IEA DSM Request for a one-year extension

1-3 October 2018London, United Kingdom

Fifty Second Executive Committee Meeting

Pre-Meeting Document (PMD) – Part 3

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Contents

TECHNOLOGY COLLABORATION PROGRAMME ON DEMAND SIDE MANAGEMENT – REQUEST FOR A ONE-YEAR EXTENSION.................................................................5

Key Accomplishments of March 2016 - February 2019 Term...................................6The current situation of the DSM TCP......................................................................6Work Plan for extended term...................................................................................7

End-of-Term Report 2016- 2019............................................................................8Introduction.............................................................................................................8Contribution to the IEA Medium-term Strategy for Energy Research and Technology 2018-2022 ..............................................................................................................8Policy relevance .....................................................................................................9Environmental protection........................................................................................9Work programme....................................................................................................9Activities 2016-2019...............................................................................................9Most important achievements...............................................................................10Organisation and management.............................................................................12

Leadership.................................................................................................................................12Executive Committee (ExCo).....................................................................................................12Membership...............................................................................................................................12Communication and synthesis of results........................................................................................12DSM University...........................................................................................................................13Workshops.................................................................................................................................13Other communication channels.................................................................................................13

Outreach...............................................................................................................13Attachment 1: CERT PROCEDURE FOR A TECHNOLOGY COLLABORATION PROGRAMME REQUEST FOR EXTENSION – Key findings or lessons learned from activities..............................................................................................................15Attachment 2: CERT PROCEDURE FOR A TECHNOLOGY COLLABORATION PROGRAMME REQUEST FOR EXTENSION – Quantitative information/indicators. .18Review of the International Energy Agency Technology Collaboration Programme on Demand Side Management.............................................................................20Summary.............................................................................................................20Recommendations...............................................................................................25

Strategy................................................................................................................25Tasks.....................................................................................................................25Leadership.............................................................................................................25ExCo support measures.........................................................................................25Communications....................................................................................................25Moving towards a relaunch...................................................................................25

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Abbreviations.......................................................................................................261. Introduction...................................................................................................27

1.1 Background.....................................................................................................271.2 Review objectives............................................................................................271.3 The report.......................................................................................................27

2. Role and relevance of DSM to the IEA and identification of strategic foci over the next five years...............................................................................................28

2.1 Strategic Context............................................................................................282.2 Positioning within the IEA Energy Technology Network...................................282.3 Options for strategic focus..............................................................................29

Option 1 - The TCP for policy-relevant socio-economic research..............................................29Option 1a – The TCP for policy-relevant socio-technological research.......................................29Option 2 – The TCP for social innovation...................................................................................29Option 3 - The TCP for energy efficiency and flexibility.............................................................30

3. Aims and Scope of activities..........................................................................313.1 Purpose and vision..........................................................................................313.2 Which topics to focus on..................................................................................31

3.2.1 Digitalisation.....................................................................................................................313.2.2 Behaviour..........................................................................................................................323.2.3 Technology take-up..........................................................................................................333.2.4. Impact analysis................................................................................................................33

3.3 Relationship with other TCPs...........................................................................344. ExCo Management.........................................................................................35

4.1 Motivation and ambition; roles and responsibilities.........................................354.2 Measures to support the functioning of the TCP..............................................36

5. Task funding models......................................................................................385.1 Appropriateness of Task models for IEA DSM..................................................38

5.1.1 Task-sharing.....................................................................................................................385.1.2 Cost-sharing......................................................................................................................39

6. Communications............................................................................................416.1 The IEA DSM Website......................................................................................416.2 Message and content dissemination................................................................416.3 A new name for the TCP?................................................................................426.4 New names for Tasks......................................................................................42

