Energy service markets: status quo and development

Abstract The European Union (EU) and its Member States are committed to decarbonize the European economy by 2050. Major fields of action are the use of renewable energies and increased energy efficiency on both supply and demand side. The EU sees energy services as a key element to reach this aim in a cost-effective manner. In this chapter, we review the European framework before focusing on Europe’s lead market for energy services, Germany. This review highlights issues of market development that exist throughout Europe. We review present market trends in terms of offers, market segments, qualifications, and turnover. Furthermore, we investigate into barriers impeding the uptake of energy services. We demonstrate that the German market is a heterogeneous market, providing a multitude of tailored services. Despite a sound level of growth, the market is starting to lack dynamics. This raises the question of further regulatory stimulation for energy services. We investigate in options for stimulation as well as further trends and outlooks as perceived by actors in the energy services market. We find that notably a more modular offer of services, the coupling of energy services with additional financial incentives, and the bundling of services such as energy advice and energy performance contracting offer promising ways to further stimulate market dynamics.