Doubling Energy Efficiency with Appliances
Appliance efficiency could provide roughly one fifth of the reduction in energy demand needed to meet a pivotal climate commitment, according to CLASP’s analysis “Doubling Energy Efficiency with Appliances: How governments can leverage appliances to reach climate targets”. With nearly 110 countries pledging at COP28 to double annual energy efficiency improvements by 2030, more ambitious appliance policies are critical to reaching this goal before the narrow window for net zero by mid-century closes.
Key Findings
- To get on track for net zero emissions by mid-century, the average global annual rate of improvement in energy intensity must double to at least 4% by 2030. Appliance efficiency can deliver approximately 20% of the total reduction in energy demand required to meet this goal.
- Brazil, China, India, and Indonesia have recently taken significant steps to integrate appliance efficiency into their national strategies, recognizing its critical role in achieving energy and climate goals.
Recommendations
- Policymakers must rapidly implement stringent minimum efficiency standards for appliances, ensuring that they meet or exceed the best standards currently in place. Countries with world-leading standards should increase them further to reflect the levels of today’s best available technologies.
- Governments need to embed clear, measurable appliance efficiency targets into their national climate goals. They must also track progress with standardized metrics to stay on course to meet the doubling efficiency goal.
- All stakeholders across government, industry, and civil society must strengthen international and cross-sectoral collaboration to accelerate global energy efficiency gains. This cost-effective approach includes sharing technical expertise, conducting joint market surveillance, and harmonizing standards to overcome common barriers.
Indonesia
Indonesia’s Students Introduced to Energy Efficiency Benefits
Junior high school students at SMPN 1 Teluk Naga, a public school in Tangerang, Indonesia, are learning the basics of energy-efficient appliances and their vital role in protecting our environment.
Efficient appliances consume significantly lesser energy and can help Indonesia avoid 100 megatons (Mt) of harmful CO₂ emissions by 2030. They also cost less to maintain. By increasing awareness among students today, CLASP is empowering the next generation to make informed, climate-conscious decisions that will drive positive environmental and financial change. While this workshop focused on high school students, CLASP is actively planning to conduct similar workshops for elementary and university-level students.
Igniting an interest in energy-saving appliances
The campaign, organized by CLASP, the Ministry of Energy and Resources, local schools, and the Solidaritas Perempuan Untuk Indonesia (Women’s Solidarity for Indonesia), is part of a broader initiative to promote sustainable habits across generations. During a one-day workshop, students engaged in interactive presentations, quizzes, and games designed to make learning about energy efficiency tangible and fun. Teachers from neighboring schools shared real-world examples of sustainable lifestyle choices, while CLASP’s team members demonstrated how energy labels help people choose appliances that are better for the environment and their budgets.
Several prominent guests attended the event, including the Chair of SERUNI and affiliates of the Ministry of Police and the Ministry of Energy in Indonesia. Their presence demonstrated the commitment of the Indonesian government to promoting energy efficiency across the country.
More stars, more savings!
In Indonesia, energy labels indicate an appliance’s efficiency levels, which range from one star (the least efficient) to five stars (the most efficient). The more efficient an appliance is, the more money consumers save on electricity bills and maintenance. Despite these benefits, a 2020 survey in revealed that only approximately 27% of Indonesian consumers consider energy efficiency when buying appliances, indicating a lack of awareness about energy labels.
Energy efficiency from school to home
The knowledge imparted to the students should resonate beyond the event, creating a lasting impact on both their families and their communities. Many students expressed interest in taking learnings from the campaign to their families and making energy-efficient choices when they’re older.
CLASP in Indonesia
CLASP works closely with government and civil society to advance Indonesia’s shift toward high-efficiency appliances. We have helped spur ambitious appliance efficiency initiatives in Indonesia, supporting seven policies that will avoid 100 Mt of CO₂ emissions by 2030. CLASP has also informed the national government’s commitment to reducing CO₂ emissions by 29% by 2030 and reaching net zero by 2060.
