HC
hydrocarbons
HDI
Human Development Index
HDV
heavy-duty vehicle
HDVC
high voltage direct current
HFCV
hydrogen fuel cell vehicle
HFO
heavy fuel oil
hi NUC
high nuclear scenario (in IEA modelling and publications)
hi REN
high renewables scenario (in IEA modelling and publications)
HLW
high-level waste
HPI
Human Poverty Index
HSPF
heating seasonal performance factor
HSR
high-speed rail
HTS
high temperature superconductor
HVAC
heating, ventilation and air conditioning
HVC
high-value chemical
HVDC
high-voltage direct current line
IA
Implementing Agreements also known as (of the IEA):
- Advanced Fuel Cells (AFCIA)
- Advanced Materials for Transportation (AMT IA)
- Advanced Motor Fuels (AMF IA)
- Bioenergy (Bioenergy IA)
- Buildings and Community Systems (ECBCS IA)
- Clean Coal Centre (CCC IA)
- Climate Technology Initiative (CTI IA)
- Co-operation on Tokamak Programmes (CTP IA)
- Demand-Side Management (DSM IA)
- District Heating and Cooling, including the Integration of Combined Heat and Power (DHC IA)
- Efficient Electrical End-Use Equipment (4E IA)
- Electricity Networks Analysis, Research & Development (ENARD IA)
- Emissions Reduction in Combustion (Combustion IA)
- Energy Storage (ECES IA)
- Energy Technology Data Exchange (ETDE IA)
- Energy Technology Systems Analysis Programme (ETSAP IA)
- Enhanced Oil Recovery (EOR IA)
- Environmental, Safety and Economic Aspects of Fusion Power (ESE Fusion Power IA)
- Fluidized Bed Conversion (FBC IA)
- Fusion Materials (Fusion Materials IA)
- Geothermal (Geothermal IA)
- Greenhouse Gas (GHG IA)
- Heat Pumping Technologies (Heat Pumps IA)
- High-Temperature Superconductivity on the Electric Power Sector (HTS IA)
- Hybrid and Electric Vehicles (HEV IA)
- Hydrogen (Hydrogen IA)
- Hydropower (Hydropower IA)
- Industrial Energy-Related Technologies and Systems (IETS IA)
- Multiphase Flow Sciences (Multiphase IA)
- Nuclear Technology of Fusion Reactors (NTFR IA)
- Ocean Energy Systems (OES IA)
- Photovoltaic Power Systems (PVPS IA)
- Plasma Wall Interaction in TEXTOR (Textor IA)
- Renewable Energy Technology Deployment (RETD IA)
- Reversed Field Pinches (RFP IA)
- Smart Grids
- Solar Heating and Cooling (SHC IA)
- SolarPACES (SolarPACES IA)
- Spherical Tori (Spherical Tori IA)
- Stellarator-Heliotron Concept (Stellarator/Heliotron IA)
- Wind Energy Systems (Wind IA)
IAB
Industry Advisory Board (of the IEA)
ICE
internal combustion engine
ICRP
Initial Contingency Response Plan
ICT
information and communications technologies
ICUK
Innovation China-United Kingdom
IDR
In-Depth Reviews (IEA publications focusing on specific countries)
IEP
integrated energy policy
IEP Agreement
IGCC
integrated gasification combined cycle
ILCETP
International Low-Carbon Energy Technology Platform
IOC
international oil company
IOF
industries of the future
IPEEC
International Partnership for Energy Efficiency Cooperation
IPO
initial public offering
IPP
independent power producer
IPR
intellectual property rights
IRR
internal rates of return
ISL
in situ leaching
JI
joint implementation under Kyoto Protocol
JODI
Joint Organisations Data Initiative (IEA database)
kWe
kilowatt electrical capacity
KWES
(booklet published by the IEA)
LCD
liquid crystal display
LCETP
Low-Carbon Energy Technology Platform
LCOE
levelised cost of energy
LCV
light commercial vehicle
LDC
least-developed country
LDV
light-duty vehicle
LED
light-emitting diode
LEDC
least economically developed country
LFR
linear Fresnel reflectors
LHV
lower heating value
LNG
liquefied natural gas
LOR
licence of right
LPG
liquefied petroleum gas
LRMC
long run marginal cost
LULUCF
land-use, land-use change and forestry
M&A
mergers and acquisitions
MARKAL model
MCFC
molten carbonate fuel cells
MDB
multilateral development bank
MDGs
Millennium Development Goals (United Nations)
MENA
Middle East and North Africa
MEP
minimum energy performance
MEPS
minimum energy performance standard
MER
market exchange rate
MOE
molten oxide electrolysis
MoMo
mobility modelling (transport sector model developed by the IEA)
MOP
Meeting of the Parties
MOTMR
(publication of the IEA)
MSC
multiple service contract
MTBE
methyl tertiary butyl ether
MTO
methanol-to-olefin
N2O
nitrous oxide
NAMA
nationally appropriate mitigation action
NAP
national allocation plan, under the EU ETS, each government must produce a national allocation plan
NBP
national balancing point
NEA
Nuclear Energy Agency (an agency within the OECD)
NEC
National Energy Commission (China)
NEDC
New European Driving Cycle
NEEDS
New Energy Externalities Development for Sustainability (research project for the European Commission)
NEET
Network of Expertise in Energy Technology, an initiative to enhance collaboration between OECD and non-member countries (launched in May 2006)
NESO
National Emergency Strategy Organisation (from the IEA’s Emergency Policy Division)
NET
Network Unit (within the IEA Energy Technology Policy [ETP] Division)
NEWNE
Synchronous grid operation of northern, eastern, western and north-eastern grids (India)
NGCC
natural gas combined cycle
NGL
natural gas liquid
NGO
non-governmental organisation
NGOC
natural gas open-cycle
NGV
natural gas vehicle
NIMBY
not in my back yard
NOC
national oil company
NOx
nitrogen oxides
NSM
National Solar Mission (India)
NTP
National Tariff Policy (India)
NYMEX
New York Mercantile Exchange
NZEC
near-zero emissions coal project
O&M
operation and maintenance
OCGT
open-cycle gas turbine
OCM
oxidative coupling of methane
ODA
official development assistance
ODI
outward direct investment
OEM
original equipment manufacturer
OHF
open-hearth furnace
OLIS
Online Information System, an OECD/IEA system for submitting official documents for OECD and IEA committees, standing groups and working parties
OME
other major economies
OMR
Oil Market Report (IEA publication)
ORC
organic Rankine cycle
OTEC
ocean thermal energy conversion
p.p.
