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June 21, 2011Michael Hartner, Reinhard Haas
June 21, 2011Michael Hartner, Reinhard Haas
Assessing embedded energy with
Input-Output Analysis
…understanding energy demand from a consumption perspective
June 21, 2011Michael Hartner, Reinhard Haas
Content
1. Introduction and objectives
2. Input-Output methodology
3. Results for Austria
4. Further steps
June 21, 2011Michael Hartner, Reinhard Haas
Definition
„Embedded energy is the commercial energy that was used in the work to make any product, bring it to the market and dispose of it“
June 21, 2011Michael Hartner, Reinhard Haas
Introduction and Objectives
• Consumption based and product oriented view
Total demand for energy can be traced back to the consumption of goods and services
• Understanding drivers from a consumption perspective
• Identifying reduction potentials for emissions
n
iiitotal YeE
1
June 21, 2011Michael Hartner, Reinhard Haas
- What is the energy requirement for the consumption of goods and services?
Introduction and Objectives
June 21, 2011Michael Hartner, Reinhard Haas
Introduction and Objectives
Literature:
- Miller Ronald E., Blair Peter D.(2009): Input-Output Analysis – Foundations and Extensions; Cambridge University Press; Cambridge
- Manfred Lenzen, University of Sydney
- Tukker Arnold et al (2006): Environmental Impact of Products – Analysis of the life cycle environmental impacts related to the final consumption oft he EU-25, Main report; Joint Research Centre; European Commission
- Bednar-Friedl Birgit, Munoz Jaramillo Pablo, Schinko Thomas, Steininger Karl (2010): The Carbon Content of Austrian Trade Flows in the European and International Trade Context; FIW Research Reports 2009/2010 N°5
June 21, 2011Michael Hartner, Reinhard Haas
Sector 1 Sector 2 Sector 3 Demand Total Output
Sector 1 Zd Zd Zd Yd X
Sector 2 Zd Zd Zd Yd X
Sector 3 Zd Zd Zd Yd X
Wage L L L
Profit N N N
Total Output X X X
Domestic economy
Y)AI(X
YAXX
X
ZA
YZX
j
ij
1
i
id X
sectorof useEnergy e
d-1dd Y)A-(IeE
Input
Output
Input Output model
0,0
0,5
1,0
1,5
2,0
2,5
3,0
3,5
Energy intensity of sectors in kWh/€kW
h/€
June 21, 2011Michael Hartner, Reinhard Haas
Sector 1 Sector 2 Sector 3 Demand Total Output
Sector 1 Zd Zd Zd Yd X
Sector 2 Zd Zd Zd Yd X
Sector 3 Zd Zd Zd Yd X
Wage L L L
Profit N N N
Total Output X X X
Sector 1 Sector 2 Sector 3 Demand Total ImportsSector 1 Zi Zi Zi Yi MSector 2 Zi Zi Zi Yi MSector 3 Zi Zi Zi Yi M
Sector 1 Sector 2 Sector 3 Demand Total OutputSector 1 Zf Zf Zf Yf XfSector 2 Zf Zf Zf Yf XfSector 3 Zf Zf Zf Yf Xf
Wage Lf Lf LfProfit Nf Nf Nf
Total Output Xf Xf Xf
Domestic economy
Imports from Rest of the World to domestic economy.