Journalists’ Workshop Strengthens Energy Label Awareness in Indonesia
Journalists not only report the news but they also shape public perception and influence policy. CLASP in collaboration with the Society of Indonesian Environmental Journalists (SIEJ), hosted a first-of-its-kind media workshop, equipping journalists with the knowledge to drive public engagement on appliance efficiency. Through this initiative, 20 national news articles were published (noted in the table below). These stories reached major cities across Indonesia, capturing the attention of policymakers, landing on Mongabay, and even being cited by local media such as Kompas. The articles also sparked conversations about the merits of energy efficiency for consumers. The ripple effect is clear: informed journalism has the power to increase public awareness and the potential to turn this into consumer action.
Building awareness about efficiency
Energy labels are a critical tool for consumers to make informed, energy-efficient choices. However, in Indonesia, where energy demand is rising rapidly, only 27.5% of the population recognizes and understands the meaning of these labels on appliances. Indonesia is the fourth highest emitter of CO₂ emissions in the Asia Pacific region, so improving the country’s appliance efficiency is a cost-effective way to reduce both energy demand and climate emissions.
To bridge this awareness gap, CLASP and the Indonesian Directorate General of New, Renewable Energy and Energy Conservation (EBTKE), and the Indonesian Ministry of Energy and Mineral Resources (MEMR) joined forces to mainstream energy efficiency through appliances energy labeling in Indonesia. This includes a campaign and consumer education initiatives held in collaboration with local organizations, such as the Indonesian Consumer Organization (YLKI) and the Society of Indonesian Environmental Journalists (SIEJ).
What’s next?
The success of the media workshop has laid the groundwork for future collaborations, including potentially expanding to more specialized media programs and direct consumer engagement. By building the capacity and understanding of journalists, CLASP and its partners are ensuring more accurate reporting about the opportunities energy efficiency can provide in Indonesia–for the government, businesses, consumers, and the climate.
Articles compiled by journalists that attended the workshop:
| Date | Name of Media House | Title of article in Bhasa (hyperlinked) | Title of article in English |
|---|---|---|---|
| 27 June 2024 | Purworejo24 | Asingnya Istilah Label SKEM Dan LTHE Bagi Warga Di Purworejo | The unfamiliar terms of the labels SKEM and LTHE for residents in Purworejo |
| 28 June 2024 | Tribunnews | Emak-Emak, Katalisator Andal dalam Menghemat Energi | Mothers, a Reliable Catalyst in Saving Energy |
| 28 June 2024 | Tribunnews | Kisah Lucky Setiawan Pakai AC Berlabel SKEM dan LTHE untuk Lawan Cuaca Ekstrem di Semarang | Lucky Setiawan's Story of Using SKEM and LTHE Labeled Air Conditioners to Fight Extreme Weather in Semarang |
| 28 June 2024 | Pontianak Post | Kisah Penghematan Energi dari Warung Kopi | An Energy Saving Story from a Coffee Shop |
| 29 June 2024 | Mimbarutan | LTHE vs PLTS, Kaum Mendang-mending Tetap Bisa Hemat Energi | LTHE vs PLTS, Mendang-mending Community Can Still Save Energy |
| 29 June 2024 | Medcomm | Kisah Kelompok Difabel Terapkan Hidup Hemat Energi | The Story of a Group of People with Disabilities Implementing Energy Efficient Living |
| 29 June 2024 | Medcomm | Kelompok Minoritas Perlu Akses Informasi Tentang Produk-Produk Hemat Energi | Minority Groups Need Access to Information on Energy Efficient Products |
| 29 June 2024 | Kompas | Membumikan Efisiensi Energi Sejak Dini | Grounding Energy Efficiency from an Early Age |
| 30 June 2024 | Mongabay | Produk Elektronik Berstandar Hemat Energi Minim Sosialisasi | Energy-Saving Standard Electronic Products Lack Socialization |
| 30 june 2024 | Kalteng | Belum Akrab dengan istilah SKEM dan LTHE, begini cara pelaku UMKM di kota pelangka raya menghemat biaya listrik | Not familiar with the terms SKEM and LTHE, this is how MSME players in Pelangka Raya city save electricity costs |