7. An action plan for the next two years............................................................43Annex 1: Potential pitch to new participants for use in the period prior to the October 2018 ExCo meeting................................................................................44Annex 2: IEA SHC ExCo roles and responsibilities one-pager..............................45Annex 3: IEA AMF ExCo roles and responsibilities slide.......................................47Annex 4: IEA 4E Administrative Guidelines.........................................................48Annex 5: Case studies of Operating Agent / Expert Secretary arrangements.....54

IEA AMF.................................................................................................................54

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IEA 4E....................................................................................................................54IEA SHC.................................................................................................................55IEA HEV.................................................................................................................55IEA ISGAN..............................................................................................................55

Appendix to Annex 5: IEA AMF Expert Secretary duties............................................................56References...........................................................................................................57

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29th August 2018

TECHNOLOGY COLLABORATION PROGRAMME ON DEMAND SIDE MANAGEMENT – REQUEST FOR A ONE-YEAR EXTENSION Dear End Use Working Party Cabinet,

We are writing to you on behalf of the Technology Collaboration Programme on Demand Side Management (DSM TCP) Executive Committee (ExCo), to request approval for a one-year extension of the DSM Implementing Agreement1, which is set to expire on 28 February 2019. To support EUWP’s consideration of this request, we would like to send a DSM TCP representative to formally present the request for extension to you at the next EUWP meeting in September 2018.

The DSM TCP is currently undertaking a thorough review of the TCP’s long-term strategy and management. This is motivated by the rapid changes in the sector arising from decentralisation, digitalisation and democratisation of energy, that are in turn driving rapid changes in the DSM agenda relating to consumer participation and expectations. The review is proceeding well, but will not conclude until October 2018. As a result, it is an inopportune time to present a fully developed strategy for the next five years of the TCP’s work. Therefore, we are requesting your approval of a one-year extension to the term of the DSM Implementing Agreement in order to allow time for completion of this review. The current term of the DSM Implementing Agreement will end on 28 February 2019 and this request, if approved, would extend the term to 28 February 2020. By this time next year, we expect the TCP will be in a much better position to present a coherent and ambitious strategy for a new five-year term.

The CERT Guidelines for the Request for Extension Process2 contemplate that the TCP will provide Supporting Documentation highlighting the accomplishments of the current term, and outlining the strategic plan for the next term. We have submitted an End of Term Report and Questionnaire covering the current term. However, given the fact that the DSM TCP review is ongoing, we are requesting approval on the basis of this abbreviated version of the Supporting Documentation with the expectation that the TCP would present a full strategic plan as part of its next request for extension.

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1 Implementing Agreement for Co-operation on Technologies and Programmes for Demand-Side Management.2 IEA/CERT(2016)6/ANN2

Key Accomplishments of March 2016 - February 2019 TermThe DSM TCP has been active during the current term and will have completed five Tasks (or Task Phases) by the end of February 2019, covering a range of demand side issues related to competitive energy services; business models; behaviour change; and the integration of DSM, energy efficiency, distributed generation and renewable energy sources. During the current term the ExCo has organised five DSM workshops; Task-leads have organised 87 topic- focussed meetings, workshops and seminars; 74 reports have been produced (including 19 in peer-reviewed publications); and the DSM University has hosted 27 webinars.

The DSM TCP continues to attract new, interested participants, with Australia joining during the current term and Ireland joining in late 2015. These countries’ delegates are bringing their own ideas and resources to the DSM TCP, something that provides encouragement to the ExCo as it reshapes its strategy.

The current situation of the DSM TCP Although the TCP has continued to foster international collaboration in the areas outlined above, the EUWP has been aware for some time that the DSM TCP is facing leadership and organisational challenges. In his 2017 Chair’s report, the now retired Chair, Rob Kool, acknowledged, “the DSM TCP has been in better shape”3. At the March 2018 EUWP meeting, Mr Michele de Nigris (EUWP Vice Chair) noted the delicate phase of leadership renewal within which the TCP was continuing to function. The position of Chair has remained vacant since the end of 2017. However, David Shipworth has now offered to take on the position of Chair for the period to October 2020, conditional on the TCP contracting for an Operating Agent to support the ExCo; this offer is currently with ExCo delegates for their consideration.

