Final energy consumption by sector and fuel

Indicator definition

Final energy consumption covers the energy supplied to the final consumer for all energy uses. It is calculated as the sum of the final energy consumption of all sectors. These sectors are disaggregated to cover industry, transport, households, services and agriculture.

The indicator can be presented in relative or absolute terms. The relative contribution of a specific sector is measured as the ratio of the final energy consumption of that sector to the total final energy consumption, calculated for each calendar year. It is a useful indicator that highlights a country's sectoral needs in terms of final energy demand.

Units

Final energy consumption is measured in million tonnes of oil equivalent (Mtoe).

Policy context and targets

Context description

Environmental context

The trends in final energy consumption by fuel type and by sector provide a broad indication of progress towards reducing final energy consumption and associated environmental impacts by the different end-use sectors (the transport, industry, services and households sectors). The type and magnitude of energy-related pressures on the environment (greenhouse gas emissions, air pollution, etc.) depends both on the sources of energy and on the total amount of energy consumed. One way of reducing energy-related pressures on the environment is to use less energy. This may result from reducing the demand for energy services (e.g. heat demand, passenger or freight transport) or by using energy in a more efficient way (thereby using less energy per unit of activity) or a combination of these.

Policy context

The 2012 Energy Efficiency Directive establishes a set of binding measures to help the EU reach its 20 % energy efficiency target by 2020. Under this directive, all EU countries are required to use energy more efficiently at all stages of the energy chain, from its production to its final consumption. To reach the EU's 20 % energy efficiency target by 2020, individual EU countries have set their own indicative national energy efficiency targets. Depending on country preferences, these targets are based on primary and/or final energy consumption, primary and/or final energy savings or energy intensity. New national measures have to ensure major energy savings for consumers and industry. To help officials in EU countries implement the Energy Efficiency Directive, the European Commission publishes guidance notes (COM(2013) 762).

On 19 June 2018, a political agreement on new rules for improving energy efficiency in Europe was reached between negotiators from the Commission, the European Parliament and the Council. The new regulatory framework includes an energy efficiency target for the EU for 2030 of 32.5 %, with an upwards revision clause by 2023. This update to the Energy Efficiency Directive, proposed by the Commission on 30 November 2016, includes a 30 % energy efficiency target for 2030.

• Proposal for a Directive of the European Parliament and of the Council amending Directive 2012/27/EU on energy efficiency — Analysis of the final compromise text with a view to agreement (ST 10309 2018 INIT);
• Directive 2012/27/EU of the European Parliament and of the Council of 25 October 2012 on energy efficiency, amending Directives 2009/125/EC and 2010/30/EU and repealing Directives 2004/8/EC and 2006/32/EC;
• Communication from the Commission to the European Parliament and the Council 'Implementing the Energy Efficiency Directive — Commission Guidance' (COM(2013) 762 final);
• Council Directive 2013/12/EU of 13 May 2013 adapting Directive 2012/27/EU of the European Parliament and of the Council on energy efficiency, by reason of the accession of the Republic of Croatia.

Earlier legislation

In 2009, the council adopted the climate-energy legislative package containing measures to fight climate change and promote the use of renewable energy. This package is designed to achieve the EU's overall environmental target of a 20 % reduction in greenhouse gases and a 20 % share of renewable energy in the EU's total energy consumption by 2020. The climate action and renewable energy (CARE) package includes the following main policy documents:

• Directive 2009/29/EC of the European Parliament and of the Council amending directive 2003/87/EC so as to improve and extend the greenhouse gas emission allowance trading scheme of the Community;
• Directive 2009/31/EC of the European Parliament and of the Council on the geological storage of carbon dioxide;
• Directive 2009/28/EC of the European Parliament and of the Council on the promotion of the use of energy from renewable sources;
• Community guidelines on state aid for environmental protection (2008/c 82/01);
• Directive 2008/101/EC of the European Parliament and of the Council amending directive 2003/87/EC so as to include aviation activities in the scheme for greenhouse gas emission allowance trading within the Community;
• Regulation (EC) No 443/2009 of the European Parliament and of the Council setting emission performance standards for new passenger cars as part of the Community’s integrated approach to reducing CO₂ emissions from light-duty vehicles;
• Communication from the Commission to the European Parliament, the Council, the European Economic and Social Committee and the Committee of the Regions 'Second Strategic Energy Review — An EU energy and solidarity action plan' (COM(2008) 781 final);
• Strategic review on short, medium and long term targets on EU energy security;
• Communication from the Commission to the European Parliament, the Council, the European Economic and Social Committee and the Committee of the Regions 'Sustainable consumption and production and sustainable industrial policy action plan' (COM(2008) 397 final).

