Energy Consumption Status. Overview of Energy Efficiency Policies. Main Policy Measures in Each Sector
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2 Energy Consumption Status Overview of Energy Efficiency Policies Main Policy Measures in Each Sector
3 Energy Consumption Status
4 Energy Consumption Status (1) 1 1 High dependence on external sources of energy (96.4%) Very limited supplies of indigenous natural resources Substantial increase in energy demand due to high economic growth (world's 10th largest energy & oil consuming country) Cost of energy imports is $121.7 billion in 2010 (28.6% of total imports) (crude oil $68.6 billion, LNG $17 billion, coal $13.1 billion) Energy imports (based on total imports) crude oil imports (million bbl) 543 (27.7%) 950 (26.6%) 1,415 (32.5%) hundred million $ 912 (28.2%) 1,217 (28.6%) $86.1 billion (exports of car + semiconductor) $121.6 billion (energy)
5 1 2 Energy consumption status (2) Status of energy consumption & CO 2 emissions by sector Primary & final energy consumption CO 2 emissions LNG Oil Energy Nuclear Coal Renewables, etc (Mtoe) % % 13.1% Building 19.6% etc 2.4% Industrial process Agriculture, waste (Mt CO2) Transport 19.4% Residential/ Commercial 10.6% etc 0.9% % 14.2% 3.2% 14.1% 9.8% 52.0% 13.9% 42.1% Industry 58.3% 81.1% 82.1% 84.7% Power generation 36.8% 53.8% 26.2% 22.2% 28.2% Transport 19.7% Energy consumption by sector 6.5% 10.9% 12.3% 7.0% 9.8% 5.4% Industry 32.4%
6 1 3 Energy Consumption Status (3) Continuous decrease of oil dependency by diversifying sources since 1980s Rate of fossil fuels : 85.6%( 80) 88.3%( 00) 74.2%( 09) 60.7%( 30) (243 million toe) Oil Coal Nuclear LNG NRE, etc Rate of oil consumption by sector( 09, 778million bbl) Industry Transport 55.9% (Feedstocks:42.5%) 33.2% Residential/ Conversion Commercial 3.4% 7.6% OECD Average ( 09, IEA)
7 [Ref.] Energy consumption in industrial sector Final energy growth rate by sector ( 05~ 10) 4.1 Status of energy intensive users Type of Industry Number Rate of increase consumption Rate of (mil. toe) increase Petro. Chemical % % Avg. Ind. Trans. Bld., others Iron & Steel % % Expansion of blast & electric furnace (Hyundai-steel, 10) Expansion of electric furnace & HR (Dongbu-steel, 09) Expansion of steel plate Factory (POSCO & Dongkuk-steel, 10) Substantial increase of energy consumption by expanding investment in industrial sector 4
8 Overview of Energy Efficiency Policies
9 2 1 Long-term goal of energy policies Improve the national energy efficiency by 46% until 2030 Improve energy-intensity to 0.185(toe/1,000$) through National Energy Master Plan( 08~ 30) Energy demand and target( 30) mil. toe(toe/1000$) (0.367) (0.335) 11.3% (01297) 23.5% (0.256) (0.233) 27.8% BAU (maintained at 07 s energy efficiency) (0.185) 46% Target Relatively low potential of energy saving due to energy-intensive industrial structure A call for stronger policy measures for transition into low-energy & carbon economy 5
10 2 2 Implementation System of Policies Target Improving Energy Efficiency (annually improved by 2.5% until 2030) Achieving GHGs reduction target (reduced by 30% from BAU until 2020) Sectoral measures Industry Transport Building Public Building Infra. Smart Grid, ESCO R&D, Energy Prices, Public Awareness 6
11 Main Policy Measures in Each Sector
12 Industrial Sector (1) 3 1 GHG-Energy Reduction Target Management Taget management(cap and No-Trade Scheme) for energy-intensive companies total emission 620million ton('07) 458 Target companies ('12) 366 units The rest 41.8% Target Management 58.2% Industry & Generation 45 units Building & Transportation 47 units (79.9%) (9.8%) (10.3%) Agriculture, Forestry, Food & Waste Management of 58.2% of Korea's GHG emissions (64.9% of total energy consumption in industrial sector) Target Companies Gradually expand the scope of target companies * (~ 11) 25,000 tco 2 (100TJ) ( 12~) 20,000 tco 2 (90TJ) ( 14~) 15,000 tco 2 (80TJ) 7
13 Industrial Sector (2) 3 2 Introduction of Green Credit between large and small companies Green Credit Win-Win cooperation between large and small companies SMEs are provided with technology and capital by large companies and large companies can have some portion of GHG reductions of SMEs Potential for reduction Large companies Technology & capital Large companies Small companies Small companies Actual emissions Target management Target emissions Self reduction Large companies Appropriate Credit Support (Capital, Technology) Green Credit achievement Small companies 8
14 3 3 Building Sector (1) Reinforce codes for new buildings : Zero-energy building by 2025 Strengthen the heat-insulation standard for windows and walls * 15% reduction('12) 30% reduction('17) 60% reduction('20) obligatory zero energy( 25) Implement the regulations to reduce total energy consumption of office building * implementation for office building over 10,000 m2 from l/ m2 Heating9.2 Water heater2.2 Cooling Housekeeping5.0 Cook& Lighting Now l/ m l/ m Zero Energy intensive house Low energy house (reduce 50% of heat and air conditioning energy) Passive house (reduce 90% of heat and air conditioning energy) Zero energy house (no energy consumption in the house) 70mm heat-insulation, Double window, High efficiency boiler 150mm heat-insulation, Triple window, Heat-exchanging ventilation 250mm heat-insulation, High efficiency window, LED lighting 250mm heat-insulation, Vacuum insulation, LED lighting, NRE 9
