ASIA PACIFIC ENERGY RESEARCH
REPORT ON APERC ACTIVITIES
THE 40TH MEETING OF
T H E A P E C E N E RG Y W O R K I N G G RO U P ( E WG - 4 0 )
BA N DA R S E R I B E G A WA N , B R U N E I DA R S S A L A M
2 2 - 2 6 N OV E M B E R 2 0 1 0
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2010 WORK PROGRAMME 3
AND 2011 WORK PLAN
APERC RESEARCHERS 10
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2010 WORK PROGRAMME
AND 2011 WORK PLAN
1. APEC Peer Review on Energy Efficiency (PREE)
2. APEC Collaborative Energy Efficiency Design for Sustainability (CEEDS)
3. APEC Cooperative Pathways to Sustainable Energy Development
4. APEC Energy Overview 2010
5. Progress Report on Peer Review Mechanism
6. 2011 Work Plan
1. APEC PEER REVIEW ON ENERGY EFFICIENC Y (PREE)
The improvement of energy efficiency offers many cost-effective opportunities to achieve energy
security, improve business productivity and mitigate greenhouse gas emissions. In Sydney Declaration of
September 2007, APEC Leaders agreed to work towards achieving an APEC-wide regional aspirational goal
of a reduction in energy intensity of at least 25 per cent by 2030 (with 2005 as the base year).
To this end, all APEC economies were encouraged to set individual goals and action plans for
improving energy efficiency, reflecting the individual circumstances of different economies. At the same
time, review of energy efficiency through voluntary APEC Energy Peer Review Mechanism was agreed,
with a report back to APEC Leaders in 2010.
At the EWG 35 meeting (Iquitos, March 2008), APEC Peer Review on Energy Efficiency (PREE) was
proposed by Japan as a concrete program and endorsed by EWG members.
The objectives of APEC PREE are to;
Share information on Energy Efficiency performance as well as policies and measures for
improving energy efficiency among member economies,
Provide opportunities for learning from other member economies’ experiences and for
broadening the network among energy efficiency policy experts,
Explore how Energy Efficiency overall/sectoral goals and action plans could be effectively
formulated in each APEC economy under review, taking into account the diversity of
possible strategies to be used,
Monitor progress toward attaining Energy Efficiency goals on an overall and/or sectoral
basis and implementing action plans,
Provide recommendations for voluntary implementation on how implementation of action
plans could be improved with a view to achieving energy efficiency goals.
To achieve the above objectives, two activities are undertaken as part of the PREE, namely:
(1) Peer Review of volunteer member economies on the progress towards their targets in energy
efficiency improvement (“Peer Review of volunteer member economies”)
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(2) Compendium of energy efficiency policies/measures and action plans of all APEC member
economies under a common format (“Compendium”)
(1) Peer Review of volunteer member economies
Guideline for Peer Review was prepared jointly by APEC EWG Secretariat, New Zealand
Inaugural Peer Review for New Zealand was carried out during the period of 23-27
February 2009, with a review team comprised of experts from member economies and
from APERC. This was followed by Peer Review for Chile during the period of 16-20
March 2009 and Peer Review for Viet Nam during the period of 8-12 June 2009.
Draft Review Report of PREE for New Zealand and Chile were discussed and endorsed
by EWG members at EWG37 meeting in Santiago in April 2009.
Peer Review for Vietnam was conducted on 8-12 June 2009.
Draft Review Report for PREE in Vietnam was presented at EWG38 for its discussion
and endorsed after the discussion.
The fourth Peer Review for Thailand was carried out on 9-13 November 2009.
Draft Review Reports for PREE in Thailand was presented at EWG 39 for its discussion
and endorsed after the discussion.
The fifth Peer Review for Chinese Taipei was carried out on 23-27 August 2010.
The sixth Peer Review for Peru was carried out on 8-12 November.
The Draft Peer Review Report for PREE in Chinese Taipei has been submitted at EWG40
for its discussion and endorsement.
The seventh Peer Review for Malaysia will be carried out on 26 November-3 December.
KEY ISSUES IN PREE PHASE 1
Through PREE Phase 1 in New Zealand, Chile, Viet Nam and Thailand, the barriers and
the recommendations to overcome barriers are identified. The following barriers were
deemed to be particularly significant.
1. Inadequate process for monitoring and evaluating energy efficiency programs, making
it difficult to know how effective energy efficiency programs are, and how they can be
2. Lack of infrastructure and human resources for technical tasks, such as standards
setting and testing of products.
