Energy and Resource Efficiency in the Economy: The Evaluation of Germany’s Large Industrial Funding Programme Using Mixed Methods

Abstract

In Germany, the Federal Funding Scheme for Energy and Resource Efficiency in the Economy (EEE) is a central financial support scheme that aims to promote energy and resource-efficient technologies and processes in companies. Due to reporting requirements both, with regard to spending public budgets, as well as progress reporting towards the energy and climate goals, annual evaluations of the EEE are required. These evaluations include a substantial set of quantitative indicators. The indicators are analysed using a common methodology drawing on administrative data as well as survey results among beneficiaries of the support scheme. The paper illustrates the quantitative evaluation approach of the EEE in a two-fold way: First, it outlines the mixed methods approach underlying the evaluation which follows a methodological framework of nine steps. Second, it emphasises three methodological issues arising from recent modifications of the EEE and its framework conditions, which have neither been discussed methodologically nor content-wise yet.

The experience from five consecutive years of evaluation of the EEE plus the evaluation of the EEE’s predecessor shows that the overall methodology ensures that the process is carried out uniformly. This helps to ensure a basis for comparability of broad multi-measure funding schemes, such as the EEE. Yet, it can be observed that there is a constant need for refinement and adaptation to changes e.g. due to changes in external conditions, shifting interests or new design elements. Therefore, the paper outlines three of the most recent methodological issues in more detail. These underline (#1) the need to be transparent about how the dynamic decarbonisation of the energy system is taken into account in the impact assessment, (#2) the need to make conscious decisions on how to consider resource efficiency in GHG accounting and (#3) that, when using funding efficiency as a criterion for the design of such instruments, the context of these values has to be sufficiently appreciated.