15 3 4 Building Sector (2) Energy Efficiency Labeling Fostering voluntary certification and phased expansion of the scope * New buildings('10~) Existing buildings('12) All buildings('13) Smooth transition to mandatory registration program for buildings * Compulsory attachment of the Certificate to lease and trade documents( 13) Target Management (Cap and No- Trade) Taget management(cap and No-Trade Scheme) for energy-intensive buildings * The same operation process with target management in industrial sector After pilot project( 11), full implementation will be started for 34 buildings( 12) * The scope will be expanded gradually from 2012 Energy Efficiency Resource Standards (EERS) Impose the energy-saving target on energy suppliers and provide them with various incentives according to the performance('12) Promote the energy suppliers investment for enhancement of efficiency * Development of reliable monitoring and verification system is crucial. 10
16 3 5 Transport Sector (1) Reinforcement of average fuel economy program Status Policy Direction 13.0 Fuel economy has increased by 4.6% annually after introduction in However domestic fuel economy standards are lower than developed countries' USA Japan EU China <Fuel economy standard : km/l> Reinforce fuel economy standard to 17km/l by 2015 ( 12)30% ( 13)60% ( 14)80% ( 15)100% Impose strengthened sanctions, such as fine and penalty, for the violator Global reinforcement of fuel economy and GHGs emission standards 11.7km/l in ~21.2km/l in km/l in km/l from ~22.5km/l from km/l from
17 3 6 Transport Sector (2) Labeling & fuel economy Improvement of fuel economy measurement method to reflect practical fuel economy that drivers actually feel and estimate Development of test methods for PHEV and labeling scheme for EV * PHEV: Plug in Hybrid Electric Vehicle, EV: Electric Vehicle Tire efficiency labeling Introduction of tire labeling (5 grade) for promoting the high-efficiency tires * Preliminary certification ( 11) Enforcement ( 12) Gradual expansion to scope of the labeling program * Passenger car('11) light truck('13) truck & bus('14) Promotion of green car Promotion of green car according to deployment roadmap and strategy( 10) * Product 1.2 million Green Cars in Korea and export 0.9 million Green Cars( 15) * Increase the internal market share of Green Cars to 21%( 15) Fuel Economy for heavy-duty vehicles Expansion of the scope of average fuel economy program to include heavyduty vehicles such as trucks and buses( 15) * Implementation plan : Japan('06), US('11), EU('15) 12
18 3 7 Equipment & Appliance (1) Implementation status of 3 energy labels and standards programs Energy Efficiency Label & Standard Program ( 92~) Comparative grade and MEPS 27 items including refrigerators etc High Efficiency Equipment Certification Program ( 96~) Endorsement (Certification) 37 items including LEDs etc e-standby Program ( 99~) (including Warning label) Endorsement (Positive/negative) 22 items including Set-top boxes etc Main achievement of the labels and standards programs Certified LED Lamps : Market share has increased by 248% in a year Refrigerators : Power consumption has reduced by 60% after Phase induction motors : MEPS have driven Low-efficient ones out of the market [1,000] [KWh/l] MEPS : Minimum Energy performance Standards Market Entry Certification to support new efficient products promotion Market Expansion Energy efficiency labeling for phasing-in of efficient products Market Transformation Application of efficiency limits to all products for efficiency shift 13
19 Equipment & Appliance (2) 3 8 Introduction of ENERGY-FRONTIER for Appliance ENERGY - FRONTIER Set up the target efficiency beyond existing grade standards (30~50% higher than the 1 st grade) Items : TVs, Refrigerators, Air-Conditioners, Washing machines Support, R&D Positive labeling and incentives for companies that achieve the target efficiency Expansion of target items Commercial Refrigerator etc Adapter, Charger, Chiller/Heater Air cleaner, Three-phase Motor 12 items (copiers, etc) 6 items (computers, set-top boxes, etc) TVs MEPS : Compulsory energy efficiency limits Standby Power Warning Label : Standby Power limits 14
20 3 9 PR & Education Energy[-], Love[+] Energy conservation and social service Optimal heating in wintertime Practical Early Education Program for energy conservation * Elementary school : 152 groups, * Middle school : 76 groups, * High school : 72 groups * Others : 389 groups Optimal indoor heating and lifestyle Tire-Up, Energy-Down Proper tire pressure and Eco-driving culture Goodbye! Standby Green Power ballpark Reduction of standby power of electronics Green Sports / Green Market Various consumer friendly campaign 15
21 [Ref.] KEMCO s Major Activities Target management(cap and No-Trade) Green Credit Program Financial support for Energy Saving Energy Management Systems Industrial Sector Climate Change Creation of the Carbon Market GHG DB Management Registration and Certification of GHG Reductions Certification of CDM projects Building Certification Program Building Codes Target management(cap and No-Trade) Energy saving in public building Average Fuel Economy Program Fuel Efficiency Labeling Tire Efficiency Labeling Deployment of Green Car Building Sector Transport Sector GHG Mitigation Energy Efficiency and Saving NRE Deployment High- Efficiency Equipment New & Renewable Energy Education, PR, IC 1mil. Green Homes Project Subsidy for Deployment of NRE Deployment in public sector Financial Support for NRE Renewable Portfolio Standard Certification of NRE equipment Regional NRE Development Energy Efficiency Label & Standard Program High-Efficiency equipment Certification Program E-Standby Program Energy Welfare Program Korea Green Energy Show Green Energy Exhibition Center Early Education Training for technical engineer Multi and bilateral international cooperation 16
22 Save energy, Save earth Thank you
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