3. Lack of sufficient political support for more effective implementation of energy
efficiency improvement policy measures.
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The objective of Compendium is to serve as a basis for information sharing on energy efficiency
policies and measures which reflect the diversity of approaches that could be adopted by member
APERC presented the draft common format for compendium at the APERC workshop
and EWG 36 in Manila for inviting comments, and it was endorsed by the EWG members
in December 2009.
APERC published 2009 Compendium of Energy Efficiency Policies of APEC Economies on
APERC website in April 2010.
APERC requested EWG members to provide APERC with updated information for the
second edition of Compendium in October 2010.
2. A P E C C O L L A B O R A T I V E E N E RG Y E F F I C I E N C Y D E S I G N F O R S U S TA I NA B I L I T Y
At the 8th Meeting of APEC Energy Ministers in Darwin, Australia in May 2007, APEC Energy
Ministers encouraged APEC economies to individually set goals and formulate action plans for improving
energy efficiency on an overall and/or sector basis. Ministers also direct the EWG to compile best
practices that can be used to help formulate and track progress towards such voluntary goals and action
At the EWG 37 meeting in Chile, April 2008, CEEDS project was proposed by Japan and endorsed by
While PREE considers the whole range of energy efficiency policies and measures for one economy at
a time, CEEDS considers specific high performance energy efficiency policies and measures for several
economies in one sector at a time. Both PREE and CEEDS are designed to be multi-year activities, with
PREE examining a continuing sequence of volunteer APEC economies, while CEEDS focuses on a
continuing sequence of sectors.
APEC CEEDS aims at promoting “high-performance” energy efficiency policy measures in economies
in the APEC region. The key objectives are:
- To indentify and share information on “high-performance” energy efficiency policy measures in a
- To estimate the energy saving potential of the “high-performance” energy efficiency measures in a
selected sector in participating APEC economies
- To assist participating economies in designing and implementing “high-performance” energy efficiency
policy measures in a specified sector
To achieve the above objectives, two activities are undertaken, namely;
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1) Analysis of energy saving potential on participating economies if high performance measures were
2) A set of two workshops organized with the support of host economies for the purpose of assisting
participating economies who wish to design and implement measures for achieving energy efficiency
improvements in the selected sectors.
As a workshop organizer, APERC is responsible for selecting measures to be discussed, making the
workshop program, inviting APEC delegates to participate, and producing a summary report with experts’
suggestions on how selected measures might be implemented effectively in the participating economies.
APERC will also carry out a study on energy saving potentials for a selected sector, which will be presented
at the workshop.
1st CEEDS Workshop, hosted by Chinese Taipei, was held on 19, 20 and 21 October
2009, in which delegates from six economies, Chile, China, Malaysia, The Philippines,
Thailand and Viet Nam participated. At the 1st workshop, delegates from participating
economies worked together with experts (ASE, CLASP, IEEJ and LBNL) and APERC
researchers to develop proposals on “Next Steps” for advancing “Appliance Energy
Efficiency Standards and Labelling” programs in their economies.
2nd Workshop, hosted by Japan, on 1st and 2nd March 2010. The refined proposals for
“Next Steps”, which had undergone consultation with the delegates’ colleagues in their
home economy, were presented by the delegates.
Phase 2 of CEEDS project is now underway, on the theme of “Building Energy Codes and
1st CEEDS Phase 2 Workshop, hosted by Thailand, was held on 8-10 September 2010.
Delegates from 5 economies, China, Indonesia, Malaysia, Mexico and Viet Nam
2nd CEEDS Phase 2 Workshop on “Building Energy Codes and Labelling” will be hosted by Hong
Kong, China on 26-28 January 2011.
KEY ISSUES IN CEEDS PHASE 1
Through CEEDS Phase 1 workshops on Appliances Standards & Labelling, several
important common challenges are identified as follows.
1. Limited data availability
2. Need for more staff training and technical assistance
3. Need to strengthen testing-lab capabilities and certification procedures.
These challenges should be further addressed when further regional cooperation are
explored in the future.
