Using better insulation, triple glazing and economical
boilers, new homeowners can reduce energy use by as much as 90% — good news for
consumers although bad for utilities that compete with energy-services
companies for their efficiency euros.
An inevitable efficiency directive by EU that will establish
regulations and national targets poses a predicament for utilities.
Should they find a profitable way to help consumers save
energy or try to protect their traditional business model?
Products that help users save on heating bills and,
therefore, reduce the profits of utilities include heat pumps and condensing
boilers from firms such as Germany’s Vaillant or Viessmann, super-insulating
materials from Ireland’s Kingspan or Belgium’s Recticel and heat-retaining
triple glazing from France’s Saint-Gobain.
German households, according to Bain & Company
estimates, spend about 5 to 7% of their income on energy – approximately 2,500
euros ($3,250) annually in today’s money. It is a percentage that has not
changed much since the 1970s. However, how the money is being spent is evolving
as consumers seek to reduce their gas or power costs through one-off
investments in efficiency and use of small-scale, independent power source such
as solar energy.
“Total household energy spending has not changed. It just
goes to different suppliers,” Berthold Hannes, a Bain consultant, said.
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