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Asset values
…commercial sectors. Studies show that sale price premiums for energy efficient buildings range from 3% to 15% in residential buildings and 13 to 20% in commercial buildings. Key analysis Studies show that individuals and businesses are willing to pay a higher rent and/or sales price for property with improved energy performance, such as that expressed in energy performance certificates. Evidence from the United States and Germany suggests that sales price premiums are about twice as high as rental price premiums. Meanwhile, in the industrial and utility sectors, energy efficiency measures can increase asset values by improving productivity, reducing wear…
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Energy Efficiency Policy Toolkit
…case studies, offering practical insights into the successful implementation of energy efficiency policies across diverse national and sectoral contexts.The Toolkit builds on earlier IEA work to advance energy efficiency policy. In 2022, the IEA introduced Policy Packages for Energy Efficiency to help governments deploy coordinated policy approaches across these three pillars. The Energy Efficiency Policy Toolkit was subsequently developed to also integrate concrete, sector-specific guidance, along with best practices from around the world.Ten strategic principlesBased on the IEA’s analysis of best practices and the work of the Global Commission for Urgent Action on Energy Efficiency, the following…
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Household Energy Affordability: Data and Indicators
A methodological framework for national monitoring Effective policy requires robust monitoring of household energy affordability, yet no unified methodological approach currently exists. The upcoming IEA report Household Energy Affordability: Data and Indicators, to be published in July, addresses this gap. This executive summary presents its key elements, including a robust methodological framework structured around dimensions, indicators and data to support policy discussions and national monitoring efforts.
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Jobs
… Energy efficiency offers a wide array of job opportunities, including in installation and repair but also in the manufacturing, supply and distribution of efficient equipment. Key analysis A review of studies shows that an investment of USD 1 million can create and maintain for one year between 5 and 22 jobs in the buildings sector, between 4 and 14 jobs in the industrial sector, and between 5 and 15 jobs in the transport sector. A closer look at job location Energy efficiency spurs job creation at the local level while creating economy-wide gains. While jobs in industrial efficiency and manufacturing tend to be more…
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Energy security
…demand; with rising air‑conditioner ownership and increasing temperatures, this value rose to 7 GW in 2024 and could further rise to 12 GW in 2030 without further efficiency action. If India were to experience similar heatwaves as in recent years – with temperature anomalies of over 4°C – the additional peak load would amount to 47 GW. However, if all new air conditioners in India were highly efficient (e.g. through increased minimum energy performance standards), peak load during a heatwave could be reduced by almost 9 GW or about 20%, significantly decreasing the risk of blackouts or brownouts. Need more information? IEA (2025), Energy Security.
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Economic growth
…impact of energy efficiency policies on macroeconomic performance still needs to be better understood and systematically measured, studies have highlighted some economic benefits:Growth in economic activityVarious studies have modelled the impact of select energy efficiency policies on economic activity and found a positive correlation. In Canada, an analysis of the country’s policy package at the time found that every USD 1 spent on energy efficiency programmes would generate between USD 4 and USD 7 in GDP between 2017 and 2030. In the United States, a study funded by the Department of Energy estimated that doubling energy productivity could…
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Health
…in an analysis of the Warmth and Wellbeing Scheme, participants report that the improved efficiency of their homes reduced the number of doctor visits by 50% and lowered hospital admissions by 40%.In addition to physical health, energy efficiency can also lead to improvements to mental health, thermal comfort, and safety: Mental healthStudies show that thermal discomfort and fuel poverty have negative mental health impacts – such as anxiety, stress and depression – and that efficiency improvements can improve this. The impact on mental health may be enhanced if combined with financial support mechanisms and strong community engagement.Thermal comfortRetrofits that include…
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Grid investments
…Implementing energy efficiency and demand response measures can decrease and shift peak demand to less congested periods when electricity prices are lower and there is less stress on grid infrastructure. Demand response has seen rising uptake around the world, but further electrification and demand decarbonisation are expected to significantly increase its importance. For instance, in Australia, where various mechanisms have been successfully demonstrated, the value of demand response capacity could reach USD 11 billion per year by 2042. Globally, it could provide up to 50% of short-term flexibility needs in 2050. Need more information? IEA (2024), World Energy Outlook 2024.IEA…
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Energy Efficiency in China’s Buildings Sector
…the data that tracks progress in achieving them. Regulation for new buildings in China, such as building codes, is relatively strong. However, as the rate of construction is slowing, policy priorities are shifting towards retrofitting existing buildings. Here, the IEA estimates that through strong policy action and best-in-class technology, China could reduce energy consumption by up to 65% in buildings constructed between 1995 and 2010, representing energy savings of over 8 000 Petajoules.The report includes examples from across China and the world on leading regulatory instruments, financial incentives, and information-based tools that can drive energy efficiency…
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IEA Guide to Reporting Energy Technology RD&D Budgets
…in alignment with the OECD Frascati Manual and clarifies the scope of public and private sector reporting. It also provides instructions for completing the IEA questionnaire, covering budgetary stages, metadata reporting, and common issues. The classification system spans nine major technology groups, including energy end uses, fossil fuels, renewables, nuclear, hydrogen, CO₂ capture, critical minerals, and cross-cutting technologies. This structure supports accurate data collection and policy analysis, enabling governments and stakeholders to track RD&D investments and inform strategic decisions. The manual serves as a reference tool to improve the quality and transparency of energy RD&D statistics globally.