percentage points
PAFC
phosphoric acid fuel cells
PAR
performance appraisal report
PCC
pulverised coal combustion
PCI
pulverised coal injection
PDS
public distribution system
PE
private equity
PEFC
polymer electrolyte fuel cells
PEM
proton exchange membrane
PHEV
plug-in hybrid electric vehicles
PLDV
passenger light-duty vehicle
PM
particulate matter
PM2.5
particulate matter with a diameter of 2.5 micrometers or less
PPI
Private Participation in Infrastructure
PPP
purchasing power parity
PSA
production-sharing agreement
PV
photovoltaic
R&D
research and development
RD&D
research, development and demonstration
RDD&D
research, development, demonstration and deployment
RE
renewable energy (renewables)
RECaBS
renewable energy costs and benefits for society
REP
rural electrification policy (India)
RES
renewable energy sources
RET(s)
renewable energy technology(ies)
ROW
rest of the world
RPK
revenue passenger kilometers
SA
sectoral agreement
SAGD
steam-assisted gravity drainage
SC
supercritical
SCO
synthetic crude oil
SEQ
The Standing Group on Emergency Questions (of the IEA)
SGD
Standing Group on Global Energy Dialogue (of the IEA)
SLT
Standing Group on Long-Term Co-operation (of the IEA)
SNG
synthetic natural gas
SO2
sulphur dioxide
SOFC
solid oxide fuel cells
SOM
Standing Group on the Oil Market (of the IEA)
SRMC
short-run marginal cost
SUV
sport-utility vehicle
SWF
sovereign wealth funds
Synfuel
synthetic fuel
Syngas
synthetic gas
T&D
transmission and distribution (of electricity)
TAME
tertiary amyl methyl ether
TCB
Energy Training & Capacity Building Programme (of the IEA)
TFC
total final consumption
TGC
tradable green certificate
TPED
total primary energy demand
TPES
total primary energy supply
TTW
tank-to-wheel
UAE
United Arab Emirates
UCG
underground coal gasification
ULCOS
ultra-low CO2 steelmaking
UNIPEDE
International Union of Producers and Distributors of Electrical Energy
USC
ultra-supercritical
USCSC
ultra-supercritical steam cycle
UT
union territories (India)
V2G
vehicle-to-grid
varRE or VRE
variable renewable energy
VC
venture capital
VC
voluntary contribution (IEA funding mechanism)
VOC
volatile organic compound
WEO
World Energy Outlook (IEA publication)
WTI
West Texas Intermediate (crude oil category)
WTT
well-to-tank
WTW
well-to-wheel
ZET
zero-emission technologies
ZEV
zero-emission vehicle
Advanced vehicles
covers electric (which are battery powered), plug-in hybrid (which uses two sources of power – most commonly gasoline and electric) and fuel cell models (which convert hydrogen into electricity).
Annex B countries
countries with quantitative targets under the Kyoto Protocol.
Annex I countries
developed countries and countries in transition that have committed under the UNFCCC to undertake emissions reductions activities.
anthropogenic
arising from human activity; for example, anthropogenic greenhouse-gas emissions are those linked to human activity rather than natural sources.
aquifer
an underground water reservoir; if the water contains large quantities of minerals, it is a saline aquifer.
arbitrage
the practice of taking advantage of a price difference between two or more markets.
asset finance
a secured business loan in which the borrower pledges its assets as collateral.
assigned amount unit
the tradable unit under the trading mechanism of the Kyoto Protocol. Each unit allows the country to emit one tonne of CO2 equivalent of any of six greenhouse gases covered by the Protocol.
backwardation
Market situation in which futures prices are progressively lower in the distant delivery months. For instance, if the gold quotation for January is $960.00 per ounce and that for June is $945.00 per ounce, the backwardation for five months against January is $15.00 per ounce. (Backwardation is the opposite of contango).
