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By Nathalie Hemeleers – Director of EU Affairs at the Solar Impulse Foundation, one of EUSEW’s partner organizations, highlighting the critical role of energy efficiency, emphasizing its importance in driving decarbonization, competitiveness, and resource optimization, innovative solutions, and supportive financing and policies.
Decarbonizing our energy supply through renewable sources of energy is absolutely key. But if the current wasteful practices continue, renewable energy consumption will just add to the current fossil fuels consumption, instead of replacing it. Investing in a more efficient energy system is key to decarbonization but also to competitiveness and security.
A world stuck in the past.
The world we live in is stuck in the past. The technologies allowing us to exploit resources have remained largely unchanged since the Industrial Revolution. Our economy is characterized by waste and inefficiency.
Consider that internal combustion engines lose more than two-thirds of the energy we create, and more than a quarter of our drinking water is lost every year due to preventable and treatable leaks in the distribution network. Or consider that a third of the food we produce is thrown away – wasting not just the final product but all the energy and resources needed to produce it and get it to where it is meant to be. We can do so much better.
The value of energy efficiency
Energy efficiency is not a new concept, especially for EU lawmakers. It does not only allow us to save resources but also (and maybe more importantly for many?) money. It has been estimated that around $4.5 trillion could be saved annually thanks to energy efficiency.
Also, energy efficiency in buildings alone can almost halve seasonal peak demand (up to 49.5% reduction) every year by 2050, avoiding stranded assets and unnecessary investments in grids. €44.2 billion could be saved every year, making the much-needed investments in the EU’s distribution grid more cost-effective!
Why is it so difficult to implement?
Energy efficiency is still seen by many as a restriction of business opportunities. We need to change that narrative.
In a time where competitiveness is at the top of policy-makers’ attention, efficiency should be seen as a close ally. By investing in efficient production systems, costs are reduced giving businesses a double competitive advantage of producing at a lower cost and in a cleaner way.
Solutions are within reach
And good news, innovative efficient solutions exist! The Solar Impulse Foundation has identified and labeled more than 1,500 existing solutions that can make this paradigm shift a reality, in virtually any sector of society.
They are available today, open source, on www.solarimpulse.com. These are just a few among the many already existing, showing that the shift we are calling for is realistic and within reach.
Financing efficient solutions
Now, mobilizing public and private capital to invest in clean and efficient solutions and modernize our economies will be key.
New business models have to emerge, those that reward efficiency. EU institutions and financial stakeholders have to propose new financing tools that will tackle the double challenge of high CAPEX and higher risk for businesses, especially SMEs.
A modernized economy based on efficiency is a qualitative economy that has as a key driver the continuous optimization of resources.
Efficiency as the cornerstone of progress
The fundamental goal is to achieve heightened efficiency in various sectors, prioritizing sustainable practices and minimizing waste. Basically, accomplishing more (and better) with fewer resources, thereby contributing to a reduced environmental footprint.
Decarbonization is no longer the end goal but becomes a consequence of a modernization process, one that creates jobs and economic activity.
This opinion editorial is produced in co-operation with the European Sustainable Energy Week 2025. See ec.europa.eu/eusew for open calls.
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