The possibilities for meeting current energy demands with renewable sources are still limited. Yet, further reliance on conventional fuels will lead to dangerous climate change. As a consequence, not only the sources of energy needs to be changed but energy also needs to be used much more efficiently.1 While greater energy efficiency in itself doesn’t lead to the abatement of emissions2, it is important in order to smoothen the energy transition as it can help companies to stay competitive and consumers to stay comfortable with declining levels of energy consumption.

• 1. International Energy Agency. 2015. Energy Efficiency Market Report 2015. Paris: International Energy Agency. http://www.iea.org/publications/freepublications/publication/MediumTermE.... ; European Parliament and Council. 2012. ‘Energy Efficiency Directive ( 2012/27/EU)’. Official Journal of the European Union 315 (1).
• 2. Economics Department Working Papers, no. 1176,. doi:http://dx.doi.org/10.1787/5jxrjncjrcxp-en. Alcott, B. 2005. ‘Jevons’ Paradox’. Ecological Economics 54 (1): 9–21.