balance of payments
essentially a country’s bank statement, which shows all transactions with other countries throughout the world.
biodiesel
a diesel-equivalent, processed fuel made from the esterification (a chemical process that removes glycerine from oil) of both vegetable oils and animal fats.
biofuels
fuels derived from biomass or waste feedstocks; includes ethanol and biodiesel.
biogas
a mixture of methane and CO2 produced by bacterial degradation of organic matter and used as a fuel.
biomass
renewable energy from living (or recently living) plants and animals; e.g. wood chippings, crops and manure. Plants store energy from the sun while animals get their energy from the plants they eat.
biomass-to-liquids
a process featuring biomass gasification into syngas (using Fischer-Tropsch catalytic synthesis or a methanol-to-gasoline reaction path) followed by synthesis of liquid products (such as diesel, naphtha or gasoline). The process is similar to those used in coal-to-liquids or gas-to-liquids.
black liquor
a by-product from chemical pulping processes that consists of lignin residue combined with water and the chemicals used for extracting lignin.
bond
a formal contract to repay borrowed money with interest at fixed intervals.
brown coal
includes lignite and sub-bituminous coal where lignite is defined as non-agglomerating coal with a gross calorific value less than 4 165 kilocalories per kilogramme (kcal/kg) and sub-bituminous coal is defined as non-agglomerating coal with a gross calorific value between 4 165 kcal/kg and 5 700 kcal/kg.
Budget Committee
Committee on Budget and Expenditure (of the IEA); also indicated as CBE
bunkers
includes both international marine bunkers and international aviation bunkers (see respective category definitions).
carbon capture and storage (CCS)
a group of technologies used to reduce CO2 emissions from large CO2 sources (such as fossil fuel or biomass power generation) and industrial processes (such as cement, iron and steel and fertilizer manufacturing). Following capture, CO2 is transported and stored in specifically selected and characterised geological formations over 1 000 m below the ground. Aspects of the CCS chain have been used in industry for many decades; however, the complete process has been demonstrated at a commercial scale at only five locations around the world.
carbon footprint
the full quantity of greenhouse gases that can be attributed to an individual, a plant, a company, a product or a whole economy.
carbon market
the set of organised and bilateral transactions by which countries trade credits received for greenhouse-gas emission reductions. The market is used to comply with emission goals, or to voluntarily offset a country’s own emissions. The carbon market was launched by the creation of three mechanisms under the Kyoto Protocol: emissions trading, across developed countries; the Clean Development Mechanism, based on projects in developing countries; and Joint Implementation, based on projects in developed countries.
Clean Development Mechanism (CDM)
the mechanism under the Kyoto Protocol by which a developing country can earn certified emission reductions (CERs) for a project that reduces emissions (e.g. carbon trading).
climate change
the change in climate (i.e. regional temperature, precipitation, extreme weather, etc.) caused by increase in the greenhouse effect. (see global warming).
Climate Change Experts Group (CCXG)
The OECD and IEA jointly act as Secretariat for this ad hoc group of climate negotiators from member countries.
co-generation (or combined heat and power)
the simultaneous generation of both electricity and heat from the same fuel, for useful purposes. The fuel varies greatly and can include coal, biomass, natural gas, nuclear material, the sun or the heat stored in the earth.
coal
Coal refers to a variety of solid, combustible, sedimentary, organic rocks that are composed mainly of carbon and varying amounts of other components such as hydrogen, oxygen, sulphur and moisture. Coal is formed from vegetation that has been consolidated between other rock strata and altered by the combined effects of pressure and heat over millions of years. Many different classifications of coal are used around the world, reflecting a broad range of ages, compositions and properties.
coal-to-liquids
the transformation of coal into liquid hydrocarbons. It can be achieved through either coal gasification into syngas (a mixture of hydrogen and carbon monoxide), combined with Fischer-Tropsch or methanol-to-gasoline synthesis to produce liquid fuels, or through the less developed direct-coal liquefaction technologies in which coal is directly reacted with hydrogen.
coalbed methane (CBD)
methane found in coal seams that is a source of unconventional natural gas.
coke oven coke
the solid product obtained from the carbonisation of coal, principally coking coal, at high temperature. Semi-coke, the solid product obtained from the carbonisation of coal at low temperatures, is also included, along with coke and semi-coke.
coking coal
hard coal of a quality that allows the production of coke suitable to support a blast furnace charge.
concentrating solar power (CSP)
devices that concentrate energy from the sun’s rays to heat a receiver to high temperatures. This heat is transformed first into mechanical energy (by turbines or other engines) and then into electricity. (See also Photovoltaic).
condensates
condensates are liquid hydrocarbon mixtures recovered from associated or non-associated gas reservoirs. They are composed of C5 and higher carbon number hydrocarbons and normally have an API between 50° and 85°.
contango
Market situation in which prices in succeeding delivery months are progressively higher than in the nearest delivery month; the opposite of backwardation.
corporate debt
the liabilities held by a company used to fund investments.
derivatives
generally used as an instrument to hedge risk, but can also be used for speculative purposes.
