wizard Evaluation methodology selection wizard

Methodology finder – Voluntary and cooperative policies – Industry general

Available policy / sector / method combinations described in specific evaluation guides

  • Econometric modelling [GUIDE 27]
    The econometric method is a top-down simulation using econometric models. An econometric model specifies the relationship that is believed to hold between the various economic quantities related to a particular economic phenomenon, in this particular case energy savings. To apply the econometric method, a detailed econometric model with access to a regularly updated database is required and is also a prerequisite for the use of this method, as setting up such a detailed economic model is a significant effort. The model provides a regression analysis of energy use over time that explains the energy consumption as a result of different drivers: GDP change, activity level, energy savings etc.

Evaluation methodology comparison table

Evaluation method Pros & cons Method characteristics Required input data
  Pro Con Savings output Aggregation level Application (ex-ante/ex-post) Energy use before and after actions Number of energy saving actions Energy saved per action Normalisation factors Gross-to-net adjustments
Deemed savings
(alternative method mentioned in GUIDE 27)
Cheap Imprecise Unitary, mostly system Bottom-up Ex-ante and ex-post No (covered in savings) By complementary method To be estimated No (covered in method) E.g. free riders (in case of subsidies)
Econometric modelling Explanation of relations Possibly missing factors Total savings Top-down Ex-post only For (sub)sector Depends on case Depends on case For behaviour, temperature, activity level No (if covered in method)