| 30 June 2024 | Global FM Lombok | Pengenalan dan Edukasi Label Hemat Energi Barang Elekronik di NTB Harus Digencarkan | Introduction and Education of Energy-Saving Label for Electronic Goods in NTB Must be Intensified |
| 30 June 2024 | Pucukmera | Geliat Bangunan Konserver Energi | Energy Conserver Building Movement |
| 30 June 2024 | Pikiran Rakyat | Sosialisasi Masih Terbatas, SKEM dan LTHE Belum Membumi di Kawasan Wisata Puncak Bogor | Limited Socialization, SKEM and LTHE Not Yet Grounded in Bogor Peak Tourism Area |
| 30 June 2024 | Antaranews | Mengintip penggunaan peranti hemat energi di desa wisata Lantebung | A peek at the use of energy-efficient appliances in Lantebung tourism village |
| 30 june 2024 | Kontan | Dugaan Praktik Dumping AC Mencuat Saat Suhu Makin Panas | Alleged AC Dumping Practices Emerge as Temperatures Get Hotter |
| 01 July 2024 | Detik | Jalan Terjal Menuju Pasar AC Efisien | The Road to an Efficient AC Market |
| 01 July 2024 | Kompas | Pemilik Kafe Akui Mahal dan Tak Ada Edukasi AC Label SKEM LTHE di Ambon | Café Owner Admits Expensive and No Education on AC Label SKEM LTHE in Ambon |
| 02 July 2024 | Detik | Indonesia Banjir AC Impor Boros Energi | Indonesia is flooded with energy-intensive imported air conditioners |
Driving Sustainable Building Practices: CLASP’s Impact in Indonesia
Opportunity for change
Accounting for a whopping 70% of the nation’s electricity usage, Indonesia’s building sector is poised for change. Recognizing the opportunity to enhance energy efficiency in buildings, CLASP has spearheaded initiatives to promote more sustainable building practices, particularly with energy-efficient cooling systems.
CLASP supported the establishment of the Minimum Energy Performance Standards (MEPS) for lighting and air conditioning systems. This regulation encourages building owners to adopt energy-efficient cooling solutions, reducing demand on the national power grid, and lowering energy costs for consumers. Energy audits recommended by CLASP also identify inefficiencies and allow for their rectification.
Efficiency creates energy savings and emission reduction
At a recent National Seminar on Decarbonization of the Building Sector, CLASP, ASHRAE Indonesia Chapter and the Ministry of Energy and Mineral Resources (MEMR), brought together industry experts to highlight the critical role of energy-efficient equipment, especially chillers. Chillers account for up to 60% of a building’s energy use, making it a significant opportunity for energy savings and emissions reduction.
Sripeni Inten Cahyani, expert to the MEMR Minister, noted that by embracing energy-efficient appliances and adhering to Minimum Energy Performance Standards (SKEM or MEPS), Indonesia aims to achieve a substantial 83.8 million tons reduction in CO2 emissions by 2030.
Efficiency also yields economic benefits
Sripeni noted potential annual savings of approximately IDR 1.9 trillion (USD 121 million) through the implementation of energy management practices, equivalent to 111,600 tons of oil saved per year.
CLASP’s advocacy and collaborative efforts support the drive for sustainable development in Indonesia’s building sector. By promoting energy-efficient cooling solutions and supporting the implementation of improved standards, CLASP contributes to a more sustainable, more resilient future for Indonesia and the world’s climate.
Image credits: CNA/Danang Wisanggeni
Collaborating towards Net Zero in Indonesia
Under a business-as-usual scenario, CLASP’s tool Mepsy found that Indonesia is anticipated to be the 7th largest contributor of greenhouse gas emissions globally from 2025 to 2040. However, taking note of this, the Indonesian government has adopted an ambitious stance by establishing rigorous targets aimed at curtailing these emissions. Collaborating closely with the Directorate General of New, Renewable Energy, and Energy Conservation (EBTKE), the governing body responsible for shaping the nation’s energy policies, CLASP has taken an active role in facilitating the government’s tangible efforts to propel energy efficiency advancements within Indonesia.
