Why is it so important to reduce energy waste?

According to Amory Lovins and other energy analysts, reducing energy waste is one of the best and most important economic and environmental deals on the planet. It’s…

o Makes non-renewable fossil fuels last longer.
o It gives us more time to progressively incorporate renewable energy resources.
o Decreases dependence on oil imports (55% in 1997).
o Lessen the need for military intervention in the oil-rich but politically unstable Middle East.
o Reduces local and global environmental damage because less of each energy resource would provide the same amount of useful energy.
o It is the cheapest and fastest way to stop projected global warming.
o Saves more money, provides more jobs, improves productivity and promotes more economic growth per unit of energy than an alternative.
o Improves competitiveness in the international market.

According to Amory Lovins, if the world were really serious about improving energy efficiency, we could save a trillion dollars a year. A 1993 study by economists estimated that a comprehensive energy efficiency program could create 1.3 million jobs in the United States by 2010. If such a program were implemented, a panel of technology experts indicated that global energy efficiency could increase by 50% between 1997 and 2016.

Why isn’t more emphasis placed on improving energy efficiency? The main reason is a glut of cheap, low-cost fossil fuel. As long as that energy is artificially cheap because its harmful environmental costs are not included in its market prices, people are more likely to waste it and not invest in improving energy efficiency.

Another cause is the use of huge government subsidies and tax breaks to promote the use of energy-wasting power plants, motor vehicles and buildings and little financial incentive for consumers to invest in improving energy efficiency, even if it saves them money.