In the absence of a Chair, the ExCo has been working to develop a new strategic focus for the TCP, through dedicated sessions at ExCo meetings and the commissioning of an external reviewer to undertake a comprehensive review of the activities and governance of the DSM TCP. The review will provide recommendations on the TCP’s future strategic direction and management, and provide the evidence base for decisions to be made at the next ExCo meeting in October 2018.

As of today, we, the two appointed Vice Chairs, currently oversee the DSM TCP ExCo and are supported by Josephine Maguire (Sustainable Energy Authority of Ireland), with whom

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we form the Executive Steering Committee (ESC), and a management team consisting of the DSM TCP Secretary Anne Bengtson, the DSM Special Advisor Hans Nilsson, the external reviewer and the IEA Desk Officer.

Three significant Tasks have been operational during 2018: Task 16 (on innovative energy services); Task 24 (on behaviour change in DSM); and Task 25 (on business models for a more effective market uptake of DSM energy services for SMEs and communities). Also, following a period during which the DSM TCP has found it difficult to bring together the resources to initiate new projects, we expect that the commencement of Task 25, Phase 2 in May 2018 will mark the start of a more productive future for the TCP.

3 2017 DSM TCP Annual Report page 8

ExCo members are engaging productively with the review, which is being prepared and debated with the ExCo members through regular teleconferences. ExCo members are also actively considering new Tasks and follow-on work to existing Tasks. For example, a coalition of member countries is currently in the process of refining the terms of reference for collaborative work on responsive prosumer networks, either as a new Phase of Task 17 (on the integration of DSM, energy efficiency, distributed generation and storage), or as a new Task. These are concrete examples of the way the governance model of our TCP is meant to be reformed, inspired by the best practices applied successfully by other TCPs.

Work Plan for extended term At the next ExCo meeting in October 2018, the ExCo will discuss the outcome of the external review described above and decide on a new strategic focus and action plan for the proposed one-year extension period. This new focus, to be agreed at the next ExCo meeting in October 2018, will be used as the basis to initiate new collaborative work, and to reach out to potential new members, leadership candidates and stakeholders within both member and non-member countries.

At the October 2018 ExCo meeting, members will also take decisions on the future management of the TCP and the ways in which new Tasks could be structured. The purposes of changes to the operation of the TCP would be (i) to make it easier for us to initiate and manage new, high-quality collaborative research; and (ii) to lighten the burden placed on the DSM TCP Chair, which is currently seen as an obstacle to some potential candidates.

Over the course of the following year, decisions made at the October 2018 ExCo meeting will be implemented, including the production of a new strategic plan and the development of new management arrangements.

The ExCo expects to be in a position to present the new strategic plan to the EUWP at its

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September 2019 meeting as part of a request for a five-year mandate to undertake much needed international collaborative research on the demand side of our changing energy systems. If approved, the TCP would be in a position to launch its new strategy in spring 2020.

Regards,

Even Bjornstad (Vice Chair) David Shipworth (Vice Chair)

End-of-Term Report 2016- 2019

Introduction Created in 1993, the objectives of the IEA Technology Collaboration Programme on Demand Side Management (DSM TCP) are to:

1.Conduct information exchange on technologies and programmes for demand-side management (DSM);

2.Support development and demonstration of DSM technologies; 3. Investigate techniques to implement demand-side technologies in the marketplace;

and 4.Develop improved methods for incorporating demand-side options into resource

planning.

Strategic direction The strategic direction of the DSM TCP for the period 2016-2019 focusses on the demand side to help make energy systems more sustainable and reliable. This aligns well with the IEA’s Medium-Term Strategy for Energy Research and Technology. The current DSM TCP strategy sets out the vision and mission as follows:

Vision: Demand-side activities should be active elements and the first choice in all

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energy policy decisions designed to create more reliable and more sustainable energy systems.