The strategy is meant to further sustainable consumption and production and promote its sustainable industrial policy.

EEA references

• EEA (2016), Transition towards a more sustainable mobility system — TERM 2016: Transport indicators tracking progress towards environmental targets in Europe (http://www.eea.europa.eu/publications/term-report-2016).
• EEA (2017a), Aviation and shipping — impacts on Europe's environment — TERM 2017: Transport and Environment Reporting Mechanism (TERM) report.
• EEA (2017b), Trends and projections in Europe 2017 — Tracking progress towards Europe's climate and energy targets (https://www.eea.europa.eu/themes/climate/trends-and-projections-in-europe).

Targets

• In accordance with the Energy Efficiency Directive (2012/27/EU), the EU Member States have set up national indicative targets that, collectively, should help the EU to reach its 20 % energy efficiency target by 2020. In 2016, the cumulative final energy consumption for all Member States was 1 108 Mtoe (2 %) more than the EU-28 2020 target of 1 086 Mtoe. The approximated trend suggests that in 2017 final energy consumption increased further, to 1 120 Mtoe, which is 2.6 % higher than the EU-28 2020 target. Member States can update their targets in their national energy efficiency plans, although this is not specifically mentioned in the Energy Efficiency Directive. By 2014, 18 of the EU Member States reached their indicative national targets and this has continued up to 2016. In 2016, final energy consumption in Germany and France was 22 and 16 Mtoe, respectively, above these countries' indicative national targets. In 14 of the EU-28 countries, such as Greece, Latvia, Poland, Portugal and Romania, final energy consumption in 2016 was below their indicative national 2020 targets. For more information on progress towards the energy efficiency targets, see EEA (2017b) and forthcoming updates.

Related policy documents

• Climate action and renewable energy package (CARE Package)
  Combating climate change is a top priority for the EU. Europe is working hard to cut its greenhouse gas emissions substantially while encouraging other nations and regions to do likewise.
• COM(2008) 397 Sustainable production and consumption action plan
  COM (2008) 397: Communication from the Commission to the European Parliament, the Council, the European Economic and Social Committee and the Committee of the Regions on the Sustainable Consumption and Production and Sustainable Industrial Policy Action Plan {SEC(2008) 2110} {SEC(2008) 2111}
• COM(2008) 781
  COM(2008) 781 final - Second Strategic Energy Review
• COM(2015) 80 final - A Framework Strategy for a Resilient Energy Union with a Forward-Looking Climate Change Policy
  Energy Union Package, Communication from the Commission to the European Parliament, the Council, the European Economic and Social Committee, the Committee of the Regions and the European Investment Bank "A Framework Strategy for a Resilient Energy Union with a Forward-Looking Climate Change Policy", COM(2015) 80 final, 25 February 2015. Energy Union Package establishes a Framework Strategy for a Resilient Energy Union with a Forward-Looking Climate Policy. 
• COM(2016) 761 final - Proposal for a Directive of the European Parliament and of the Council 761 final) amending Directive 2012/27/EU on energy efficiency
  Proposal for a DIRECTIVE OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL amending Directive 2012/27/EU on energy efficiency COM/2016/0761 final - 2016/0376 (COD)
• Directive 2012/27/eu
  DIRECTIVE 2012/27/EU OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL of 25 October 2012 on energy efficiency, amending Directives 2009/125/EC and 2010/30/EU and repealing Directives 2004/8/EC and 2006/32/EC