direct equity investment
the acquisition of equity (or shares) in a company.
dual fuel
a vehicle that has two fuel systems and can switch from one fuel to the other, such as gasoline/compressed natural gas (CNG).
dynamic targets
emission objectives that are adjusted according to a pre-agreed metric such as GDP for a country or production level for an industry.
electric vehicle (EV)
a plug-in, battery electric vehicle. It is sometimes also termed ‘battery electric vehicle’. EVs do not have an internal combustion engine.
electricity generation
the total amount of electricity generated by power only or combined heat and power plants including generation required for own use. This is also referred to as gross generation.
electricity production
the total amount of electricity generated by a power plant. It includes own-use electricity, as well as transmission and distribution losses.
emergency response exercises
main objective is to train relevant government officials and oil industry stakeholders in emergency procedures. The IEA’s work in this area began with the development of Emergency Response Exercises for its member countries in the wake of oil supply disruptions in the 1970s, which threatened the global economy.
emission quota
the portion or share of total allowable emissions assigned to a country or group of countries within a framework of maximum total emissions and mandatory allocations of resources or assessments (Intergovernmental Panel on Climate Change).
emission reduction units (ERU)
representing 1 tonne of CO2 equivalent, generated under the Kyoto Protocol’s Joint Implementation provisions.
Energy Development Index
a composite measure of energy use in developing countries (developed by the IEA). Inputs are commercial energy consumption per capita, share of commercial energy in total final consumption (TFC), and share of population with access to electricity.
energy efficiency
something is more energy efficient if it delivers more services for the same energy input, or the same services for less energy input. For example, when a compact florescent light (CFL) bulb uses less energy than an incandescent bulb to produce the same amount of light, the CFL is considered to be more energy efficient. For more information
energy efficiency indicators
show policy makers where energy savings can be made.
energy intensity
a measure of total primary energy use per unit of gross domestic product.
energy poverty
a lack of access to modern energy services. These services are defined as household access to electricity and clean cooking facilities (e.g. fuels and stoves that do not cause air pollution in houses).
energy security
the uninterrupted availability of energy sources at an affordable price.
energy technology roadmap
focuses on a single technology and outlines a clear and systematic path for its deployment within a set time period. The roadmapping process involves detailed analysis and assessments of aspects such as research, development and deployment of the technology, the legal, regulatory and financial issues, and consumer acceptance issues.
enhanced oil recovery (EOR)
also known as tertiary oil recovery, it follows primary recovery (oil produced by the natural pressure in the reservoir) and secondary recovery (using water injection). Various EOR technologies exist, such as steam injection, hydrocarbon injection, underground combustion and CO2 flooding.
ethanol
is produced from fermenting any biomass high in carbohydrates. Today, ethanol is made from starches and sugars, but advanced generation technologies will allow it to be made from cellulose and hemicellulose, the fibrous material that makes up the bulk of most plant matter.
exchange-traded commodity
traded on an exchange which is controlled by rules and regulations, such as the New York Mercantile Exchange (NYMEX). A non-exchange traded commodity is traded between physical buyers and sellers outside of such an exchange.
Fischer-Tropsch (FT) synthesis
catalytic production process for the production of synthetic fuels. Natural gas, coal and biomass feedstocks can be used.
fission
a reaction when the nucleus of an atom, having captured a neutron, splits into two or more nuclei, and in so doing, releases a significant amount of energy as well as more neutrons. These neutrons then go on to split more nuclei and a chain reaction takes place.
flex fuel
a vehicle that has one fuel system but can mix different types of fuels, such as gasoline/ethanol, in the same tank, in any (or a wide range of) mixtures.
fuel cell models
convert hydrogen into electricity using a fuel cell system. Hydrogen is typically stored on-board the vehicle for conversion, so these need not be plug-in vehicles. However, it appears likely that plug-in hybrid type fuel cell vehicles – with batteries and a fuel cell system instead of an internal combustion engine – may be an optimal configuration, and thus they would be plug-in vehicles.
fusion
a process with nuclei collide and join together to form a heavier atom. When this happens a considerable amount of energy gets released. (This is what happens at the Sun’s core).
futures
tradable financial contracts.
gas
includes natural gas (both associated and non-associated with petroleum deposits, but excluding natural gas liquids) and gas-works gas.
gas-to-liquids
a process featuring reaction of methane with oxygen or steam to produce syngas (a mixture of hydrogen and carbon monoxide) followed by synthesis of liquid products (such as diesel and naphtha) from the syngas using Fischer-Tropsch catalytic synthesis. The process is similar to those used in coal-to-liquids or biomass-to-liquids.
geothermal
energy available as heat emitted from within the earth’s crust, usually in the form of hot water or steam.
global warming
the observed increased of the global average temperature as a result of human and other activities, including through the increased concentration of greenhouse gases such as CO2 from energy.
