Switzerland Energy efficiency report
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1 Switzerland Energy efficiency report Objectives: % savings in fossil fuel consumption by 22 Cap electricity demand growth at 5% between 2 and 22 considered Overview - (% / year) Primary intensity (EU=) % -- CO 2 intensity (EU=) % - CO 2 emissions per capita (in tco 2 / cap) % - Power generation - (% / year) Efficiency of thermal power plants (in %) % -- Rate of electricity T&D losses (in %) % - CO 2 emissions per kwh generated (in gco 2 / kwh) % ++ Industry * -* (% / year) Energy intensity (EU=) % - Share of industrial CHP in industry consumption (in %) % - Unit consumption of steel (in toe / t) % -- * and - for steel ++ Among best countries + Better than the EU average - Below the EU average -- Among countries with lowest performances Latest update: January The European Union, as the best-performing region, is used as the benchmark. 1 Switzerland Country reports
2 1. Overview 1.1. Policies: definition of new objectives for 22 The energy program SuisseEnergie set several targets for 2: to reduce the consumption of fossil fuels by percent compared with the level; reduce CO 2 emissions by percent compared with the level; limit the increase in electricity consumption to 5 percent (compared with the level); and increase the contribution of renewables (excluding hydropower) from 2.2 percent to 3.2 percent (+.5 TWh) in the production of electricity and by 3 TWh in the production of heat (ie, 3 percentage points). Among the measures introduced to keep the increase in the demand for electricity over the - 2 period under 5 percent were: energy labels for household appliances and lamps; building codes (MINERGIE label); and voluntary agreements, in particular in industry. A fund supplied through a tax on electricity (up to US$.83 cents/kwh and US$1.25 cents/kwh as from 213) is financing energy efficiency projects. In, the government adopted a package of measures including funding for district heating (CHF3m, or US$28m), the replacement of electric heating systems, and a small PV system support scheme. In, only the target regarding the development of renewables had actually been achieved. Energy consumption from fossil energies has fallen by just 1.3 percent while electricity consumption has increased by 9.8 percent. CO 2 emissions have decreased by a mere 2.7 percent, compared with the percent target. A further step in the program should set new targets for 22. An energy efficiency action plan approved in aims to cut the consumption of fossil fuels by percent compared with the 2 level and to cap the electricity consumption growth at 5 percent between 2 and 22. The household and service sectors occupy an important place in final consumption, accounting for just under 5 percent in, followed by transport at 3 percent. Industry (including non-energy uses) accounted for the remaining 2 percent. Figure 1: Total and final energy consumption trends Mtoe Primary consumption Final consumption Electricity consumption per capita is high, at 7,5 kwh, which is about 3 percent above the EU average. Electricity consumption increased regularly between and (2 percent/year on average) and has remained pretty stable since. It accounts for 25 percent of final energy consumption. In electricity consumption fell by 2 percent, driven by a noticeable reduction in its use by industry. Electricity consumption is shared equally between industry, the residential sector and the tertiary sector (around 3 percent each). Figure 2: Distribution of final energy consumption by sector 1.2. Energy consumption trends: moderate increase in energy needs Energy consumption per capita amounted to 3.5 toe in, ie, close to the European Union average (3.3 toe). Primary energy consumption has been increasing steadily since, by 1 percent/year (.6 percent/year since ). In, the slowdown in global economic activities caused the increase in primary energy consumption to slow down (.7 percent). Final energy consumption has increased at a slower pace since (.5 percent/year), and in fell by 2.5 percent due to the larger decline in industry s consumption. Oil represented 43 percent of primary consumption, followed by primary electricity (hydro and nuclear power) with 38 percent. Natural gas represented percent of the total while biomass reached 8 percent (). % 8% 6% 4% 2% % Households - Services - Agriculture Transport Industry (including non energy use) Country reports Switzerland 2
3 Switzerland Energy efficiency report Figure 3: Electricity consumption trends by sector Figure 4: Energy and CO 2 intensity trends 7 6 Industry Others.% -.2% % TWh 4 3 %/year -.6% -.8% 2-1.% -1.2% -1.4% -1.6% Primary energy intensity Final energy intensity CO 2 intensity 1.3. Energy efficiency and CO 2 trends: low energy intensity but slight reductions since Total energy consumption per unit of GDP (primary energy intensity), measured at purchasing power parity, is low and stands 22 percent below the EU average. Half of that difference is due to hydroelectric power, which provides a large share of the country s energy needs, and the other half is due to lower energy intensive end users signifying a lower reliance on industry and greater energy efficiency. However, primary energy intensity decreased at a slower pace than the EU average over the period - (.6 percent/year, compared with 1.7 percent/year in the EU). CO 2 emissions per unit of GDP (CO 2 intensity) decreased twice as fast as the total energy intensity over the period - (1.2 percent/year) thanks to substitutions of oil by gas and biomass. The effect of these fuel substitutions is even more noticeable since. They explain around 7 percent of the reduction in the CO 2 intensity. 