The October 2021 statistics from the International Energy Agency (IEA), which comprises 30 member countries and eight country associations, reaffirm the push toward increasing efficiency in energy consumption. While national budgets for energy efficiency and renewables have continued to grow, the IEA notes that the share of the budgets dedicated to energy efficiency has jumped from 7% in 1990 to 26% in 2020.
New power plants cost over $500 million and two to six years to build, and the approximately 7% CAGR of the home appliance market outpaces the ability to bring new energy production online. Policymaking has therefore come to be dominated by discussions on efficient use of global resources.
In the Americas, ENERGY STAR® and 80 PLUS® standards are driving engineering and consumer behaviour. The ENERGY STAR program specifically is expanding its requirements to include home and commercial electric-vehicle (EV) chargers.
In the Europe, Middle East, and Africa (EMEA) region, the urgency to reach Paris Agreement goals of keeping global temperature rise below 2°C in this century has shifted focus on efficiency improvements in heating, ventilation, and air conditioning (HVAC) systems.
Greater China & Southeast Asia (GCSEA) is also emphasizing consumer appliance efficiency with new labelling and minimum energy-efficiency performance standards. For instance, on July 1, 2020, China implemented one of the world’s most stringent energy-efficiency requirements for room air conditioners by requiring them to be about 15% more efficient. Because the country is the largest buyer and manufacturer of these appliances, this could result in significant energy and carbon-footprint reduction…