Energy Efficiency & Renewable Energy in the Global Context 4/16/2017 Energy Efficiency & Renewable Energy in the Global Context U.S. Brazil Industrial Energy Efficiency Workshop James Quinn Energy Efficiency & Renewable Energy U.S. Department of Energy Rio de Janeiro, Brazil August 9, 2011

4/16/2017 The Global Night Sky Energy is hard to visualize, but perhaps this image comes close. Energy runs the world’s economies. It is essential an essential part of our lives. Energy supply and demand is both the result of existing policy -- and drives new policy. Curbing demand growth and developing new, diverse, clean supplies of energy is the challenge before us. Additional Notes: Of course, this is just an indicator of ELECTRICITY demand, not all energy use. This pieced-together image, makes it appear as if the entire globe is dark at once, which is obviously never the case. This image is from 2000 – there is no more recent update that we are aware of at this time Earth at Night (from NASA 11/27/00) More detail from NASA is below: http://visibleearth.nasa.gov/view_rec.php?id=1438 The brightest areas of the Earth are the most urbanized, but not necessarily the most populated. (Compare western Europe with China and India.) Cities tend to grow along coastlines and transportation networks. Even without the underlying map, the outlines of many continents would still be visible. The United States interstate highway system appears as a lattice connecting the brighter dots of city centers. In Russia, the Trans-Siberian railroad is a thin line stretching from Moscow through the center of Asia to Vladivostok. The Nile River, from the Aswan Dam to the Mediterranean Sea, is another bright thread through an otherwise dark region. Even more than 100 years after the invention of the electric light, some regions remain thinly populated and unlit. Antarctica is entirely dark. The interior jungles of Africa and South America are mostly dark, but lights are beginning to appear there. Deserts in Africa, Arabia, Australia, Mongolia, and the United States are poorly lit as well (except along the coast), along with the boreal forests of Canada and Russia, and the great mountains of the Himalaya. 2

Global Consumption: Fuel Breakout 4/16/2017 Global Consumption: Fuel Breakout The world relies on fossil energy. Total World Energy Consumption, 2008 We rely on fossil fuels—coal, oil, and natural gas--for 82.0% of our energy (83.1% in the United States). Natural gas burns much cleaner than other fossil fuels, and it will be an important in our energy future. Renewable sources (including hydropower) only account for 12.2% of our energy (8.2% in the United States). Without conventional hydro, renewables drop to 10.0% globally. We have a massive challenge before us if we want to realize a clean energy future. World stats from IEA in (Total Primary Energy Supply from pg 37 of http://www.iea.org/textbase/nppdf/free/2010/key_stats_2010.pdf) and U.S. stats from EIA’s Monthly Energy Review June 2011 (http://www.eia.gov/totalenergy/data/monthly/pdf/sec1_7.pdf). 2010 U.S. Stats: Fossil Fuels: 83.1% = 81.425/98.003 in 2010 from Table 1.3 June 2011 Monthly Energy Review Renewables: 8.2% = 8.049/98.003 in 2010 from Table 1.3 June 2011 Monthly Energy Review 2008 U.S. Stats: Fossil Fuels: 84.2% = 83.540/99.268 from Table 1.3 June 2011 Monthly Energy Review Renewables: 7.2% = 7.190/99.268 from Table 1.3 June 2011 Monthly Energy Review Note: Chart presents total primary energy supply. Source: International Energy Agency, 2010 Key World Energy Statistics. 3

Global Consumption: Sector Breakout 4/16/2017 Global Consumption: Sector Breakout World energy is used predominantly for transport, industry, and buildings. Total World Energy Consumption, 2008 = 334.5 quads (12.0 BTCE) The greatest energy uses are in transport, industry, and buildings (residential, commercial, and public). Source: 2008 Energy Balance for the World http://www.iea.org/stats/balancetable.asp?COUNTRY_CODE=29 Energy converted here: http://www.iea.org/stats/unit.asp Note: Chart presents total final energy consumption. Other sectors include agriculture/forestry, fishing, and non-specified. Source: International Energy Agency, 2008 Energy Balance for the World, accessed 14 July 2011. 4

Global Consumption: Projected Growth 4/16/2017 Global Consumption: Projected Growth To meet growing energy demand, global energy supply is projected to rise 40% from 2007 to 2030. Million tons of oil equivalent (Mtoe) 2007 TPES: 12029.27 Mtoe (IEA 2009 Key Energy Data) 40% rise from 2007 to 2030 Reference Scenario 20% rise from 2007 to 2030 Policy Scenario RS: Reference Scenario (based on current policies) 450 PS: 450 Policy Scenario*** (based on policies under consideration) Note: Chart presents total primary energy supply. *Includes international aviation and international marine bunkers. **Other includes combustible renewables & waste, geothermal, solar, wind, tide, etc. *** Based on a plausible post-2012 climate-policy framework to stabilise the concentration of global greenhouse gases at 450 ppm CO2-equivalent. Source: International Energy Agency, Key World Energy Statistics 2010.