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3 A P E C C O O P E R A T I V E PA T H W A Y S TO S U S TA I N A B L E E N E RG Y D E V E L OP M E N T
APEC Leaders and Energy Ministers have repeatedly called for APEC economies to make efforts to
achieve sustainable growth in general and energy sustainability in particular. “Sustainability” presumably
refers to a system that promotes prosperity, energy security, and protection of the environment over the
long-term. The APEC Energy Demand and Supply Outlook 4th Edition concluded that under business-as-usual
the APEC wide aspirational goal of a 25% reduction in energy intensity by 2030 (with 2005 as the base year)
is likely to be exceeded, however oil security will remain a major threat to the economy of the APEC region
and that the greenhouse gas emissions will be environmentally unsustainable.
The research project, titled Pathways to Sustainability: Measuring APEC Progress in Promoting Economic Growth,
Energy Security, and Environmental Protection was designed to provide APEC economies with useful analysis so
that APEC economies can further develop effective policies for a more secure and sustainable energy future.
The project had four objectives:
1. Respond to the APEC Leaders’ directive for a report on the voluntary APEC Energy Peer Review
Mechanism in 2010.
2. Discuss APEC’s progress to date in improving energy intensity, and the outlook for achieving the
minimum 25% reduction goal by 2030.
3. Despite the progress in improving energy efficiency, APERC’s projections suggest that more action
will be neede if the APEC Leaders’ and Energy Ministers’ energy sustainability goals are to be met.
The report looked at these projections. It then provided additional analysis of how APEC can
measure its progress through comparisons with a more sustainable scenario.
4. The report looked at the voluntary pledges that APEC economies have set for themselves to
reduce emissions or improve energy intensity, and what impact these pledges would have on APEC
greenhouse gas emissions if they could be achieved.
APERC published the report, Pathways to Sustainability: Measuring APEC Progress in Promoting Economic
Growth, Energy Security, and Environmental Protection, in August 2010. The report provided further
evidence that under business-as-usual the APEC wide aspirational goal of a 25% reduction in
energy intensity by 2030 (with 2005 as the base year) is likely to be exceeded, however oil security
will remain a major threat to the economy of the APEC region and that the greenhouse gas
emissions will be environmentally unsustainable.
The report concluded that
Greenhouse gas emissions could be held to a level consistent with a 2 degree C temperature
50% 2005-2030 APEC intensity reduction
30% non-fossil primary energy by 2030
59% non-fossil electricity generation by 2030
Even in this scenario, oil imports still problematic
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4 A P E C E N E RG Y OV E RV I E W 2 0 1 0
At the EGEDA 11th meeting held in March 2000, the project “APEC Energy Overview” was proposed
by Australia, and it was approved at the EWG 19 meeting in April 2000. APEC Energy Overview is an
annual publication, which contains updated energy demand/supply data as well as descriptions of energy
policy and notable energy developments including energy efficiency, infrastructure development, upstream
development, energy source diversification, regulatory reform and environment protection.
Energy demand/supply data will be drawn from the APEC Energy Database. APERC is responsible
for coordinating information gathered from member economies and preparing a draft Overview for EGEDA
review. The finalized Overview will be published by APEC. The Overview is published on both the APEC and
APERC websites. Since the inaugural issue in 2001, nine editions have been issued.
The objective of APEC Energy Overview is to share information on government energy policies of
member economies, and to provide useful information and insights to policy makers in the region.
APERC has been gathering relevant information for APEC Energy Overview 2010.
APERC will circulate the draft of APEC Energy Overview 2010 to all member economies for
their peer review. APERC is aiming at publish it on the website in early 2011.
5 P RO G R E S S R E P O RT O N A P E C P E E R R E V I E W M E C H A N I S M
In their 2007 Sydney Declaration the APEC Leaders agreed to:
1. “facilitate and review progress through the voluntary APEC Energy Peer Review Mechanism,
as established by APEC Energy Ministers in May 2007, with a report back to APEC Leaders in
2. “work towards achieving an APEC-wide aspirational goal of a reduction in energy intensity of
at least 25 percent by 2030 (with 2005 as the base year).”
The progress report aims to deepen the understanding on effectiveness of Energy Peer Review Mechanism
among APEC economies, and to encourage a broader participation of member economies in the PREE
and CEEDS projects. The progress report also explores the viability of the future plan that Peer Review
Mechanism could be extended to assist interested economies in developing renewable energy policies that
support energy security and environmental objectives.
At the 9th APEC Energy Ministers Meeting ( EMM9) in Fukui in June,2010, the APERC
presented report on progress of the APEC Peer Review Mechanism and APEC-wide
aspirational goal for energy intensity improvement.
