Delivered Energy

The concept of "delivered energy": what does this concept mean? How do you assess the competitiveness of delivered energy? Delivered energy is measured by its calorific value at the point of delivery to the consumer (e.g. electricity or gas at the meter). It is the amount of energy that is sold to the customer and is thus a commonly used measure of energy demand. Since delivered energy takes into account the loss in converting resources into energy end-uses, it has to be distinguished from primary energy, secondary energy and useful energy. Primary energy is measured as the calorific value of fuels or energy sources at the input to a process for producing and supplying energy. Primary energy can be used directly (e.g. coal for space heating) or converted into secondary energy (e.g. converting coal into electricity) with conversion losses. Useful energy is the energy that is actually required to perform a function (e.g. heating a room) and less than delivered energy because of inefficiencies in equipment. For example, the difference between primary and delivered energy for electricity is much larger than for fuels, including gas, and clearly illustrates the energy losses in electricity generation. Most fuels experience a significant conversion loss as they are converted from delivered energy to useful energy, but although electricity has a higher point-of-use efficiency, this does not compensate for earlier inefficiencies. Competitiveness of delivered energy The competitiveness of delivered energy depends on a variety of factors which are idiosyncratic to the underlying energy system as well as the buyer. Factors like location, national policy, regulatory framework, security of supply, standard of transmission grid, stage of technological development and cost of capital, of fuel and waste all play a role in the choice of energy source. According to the International Energy Outlook 2011 by the US energy information administration (eia), worldwide energy consumption...