Global Energy Challenges 4/16/2017 Global Energy Challenges Overarching Challenges: Carbon reduction Market delivery of clean energy technologies Research and development needs Economic growth Workforce development Security Clean Energy Solutions Environment Economy If Energy is at the nexus of economy, security, and the environment, then Clean Energy is at the nexus of solutions to these challenges. Security: Energy self-reliance; Stable, diverse energy supply Environment: Clean air; Clean water; Climate Economy: innovation driving new technologies; Long term growth in clean energy; Green workforce Energy efficiency and renewable energy provide solutions to global energy challenges. 6

Global Energy Solutions: Energy Efficiency End-use efficiency is key to abatement of GHG emissions from energy consumption. End-use efficiency Power plants Renewables Biofuels Nuclear CCS End-use potential World abatement of energy-related CO2 emissions in the 450 Scenario, 2007-2030 Gt CO2 Source: OECD/IEA 2009, World Energy Outlook 2009. Notes: Gt refers to gigatons of carbon dioxide. “End-use efficiency” includes Buildings, Appliances, Lighting, Transportation, and Industry.

Incremental change will not be enough. 4/16/2017 Realizing Potential: Transformational Change Incremental change will not be enough. Economic, climate, and energy security challenges require transformational change. Transforming the energy landscape necessitates strong policy. We are on the cusp of next great era in world history. We cannot afford take baby steps here and there. We need to fundamentally transform the energy landscape. And to do that requires smart, robust policies at all levels of government that incent the private sector to take off—all around the globe. NREL 14580.jpg, 17032.jpg, 16142.jpg, 16381.jpg, 18042.jpg, 18279.jpg, 13998.jpg 8

Solution: Building a Clean Energy Economy 4/16/2017 Solution: Building a Clean Energy Economy Building the clean energy economy requires a planned, systematic approach: Drive high-impact innovation Move innovation to the marketplace rapidly and at scale Attract the best and brightest people Communicate plans and achievements to engage the public However, we can’t attack this problem haphazardly. Achieving transformational change and building our clean energy future requires a planned, systematic approach. The United States Department of Energy is taking that approach and working to solve these problems through R&D and policy. NREL 14565.jpg, 13639.jpg, 17590.jpg 9

Opportunities: Innovation Focus Areas 4/16/2017 Opportunities: Innovation Focus Areas Renewable Energy Solar Wind Biomass/Biofuels Water Power Geothermal Energy Efficiency Building Technologies Weatherization Vehicle Technologies Industrial Technologies Fuel Cells Federal Energy Management EERE houses 10 renewable energy and energy efficiency programs that are working on high-impact innovation in their own way. These programs have activities in every part of the U.S. economy – from vehicles, industry, residential and commercial buildings to electricity supply. We are trying to improve the performance, drive down the cost and increase the market penetration of our clean energy and energy efficiency technologies so they move from being “green niche” to mass market solutions. Most of our work is focused on research and development, but we also work to address non-technical barriers, such as siting, permitting, and grid integration and outreach and assistance to local and state governments. Strengthen America’s energy security, environmental quality, and economic vitality through R&D and public- private partnerships that – diversify the United States’ sources of energy; increase efficiency and productivity of the existing energy infrastructure; bring clean, reliable and affordable energy technologies to the marketplace; and, make a difference in the everyday lives of Americans by productively enhancing their energy choices and quality of life. NREL 16563.jpg, 18070.jpg, 08980.jpg, 17416.jpg, 15105.jpg 10

Renewable Energy Opportunities 4/16/2017 Renewable Energy Opportunities Capturing Sunlight Converting Biomass Water Power To prepare for increased global competition, rising energy demand, and high prices, the nation must develop a broad range of energy resources. This will require the development of new technologies and active adoption and use of the most energy-efficient technologies and practices. Harnessing the Wind

