Panel 1
Antonio Caputo, Giulia Iorio, Francesca Palomba
The ratio of final energy consumption to total energy consumption measures the overall efficiency of converting energy from primary sources. The difference between these two values corresponds to losses in conversion processes (such as electricity generation and oil refining), internal consumption of power plants, and distribution losses. From 1990 to 2022, the average ratio in our country (70.6%) has been higher than the European average (62.6%). In recent years, a significant increase in the ratio has been observed.
The ratio between final energy consumption and total energy consumption measures the overall efficiency of converting the energy contained in primary sources. The difference between these two quantities corresponds to losses in conversion processes (such as electricity generation and oil refining), internal consumption of electricity generation plants, and distribution losses.
To evaluate the overall efficiency of converting primary energy from various sources into usable energy, in order to improve the efficiency of energy supply.
Europe has updated its climate strategy framework, setting a target for greenhouse gas emissions reduction by 55% by 2030 compared to 1990 levels, at least 42.5% of renewable energy (a provisional agreement reached in 2023, with an intention to aim for 45%), and an 11.7% reduction in final energy consumption compared to the projections in the 2020 reference scenario. In line with the EU energy governance, Italy submitted the updated version of the National Integrated Energy and Climate Plan (PNIEC) to the European Commission on July 1, 2024. The PNIEC consolidates previous strategic documents and defines the measures necessary to achieve European goals on energy efficiency, renewable sources, and greenhouse gas emission reduction. Regarding final energy consumption, to contribute to meeting the EU binding target, the PNIEC states that Italy's consumption level, considering additional measures to existing policies, should amount to 102 Mtoe of final energy and 123 Mtoe of primary energy by 2030, still far from the targets calculated under Directive EED III of 93 and 111 Mtoe, respectively. Binding targets are also set for reducing final energy consumption through mandatory energy efficiency schemes defined under Article 7 of Directive 2018/2002/EU. These targets translate into a reduction in final energy consumption each year from 2021 to 2030, amounting to 0.8% of the average annual consumption from the 2016-18 triennium, through active policies. This target represents a cumulative reduction of 73.42 Mtoe from 2021 to 2030.
As for the main national regulatory references for the 2020 targets, we cite Legislative Decree No. 102/2014, amended and integrated by Legislative Decree No. 73 of July 14, 2020, which includes the provisions for the transposition of Directive 2012/27/EU, as amended by Directive 2018/2002/EU. Regarding energy efficiency and 2030 targets, the following key regulatory acts are noted:
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EU Regulation No. 2018/1999 of the European Parliament and Council of December 11, 2018, on the governance of the Energy Union.
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EU Directive 2018/2002 (known as the EED Directive) on energy efficiency (which amends the previous Directive 2012/27/EU), transposed by Legislative Decree No. 73 of July 14, 2020. The decree incorporated amendments to Legislative Decree No. 102/2014.
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Directive (EU) 2018/844, which modifies Directive 2010/31/EU on the energy performance of buildings and Directive 2012/27/EU on energy efficiency (Energy Performance of Buildings Directive - EPBD), transposed by Legislative Decree No. 48 of June 10, 2020.
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EU Directive 2018/2001 on the promotion of the use of energy from renewable sources.
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Directive (EU) 2023/1791 on energy efficiency.
Panel 2
Database Eurostat
The relevance of the indicator at the regional level is reduced, compared to the national level, due to the uneven distribution of electricity generation plants across the national territory.
Data quality assessment
EUROSTAT (Ufficio Statistico delle Comunità Europee)
EUROSTAT (https://ec.europa.eu/eurostat/data/database)
National
1990-2022
Indicator assessment
The data is calculated as the ratio between "Final Energy Consumption," defined as the sum of final energy consumption in the Industry, Transport, and Other sectors (Residential, Services, etc.), and "Gross Internal Energy Consumption," defined as primary production + recovered products + imports + stock variations - exports - bunkering.
The indicator provides indirect information on the efficiency of conversion of primary energy sources. The national value of the indicator in 2022 was 74.8%, while the European average was 66.6% (Table 1).
From 1990 to 2022, the average ratio between final energy consumption and total energy consumption in our country (70.6%) was higher than the European average for the period (62.6%) (Table 1 and Figure 1). Since 2011, an increasing trend in the ratio has been observed, similar to the European average, although with consistently lower values.
Data
Table 1: Ratio between Final Energy Consumption and Gross Inland Energy Consumption in the European Union*
ENEA elaboration based on EUROSTAT data
*Final energy consumption is defined as the sum of final energy consumption in the industry, transport, and other sectors (residential, services, agriculture, fisheries, and other NACE sectors);
Gross inland energy consumption is defined as primary production + recovered products + imports + stock changes – exports – bunkering.
Table 2: Total Final Energy Consumption in the European Union*
EUROSTAT
*Defined as the sum of final energy consumption in the industry, transport, and other sectors (residential, services, agriculture, fisheries, and other NACE sectors).
Figure 1: Ratio between Final Energy Consumption and Gross Inland Energy Consumption in Italy and the European Union*
ENEA elaboration based on EUROSTAT data
*Final energy consumption is defined as the sum of final energy consumption in the industry, transport, and other sectors (residential, services, agriculture, fisheries, and other NACE sectors);
*Gross inland energy consumption is defined as primary production + recovered products + imports + stock changes – exports – bunkering.
In 2022, the share of final energy consumption of our country compared to the 27 European countries was 12.3% (Table 2). Since 1990, when Italy's final energy consumption accounted for 11.5%, the percentage increased with some fluctuations until 2005, reaching 13.3% of European consumption. Subsequently, a decrease in the consumption share is observed until 2020, with a recovery in the following year. In 2022, national final energy consumption shows a 3.4% decrease compared to 2021 and a 15.8% reduction compared to 2005. At the European level, the 2022 decrease compared to 2021 was 3.9%, while the reduction compared to 2005 was 8.6%.