In line with this shared objective, CLASP and the EBTKE have recently formalized their commitment through the signing of a Memorandum of Understanding (MoU) in June 2023. The primary focus of this agreement is to bolster energy conservation initiatives and mitigate the adverse impacts of climate change. Through collaborative endeavors, both organizations intend to drive substantial progress towards a more sustainable and energy-efficient future for Indonesia.
The Indonesian government has committed to reducing 358 million tons of CO2 independently or 446 million tons of CO2 with international assistance by 2030. The collaboration between EBTKE and CLASP seeks to improve Indonesia’s energy conservation efforts, including policy analysis for MEPS and energy labeling of electrical appliances, outreach campaigns to promote energy efficiency, and the development of software and applications to support compliance with MEPS and Energy Labeling programs.
The partnership aims to drive energy efficiency and contribute to the reduction of greenhouse gas emissions, while supporting Indonesia’s goal of Net Zero Emissions (NZE) by 2060.
The MoU signing between EBTKE and CLASP was attended by high-level representatives, including the Secretary of the Directorate General for New Renewable Energy and Energy Conservation, Sahid Junaidi, S. Kom, M.M, the Director for Energy Conservation, Gigih Udi Atmo, S.T., M. EPM, Ph. D, and CLASP’s CEO, Christine Egan. The Director of Energy Conservation, expressed optimism about the collaboration, emphasizing that it will go beyond the existing five appliances and equipment currently covered by MEPS and Energy Labeling.
The EBTKE-CLASP partnership spans three years, during which they plan to collaborate with registered local non-government organizations to expand the reach of their energy conservation efforts.
CLASP CEO, Christine Egan noted, “CLASP has supported policy makers, not only in Indonesia but also in various countries that implement energy efficiency standards and labels for appliances and lighting. We hope to make a tangible contribution to climate mitigation and clean energy access”.
Nanik Rahmawati, CLASP’s Program Manager for Southeast Asia expressed gratitude for the opportunity to contribute towards promoting stringent MEPS and energy labels.
The collaboration’s ultimate objective is to achieve significant energy savings of approximately 1,739 TWh and avoid 1,513 MTCO2 over the next three years. By aligning their efforts, EBTKE and CLASP are determined to create a more sustainable and energy-efficient future for Indonesia.
Related links:
Bridging the Innovation Gap: Pakistani Manufacturers Tour Chinese Test Facility
In an effort to spur innovation within the Pakistani domestic appliance industry, CLASP and partners led a group of manufacturers on a lab tour of the China Household Electric Appliance Research Institute (CHEARI), a leading appliance test facility in China. As gas reserves dwindle and the country faces some of the harshest temperatures in the world, Pakistan must improve and scale more efficient uses of energy – starting with the most common and energy-intensive household appliances.
“Pakistan is running out of gas by 9% each year. We believe in the future, these reserves will be critically low,” says Muhammad Salman Zaffar, Technical Lead for CLASP’s Pakistan Program.
Despite the drop in availability, the majority of Pakistani households rely on inefficient gas-powered appliances to meet their daily needs.
Pakistan boasts a robust domestic appliance manufacturing industry, yet certain technologies – like water heaters – have not evolved over the last 60 years. Last year, CLASP and local partner SAMA^Verte launched an Industry Accelerator Program to address this lag. The Program is in its pilot stage and currently supporting electric motor and water heater manufacturers. The current aim is to improve water heater efficiency by convening industry stakeholders and offering global expertise, best practices and technology know-how. Then, the program will expand the lessons and capabilities learned to the industry at large.
What can Pakistan learn from China’s expertise?
SAMA^Verte and the CLASP team in Pakistan, with support from the CLASP China team, arranged a full day tour to CHEARI in Chuzhou for representatives from Canon Appliances and Super Asia. The trip to China offered an opportunity for Pakistani manufacturers to contextualize insights from the Industry Accelerator Program – enhancing their knowledge of test lab equipment, methodologies and processes.
