“ENERGY EFFICIENCY IS THE LOWEST

The Minister of Energy, Science, Technology, Environment and Climate Change (MESTECC), YB Yeo Bee Yin, in her keynote address at the recent National Energy Awards 2019 recently has stated that “energy efficiency is the lowest hanging fruit”. It was encouraging that the minister had shed light on the importance of energy efficiency, as it often plays second fiddle to renewable energy.

Energy efficiency does not have the same appeal as renewable energy, it is less visible than, say, a big solar panel installation. However, in terms of the economic rate of return, energy efficiency is the more attractive option, or as the minister formulated it “the lowest hanging fruit”. So, while Malaysia has set an ambitious target of getting 20 percent of its electricity from renewable energy, the energy efficiency targets should be pushed equally – if not more –aggressively. Besides, nationwide implementation of energy efficiency will reduce the overall electricity consumption, and hence make it easier to achieve the 20 percent renewable energy target.

A good way to illustrate the relationship between energy efficiency and renewable energy is by using the leaky bucket analogy. The bucket represents the national energy system. Energy consumption is represented by water drawn from the tap, whereas energy wastages is depicted by holes in the bucket. The energy supply is represented by pouring water into the bucket. While the constantly growing demand can be met by keep pouring more and more water into the bucket, a more sensible approach, also economically, is to start by plugging the holes, in other words, to implement energy efficiency measures.