A global pledge to accelerate energy efficiency
In 2023, during the 28th UN Climate Change Conference (COP28 in Dubai), nearly 200 countries reached a historic agreement: to work together and collectively double the global average annual rate of improvement in energy efficiency by 2030. For what many still call the “sleeping giant” of the energy transition, this marked the strongest recognition governments have ever given, and the first official step toward greater national ambition and faster action.
The topic is central to KEY – The Energy Transition Expo, the international trade fair on energy transition organized by Italian Exhibition Group. From March 4 to 6, 2026, the event will once again spotlight technologies, systems, and solutions for smarter use of energy resources, bringing together associations, institutions, public administrations, and industrial stakeholders. The debate is crucial, given the significant gap between potential and actual results in this field.
Troubled progress in global efficiency
Latest figures from the International Energy Agency (IEA) highlight uneven progress. Over the past two years, the rate of change in primary energy intensity, a key measure of efficiency, grew by just 1% per year, about half the average rate seen between 2010 and 2019 and in 2022.
This slowdown is most visible in advanced economies, while many emerging and developing economies have held steady or slightly improved their performance.
In any case, for the data to be meaningful in understanding the energy transition, it must be placed in a broader context that considers multiple factors, such as the electrification rate. Defined as the annual percentage change in the share of electricity in total final energy consumption, the rate grew by about 2% in 2024, compared with a long-term average of 1% per year. As a result, electricity’s share of global energy demand has risen from 17% in 2010 to 21% in 2024.
Rising demand for electricity
Electrification is not the only driver behind the surge in electricity use. Global electricity demand rose by about 4% in 2024, partly due to higher temperatures that pushed millions of people to use air conditioning. The increase was nearly 1% faster than the IEA’s net-zero scenario, which already assumes rapid electrification.
Globally, last year more than 40 countries representing nearly 70% of global electricity demand, including Brazil, China, India, Mexico, and the United States, set new records for peak power consumption during heat waves. Others faced severe outages and rolling blackouts.
Europe and Italy were no exception. In its July 2025 report on the national grid, Italian transmission operator Terna noted a growing correlation between high summer temperatures and rising demand. “Energy demand, during summer periods, grows with rising temperatures due to cooling needs, and recently this correlation has been increasing. Today, when the average temperature exceeds 27 degrees, demand rises by more than 2,000 MW for each additional degree Celsius.” the report stated.
Energy efficiency in the European Union
The European Union has adopted a binding target to cut energy use by 11.7% by 2030 compared to 2020 projections, under the revised 2023/1791 Energy Efficiency Directive. Current figures suggest the bloc is gradually approaching its 2030 targets: 763 Mtoe of final energy consumption and 992.5 Mtoe of primary energy.
In total, 15 member states have raised their ambitions on energy efficiency for final energy consumption compared to the proposals in their National Energy and Climate Plans.
In particular, nine member states have aligned their national contributions with the EU’s 2030 efficiency target. Countries such as Ireland and Austria have even set more ambitious national goals than their earlier projections, showing a commitment to further reducing final energy consumption.
Still, the EU is behind schedule. According to projections, the aggregated contributions translate into a final energy consumption of 794.1 Mtoe by 2030. Although the gap with the target has been reduced by 20 Mtoe compared to the proposed updates of the NECPs, the final contributions remain 47.3 Mtoe above the primary energy consumption target and 31.1 Mtoe above the final energy consumption target. This results in a reduction of only 8.1% compared to the planned 11.7%. It is a significant gap, equal to Belgium’s annual final energy consumption.
Italy’s limited ambition
In this context, Italy does not stand out for its ambition. The National Energy and Climate Plan (NECP) reports a national contribution to final energy consumption of 101.70 Mtoe, clearly not in line with the 93.05 Mtoe contribution presented by the European Commission. The EU executive has pointed out that while the plan sets out comprehensive policies and measures to meet national energy efficiency contributions, it fails to quantify the expected savings or the contribution of each measure. Nor does it provide a full assessment of heating and cooling, or sufficiently describe the link between measures, dedicated funding for building renovation, and the efficiency gains that could be achieved.
But what is the current situation? For 2023, the last year with official and verified data, ENEA reported a reduction of more than 3.6 Mtoe in final energy consumption through measures adopted to comply with EU directive obligations. The agency highlighted the growing role of White Certificates: this mechanism alone saved 0.05 Mtoe of primary energy per year. In the same year, there was a marked increase in savings from subsidized projects and awareness campaigns (over 0.7 Mtoe), plus a small contribution from the Conto Termico incentive scheme. Tax bonuses for energy retrofits of buildings also played a role. Deductions applied to interventions carried out in 2023 generated final energy savings of 0.676 Mtoe. “Adding to this the savings generated in the same year by interventions carried out since 2021, the total amounts to 2.039 Mtoe, equal to 92% of the savings expected under the trajectories set by the 2024 NECP,” ENEA wrote in its annual energy efficiency report.
Ten strategic principles for efficiency
Overall, the picture shows the need to increase both ambition and commitment, nationally and globally, to fully capture the benefits of the sector. Energy efficiency measures reduce the amount of energy needed to power and grow economies, while improving people’s lives and expanding access to additional energy services. This is why improving energy use and energy intensity rates appears essential today.
Every country will need its own approach, but at the IEA’s 10th annual Energy Efficiency Conference, agency analysts and European Commission experts defined a set of strategic principles: ten actions that can help policymakers strengthen and expand efficiency programs, accelerating gains.
The principles are:
- Prioritize cross-cutting energy efficiency actions for their economic, social, and environmental benefits.
- Act to unlock the job creation potential offered by efficiency.
- Create stronger demand for energy efficiency solutions.
- Focus on finance in the broader context of scaling up action.
- Harness digital innovation to improve system-wide efficiency.
- Lead by example in the public sector.
- Engage all parts of society.
- Use behavioral insights to design more effective policies.
- Strengthen international cooperation.
Article in collaboration with KEY – The Energy Transition Expo.