Biomass Opportunities 4/16/2017 Biomass Opportunities Converting Biomass for Transportation: In 2010, the U.S. produced 13 billion gallons of ethanol–meeting 7% of light duty fuel needs. Since 2006, the U.S. has led the world in ethanol production. ~10 million flexible-fuel vehicles are on U.S. roads. Sources: 2010 ethanol production 13.2 billion gallons, EIA, June 2011 Monthly Energy Review, http://www.eia.gov/totalenergy/data/monthly/pdf/sec10_7.pdf Notes: In this calculation, “light duty fuel needs” was calculated as “finished motor gasoline supplied” in EIA reporting for 2010, at http://www.eia.gov/dnav/pet/pet_cons_psup_dc_nus_mbbl_a.htm. This equals 138.5 billion gallons, which includes the blended ethanol. When the ethanol is removed from this total and lower energy content of the 13.2 billion gallons of ethanol is considered, 6.6% (approximately 7%) of finished motor gasoline supplied/light duty fuels needs is ethanol. Brazil led global ethanol production until 2005. EIA, International Energy Statistics, Renewables, Biofuels Production, http://www.eia.gov/cfapps/ipdbproject/IEDIndex3.cfm?tid=79&pid=79&aid=1 ~ 10 million FFV on the road figure from EIA, Table V1. Estimated Number of Alternative Fueled Vehicles in Use in the United States, by Fuel Type, 2005 – 2009, http://www.eia.gov/renewable/alternative_transport_vehicles/pdf/attf_V1.pdf NREL 00308.jpg

Solar Energy Opportunities 4/16/2017 Solar Energy Opportunities Capturing Sunlight: U.S. goals are to enable solar energy to be cost-competitive by 2015 and to accelerate widespread market penetration through: Photovoltaics (PV) Concentrating Solar Power (CSP) Systems (Grid) Integration Market Transformation NREL 08846.jpg 10861.jpg Concentrating Solar Power Facilitate the deployment of a cluster of innovative CSP projects that together can add up to 1 gigawatt of electricity capacity. Project aims to accelerate demonstration of advanced technologies – and reduce siting & transmission cycle time – to enable use of substantial private capital resources for build-out of large scale facilities. Trough Tower Dish

Wind Opportunities Harnessing the Wind: 4/16/2017 Wind Opportunities Harnessing the Wind: The United States has 41,281 MW of installed wind capacity (as of 2011 Q1), the second most of any country in the world. More than 5,000 MW of wind generating capacity was added in the United States in 2010—25% of all new electric capacity. The United States has the potential for wind energy to supply 20% of the nation’s electricity by 2030. The immense offshore U.S. wind resource (>4,000,000 MW) remains an untapped market. In 2010, China overtook the US and became the world leader in installed wind capacity NREL 17856.jpg, 18891.jpg

Hydropower Opportunities 4/16/2017 Hydropower Opportunities Water Power: Largest current source of clean, domestic, renewable energy in U.S. 257 million megawatt-hours (MWh) of electricity was generated from conventional hydropower in 2010— 7% of all U.S. electricity production Currently in early-stage development of marine and hydrokinetic energy industries NREl 17210.jpg, 06595.jpg

Geothermal Opportunities 4/16/2017 Geothermal Opportunities Geothermal Energy: The United States is the world leader in online capacity of geothermal energy and electric power generation. Installed capacity is 3,100 Mwe. Total of 123 new projects are underway in 15 states, totaling an additional 3,500 Mwe. Potential of enhanced geothermal systems (EGS) is >100 GW by 2050. NREL 17270.jpg

