The energy efficiency gap and barriers to investments: Evidence from a firm survey in The Netherlands

A-Tier
Journal: Energy Economics
Year: 2024
Volume: 133
Issue: C

Authors (3)

Bremer, Leon (not in RePEc) den Nijs, Sacha (not in RePEc) de Groot, Henri L.F. (Tinbergen Instituut)

Score contribution per author:

1.341 = (α=2.01 / 3 authors) × 2.0x A-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

This study investigates the energy efficiency (EE) gap, referring to private agents who are not making seemingly profitable investments to reduce energy use. We deploy a questionnaire among firms in The Netherlands in which we ask them about investment behavior and barriers to investing in EE. A set of 16 barriers is constructed based on the literature. We find that most firms (70%) have made EE investments in the past five years, and that the median firm has saved 10% of its energy use. The remaining profitable EE investment opportunities still leave room for another 15% of energy savings at the median firm. We find that uncertainty about future policies ranks as the leading barrier to EE investments, followed by lock-ins in current equipment, and energy price uncertainty. Especially energy-intensive firms indicate the importance of policy uncertainty. Additionally, we find that a firm’s network can be an important channel for obtaining EE investment knowledge.

Technical Details

RePEc Handle
repec:eee:eneeco:v:133:y:2024:i:c:s0140988324002068
Journal Field
Energy
Author Count
3
Added to Database
2026-01-25