Glossary
The following definitions reflect those used by the IEA; definitions used by other organisations and publications may vary.
green certificates
amount of electricity produced by green methods;set by regulations but can be traded.
greenhouse effect
greenhouse gases (such as water vapour, CO2, methane, etc) in the atmosphere absorb and re-emit heat being radiated from the earth, trapping warmth.
greenhouse gases
referring to gases that contribute to the greenhouse effect by absorbing infrared radiation (heat). Anthropogenic emissions of six greenhouse gases are covered by the Kyoto Protocol.
gross domestic product (GDP)
a country’s annual economic output.
hard coal
coal of gross calorific value greater than 5 700 kilocalories per kilogramme on an ashfree but moist basis. Hard coal can be further disaggregated into anthracite, coking coal and other bituminous coal.
heat
In IEA energy statistics, heat refers to heat produced for sale only. Most heat included in this category comes from the combustion of fuels, although some small amounts are produced from geothermal sources, electrically powered heat pumps and boilers.
heat energy
Heat is obtained from fuels combustion, nuclear reactors, geothermal reservoirs, capture of sunlight, exothermic chemical processes and heat pumps which can extract it from ambient air and liquids. It may be used for heating or cooling or converted into mechanical energy for transport vehicles or electricity generation. Commercial heat sold is reported under total final consumption with the fuel inputs allocated under power generation.
heavy petroleum products
heavy petroleum products include heavy fuel oil.
hedge funds
an investment fund opened to a limited range of investors. These funds aggressively manage a portfolio of investments that use advanced investment strategies such as leveraged, long, short and derivative positions with the goal of generating high returns.
Human Poverty Index
measures life expectancy at birth, adult literacy and & school enrolment, and per-capita GDP (adjusted for purchasing power parity [PPP]). HPI-1 is a modified HPI for developing countries that measures probability at birth of not surviving to 40, adult literacy, % of population without clean water and % of children underweight.
hydro
the energy content of the electricity produced in hydropower plants assuming 100% efficiency.
hydropower
the electrical energy derived from turbines being spun by fresh flowing water. This can be from rivers or from man-made installations, where water flows from a high-level reservoir down through a tunnel and away from a dam. For more information, click here.
industry
a sector that includes fuel used within the manufacturing and construction industries. Key industry sectors include iron and steel, chemical and petrochemical, non-metallic minerals, and pulp and paper. Use by industries for the transformation of energy into another form or for the production of fuels is excluded and reported separately under other energy sector. Consumption of fuels for the transport of goods is reported as part of the transport sector.
integrated gasification combined cycle (IGCC)
a technology in which a solid or liquid fuel (coal, heavy oil or biomass) is gasified, followed by use for electricity generation in a combined-cycle power plant. It is widely considered a promising electricity generation technology, due to its potential to achieve high efficiencies and low emissions.
international aviation bunkers
This category includes the deliveries of aviation fuels to aircraft for international aviation. Fuels used by airlines for their road vehicles are excluded. The domestic/international split is determined on the basis of departure and landing locations and not by the nationality of the airline. For many countries this incorrectly excludes fuels used by domestically owned carriers for their international departures.
international marine bunkers
This category covers those quantities delivered to ships of all flags that are engaged in international navigation. The international navigation may take place at sea, on inland lakes and waterways, and in coastal waters. Consumption by ships engaged in domestic navigation is excluded. The domestic/international split is determined on the basis of port of departure and port of arrival, and not by the flag or nationality of the ship. Consumption by fishing vessels and by military forces is also excluded and included in residential, services and agriculture.
light petroleum products
include liquefied petroleum gas (LPG), naphtha and gasoline.
liquefied natural gas (LNG)
natural gas that has been liquefied by reducing its temperature to -162°C at atmospheric pressure. In this way, the space requirements for storage and transport are reduced by a factor of over 600.
liquidity
the ability to sell assets without significant movement in the price and with minimum loss of value.
low-carbon technologies
technologies that produce low – or zero – greenhouse-gas emissions while operating. In the power sector this includes fossil-fuel plants fitted with carbon capture and storage, nuclear plants and renewable-based generation technologies.
lower heating value
the heat liberated by the complete combustion of a unit of fuel when the water produced is assumed to remain as a vapour and the heat is not recovered.
Market allocation (MARKAL) model
a generic model tailored by the input data to represent the evolution over a period of usually 40 to 50 years of a specific energy system at the national, regional, state or province, or community level. More…
market fundamentals
all factors which affect the balance between supply and demand.
markets
structures which allow buyers and sellers to exchange any type of goods, services and information.
middle distillates
include jet fuel, diesel and heating oil.
Millennium Development Goals
global commitments to eradicate extreme poverty. They were agreed to by all the world’s countries and all the world’s leading development institutions in September 2000. For more information, click here.
modern biomass
includes all biomass with the exception of traditional biomass.
modern renewables
includes all types of renewables (such as wind and solar) with the exception of traditional biomass.
