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Energy efficiency policies for different firm sizes. Challenging current policies with empirical data

: Plötz, Patrick; Fleiter, Tobias

Fulltext urn:nbn:de:0011-n-2201834 (743 KByte PDF)
MD5 Fingerprint: 7bf3b06ac99ece6f8ac7a6553d34e18e
Created on: 29.11.2012

European Council for an Energy-Efficient Economy -ECEEE-, Paris:
Industry: A third of Europe's Energy Use. ECEEE Summer Study on Energy Efficiency in Industry 2012 : Papendal Hotel and Conference Centre, Arnhem, The Netherlands, 11-14 September 2012
Stockholm: ECEEE, 2012
European Council for an Energy-Efficient Economy (ECEEE Summer Study) <2012, Arnhem>
Conference Paper, Electronic Publication
Fraunhofer ISI ()
adoption; commercial programmes; decision; SMEs; policy instrument; corporate investment; industrial energy saving; industrial SME; firm-size

Energy efficiency is a simple and often cost-effective way to reduce energy consumption and greenhouse gas emissions. Different policies have been designed to promote the implementation of energy-efficiency measures in industry. It is generally assumed that firms of different size have different means and face different barriers when adopting energy-efficiency measures. Several studies have tried to identify a net effect of firm size and other firm characteristics. However, a detailed understanding beyond linear regression of the general effect of firm size on energy consumption and the adoption of energy efficiency measures is still missing. Also in many policy evaluations (ex-ante as well as ex-post), only average values are used, ignoring differences in firm size of several orders of magnitude. Such a simplistic approach only allows for constrained policy recommendations as it neglects the large diversity that prevails among firms and that dominates firms' adoption decision. Here, we study empirical distributions of firm size and adoption rates and how these interact. We identify general empirical trends by using data from different countries and industry branches. Thus, a more detailed picture of the adoption behaviour of firms of different size is obtained. This is a first step towards a more realistic consideration of diversity among firms in policy design and evaluation methods. The broad empirical trends have consequences for the future design of more effective energy-efficiency policies.