Energy Indicators for Sustainable Development: Guidelines and Methodologies International Atomic Energy Agency United Nations Department of Economic and Social Affairs International Energy Agency Eurostat European Environment Agency

ECO3: Efficiency of energy conversion and distribution 
Brief Definition 
Efficiency of energy conversion and distribution, 
including fossil fuel efficiency for electricity 
generation, efficiency of oil refining and losses 
occurring during electricity transmission and 
distribution, and gas transportation and distribution
Units 
Percentage 
Alternative Definitions 
None 
Agenda 21 
Chapter 4: Consumption and production patterns 
POLICY RELEVANCE 
(a) Purpose: This indicator measures the efficiency of energy conversion and 
distribution systems in various energy supply chains including losses occurring during 
electricity transmission and distribution, and gas transportation and distribution. 

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(b) Relevance to Sustainable Development: Improving energy supply efficiency and 
reducing losses during energy conversion and transportation processes are important 
sustainable development objectives for countries all over the world. Improvements in 
the efficiency of energy supply systems translate into more effective utilization of 
energy resources and into reductions of negative environmental impacts. 
(c) 
International Conventions and Agreements: Currently, there are no 
international conventions or agreements that specifically refer to regulation or 
improvements in energy supply efficiency. However, Agenda 21 calls for encouraging 
greater efficiency in the use of energy, in particular on the supply side, and this call 
was renewed by the World Summit on Sustainable Development in Johannesburg. 
Also, Agenda 21 calls for considering how economies can grow and prosper while 
reducing the losses from various fuel-cycle chains. 
(d) International Targets/Recommended Standards: There is no specific target for 
energy efficiency.