Which countries have an enabling environment for investment in energy efficiency?
- Regulatory frameworks in the largest energy consumers in the world, measured in terms of primary energy consumption, tend to be more advanced than average as they have strong incentives to harness energy conservation measures.
- Countries scoring the highest on Regulatory Indictors for Sustainable Energy (RISE) energy efficiency indicators are not necessarily the wealthiest or those that have pursued energy efficiency policies the longest, as suggested by the example of Vietnam. However, Sub-Saharan African countries scored very low for all indicators.
- Among low-income countries, only Ethiopia, Haiti, Tanzania, and Uganda offer financing mechanisms for energy efficiency, with all four offering tax or duty incentives across sectors.
NOTE: Regulatory Indicators for Sustainable Energy (RISE) is a suite of indicators that assesses the legal and regulatory environment for investment in sustainable energy.
SOURCE: Regulatory Indicators for Sustainable Energy (RISE), World Bank Group, 2017.
- RISE offers policy makers and investors detailed country- level insights on the policy and regulatory environment for sustainable energy across 111 countries globally.
- Most countries have integrated energy efficiency in their national energy strategies, have established basic institutions to promote energy efficiency and encourage consumers to use electricity more efficiently. However, more efforts are needed to inform customers on their electricity consumption habits and to regulate activities of energy consumers and suppliers.
- Financing mechanisms in place, including credit lines from banks, energy service agreements, and tax incentives,
are distinctive policy elements for high-scoring countries. There is generally a strong relationship between wealth and deployment of energy efficiency financing mechanisms.
- There is considerable scope for energy savings through
the deployment and enforcement of minimum energy performance standards, particularly for electrical appliances. Building energy codes, which require deep expertise to
build and high level capacity among local governments to enforce, are also in place in top scoring, generally high-income, countries only.