2. Power generation 2.1. Policies: feed-in tariffs introduced in The Energy Efficiency Action Plan, approved in, aims to increase the proportion of renewables in total energy consumption by 5 percent by 22. It involves a plan for the promotion of renewable energy, which encompasses several measures, including a strategy for the production of energy from biomass and measures to promote hydropower. The law on energy requires electricity companies to purchase electricity from renewables produced by independent producers. A mechanism was set up to finance the additional cost generated by the production of electricity from renewables. The tax on electricity (US$.63 cents/kwh) is used to finance the purchase tariffs. In March, the Swiss Federal Council established feed-in tariffs implemented in January for solar photovoltaic, wind, hydroelectric (up to MW), geothermal and biomass Power generation trends by source: CO 2 -free energy sources dominate Switzerland is among the countries with the highest share of CO 2 -free energies in electricity generation, at 98.5 percent in. Hydropower is the country s largest energy source for power generation (55 percent). Nuclear power accounts for around 4 percent of the electricity produced. The share of biomass is developing and reached 3.5 percent in (1.5 percent in ). 3 Switzerland Country reports
4 Figure 5: Power generation by source Energy efficiency in the power sector is high, at over 5 percent, since more than 4 percent of electricity is produced from hydropower. The development of natural gas and biomass-fired facilities was accompanied by the spread of more efficient technologies, such as combined cycle and cogeneration units. The share of cogeneration in power generation has risen since ; in it accounted for around 4.5 percent of total electricity production but over 9 percent of thermal electricity production. Combined cycles accounted for 2 percent of thermal electricity capacity in. Figure 7: Thermal electricity capacity, by technology *Including biomass, geothermal and solar 1.2 Steam Combined cycles Efficiency of the power sector: high level thanks to the role of hydropower The efficiency of power generation is low compared to international standards. The average efficiency of thermal power generation was just 32 percent in, which is 8 percentage points lower than the OECD average. Nevertheless, average efficiency has increased since. That trend is driven by the rise in new thermal power plants, which are more efficient, combined with the closure of small and inefficient plants. GW Figure 6: Efficiency of power generation and thermal power plants The rate of transmission and distribution losses (T&D) is in line with the EU average. It amounted to 7 percent of the distributed volumes in. Figure 8: Electric T&D losses % 3 2 Total power generation Thermal power plants % TWh Other* Wind Hydro Nuclear Gas Oil Coal-Lignite Country reports Switzerland 4
5 Switzerland Energy efficiency report The CO 2 emission factor for power generation is very low, at 4.5 gco 2 /kwh in, since the share of CO 2 -emitting energy sources in electricity generation is marginal. Average CO 2 emissions per kwh produced have seen a dramatic decrease since, falling by 6 percent following the fuel switch to biomass and, to a lesser extent, natural gas in thermal generation. Figure : Industrial energy consumption Figure 9: CO 2 emission factor for power generation Mtoe gco 2 /kwh Electricity is the largest energy source in industrial energy consumption, with a stable share of 4 percent. The use of oil and coal has fallen and in they accounted for 18 percent and 3 percent, respectively, being replaced by natural gas, which accounted for 23 percent of the sector s consumption in. Biomass shows the biggest increase, from 5 percent in to 12 percent of the total in. The chemical industry is the main energy-intensive sector. 3. Industry 3.1. Policies: voluntary agreements Voluntary agreements have existed in industry since. The development of energy efficiency tariff schemes and energy conservation quotas is under study Energy consumption trends: steady growth in industrial energy consumption Energy consumption in industry increased at the steady rate of 2 percent / year between and. From to it then increased at the very rapid pace of 11 percent / year, ie, almost twice as fast as the average of non-oecd countries. Contrary to most countries, the global economic crisis did not cause the sector s energy consumption to fall. Figure 11: Energy consumption of industry, by source % 9% 8% 7% 6% 5% 4% 3% 2% % % Biomass Electricity Gas Oil Coal/Lignite 5 Switzerland Country reports
6 Figure 12: Energy consumption of industry, by branch % 9% 8% 7% 6% 5% 4% 3% 2% % % Other Paper Non metallic minerals Chemical Steel 3.3. Energy intensity trends: stagnation since Industrial energy intensity has decreased at the low rate of less than 1.6 percent/year since. Energy consumption per tonne of steel increased by 2.5 percent/year between and, although the sector s share is marginal. Energy consumption per unit of value added in the non-metallic minerals industry increased by 4 percent/year over the period. In turn, energy consumption per unit of value added in the chemical industry, which accounts for 2 percent of industrial energy consumption, decreased at the rapid rate of 7.5 percent/year between and. The energy required to produce a tonne of paper has fallen at the slower pace of.7 percent/ year since. The share of combined heat and power generation in the electricity consumption of industry has soared by percentage points since, and accounted for around 16 percent in. Figure 14: Energy consumption of industry, by branch 2% 18% 16% 14% 12% % 8% 6% 4% 2% % Figure 13: Trends in the energy intensity of industrial branches 6.% Total* Steel Paper Chemicals Non metallic minerals 4.% 2.% %/year.% -2.% - -4.% -6.% -8.% -.% *Including construction All information or data provided by Enerdata, in any form, is the property of Enerdata and is protected in each country by national laws governing intellectual property. All information or data provided by Enerdata is copyright protected, inclusive of material appearing in a hard copy format or electronically. Data provided by Enerdata are based on compilation and analysis of the best sources in the industry. Enerdata has agreements with those providers to use and publish this data. All pictures Copyright ABB Country reports Switzerland 6
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