-
Energy Efficiency 2025 Executive summary
…shift towards more intensive energy use in industry is offsetting gains made in other sectors and is weighing down overall efficiency progress.Policies have lagged technology progress, leaving significant savings on the table. Many appliances being sold today are often only half as efficient as the best available models. As technologies have become more efficient in recent years, energy efficiency standards have not progressed at the same pace. For example, the efficiency of best-in-class lightbulbs doubled in the last 15 years, while minimum performance standards have only gone up by 30%.Increased access to air conditioners has pushed…
-
Energy Efficiency 2025 Industry
…to dynamic electricity pricing to incentivise their use during low-demand hours.Material efficiency, such as through optimising design, light weighting, increasing scrap use in metals production, and enhanced recycling, is particularly important for efficiency progress in energy intensive industries. Other comprehensive policies can accelerate and enable efficiency improvements across end uses, such as the use of energy audits and energy management systems. Similarly, energy efficiency networks can improve peer-to-peer learning to enhance energy efficiency in a cost-effective way. Last, digitalisation-enabled AI, based on data collection and analysis throughout the production process, can help production opera...
-
Rare Earth Elements Executive summary
…wind turbines, industrial motors and AI data centres, as well as medical, aerospace and defence applications.Demand for magnet rare earth elements (neodymium, praseodymium, dysprosium and terbium) has doubled since 2015 and is set to expand further by a third by 2030 under today’s policy settings, thanks to growing electrification and the rapid deployment of new energy technologies such as EVs and wind turbines. Growth in automation, robotics and digital technologies plays an increasing role in driving demand beyond 2030, as permanent magnets enable precision motion control, miniaturisation and energy efficiency improvement for these applications. The supply of magnet…
-
Russia's War on Ukraine
…to improve access to electricity. Energy markets, faced with an unusually high degree of geopolitical uncertainty, remain on edge.In Ukraine, the energy sector is on the front line of the war for the second consecutive winter. As temperatures have dropped, Russia has resumed a broad military offensive targeting power plants and other key energy infrastructure across the country, which in 2022 and 2023 caused extensive damage and left many Ukrainians without reliable supplies of electricity or heat for long periods. Recent improvements to Ukraine’s air defence systems have helped safeguard power supply this winter, but Russia’s attacks are…
-
Energy Efficiency 2025 Buildings
…emerging economies, the number of buildings is growing almost twice as fast as in advanced economies, so efficient new buildings and urban planning are important to accelerate efficiency progress. Building energy codes, which currently apply to around half of new floor area in emerging economies, can ensure that new buildings are built efficiently. Improving the efficiency of air conditioners is another key focus area, given the high and increasing need for cooling, and the strong growth in sales of air conditioners. Lastly, reducing the use of traditional biomass through clean cooking measures can prevent millions of premature deaths, while increasing…
-
China’s Official Energy Finance in Emerging and Developing Economies Case 5. Silk Road fund commitment in African Infrastructure Investment Fund IV
…Group, a renewable energy platform in South Africa focused on renewable generation and storage; the N+One Data Centers in Morocco and Senegal, which are expanding digital infrastructure in lower-carbon electricity and greater renewable energy sourcing; and the acquisition of the Logistics Group (TLG), which operates rail and port assets and is working to cut corridor emissions through improved operational efficiency.Through its participation, the SRF gains exposure to a diversified portfolio of sustainable assets across multiple African markets rather than through single-asset project finance. It has also appointed a representative to AIIF’s ESG Advisory Committee, strengthening…
-
Ramping up Heat Pumps in Moldova: A Roadmap Executive summary
…than 80% of its primary energy. Securing reliable natural gas and electricity supplies has long been its main energy security challenge. Replacing natural gas-fired heating technologies with heat pumps would improve the country’s energy security. The recent expansion of Moldova’s solar and wind capacity also means that heat pumps can now play a greater role in cutting greenhouse gas emissions and lowering local air pollution. Finally, Moldovan’s 2024 referendum, endorsing the goal of European Union membership, underscores the country’s commitment to European integration. Outlining an effective path to decarbonise energy use is a prerequisite for…
-
Brazil 2025 Executive summary
…as a leader in the global energy transition. Its vast renewable energy resources, strong biofuels sector and ambitious climate commitments offer distinct advantages in the low-carbon economy. The country has introduced a comprehensive National Energy Transition Policy (PNTE) aimed at achieving net zero greenhouse gas (GHG) emissions by 2050, supported by the Energy Transition Plan (PLANTE) and the Energy Transition Forum (FONTE). In 2024, the country also launched the Low-Carbon Hydrogen Law, the Brazilian Greenhouse Gas Emissions Trading System Law, the Fuel of the Future Law and the Energy Transition Acceleration Program, further boosting momentum for the energy transition…
-
The Future of Electricity in the Middle East and North Africa Executive summary
…with significant implications for global energy markets. Cooling and desalination: Twin pillars of surging electricity demand growth The region’s climate, characterised by extreme heat and water scarcity, means that reliable and resilient electricity systems are vital to sustaining everyday life. Average temperatures in MENA are rising at more than twice the global rate, and summer temperatures regularly exceed 40 °C. Today, cooling makes up nearly half of peak electricity demand in the region and one-quarter of annual electricity demand – an amount larger than the total electricity use in all but 15 countries globally. While air conditioner ownership is high…
-
Multiple Benefits of Energy Efficiency for Business Operational benefits
…seen in industrial processes. In food processing, for example, a high-efficiency centrifugal compressor has been shown to reduce energy consumption by more than 40% while cutting maintenance costs by 85%. Similarly, the use of variable speed drive (VSD) motors in heating, ventilation and air conditioning (HVAC) systems under high-temperature conditions in a plant in Saudi Arabia reduced energy consumption by 30% and maintenance costs by 20%.Cross-sector analysis shows these patterns are consistent across a wide range of technologies, from heat pumps and industrial motors to electric vehicles. Resource efficiency can amplify energy savings, almost doubling sav...