We were thrilled to visit the state-of-the-art appliance testing facility at CHEARI. It has been a great learning experience and we will bring back with us ideas for improved water heater designs, as well as connections and ideas for future testing and other product development.Mr. Muhammad Bilal
Director of Canon Home Appliances
With firsthand exposure to Chinese best practices, Pakistani manufacturers can integrate similar technologies into their own manufacturing processes to develop higher-quality, more efficient and improved appliances. The visit also allowed for discussions on future collaboration between Chinese and Pakistani appliance stakeholders, helping to position Pakistan at the forefront of regional manufacturing.
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China Household Electric Appliance Research Institute (CHEARI）was established in 1964. CHEARI is approved by State Commission Office of Public Sectors Reform (SCOPSR), is affiliated by State-owned Assets Supervision and Administration Commission of the State Council (SASAC).
Canon is a Lahore-based manufacturer of a range of home appliances including gas storage, gas instant, and hybrid storage water heaters, with a commitment to improving efficiency based on previous collaborations with CLASP.
Super Asia is a large Pakistani appliance manufacturer producing a wide range of products, including electric water heaters, and aiming to localize their supply chain and enhance exports. They are based out of Gujranwala.
Facilitating Industry Inclusive AC Policymaking in Indonesia
As temperatures rise in the world’s fourth most populous country, so does the demand for air conditioners (ACs). In 2020, CLASP found that ACs are one of Indonesia’s most energy-intensive appliances – without regulation, AC proliferation could exacerbate power supply gaps, stress peak loads, and increase greenhouse gas emissions (GHGs). To ensure that cooling demand can be met sustainably, CLASP brought together industry and government stakeholders to discuss energy efficiency interventions for approximately 129 million units to be manufactured by 2040.
Soaring temperatures leads to a growing demand for cooling
Over the past decade, Indonesia has seen a 0.4 °C. rise in average temperature, now experiencing a regular climate of 27°C and above. Despite a growing need, only 6% of Indonesian households currently have access to ACs.
By 2040, Indonesia is projected to be home to nearly half of all ACs in Southeast Asia – adding around 117 million installed units over the next two decades. To anticipate and plan for this growth, CLASP co-hosted a workshop with the Indonesian Directorate of Energy Conservation and the ASEAN Centre for Energy.
“The workshop convened energy efficiency experts and the Indonesian government to discuss current market information on split air conditioners, the most energy-efficient option on the market,” said Nanik Rahmawati, Program Manager at CLASP Indonesia. “We outlined a plan to further AC efficiency across the country.”
To meet national and regional climate and efficiency targets1, ten countries in Southeast Asia work through ASEAN to update policies and goals every five years. Indonesia is also a member of the Super-Efficient Equipment and Appliances Deployment Initiative (SEAD), which stipulates that air conditioners are a priority appliance and efficiency levels must be doubled to substantially reduce emissions. Under these agreements, Indonesia must spearhead more aggressive cooling efficiency efforts.
Industry-inclusive policymaking
The workshop titled, ‘Forum for Improving AC Energy Efficiency’, aimed to provide an avenue for key players from the AC supply and demand sides to actively engage in the policy drafting process. Over 50 participants from consumers associations, the Association of AC Experts, the Association of Practitioners and Entrepreneurs, NGOs, and governmental agencies. The participants signaled enthusiasm and willingness to participate in the process.
“This workshop was highly productive—we identified stakeholders’ individual capabilities, devised a plan to improve efficiency of ACs, and recognized institutions that could take energy efficiency for cooling products even further,” explained Rahmawati. “These policies are imperative to ensure more equitable cooling access, while limiting GHG emissions.”
Including diverse perspectives will ensure a smooth market transition and mitigate the risk of non-compliance. CLASP’s industry-inclusive process has yielded widespread success across Asia, recently achieving increased efficiency levels for motors and heat pumps in Pakistan. The workshop was supported by the Indonesian Consumers Protection Foundation (YLKI), ClimateWorks Foundation and CLASP.
