International Energy Agency in the context of "Data Centre"

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⭐ Core Definition: International Energy Agency

The International Energy Agency (IEA) is a Paris-based autonomous intergovernmental organization, established in 1974, that provides policy recommendations, analysis and data on the global energy sector. The 32 member countries and 13 association countries of the IEA represent 75% of global energy demand.

The IEA was set up under the framework of the Organisation for Economic Co-operation and Development (OECD) in the aftermath of the 1973 oil crisis to respond to physical disruptions in global oil supplies, provide data and statistics about the global oil market and energy sector, promote energy savings and conservation, and establish international technical collaboration. Since its founding, the IEA has also coordinated use of the oil reserves that its members are required to hold.

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👉 International Energy Agency in the context of Data Centre

A data center is a facility used to house computer systems and associated components, such as telecommunications and storage systems.

Since IT operations are crucial for business continuity, a data center generally includes redundant or backup components and infrastructure for power supply, data communication connections, environmental controls (e.g., cooling, fire suppression), and various security devices. Data centers are the foundation of the digital infrastructure that powers the modern economy, aggregating collective computing demands for cloud services, video streaming, blockchain and crypto mining, machine learning, and virtual reality. Large data centers operate at an industrial scale, requiring significant energy. Estimated global data center electricity consumption in 2024 was around 415 terawatt hours (TWh), or about 1.5% of global electricity demand. The IEA projects that data center electricity consumption could double by 2030. High demand, driven by artificial intelligence (AI) and machine learning workloads is accelerating the deployment of high-performance servers, leading to greater power density and increased strain on electric grids.

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International Energy Agency in the context of Green building certification systems

Green building certification systems are a set of rating systems and tools that are used to assess a building or a construction project's performance from a sustainability and environmental perspective. Such ratings aim to improve the overall quality of buildings and infrastructures, integrate a life cycle approach in its design and construction, and promote the fulfillment of the United Nations Sustainable Development Goals by the construction industry. Buildings that have been assessed and are deemed to meet a certain level of performance and quality, receive a certificate proving this achievement.

According to the Global Status Report 2017 published by United Nations Environment Programme (UNEP) in coordination with the International Energy Agency (IEA), buildings and construction activities together contribute to 36% of the global energy use and 39% of carbon dioxide (CO2) emissions. Through certification, the associated environmental impacts during the lifecycle of buildings and other infrastructures (typically design, construction, operation and maintenance) could be better understood and mitigated. Currently, more than 100 building certifications systems exist around the world. The most popular building certification models today are BREEAM (UK), LEED (US), and DGNB (Germany).

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International Energy Agency in the context of Solar energy

Solar energy is the radiant energy from the Sun's light and heat, which can be harnessed using a range of technologies such as solar electricity, solar thermal energy (including solar water heating) and solar architecture. It is an essential source of renewable energy, and its technologies are broadly characterized as either passive solar or active solar depending on how they capture and distribute solar energy or convert it into solar power. Active solar techniques include the use of photovoltaic systems, concentrated solar power, and solar water heating to harness the energy. Passive solar techniques include designing a building for better daylighting, selecting materials with favorable thermal mass or light-dispersing properties, and organizing spaces that naturally circulate air.

In 2011, the International Energy Agency said that "the development of affordable, inexhaustible and clean solar energy technologies will have huge longer-term benefits. It will increase countries' energy security through reliance on an indigenous, inexhaustible, and mostly import-independent resource, enhance sustainability, reduce pollution, lower the costs of mitigating global warming .... these advantages are global".

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International Energy Agency in the context of Iron and steel industry

The global steel industry has been going through major changes since 1970. China has emerged as a major producer and consumer, and India has, to a lesser extent. Consolidation has been rapid in Europe. According to the 2019 International Energy Agency (IEA) report, the iron and steel industry directly contributed 2.6 Gt to global CO2 emissions and accounted for 7% of global energy demand. Singapore is the world's main trading hub for iron, with about 90% of the world's iron ore derivatives traded on their stock exchange.

