Steven fawkes keynote smart building conference 15 10 13


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Keynote presentation made at Smart Building Conference 2013 introducing the idea of the energy efficiency cool wall.

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  • Thank you Bob. I am really glad to be here this morning speaking to you as I think your industry has the potential to be the solution to some of our energy problems – even though you probably don’t think of yourselves as being in the energy industry. I am going to talk to you about energy efficiency, which is one of the most boring subjects possible – but probably one of the most important for the world and the UK.
  • Lets start off by looking at the world. One of my favourite photos – actually taken on Apollo 17 in 1972.If you are not worried about energy you should be – or you need to know more.
  • Lets get realistic for a minute, for all the talk of renewables we are still totally dependent on these things – very large crude carriers carrying oil33% of all our energy is still oilMore than 90% of all our transport is oil basedA large % comes from the Middle East through the Gulf
  • Of course there are some people in the world who would like to see this supply of oil stopped
  • And of course there are some people who spend their lives trying to keep the sea lanes openThe US spends about $279bn on defending the Middle Eastern sea lanesThat works out as $83 per barrel of Saudi exportsOnly 20% of that goes to the US so the US is spending c.$400/barrel of Saudi exports to the USAIn 10 years or less US will become a net energy exporter so you might reasonably ask whether the US will continue to spend that much money in future
  • Saudi Arabia, and indeed all the oil producing countries, have another problemToday Saudi exports 10 miilion barrels a dayAccording to Chatham House by 2035 Saudi domestic demand, which is growing at 7% per annum, will equal productionThere is a reason why Saudi is interested in solar and energy efficiency
  • The big energy problem is of course that the word is getting richerBy 2030 there will be an additional 3 billion middle class, mainly in Asia of courseOf course when you enter the middle class your energy demand spikes up sharply as you buy more stuff, lights, air conditioning, cars etc
  • This slide shows the level of atmospheric pollution over China and the insert shows somewhat tongue in cheek the effects in Hong Kong at ground level. The numbers from the WHO and the World Bank illustrate that air pollution is a big cause of premature death in many parts of the world including China.
  • A really big issue with energy is that despite all the concerns over energy supplies, we really are not using enough of it. Over 1.3 billion people are estimated to be without electricity at all – an almost unimaginable scenario for most of us who are becoming more and more electrified.
  • Now lets look at the UK energy situation in more detail.We are becoming more and more dependent on energy imports.In 2003 we actually were still exporting energy, 7% of our usage and we earnt £3.3bn on exports.In 2012 the situation has deteiroated sharply – we are now dependent on imports for 43% of our energy and the net balance of payments on energy was £24 bn – that is half the totla balance of payments deficit.
  • Europe has another problemIt exports 500m euros per annum, more than the Greek national debt every year
  • This is a picture from 1974 when we had in the UK something called the 3 day week. I should say it isn’t me but I do remember the situation. In the 3 day week we only had 3 days of power in industry and regular power cuts. This was caused by the miners going on strike. Many countries including the UK are facing supply crises because of under investment in generation and the closure of old coal and nuclear plants. Without being too political Mr Milibands recent comments about freezing energy prices have increased the probabiliyt of us having blackouts in 2015/16 – maybe even this winter.
  • TO sum up – EE is the cheapest, cleanest source of energy – it is also the fastest to deploy
  • It may surprise you to learn just how inefficient we really are. Research from the University of Cambridge shows that we put 475 units of energy (fuel, nuclear, everything) in and we actually only usefully use 55 units – a total efficiency of about 11%. Isn’t that amazing – all of our technology and the best the world can do is 11% efficiency!Hence the title of my blog
  • DECC estimate that there is the potential to save the equivalent of 22 power stations.
  • So we have big money in EEAs an aside Boulton & Watt who are pictured here – made their money in the 1700s by implementing energy efficiency – the Watt steam engine was much more efficient than the existing technology and saved coal mine owners a fortune. Bolton & Watt also had the first example of shared savings deal – they took a % of the savings over a long term contract.
  • So we have seen EE has huge potential for profit and many other benefits BUT EE is so boring!!!!!!
  • Thanks to Jan for asking me back to EcoSummit to talk again about the magic of energy efficiency.
  • Steven fawkes keynote smart building conference 15 10 13

    1. 1. Only Eleven Percent Steven Fawkes Smart Buildings Conference London 15th October 2013 © Steven Fawkes 2013
    2. 2. If you are not worried about energy…….. you should be
    3. 3. $279 billion p.a. $83 per barrel exported Only 20% goes to USA
    4. 4. 2013: 10 million barrels/day export 2035: domestic demand = production Source: Chatham House
    5. 5. Additional 3 billion middle class by 2030
    6. 6. Premature deaths a year: 2 million global World Health Organisation 700,000 China World Bank 300,000 EU European Commission 50,000 UK House of Commons Environmental Audit Committee
    7. 7. 1.3 billion
    8. 8. UK IMPORT DEPENDENCY 2003 +7% + £3.3 billion 2012 -43% - £24 billion Source: DUKES
    9. 9. €500 billion p.a. energy imports. Source: IEA
    10. 10. Source: DUKES 2013
    11. 11. 14 Source: DUKES 2013
    12. 12. 4 million homes in fuel poverty 1.6 million children Costs the NHS £850m
    13. 13. “unprecedented challenges” “capacity margin could fall to 2% by 2015” “increasing the risk of blackouts” Source: OFGEM UK ELECTRICITY IN CRISIS
    14. 14. January 1974 or January 2014?
    15. 15. ENERGY EFFICIENCY Increases energy security Reduces import costs Reduces running costs Reduces exposure to price volatility Reduces pollution and emissions Improves health and productivity Cheapest Cleanest Fastest Creates more jobs
    16. 16. ONLY ELEVEN PERCENT 475 55 Source: University of Cambridge, global figures , in EJSource: University of Cambridge Units: Exajoules
    17. 17. 22 Source: DECC EEDO
    18. 18. 21
    19. 19. EE is so boring • Large yawn Energy efficiency is so……boring
    20. 20. THE ENERGY EFFICIENCY COOL WALL Seriously uncool Sub-zeroCoolUncool
    21. 21. Energy efficiency is: Vital to our future Huge value opportunity
    22. 22. To develop new products and business models that turn EE from boring to cool
    23. 23. Contact @DrSteveFawkes +44 77 0223 1995 © Steven Fawkes 2013