European energy efficiency: Last one out, turn off the lights Costs heating up: Energy is set to rise in strategic significance for European businesses Industry is set to remain the biggest consumer of European energy in 2020… Energy costs are rising… End-use price index (2005=100) 126.9 4.4% 130 Price (Q3 2012) Year on year change 127.5 3.7% Price (Q3 2012) Year on year change 22.6% 125 120 18% Q3 2010 Percentage of total European energy consumption by sector (western Europe only) 115 Q3 2012 Q3 2011 Source: International Energy Agency Source: Economist Intelligence Unit Energy consumption set to surpass pre-crisis levels by 2020 2006 2019 gross domestic energy consumption (ktoe) 1.80 1.75 1.70 1.65 1.60 2006 2008 2012* 2010 2014† 2016† 2018† 2020† * Estimate † Forecast Source: Economist Intelligence Unit European businesses paying 25% energy 'surcharge' on US competitors’ energy bill JAPAN 2014 128 7% 115.1 0.3% USA 2016 100.4 3.3% 124.6 1.2% EUROPE 2019 126.9 4.4% 127.5 3.7% Year predicted to surpass pre-crisis consumption levels Price (Q3 2012) Year on year change Price (Q3 2012) Year on year change Sources: International Energy Agency; Economist Intelligence Unit Energising efficiency: Most European countries are increasing energy efficiency Switzerland, Ireland and Denmark are leading other European nations in energy efficiency (measured by the amount of energy it takes to generate a single unit of economic output) Most efficient three 2012 0 2012 0 2012 0 2020 0 2020 0 2020 0 SWITZERLAND DENMARK IRELAND Selected other European economies 2012 0 2012 1 2012 0 2012 2020 0 7 2020 2020 0 2020 0 UK FRANCE ITALY GERMANY Most European countries are predicted to become more energy efficient by the end of the decade… …when at least a dozen European countries are predicted to lead Japan and the US 2012 2020 1 JAPAN 2012 2020 USA Source: Economist Intelligence Unit Energy intensity: Total energy consumption measured in tonnes of oil equivalent per million dollars of real GDP Shrinking footprint: Europe is a dwindling power in global energy Share of global energy consumption to fall to around 10% by 2020 (Asia to consume four times as much energy as Europe by 2020 but with seven times as many people) 45 48.98% 40 35 Asia and Australasia 30 25 North America 20 4.98% 15 7.08% Europe 10 2000 2005 2015* 2010 Total gross domestic energy consumption (% of world total) 2020* Share of world population (%) * Forecast Source: Economist Intelligence Unit Share of global carbon emissions to fall to around 10% by 2020 (Asia to double European GDP by 2015…but emitting four times as much carbon) 48.9% 47.5% 44.1% 40.00 37.9% 35.00 15.8% 30.00 25.1% 13% 21% 11.2% 25.00 18% 10.1% 16.4% 5.00 North America 10.00 Europe 15.00 Asia and Australasia 20.00 0.00 2005 2010 2015* 2020* Percentage share of carbon emissions Percentage share of world GDP at purchasing power parity (PPP) in US$ Source: Economist Intelligence Unit * Forecast - 2020 GDP forecast only for 2017 © 2013 An Economist Intelligence Unit infographic Sponsored by