ROW - economy
Input
Output
Input Output model
June 21, 2011Michael Hartner, Reinhard Haas
domestic production imported intermediates imported final goods
Input Output model
June 21, 2011Michael Hartner, Reinhard Haas
Results for Austria
- Embedded energy in final demand components
- Embedded vs. Direct energy use of private consumption
- Product groups and composition of Embedded Energy
- Change in private consumption spending
June 21, 2011Michael Hartner, Reinhard Haas
Results for Austria
Private consumption60%
Governement consumption
15%
Residential buildings
6%
Other buildings10%
Equipment/machines5%
Vehicles2%
Others2%
Composition of Embedded Energy in final demand
June 21, 2011Michael Hartner, Reinhard Haas
Embedded Energy 2000 2005 2006 2007GWh 103,871 126,276 134,589 137,260kWh/cap 12,965 15,352 16,278 16,536
020.00040.00060.00080.000
100.000120.000140.000160.000
2000 2005 2006 2007
Embedded Energy of private consumption in Austria [GWh]
Direct vs. Embedded Energy
June 21, 2011Michael Hartner, Reinhard Haas
Embedded Energy 2000 2005 2006 2007GWh 103,871 126,276 134,589 137,260kWh/cap 12,965 15,352 16,278 16,536
020.00040.00060.00080.000
100.000120.000140.000160.000
2000 2005 2006 2007
Embedded Energy of private consumption in Austria [GWh]
Direct Energy 2000 2005 2006 2007GWh 106,256 119,692 114,755 108,619kWh/cap 13,263 14,552 13,879 13,085
Embedded/direct 49.4% 51.3% 54.0% 55.8%
020.00040.00060.00080.000
100.000120.000140.000160.000
2000 2005 2006 2007
Direct vs. Embedded of private consumption in Austria [GWh]
kwh per capita 2000 - 2007Embedded Energy + 27.5%Direct Energy - 1.3%
Direct vs. Embedded Energy
kwh per capita 2000 - 2007Embedded Energy + 27.5%Direct Energy - 1.3%
June 21, 2011Michael Hartner, Reinhard Haas
Embedded Energy 2000 2005 2006 2007GWh 103,871 126,276 134,589 137,260kWh/cap 12,965 15,352 16,278 16,536
020.00040.00060.00080.000
100.000120.000140.000160.000
2000 2005 2006 2007
Embedded Energy of private consumption in Austria [GWh]
Direct Energy 2000 2005 2006 2007GWh 106,256 119,692 114,755 108,619kWh/cap 13,263 14,552 13,879 13,085
Embedded/direct 49.4% 51.3% 54.0% 55.8%
020.00040.00060.00080.000
100.000120.000140.000160.000
2000 2005 2006 2007
Direct vs. Embedded of private consumption in Austria [GWh]
10.000
15.000
20.000
25.000
30.000
35.000
2000 2005 2006 2007
Total demand per capita [kWh]
Total consumption 2000 2005 2006 2007total GWh 210,127 245,969 249,343 245,880kWh/cap 26,228 29,904 30,158 29,621
Direct vs. Embedded Energy
kwh per capita 2000 - 2007Embedded Energy + 27.5%Direct Energy - 1.3%
June 21, 2011Michael Hartner, Reinhard Haas
0
200
400
600
800
1000
1200
1400
1600
1800Electricity
District/Ambient heat
Biomass
Diesel/Petrol/Kerosene
Gas
Crude Oil/Byproducts
Coal/Coke/Fuel peat
kWh/
capi
ta
Per capita Embedded Energy of Austrian private consumption in 2007
Includes intermediate goods:- construction work- sewage and disposal
services- water distribution
Results for Austria
June 21, 2011Michael Hartner, Reinhard Haas
Example: Sector insurance and pension funding
Energy intensity of consumption: 0.32 kWh/€
Intensity form sector data:0.016 kWh/€
Results for Austria
June 21, 2011Michael Hartner, Reinhard Haas
Air transport services
17%
Pulp, paper products
15% Insurance and pension funding
6%
Land transport services
4%
Others58%
Composition of energy demand for 1€ final demand of "Insurance and pension funding"
Results for Austria
June 21, 2011Michael Hartner, Reinhard Haas
Changing consumption patterns and energy demand
10% leeway leads to 6.5% reduction in embedded energy of private consumption
Total output of sectors change less than p
Construction work and related sectors hardly affected
June 21, 2011Michael Hartner, Reinhard Haas
Further research steps
• Process analysis for relevant products
• Assessing reduction potentials along the process chain and related costs
• Translate major changes in process chains into new input coefficients to assess economic effects of measures to reduce energy demand
• Hybrid model for embedded energy
June 21, 2011Michael Hartner, Reinhard Haas
Thanks for your attention!!!Contact: [email protected]