Multilateral Technology Initiatives
, also known as Implementing Agreements (of the IEA):
- Advanced Fuel Cells (AFCIA)
- Advanced Materials for Transportation (AMT IA)
- Advanced Motor Fuels (AMF IA)
- Bioenergy (Bioenergy IA)
- Buildings and Community Systems (ECBCS IA)
- Clean Coal Centre (CCC IA)
- Climate Technology Initiative (CTI IA)
- Co-operation on Tokamak Programmes (CTP IA)
- Demand-Side Management (DSM IA)
- District Heating and Cooling, including the Integration of Combined Heat and Power (DHC IA)
- Efficient Electrical End-Use Equipment (4E IA)
- Electricity Networks Analysis, Research & Development (ENARD IA)
- Emissions Reduction in Combustion (Combustion IA)
- Energy Storage (ECES IA)
- Energy Technology Data Exchange (ETDE IA)
- Energy Technology Systems Analysis Programme (ETSAP IA)
- Enhanced Oil Recovery (EOR IA)
- Environmental, Safety and Economic Aspects of Fusion Power (ESE Fusion Power IA)
- Fluidized Bed Conversion (FBC IA)
- Fusion Materials (Fusion Materials IA)
- Geothermal (Geothermal IA)
- Greenhouse Gas (GHG IA)
- Heat Pumping Technologies (Heat Pumps IA)
- High-Temperature Superconductivity on the Electric Power Sector (HTS IA)
- Hybrid and Electric Vehicles (HEV IA)
- Hydrogen (Hydrogen IA)
- Hydropower (Hydropower IA)
- Industrial Energy-Related Technologies and Systems (IETS IA)
- Multiphase Flow Sciences (Multiphase IA)
- Nuclear Technology of Fusion Reactors (NTFR IA)
- Ocean Energy Systems (OES IA)
- Photovoltaic Power Systems (PVPS IA)
- Plasma Wall Interaction in TEXTOR (Textor IA)
- Renewable Energy Technology Deployment (RETD IA)
- Reversed Field Pinches (RFP IA)
- Smart Grids
- Solar Heating and Cooling (SHC IA)
- SolarPACES (SolarPACES IA)
- Spherical Tori (Spherical Tori IA)
- Stellarator-Heliotron Concept (Stellarator/Heliotron IA)
- Wind Energy Systems (Wind IA)
natural decline rate
the base production decline rate of an oil or gas field without intervention to enhance production.
natural gas liquids
the liquid or liquefied hydrocarbons produced in the manufacture, purification and stabilisation of natural gas. These are those portions of natural gas which are recovered as liquids in separators, field facilities, or gas processing plants. NGLs include but are not limited to ethane, propane, butane, pentane, natural gasoline and condensates.
non-binding target
allows a country to sell allowances if its emissions are below the target, but does not oblige it to buy allowances if emissions are above.
non-energy use
fuels used for chemical feedstocks and non-energy products. Examples of non-energy products include lubricants, paraffin waxes, coal tars, and oils used as timber preservatives.
nuclear
the primary heat equivalent of the electricity produced by a nuclear plant with an average thermal efficiency of 33%.
observed decline rate
the production decline rate of an oil or gas field after all measures have been taken to maximise production. It is the aggregation of all the production increases and declines of new and mature oil or gas fields in a particular region.
oil
includes crude oil, condensates, natural gas liquids, refinery feedstocks and additives, other hydrocarbons (including emulsified oils, synthetic crude oil, mineral oils extracted from bituminous minerals such as oil shale, bituminous sand and oils from CTL and GTL) and petroleum products (refinery gas, ethane, LPG, aviation gasoline, motor gasoline, jet fuels, kerosene, gas/diesel oil, heavy fuel oil, naphtha, white spirit, lubricants, bitumen, paraffin waxes and petroleum coke).
oil burden
nominal oil expenditures (demand multiplied by the crude price) divided by nominal GDP. This is a proxy of how much any given economy spends on its oil needs in a given year. Typically, the global oil burden hovers around 2% of GDP – excepting during oil price shocks, most recently in 2008, and perhaps in 2011 as well, if prices continue to rise. In other words, the oil burden is one leading indicator of potential economic trouble ahead.
on-balance sheet funding
debt and equity issued by a company which appears on the company’s balance sheet to fund investments.
options
instruments that convey the rights, but not the obligation to engage in a future transaction on an underlying security or in a future contract.
other energy sector
This term covers the use of energy by transformation industries and the energy losses in converting primary energy into a form that can be used in the final consuming sectors. It includes losses by gas works, petroleum refineries, coal and gas transformation and liquefaction. It also includes energy used in coal mines, in oil and gas extraction and in electricity and heat
other renewables
includes geothermal, solar, wind, tide/wave/ocean energy for electricity generation. The direct use of geothermal and solar heat is also included in this category.
photovoltaic (PV)
directly convert solar energy into electricity using a PV cell; this is a semiconductor device that converts solar energy into electricity. (See also ).
plug-in hybrid electric vehicle (PHEV)
contain both an internal combustion engine and a motor with battery pack. In contrast, a regular hybrid vehicle does not have enough battery storage on board to be worthwhile adding a plug-in capability. PHEVs tend to have a shorter electric-driving range than EVs, but conversely have the benefit of a back-up internal combustion engine should the battery get drained.
power generation
fuel use in electricity plants, heat plants and combined heat and power (CHP) plants. Both main activity producer plants and small plants that produce fuel for their own use (autoproducers) are included.
price cap
a cap set on the price of traded emissions allowances.
private equity
money invested in companies that are not publicly traded on a stock exchange or invested as part of buyouts of publicly traded companies in order to make them private companies.
