Actors in the Field of Energy Efficiency

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There is a growing recognition that the usual investment decisions, such as payback period, rate of return on investment or net present value, do not account adequately for actual business behaviour. Technical solutions given in Figure 4.2 are not likely to succeed unless there is an interface between

30 Lovins et al. 2000.

32 Technical experts at the World Bank Group and the Global Environment Facility 1997 (interviews).

Figure 4.2 Technology Choices for Private Sector Investment in Energy Efficiency

Figure 4.2 Technology Choices for Private Sector Investment in Energy Efficiency

Source: Authors.

Note: * District heating is a system for distributing heat generated in a centralized location for residential and commercial heating requirements such as water heating.

various actors in the field of EE. Conventional energy programmes consist of only two main participants— suppliers and consumers. In contrast, the EE system consists of many actors, such as the equipment manufacturer, financial institutions, or non-governmental organizations (NGOs). If EE programmes are to be accepted widely, all of these parties should work together. Each actor relates to many other actors, experiences constraints and stimuli, has abilities and weaknesses, and holds rights, responsibilities and obligations. A series of decisions is the result. All the actors, and their decisions, describe the whole socio-technical structure and the processes that occur.

Different categories of actors play various roles in the diffusion of EETs services to the consumers. These actors, such as, households, industries, commercial consumers, utilities, equipment manufacturers, planners, and so on, play a role in shaping the technology diffusion. The actors have interdependent influence. Each actor experiences constraints and stimuli; has abilities and weaknesses; and holds rights, responsibilities and obligations. All these lead to a series of decisions. A brief description of the role played by each of the major actors is given in the following sections:

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Renewable Energy 101

Renewable Energy 101

Renewable energy is energy that is generated from sunlight, rain, tides, geothermal heat and wind. These sources are naturally and constantly replenished, which is why they are deemed as renewable. The usage of renewable energy sources is very important when considering the sustainability of the existing energy usage of the world. While there is currently an abundance of non-renewable energy sources, such as nuclear fuels, these energy sources are depleting. In addition to being a non-renewable supply, the non-renewable energy sources release emissions into the air, which has an adverse effect on the environment.

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