Documents considered by the Committee on 6 May 2009 - European Scrutiny Committee Contents


4   Use of ICT to achieve an energy-efficient and low-carbon economy

(30499)

7566/09

+ ADDs 1-3

COM(09) 111

Commission Communication on mobilising Information and Communication Technologies to facilitate the transition to an energy-efficient, low-carbon economy

Legal base
Document originated12 March 2009
Deposited in Parliament17 March 2009
DepartmentBusiness, Enterprise and Regulatory Reform
Basis of considerationEM of 1 April 2009
Previous Committee ReportNone
To be discussed in CouncilSecond half of 2009
Committee's assessmentPolitically important.
Committee's decisionCleared

Background

4.1  The Community has set itself targets for reducing energy consumption and carbon emissions by 2020, and the Commission says that energy efficiency lies at the heart of efforts to address these issues. It suggests that Information and Communication Technologies (ICTs) are known for their capacity for energy-saving and potential to effect rapid change across every facet of society, government and industry, and it has therefore sought in this Communication to set out what can be achieved both by the ICT sector in its own right and in relation to other sectors of society and the economy.

The current document

4.2  The Commission points out that the ICT sector employs 6.6 million people across the 27 Member States, and that it is embedded in almost all parts of the European economy, with its products and services accounting for 7.8% of electricity consumption within the Community (a figure it suggests may grow to 10.5% by 2020). It observes that the potential of ICTs to improve energy efficiency is generally accepted, but that action is needed if this potential is to be realised in line with the 2020 targets. It points out that ICTs have a dual contribution to make, namely:

(i)  to bring about energy efficiency improvements by reducing the amount of energy required to deliver a given service, by monitoring and directly managing consumption, by providing tools for more energy-efficient business models, working practices and lifestyles, and by delivering innovative technologies;

(ii)  to provide a quantitative basis on which energy-efficient strategies can be devised, implemented and evaluated, notably by such means as smart metering, and measuring energy performance at a system level.

It also suggests that the mere existence of 2020 targets makes accurate and verifiable quantification of energy consumption crucially important, and that ICT is better equipped than any other sector to address this challenge.

4.3  The Commission then considers ways in which to maximise the contribution of ICTs in this area. It identifies two main challenges — the energy used by the sector itself (which is equivalent to about 2% of carbon emissions in Europe), and its capacity to tackle the 98% emissions generated elsewhere (where it says a reduction of 15% could be achieved by 2020). It notes that some ICT companies have set targets on energy savings and emissions reductions, but that these differ widely, with little common basis for the sector to identify where opportunities for greater efficiencies lie, and that data on the benefits achieved (or achievable) is often inconsistent.

4.4  It therefore believes that harmonised methodologies for measuring and quantifying energy performance are needed if such inconsistencies are to be eliminated, and the potential benefits of ICT not to be overlooked. Consequently, it intends to issue later this year a Recommendation to enable ICTs to contribute to energy efficiency gains and emissions reductions in a measurable and verifiable way, in particular by:

(i)  inviting the sector to set itself targets and reach a collective agreement on measurement methodologies focussing on the accuracy, transparency and verifiability of its processes at company and sector level;

(ii)  encouraging working partnerships between the ICT sector and other major energy-using sectors to identify where and how ICTs can play a role in improving efficiency and reducing emissions;

(iii)  calling upon Member States to enable a Community-wide roll-out of ICT tools likely to trigger a behavioural shift by consumers, businesses and communities, whilst driving the demand for innovative ICT solutions.

4.5  The Communication suggests that the proposed Recommendation should focus on two particular areas — buildings and construction, and transport logistics — in view of their relatively large shares of overall energy consumption and the ongoing efforts being made by the Commission and Member States in the areas in question. It also highlights the role of developments such as smart metering in encouraging changes in consumer behaviour, and the part which Member States can play, for example through procurement policies, innovative programmes, and support for pilot projects and the spread of best practice. Finally, the Commission suggests areas in which it too can contribute, notably through supporting relevant research and innovation.

The Government's view

4.6  In his Explanatory Memorandum of 1 April 2009, the Minister for Communications, Technologies and Broadcasting at the Department for Business, Enterprise and Regulatory Reform (Stephen Carter) says that the Government support the Commission's aim of maximising the contribution of ICT in reducing carbon dioxide emissions, and agrees that further Community intervention, including the adoption of specific Recommendations for future policy-making, is needed to bring about the changes required. However, as many of these issues are inter-related, he says that there is the potential for duplication and/or confusion with other Commission activities in the area of energy efficiency and energy market liberalisation, and that the UK will seek to mitigate this risk.

4.7  As regards specific issues covered by the Communication, the Minister says that it is not clear how the proposal for a Member State-led smart meter standardisation process will mesh with the standardisation work already being undertaken by Community standards bodies, and that it will be important that any such process should not prevent Member States making progress on implementing smart metering in the meantime; that, although the inclusion of the buildings and construction sector in any Recommendation would be welcome, there are some major obstacles to realising certain of the Commission's ambitions in this area, such as the difficulty of modelling the energy efficiency of existing buildings because of variations in quality of construction and the payback period for retrofitting ICT systems onto old building stock; that experience in other areas suggests that efforts to create a demand for more energy efficient ICT goods and services through public procurement can lead to the Commission establishing mandatory minimum EU wide standards, and would need to be considered carefully; and that efforts to assess ICT energy consumption should be supported by empirically judged case studies, with evidence and supporting documentation being made freely available.

Conclusion

4.8  It is clear that the Commission sees Information and Communication Technologies as capable of playing an potentially important part in improving energy efficiency, both in terms of the performance of the sector itself and its impact in other areas. That said, this Communication simply suggests in fairly general terms areas where further activity appears to be needed, and is intended to lead to a Recommendation to Member States, rather than any binding legislative instrument. Consequently, whilst we are drawing it to the attention of the House, we see no need to withhold clearance.





 
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