project finance
the financing of long-term infrastructure, industrial projects and public services, based upon a non-recourse or limited recourse financial structure where project debt and equity used to finance the project are paid back from the cashflow generated by the project.
purchasing power parity (PPP)
quotas for CO2 emissions
the portion or share of total allowable CO2 emissions assigned to a country or group of countries within a framework of maximum total emissions.
renewable energy
energy that is derived from natural processes (e.g. sunlight and wind) that are replenished at a higher rate than they are consumed. Solar, wind, geothermal, hydro, and biomass are common sources of renewable energy.
scenarios
World Energy Outlook
- 450 Scenario: A scenario presented in the World Energy Outlook, which sets out an energy pathway consistent with the goal of limiting the global increase in temperature to 2°C by limiting concentration of greenhouse gases in the atmosphere to around 450 parts per million of CO2.
- Current Policies Scenario: A scenario in the World Energy Outlook that assumes no changes in policies from the mid-point of the year of publication (previously called the Reference Scenario).
- New Policies Scenario: A scenario in the World Energy Outlook which takes account of broad policy commitments and plans that have been announced by countries, including national pledges to reduce greenhouse-gas emissions and plans to phase out fossil-energy subsidies, even if the measures to implement these commitments have yet to be identified or announced.
- Deferred Investment Case: A scenario created in World Energy Outlook 2011 to analyse how global markets might evolve if investment in the upstream industry in Middle East and North Africa countries were to fall short of that required in the New Policies Scenario over the next few years.
- Low Nuclear Case: A scenario created in World Energy Outlook 2011 to examine the implications for global energy balances of a much smaller role of nuclear power than that projected in any of the three scenarios presented in the WEO-2011.
Energy Technology Perspectives
- The 6°C Scenario (6DS) is largely an extension of current trends. By 2050, energy use almost doubles (compared with 2009) and total GHG emissions rise even more. In the absence of efforts to stabilise atmospheric concentrations of GHGs, average global temperature rise is projected to be at least 6°C in the long term. The 6DS is broadly consistent with the World Energy Outlook Current Policy Scenario through 2035.
- The 4°C Scenario (4DS) takes into account recent pledges made by countries to limit emissions and step up efforts to improve energy efficiency. It serves as the primary benchmark in ETP 2012 when comparisons are made between scenarios. Projecting a long-term temperature rise of 4°C, the 4DS is broadly consistent with the World Energy Outlook New Policies Scenario through 2035 (IEA, 2011). In many respects, this is already an ambitious scenario that requires significant changes in policy and technologies. Moreover, capping the temperature increase at 4°C requires significant additional cuts in emissions in the period after 2050.
- The 2°C Scenario (2DS) is the focus of ETP 2012. The 2DS describes an energy system consistent with an emissions trajectory that recent climate science research indicates would give an 80% chance of limiting average global temperature increase to 2°C. It sets the target of cutting energy-related CO2 emissions by more than half in 2050 (compared with 2009) and ensuring that they continue to fall thereafter. Importantly, the 2DS acknowledges that transforming the energy sector is vital, but not the sole solution: the goal can only be achieved provided that CO2 and GHG emissions in non-energy sectors are also reduced. The 2DS is broadly consistent with the World Energy Outlook 450 Scenario through 2035.
- BLUE Map Scenario: This IEA scenario is target-oriented: it sets the goal of halving global energy-related CO2 emissions by 2050 (compared to 2005 levels) and examines the least-cost means of achieving that goal through the deployment of existing and new low-carbon technologies.
smart grid
an electricity network that uses digital and other advanced technologies to monitor and manage the transport of electricity from all generation sources to meet the varying electricity demands of end users. Smart grids co-ordinate the needs and capabilities of all generators, grid operators, end users and electricity market stakeholders to operate all parts of the system as efficiently as possible, minimising costs and environmental impacts while maximising system reliability, resilience and stability.
smart meters
The European Smart Meters Industry Group (ESMG) defines four minimum functionalities of a smart meter: remote reading, two-way communication, support for advanced tariffing and payment systems and remote disablement and enablement of supply.
spot prices
the price that is quoted for immediate settlement of a transaction.
steam coal
all other hard coal that is not classified as coking coal. Also included are recovered slurries, middlings and other low-grade coal products not further classified by type. Coal of this quality is also commonly known as thermal coal.
subsidies
any government action directed primarily at the energy sector that lowers the cost of energy production, raises the price received by energy producers or lowers the price paid by energy consumers.
syngas
a synthetic gas primarily composed of hydrogen and carbon monoxide produced by a chemical process.
synthetic fuels
any liquid fuel obtained from coal, natural gas or biomass. The best known process is the Fischer-Tropsch synthesis. An intermediate step in the production of synthetic fuel is often syngas, a mixture of carbon monoxide and hydrogen produced from coal which is sometimes directly used as an industrial fuel.
technology transfer
The term has two definitions. The first definition is the process of converting scientific findings from research laboratories into useful products by the private sector. The second definition is used more in economic development literature and involves cross-border transmission of technology from one country to another.
