Macroeconomic Development

Cost-effective energy efficiency improvements can have positive macroeconomic impacts, boosting economic activity and often leading to increased employment. Energy efficiency reduces the amount of energy needed to deliver services, such as mobility, lighting, heating and cooling.  Lowering the cost of energy services frees up resources for households, businesses and governments. 

Health and Well-being

Energy efficiency measures can support good physical and mental health primarily by creating healthy indoor living environments with healthy air temperatures, humidity levels, noise levels, and improved air quality.

Public Budgets

Energy efficiency measures can deliver financial benefits to public budgets through both increased income and decreased expenses. Local governments can directly reduce operational costs by implementing energy efficiency measures, which lead to energy savings, and therefore less spent on energy bills. Furthermore, Governments can achieve increased income through sales tax on more valuable energy efficient products and services, as well as increased real estate tax on more valuable energy efficient buildings.

Disposable Income

Energy efficiency can enable a higher disposable income by lowering energy bills and other costs to benefit individuals, households and businesses. Less energy consumed leads to lower energy bills, therefore, customers spend less of their disposable income on energy. In many countries, citizens have avoided hundreds of dollars on their bills due to energy efficiency improvements over the past few decades, with savings typically higher in countries with long established energy efficiency policies and higher energy prices.    

Asset Values

Energy efficiency can increase asset values for homeowners, businesses and utilities. Building owners can see increased property value from energy efficiency measures that lower energy consumption and reduce operating costs. Furthermore, studies have shown highly rated energy efficiency properties sell at a premium.

Energy Savings

Energy efficiency improvements reduce the amount of energy use required to provide a service. Energy savings are at the heart of the multiple benefits of energy efficiency and link to many other economic, social and environmental benefits.