Energy Saving Initiatives

Using more energy than necessary to provide the goods and services we consume diverts scarce economic resources from potentially more productive activities. In this way, improving energy efficiency may lead to increased economic productivity. The existence of an energy efficiency gap would suggest that some energy users are consuming more energy than they would in the absence of barriers that impede the adoption of energy efficiency improvements. This implies that investment in energy efficiency is less than optimal. Consuming energy at a greater than optimal level may also have a negative impact on other energy customers because the costs to supply energy, and the price at which it is sold, may be inflated, increasing energy costs for everyone.