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6 2 0 1 1 - 2 0 1 2 WO R K P L A N
In their Fukui Declaration in June 2010 on “Low-Carbon Paths to Energy Security: Cooperative Energy
Solutions for a Sustainable APEC”, APEC Energy Ministers instructed the EWG to assess the potential for
reducing the energy intensity of economic output in APEC economies between 2005 and 2030, beyond the
25 percent aspirational goal already agreed by the APEC Leaders, with the assistance from APERC,
EGEDA and EGEEC.
In their Fukui Declaration, the APEC Energy Ministers also instructed the EWG and APERC “to keep
promoting energy efficiency through the Peer Review on Energy Efficiency (PREE) and the Cooperative
Energy Efficiency Design for Sustainability (CEEDS), and to consider follow-up efforts including capacity
building activities, policy research support and processes to gauge the success of member economies’
efforts to implement the recommendations of these programs”.
At the same time, the Ministers also instructed the EWG to “explore mechanisms to encourage economies
to set individual goals and action plans for introducing low-emission power sources, building upon the
success of the PREE, with assistance from APERC and relevant technology expert groups”.
In 2011-2012, APERC’s work plan is designed to assist EWG in responding to these instructions.
THE WORK PLAN
1. 5th Edition of APEC Energy Demand and Supply Outlook
APERC is aiming at updating the long-term APEC Energy Demand and Supply Outlook by
early in the first half of 2012. In the process of updating, APERC will assess the potential
for reducing the energy intensity of economic output in APEC economies between 2005
and 2030, beyond the 25 percent aspirational goal already agreed by the APEC Leaders.
2. Follow-up and expansion of APEC Peer Review Mechanism
(A) Continuation of PREE and Follow-up PREE
As PREE is a multi-year project, the 8th and 9th Peer Reviews on Energy Efficiency
in volunteer member economies are planned to be conducted in 2011.
(B) Follow-Up PREE
Based on the APEC Energy Ministers’ instructions, the first Follow-up PREE activity
is planned to be carried out in 2011-2012 in one former PREE host economy. It will
aim to assist the economy in implementing the recommendations of the PREE review
3. Continuation of CEEDS
As CEEDS is also a multi-year project in several phases, the CEEDS Phase 3 on “Energy
Efficiency Policies in Transportation Sector” is planned to be carried out in 2011-2012.
4. Peer Review on Low-Carbon Energies (PRLCE).
Based on the APEC Energy Ministers’ instructions to explore mechanisms to encourage
APEC economies to set individual goals and action plans for introducing low-emission
power sources, Peer Review of Low-Carbon Energies (PRLCE) is planned to be started in
2011. Modelled on the successful Peer Review of Energy Efficiency, PRLCE is planned to
assist volunteered economies in developing policies that support energy security and
environmental protection through promoting low-carbon energy supply.
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APERC researchers are generally drawn from energy research agencies, both government and non-
government, in member economies. The minimum term of researchers’ supported by APERC’s budget is
one year, which may be extended subject to consultations with the relevant organisations in APEC
As of November 2010, APERC has a total researcher of 14.
Table 1: APERC Researchers
Kenji Kobayashi (President)
Ralph D. Samuelson
(Senior Team Leader)
Tran Thanh Lien
James C. Russell
Kate Louise Penney
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A P E RC R E V E N U E A N D E X P E N S E S
Since its inception, APERC’s budget has been provided by the Japanese government and partly in fiscal
2004, 2005 & 2006 by the Australian government.
This has been used to facilitate research activities, including publication of research reports, know-how
transfer programmes to the member government, and the energy data network service.
The table below is a summary of annual financial statements since APERC was created in July 1996.
Table 2: APERC Revenues and Expenses
Unit: million yen
Fiscal Year 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
Japanese Government 374 626 681 729 619 634 594 547 525 528 498 446 447 418 425
Australian Government 8 8 8
Total of Revenue 374 626 681 729 619 634 594 547 533 536 506 446 447 418 425
Energy Efficiency / APEC Energy 227 443 494 550 455 469 434 390 379 377 377 338 339 318 325
Demand & Supply Outlook /
Related Research Programmes
Know-How Transfer Programmes 54 65 65 58 58 60 53 59 53 46 41 31 28 20 20
Energy Data Network Service 93 118 122 121 106 105 107 98 101 113 88 77 79 80 80
Total of Expenses 374 626 681 729 619 634 594 547 533 536 506 446 447 418 425
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