Methodology

Methodology for indicator calculation

Technical information

1. Data sources:
   Final energy consumption: Eurostat (http://ec.europa.eu/eurostat/web/energy/data).
   Final energy consumption, non-EEA countries: International Energy Agency (IEA) (http://www.iea.org/statistics/topics/energybalances/).
   Final energy consumption is one of the EEA’s core set of indicators. More information can be found at http://www.eea.europa.eu/data-and-maps/indicators/about
2. Description of data/indicator definition:
   Final energy consumption covers energy supplied to the final consumer for all energy uses. It is calculated as the sum of final energy consumption of all sectors. These are disaggregated to cover the industry, transport, households, services and agriculture sectors.
   The indicator can be presented in relative or absolute terms. The relative contribution of a specific sector is measured by the ratio of the final energy consumption of that sector to total final energy consumption calculated for a calendar year. It is a useful indicator that highlights a country's sectoral needs in terms of final energy demand.
3. Geographical coverage:
   The EEA had 33 member countries at the time of writing this indicator. These are the 28 EU Member States and Turkey, plus Iceland, Norway, Switzerland and Liechtenstein. Note that no data are included for Switzerland or Liechtenstein because of a lack of Eurostat data. Table 1 also includes data for outside Europe, namely Africa, the Middle East, China, India, Russia and the United States.
4. Methodology and frequency of data collection:
   Data are collected annually.
   Eurostat metadata: http://ec.europa.eu/eurostat/ramon/index.cfm?TargetUrl=DSP_PUB_WELC
5. Methodology of data manipulation:
   Average annual rate of growth is calculated using the following: [(last year/base year) ^ (1/number of years) - 1]*100.
6. Coding (used in the Eurostat database) and specific components of indicator:
   • Numerator: final energy consumption (101700) = final energy consumption industry (101800) + final energy consumption transport (101900) + final energy consumption households (102010) + final energy consumption services (102035) + agriculture calculated as (final energy consumption agriculture/forestry (102030) + final energy consumption fisheries (102020) + final energy consumption other sectors (102000).
   • If needed for calculating share of total energy consumption, a denominator is used: (total) final energy consumption (101700).
   This was done for 0000 — all products; 3000 — total petroleum products; 6000 — electrical energy; 4100 — natural gas; and 2000 — solid fuels.
7. Coding (used in the IEA database) and specific components of indicator:
   • Reports: Energy balances of Non-OECD countries and Energy balances of OECD countries.
   • Name: Energy Balances.
   • Products: Total; Flow; and Final Consumption — Flow.
   • Memo: Feedstock use in the petrochemical industry.
8. Early estimates of 2017 ('approximated' or 'proxy') data for final energy consumption were prepared by the EEA and its European Topic Centre for Air Pollution and Climate Change Mitigation (ETC/ACM), see https://www.eea.europa.eu/data-and-maps/data/approximated-estimates-for-the-primary-1.

         The estimated indicative national targets for 2020 are based on the national energy efficiency plans for 2017 or earlier when 2017 plans not available (see https://ec.europa.eu/energy/en/topics/energy-efficiency/energy-efficiency-directive/national-energy-efficiency-action-plans).

Methodology for gap filling

No gap filling was applied.

Methodology references

No methodology references available.

Uncertainties

Methodology uncertainty

Reliability, accuracy, robustness and uncertainty (at data level)

Any cross-country comparison of the distribution of final energy consumption among sectors will have to be accompanied by a relevant measure of the importance of the sector in the economy, as the sectoral share also depends on a country's economic circumstances. Because the focus is on the reduction of final energy consumption and not on the sectoral redistribution of such consumption, the trends in the absolute values (in thousand tonnes of oil equivalent) are preferred, as they are a more meaningful indicator of progress. However, even if the same sectors in two countries are equally important to the economy, the gross (primary) consumption of energy needed before it reaches the final user might draw from energy sources that pollute the environment in different ways. Therefore, from an environmental point of view, the final energy consumption of a sector should be analysed in that broader context.

The sectoral breakdown of final energy consumption includes the industry, transport, households, services, agriculture, fisheries and other sectors. The inclusion of the agriculture and fisheries sector together with the services sector is however questionable given their divergent trends. Separate assessments are therefore made where appropriate. It is worth noting that, according to Eurostat final energy consumption in agriculture is not very reliable and it is accounted for mainly by consumption from engines used for agricultural transportation. A new definition is now used in energy questionnaires to be more in line with the Intergovernmental Panel on Climate Change (IPCC) guidelines.

Overall scoring — historic data (1 = no major problems, 3 = major reservations):
Relevance: 1
Accuracy: 1
Comparability over time: 1
Comparability over space: 1

Data sets uncertainty

Strengths and weaknesses (at data level)

Officially reported data, updated annually. No obvious weaknesses.

Data have traditionally been compiled by Eurostat through the annual joint questionnaires of Eurostat and the IEA, following a well-established and harmonised methodology. Methodological information on the annual joint questionnaires and data compilation can be found on Eurostat's web page for metadata on energy statistics (https://ec.europa.eu/eurostat/cache/metadata/de/nrg_quant_esms.htm).

Rationale uncertainty

No uncertainty has been specified