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International Energy Agency in the context of Tight oil

Tight oil (also known as shale oil, shale-hosted oil or light tight oil, abbreviated LTO) is light crude oil contained in unconventional petroleum-bearing formations of low permeability, often shale or tight sandstone. Economic production from tight oil formations requires the same hydraulic fracturing and often uses the same horizontal well technology used in the production of shale gas. While sometimes called "shale oil", tight oil should not be confused with oil shale (shale rich in kerogen) or shale oil (oil produced from oil shales). Therefore, the International Energy Agency recommends using the term "light tight oil" for oil produced from shales or other very low permeability formations, while the World Energy Resources 2013 report by the World Energy Council uses the terms "tight oil" and "shale-hosted oil".

In May 2013 the International Energy Agency in its Medium-Term Oil Market Report (MTOMR) said that the North American oil production surge led by unconventional oils—US light tight oil (LTO) and Canadian oil sands—had produced a global supply shock that would reshape the way oil is transported, stored, refined and marketed.

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International Energy Agency in the context of Fossil fuel subsidies

Fossil fuel subsidies are energy subsidies on fossil fuels. Under a narrow definition, fossil fuel subsidies totalled around $1.5 trillion in 2022. Under more expansive definition, they totalled around $7 trillion. They may be tax breaks on consumption, such as a lower sales tax on natural gas for residential heating; or subsidies on production, such as tax breaks on exploration for oil. Or they may be free or cheap negative externalities; such as air pollution or climate change due to burning gasoline, diesel and jet fuel. Some fossil fuel subsidies are via electricity generation, such as subsidies for coal-fired power stations.

Eliminating fossil fuel subsidies would reduce the health risks of air pollution, and would greatly reduce global carbon emissions thus helping to limit climate change. As of 2021, policy researchers estimate that substantially more money is spent on fossil fuel subsidies than on environmentally harmful agricultural subsidies or environmentally harmful water subsidies. The International Energy Agency says: "High fossil fuel prices hit the poor hardest, but subsidies are rarely well-targeted to protect vulnerable groups and tend to benefit better-off segments of the population."

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International Energy Agency in the context of Fit for 55

Fit for 55 is a package by the European Union designed to reduce the European Union's greenhouse gas emissions by 55% by 2030. It is part of the union's strategy of the European Green Deal presented first in December 2019.

The package was proposed by the European Commission in July 2021. After being tabled in 2021, the plans were passed in 2023. Measures include additional support for clean transport, renewables, and a tariff called the Carbon Border Adjustment Mechanism on emissions for high-carbon imports from countries lacking sufficient greenhouse gas reduction measures of their own. It proposes to extend the European Union Emissions Trading System to transport and heat. Compared to the net-zero scenario from the International Energy Agency, the plan contains more measures to ensure that energy remains affordable.

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International Energy Agency in the context of Demand destruction

Demand destruction is a permanent downward shift on the demand curve in the direction of lower demand of a commodity, such as energy products, induced by a prolonged period of high prices or constrained supply. In the context of the oil industry, "demand" generally refers to the quantity consumed (see for example the output of any major industry organization such as the International Energy Agency), rather than any measure of a demand curve as used in mainstream economics. In economics, demand destruction refers to a permanent or sustained decline in the demand for a certain good in response to persistent high prices or limited supply. Because of persistent high prices, consumers may decide that it is not worth purchasing as much of that good, or seek out alternatives as substitutes.

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International Energy Agency in the context of Coal phase-out

Coal phase-out is an environmental policy intended to stop burning coal in coal-fired power plants and elsewhere, and is part of fossil fuel phase-out. The health and environmental benefits of coal phase-out, such as limiting respiratory diseases and biodiversity loss, are greater than the cost. Coal is the most carbon-intensive fossil fuel, therefore phasing it out is critical to limiting climate change as laid out in the Paris Agreement. The International Energy Agency (IEA) estimates that coal is responsible for over 30% of the global average temperature increase above pre-industrial levels. Some countries in the Powering Past Coal Alliance have already stopped.

China and India burn a lot of coal. But the only significant funding for new plants is for coal power in China. Developed countries may part finance the phase out for developing countries through the Just Energy Transition Partnership, provided they do not build any more coal plants. It has been estimated that coal phase-out could benefit society by over 1% of GDP each year to the end of the 21st century, so economists have suggested a Coasean bargain in which already developed countries help finance the coal phase-out of still developing countries.

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