Environment

A common way to measure progress in energy intensity is to look at the changes in the ratio of energy use to GDP. Higher energy consumption rates can increase a country’s climate change impact and contribute to resource depletion.

Increasing energy efficiency and reducing energy intensity should be a policy goal for Canada and its peer countries as a way to mitigate climate change and conserve energy. For a sustainable energy future, Canada must encourage economic activity and GDP growth that does not rely on increased energy consumption.¹

Canada’s industrial structure, vast geography, and cold climate make it a highly energy-intensive country. Countries with more favorable economic and geographic conditions are generally more energy efficient than Canada. Because the energy intensity indicator measures the change in total energy supply (in millions of tonnes of oil equivalent) per US$1000 of GDP over a specified time period, Canada scores a “B” even though its absolute energy intensity is higher than any of its peer countries. 

Canada ranks 6^th out of 17 OECD countries and earns a “B” grade for the change in energy intensity. Canada decreased its energy intensity by 1.7 per cent per year from 2000 to 2005, less than Ireland, Sweden, the U.K., the U.S., and Finland. Ireland, the best performer on this indicator, decreased its energy intensity by 3.9 per cent per year and was the only country to earn an “A.”

Canada has substantially reduced its energy intensity over the past four decades. After achieving “D” grades in the 1970s and 1980s, Canada has been a solid “B” performer for nearly 20 years.

Ireland—this year’s top performer—achieved a 61 per cent reduction in energy intensity between 1971 and 2005, and maintained lower energy intensity than Canada for almost four decades. As the most energy-efficient peer country, Ireland used 0.11 toe (tonnes of oil equivalent) per US$1,000 of GDP in 2005. Ireland’s improvement in energy intensity over 1995 to 2004 was a direct result of its rapid economic growth and booming services sector, as its GDP went up far more than its energy intensity.²

Canada has reduced its energy intensity by 34 per cent since 1971. In 2005, Canada used 0.27 toe per US$1,000 GDP. But despite the improvement, Canada’s energy intensity is still significantly higher than the 17-country average of 0.17 toe per US$1,000 of GDP.

Use the drop-down menu to compare the change in Canada’s energy intensity with that of its peer countries.

¹ International Atomic Energy Agency (IAEA), Energy Indicators for Sustainable Development (Austria: IAEA, 2005).

² European Environment Agency, Indicators about Europe’s environment, April 2007, [online, cited August 20, 2008].

See discussions on other indicators
Urban NO2 concentration	Forest cover change
Urban SO2 concentration	Organic farming
VOC emissions	Use of forest resources
Urban PM10	Marine Trophic Index
Municipal waste generation	GHG emissions
Water Quality Index	Low-emitting electricity production
Water consumption	Energy intensity
Threatened species