Building Efficiency Opportunities 4/16/2017 Building Efficiency Opportunities Building technologies available today can lower energy use and reduce pollution—at a low or negative net cost. Building energy codes and appliance standards Cost-effective, energy-efficient building technologies and practices Building envelopes Equipment Lighting, daylighting, windows Cool roofs Advanced sensors and controls  Combined heating, cooling, and power Whole building design Build America’s research, development, and demonstration activities aim to produce cost-effective homes that use up to 70% less energy. Available technologies could reduce projected energy use in buildings 41% by 2050, thereby avoiding approximately 40% (11.5 Gt ) of current fossil CO2 emissions. Source: IEA Scoreboard 2009: 35 Key Energy Trends over 35 Years. OECD/IEA. Long-term DOE goals: For new construction, the ultimate residential goal is to produce homes on a community scale that use on average 40% to 100% less source energy. For commercial buildings, the goal is to achieve 50% to 70% whole building energy improvements, relative to ASHRAE Standard 90.1-2004. These are both long-term goals for BTP with a focus on achieving these energy savings in a cost-effective manner. Investing in energy-efficient buildings yields: Cost savings for homeowners and businesses; Reductions in peak demand, providing the energy needed for a strong economy with fewer new power plants; and Expeditious and sustained reductions in carbon dioxide emissions—with fast paybacks and positive economic returns. Building efficiency can lower energy costs, reduce pollution, and provide greater energy security. In 2006, lighting was 18% of primary energy consumption in buildings or 8.2 % of total primary energy consumption at 6.9 quads (2009 Buildings Data Book) In addition to accelerating the pace of new final standards, the Obama Administration has significantly increased the enforcement of existing conservation standards.  For example, on March 29, 2010, the Department ordered that AeroSys, Inc. stop distributing an air conditioner and heat pump that independent testing showed were consuming more energy than allowed under federal efficiency standards.  NREL 06429.jpg, 18836.jpg 17

Industrial Efficiency Opportunities 4/16/2017 Industrial Efficiency Opportunities Energy efficiency can yield cost, productivity, energy supply resiliency, and competitiveness benefits to industry. Develop Next-Generation Manufacturing Processes & Materials Manufacturing processes that limit energy intensity Materials technologies that lower life-cycle energy consumption and provide low-cost, high performance Foster the Energy Management Industry Identify, deploy, certify, and reward effective energy management Develop tools and protocols to enable industry to measure and manage energy usage Promote education and hands-on training for a new generation of energy management engineers DOE’s Industrial Technologies Program has facilitated a cumulative net energy savings of ~5.65 quads, with a cost savings of $37.8 billion (in 2006 dollars). http://www1.eere.energy.gov/industry/pdfs/itp_results.pdf Globally, manufacturing can improve its energy efficiency by an impressive 18% to 26% while reducing the sector’s CO2 emissions by 19% to 32%, based on proven technology. Source: Tracking Industrial Energy Efficiency and CO2 Emissions, OECD/IEA, 2007 ITP works to improve the energy efficiency of U.S. industry through coordinated research and development, validation, and dissemination of innovative technologies and practices. Partner with industry and other stakeholders to Save energy Improve productivity Reduce reliance on foreign oil Reduce environmental impacts To maximize effectiveness, we use a partnership approach (two-way partnership with industry, suppliers, universities, national labs, others). Collaborative R&D: We invest in collaborative, cost-shared partnerships that conduct R&D on promising technologies to meet the priority needs of industry. Partners spread the costs and risks of R&D Partnerships bring together expertise, experience, resources, and facilities to accelerate the pace of technology advances. Energy Management: To get today’s energy-efficient technologies and best energy management practices into use on the plant floor, we also conduct a range of outreach and partnership activities that incorporate training, tools, assessments, and demonstrations. NREL 15778.jpg