Indonesia’s Road to Net Zero
Growing Population Strains Energy Needs
With 273 million people, Indonesia has the fourth largest population in the world. Current projections estimate a 5x increase in electricity use per capita and 2x increases in final energy consumption per capita. And once-scarce appliances like air conditioners will see a sevenfold increase by 2040. Despite the multitude of benefits, efficiency receives less government funding and attention than other energy transition programs like transportation and solar home system distribution.
Over the past three years, CLASP has supported the Indonesian government in developing efficiency policies for fans, refrigerators and rice cookers. Because of this partnership, the Ministry of Energy and Mineral Resources (MEMR) requested CLASP’s input on the creation of the Net Zero Emissions (NZE) roadmap. In their updated National Determined Contributions published in 2021, Indonesia committed to reducing CO2 emissions by 29% through its own efforts and 41% conditional on international support, by 2030. Alongside the update, they submitted their Long-Term Strategy for Low Carbon and Climate Resilience 2050, which mentioned a goal of reaching NZE by 2060. That goal was later reiterated by the Energy Minister during COP26.
CLASP will bring our expertise into roadmap discussions to ensure the Ministry includes efficiency considerations for other appliances that contribute to high energy use. Increasing the ambition of efficiency policies can have significant impacts on emission reductions, ensuring Indonesia meets their net-zero target economically and on time.
Putting Energy Efficiency on the Map
Many projects that support the goals of the roadmap have already begun, like the harmonization of national standards and minimum energy efficiency requirements with regional ASEAN levels. This work would translate to a 32% reduction in energy intensity by 2025 and has already been initiated with harmonized AC and lighting standards. Following commitments made during COP26, the plan will also include steps to deliver on the pledge to double the efficiency of four key appliances by 2030, as per the SEAD Initiative’s Product Efficiency Call to Action.
CLASP is supporting the Ministry’s policy modeling team to develop energy use projections for relevant appliances through 2060, using Mepsy – our climate impacts calculator. For this project, we extended Mepsy’s projection capabilities to 2060, enabling a longer projection timeline for all available appliances and countries. In the coming months, CLASP will continue to attend inter-ministerial meetings to discuss mitigation scenarios and reach consensus among the proposed strategies. The work will likely be presented at the G20 Leader’s Summit in October 2022.
Indonesian Cooling Appliance Policies to Avert 10.5 megatons of CO₂ by 2030
To close out 2021, the Directorate of Energy Conservation in Indonesia drafted new MEPS and labeling policies for chillers and refrigerated display cabinets (RDCs), with CLASP support and in accordance with the Ministry of Energy and Mineral Resources Regulation No. 14/2021 on Implementation of Minimum Energy Standards for Energy-Using Equipment. Both appliances consume large amounts of energy and are used by millions of businesses and organizations, providing an enormous opportunity for efficiency improvements and emissions reductions. By 2030, the policies have the potential to prevent 10.5 million metric tons of CO₂ emissions and reduce the country’s energy use by 11,725 GWh, about 4% of the national annual consumption.
Indonesia is home to the second most supertall buildings (structures over 300 m tall) in Southeast Asia, and by end of 2020, the country had 105 such buildings. Better regulated chillers would increase the efficiency of these buildings’ cooling systems and significantly contribute to the country’s overall building efficiency.
RDCs are designed to maintain food and beverages at very low temperatures. According to BPS (the Indonesian Statistical Bureau), Indonesia has over 4 million enterprises in the Food and Beverage Service Activities sector, a majority of which regularly use RDCs.
Because of the potential market of both appliances, implementing appliance energy efficiency policies is critical to ensuring that consumers are only purchasing highly efficient, quality appliances. The MEPS and labeling policies will encompass:
- Scope or coverage of the regulation, such as definition, HS code, type or characteristic of products, etc.
- Values of the MEPS
- Type and model of the product certification
- Procedures and requirements for product testing
- Exceptions
- Tolerance values
From 20-21 December 2021, a technical team responsible for the development of MEPS and energy label regulations and representatives from ASHRAE and SUCOFINDO convened in West Java, Indonesia. The process will continue next year with a series of consultative meetings with key stakeholders impacted by the regulatory changes.