total final consumption
the sum of consumption by the different end-use sectors. TFC is broken down into energy demand in the following sectors: industry, transport, buildings (including residential and services) and other (including agriculture and non-energy use). It excludes international marine and aviation bunkers, except at world level where it is included in the transport sector.
total final consumption (TFC)
the sum of consumption by the different end-use sectors. Total final consumption is broken down into energy demand in the following sectors: industry, transport, other (includes agriculture, residential, commercial and public services) and nonenergy uses. Industry includes manufacturing, construction and mining industries. In final consumption, petrochemical feedstocks appear under industry use.
total primary energy demand (TPED)
represents domestic demand only and is broken down into power generation, other energy sector and total final consumption.
total primary energy supply (TPES)
equivalent to total primary energy demand. This represents inland demand only and, except for world energy demand, excludes international marine and aviation bunkers.
traditional biomass
the use of fuelwood, charcoal, animal dung and agricultural residues in stoves with very low efficiencies.
transactions
a condition under a contract between a buyer and seller to exchange an asset for payment.
transport
fuels and electricity used in the transport of goods or persons within the national territory irrespective of the economic sector within which the activity occurs. This includes fuel and electricity delivered to vehicles using public roads or for use in rail vehicles; fuel delivered to vessels for domestic navigation; fuel delivered to aircraft for domestic aviation; and energy consumed in the delivery of fuels through pipelines. Fuel delivered to international marine and aviation bunkers is presented only at the world level and is excluded from the transport sector at the domestic level.
unconventional gas
sources of gas trapped deep underground by impermeable rocks, such as coal, sandstone and shale. The three main types of ‘unconventional’ gas are: shale gas (found in shale deposits); coal bed methane, or CBM (extracted from coal beds) and tight gas (which is trapped underground in impermeable rock formations). While different techniques are applied, depending on the type of gas being extracted, one common method is known as hydraulic fracturing: large volumes of water (mixed with some sand and chemicals) are injected underground to create cracks in the rock. This frees the trapped gas which can then flow into the well bore created by the drill and be collected. Another key technology is horizontal drilling which enables the exposure of significantly more surface to the well.
unconventional oil
includes oil shale, oil sands-based extra heavy oil and bitumen, derivatives such as synthetic crude products, and liquids derived from natural gas – gas-to-liquid (GTL) or coal-to-liquid (CTL).
venture capital
a form of private capital typically provided for early stage, high potential growth companies.
volatility
the day-to-day, week-to-week, month-to-month or year-to-year variation in asset ort commodity prices.
WEM
a large-scale mathematical construct designed to replicate how energy markets function and is the principal tool used to generate detailed sector-by-sector and region-by region projections for various scenarios.
b/d
barrels per day
bbl
barrel
bcm
billion cubic metres
bn
billion
boe
barrels of oil equivalent
bt
billion tonnes
Btu
British thermal unit
cal
calorie
cft
cubic foot or ft3
cm
cubic metre or m3
decimal prefixes
101 deca (da) - 10-1 deci (d)
102 hecto (h) - 10-2 centi (c)
103 kilo (k) - 10-3 milli (m)
106 mega (M) - 10-6 micro (µ)
109 giga (G) - 10-9 nano (n)
1012 tera (T) - 10-12 pico (p)
1015 peta (P) - 10-15 femto (f)
1018 exa (E) - 10-18 atto (a)
EJ
exajoule (1 joule x 1018)
ft
foot
g
gramme
gal
gallon (US or UK)
gce
gramme of coal equivalent
gCO2/km
gramme of carbon dioxide per kilometre
gCO2/kWh
gramme of carbon dioxide per kilowatt-hour
GHa
giga-hectare (1 hectare x 109)
GJ
gigajoule (1 joule x 109)
GJ/t
gigajoule per tonne
Gt
gigatonne (1 tonne x 109)
GtCO2-eq
gigatonne of carbon-dioxide equivalent (using 100-year global warming potentials for different greenhouse gases)
GW
gigawatt (1 Watt x 109)
GWh
gigawatt-hour
GWth
gigawatt thermal (1 Watt x 109)
Ha
hectare (10 000 m2)
J
joule
K
Kelvin
kb
thousand barrels
kb/d
thousand barrels per day
kcal
kilocalorie
kg
kilogramme
kgCO2-eq
kilogramme of carbon-dioxide equivalent
kJ
kilojoule
kl
thousand litres
km
kilometre
km/h
kilometre per hour
km²
square kilometre
kt
kilotonne
kV
kilovolt
kW
kilowatt
kWh
kilowatt hour
kWth
kilowatt thermal capacity
l
litre
lb
pound
lt
long ton
m
metre
mb
million barrels
mb/d
million barrels per day
MJ
megajoule
mpg
miles per gallon
Mt
million metric tons
Mtce
Million tons of coal equivalent
Mtoe
Million tons of oil equivalent
m²
square metre
pkm
passenger km
ppm
parts per million (volume)
st
short ton
t
tonne = metric ton = 1000kg
t/y
tonne per year
tcf
thousand cubic feet
tcm
trillion cubic metres
TJ
terajoule
tkm
tonne-kilometres
TWh
terawatt hour
USD
United States dollar
W
watt (1 joule per second)
°C
degrees Celsius