Vehicle Efficiency Opportunities 4/16/2017 Vehicle Efficiency Opportunities Energy efficiency can improve fuel efficiency, reduce GHG emissions, and reduce national dependence on imported oil. Research and development Electric vehicles and components Nonconventional fuels and lubricants Advanced engine technologies Lightweight, high-performance materials Partnerships with state and local organizations Deployment and education “CO2 emissions in 2050 could be reduced to levels below what they are today by accelerating needed technology advances and enacting robust supporting policies.” Technology Action Plan: Advanced Vehicles, prepared for the Major Economies Forum, December 2009. Vehicles data from U.S. Department of Transportation, Bureau of Transportation Statistics, National Transportation Statistics 2010 Policy Steps Taken May 21, 2010: EPA-DOT MOU created the first-ever National Policy to increase fuel efficiency and decrease greenhouse gas pollution from medium- and heavy-duty trucks for Model Years 2014-2018. April 1, 2010: Final CAFE Standards rule announced. Increased CAFE standard to 35.5 mpg for new cars and light-duty trucks manufactured in Model Years 2012-2016 and sold in the United States; This will save the nation 1.8 billion barrels of oil and reduce greenhouse gas emissions by nearly one billion metric tons -- equivalent to taking 50 million cars off the road -- over the lifetime of vehicles sold in Model Years 2012-2016. New standards for heavy-duty vehicles: EPA and the National Highway Traffic Safety Administration (NHTSA) are taking coordinated steps to enable the production of a new generation of clean vehicles, though reduced GHG emissions and improved fuel efficiency from on-road vehicles and engines. These next steps include developing first-ever GHG regulations for heavy-duty engines and vehicles, as well as further light-duty vehicle GHG regulations. These steps were outlined by President Obama in a memorandum on May 21, 2010.” “the proposed Heavy-Duty National Program would apply to combination tractors (the semi trucks that typically pull trailers), heavy-duty pickup trucks and vans, and vocational vehicles (including buses and refuse or utility trucks). Together, these standards would cut greenhouse gas emissions by nearly 250 million metric tons and save about 500 million barrels of oil over the lifetime of the vehicles sold in model years 2014-2018. President Obama has set a goal of putting one million electric vehicles on the road by 2015. Although the goal is ambitious, key steps already taken and further steps proposed indicate the goal is achievable. Indeed, leading vehicle manufacturers already have plans for cumulative U.S. production capacity of more than 1.2 million electric vehicles by 2015, according to public announcements and news reports. DOE’s Vehicle Technologies Program has Established alternative fuel corridors Spearheaded a Major Increase in Alternative Fuel Transit Buses Developed world-class modeling tools that enable dynamic analysis of vehicle performance and efficiency to support detailed design, development, and validation of vehicle components and systems NREL 17633.jpg, 18563.jpg, 17061.jpg

Global Energy Management System Standard 4/16/2017 Global Energy Management System Standard ISO 50001: New energy management standard for buildings and industry Potential Impacts: Could influence up to 60% of the world’s energy use across many economic sectors Companies will implement the standard in response to: Corporate sustainability programs Energy cost reduction initiatives Demand created along the manufacturing supply chain Carbon and energy legislation and international climate agreements ISO 50001 launched in June 2011. ISO created Project Committee (PC) 242 to carry out development of ISO 50001, which included participation by 59 nations (14 observers). To lead the international development ISO 50001, Brazil [Associação Brasileira de Normas Técnicas – ABNT]) served jointly with the American National Standards Institute (ANSI) as Secretariat of PC 242 (and DOE supported ANSI in its role). ISO 50001 provides benefits for organizations large and small, in both public and private sectors, in manufacturing and services, in all regions of the world. ISO 50001 applies not only to industry - commercial, Federal, and institutional buildings, as well as entire organizations. NREL 10856.jpg, 05043.jpg 20

Global Superior Energy Performance 4/16/2017 Global Superior Energy Performance In July 2010, at the Clean Energy Ministerial, the U.S. launched a Global Energy Efficiency Challenge with initiatives in appliances, buildings, industry, vehicles, and the Smart Grid. Australia Belgium EU Brazil Canada China Denmark France India Germany Indonesia Italy Japan Korea Mexico   At the Clean Energy Ministerial (CEM) in Washington, D.C., government and corporate leaders announced a new initiative to accelerate energy efficiency improvements throughout industrial facilities and large buildings. The purpose of this initiative, called the Global Superior Energy Performance Partnership (GSEP), is to significantly cut global energy use. GSEP has since expanded. Today, within GSEP, there are six active working groups: Certification Working Group Power Working Group Steel Working Group Cool Roofs Combined Heat and Power Cement GSEP is also a task group under the International Partnership for Energy Efficiency Cooperation (IPEEC). The certification part of GSEP builds on ISO 50001, adding a component for verified, sustained energy savings. Norway Russia South Africa Spain United Arab Emirates United Kingdom United States

A Clean Energy Future - President Obama, April 5, 2009 4/16/2017 A Clean Energy Future “…Now is the time to change the way that we use energy. Together, we must confront climate change by ending the world’s dependence on fossil fuels, by tapping the power of new sources of energy like the wind and sun, and calling upon all nations to do their part. And I pledge to you that in this global effort, the United States is now ready to lead.” - President Obama, April 5, 2009 Prague, Czech Republic 22

Thank you James Quinn U.S. Dept. of Energy 4/16/2017 04742.jpg, 06479.jpg, 10516.jpg, 08097.jpg, 07219.jpg, 13439.jpg, 14998.jpg, 13435.jpg, 17133.jpg ,16894.jpg 23