Mission: Deliver materials that are readily applicable for stakeholders in crafting and implementing DSM policies and measures. The DSM TCP should also deliver technology and applications that either facilitate operations of energy systems or facilitate the necessary market transformations.

Contribution to the IEA Medium-term Strategy for Energy Research and Technology 2018-2022 The work of the TCP aligns well with the IEA’s research strategy. The ExCo is mostly comprised of policy makers with a keen interest in ensuring that the Tasks maintain their focus on developing policy relevant outputs. The programme is designed with the aim of enabling policy makers to strengthen their sustainable energy policy frameworks and private sector actors to implement DSM actions more effectively. Task 17 focussed on the integration of energy efficiency, DSM, distributed generation and renewable energy takes a whole-system perspective. Similarly, future Tasks are likely to focus on issues of alignment of demand and supply created through increasing penetration of intermittent, distributed renewable generation and facilitated by the digitalisation of energy systems. Social innovation in energy markets (e.g. peer-to-peer energy trading) and developments in the field of automation are enabling new forms of stakeholder participation and service delivery on which the TCP wishes to undertake new research.

Policy relevance Policy relevance is central to the existence of the DSM TCP. Tasks have undertaken studies comparing similar behavioural interventions in member countries (see Outcomes, successes and best practices, and questionnaire), work on energy saving in hospitals, and seen the concept of simplified Monitoring and Verification (M&V) taken up by the German Energy Agency. The most recent Task to commence work (Task 25 Phase II on business models) has a specific component devoted to drawing out the policy implications of the work. Over the course of the current three-year term, six policy briefs have been published. The ongoing review has highlighted the need for the ExCo to strengthen its commitment to driving the research programme and ensuring that policy implications are made even more central to its development.

Environmental protection Demand side management is central to achieving sustainable energy transitions cost-effectively. Demand side measures are very often the least costly ways of reducing energy consumption and providing flexibility for energy systems, avoiding emissions and the need for more costly supply side capital investment. The research of the TCP into the behavioural responses to technological developments and digitalisation help governments to take account of the “softer” side of the energy transition; and the use of the tools developed by the TCP enables the greater deployment of demand side measures by governments and private sector actors, avoiding energy consumption and reducing both greenhouse gas and local pollutant emissions.

Work programme The main activity of the TCP is carried out through Tasks, organised into two clusters:

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Load shaping: This includes projects (Tasks) that seek to impact the shape of the load curve over very short (minutes-hours-days) to longer (days-weeks-seasons) time periods. Work within this cluster seeks to change the timing of energy consumption, increasing capacity for renewables and improving system efficiency and reliability.

Load levelling: This includes Tasks that seek to shift the load curve to lower demand levels or shift loads from one energy system to another. Work within this cluster seeks to reduce the total demand for energy and to avoid the release of associated emissions.

Activities 2016-2019 During 2016-2019, 22 themes were explored through separate sub-tasks (see questionnaire). In this period 87 task-specific meetings, workshops or seminars were held, including 31 workshops organised by the Task leads. Those workshops attracted almost 1 000 participants with the majority of attendees representing industry. Task 24 on behaviour change has been the most active, organising 21 workshops in nine countries. It is at these events that much of the key work of the TCP takes place, as participants share knowledge and expertise on the delivery of DSM actions and learn from other experts on potential strategies for future success. The reach of the work programme has been further enhanced by the DSM University (see Communications). The implementation of the TCP’s work programme has led to the development of four expert networks comprised of private and public sector representatives across four continents.

During 2016-2019, the DSM TCP’s work programme has slowed down as long-running Tasks have reached completion and the TCP’s leadership team, which had been in place for many years, has stepped down. The nature of the work being undertaken has also shifted away from the traditional DSM agenda, focussing more on issues related to behaviour, business models and the multiple benefits of energy efficiency. This shift reflects both the changing priorities of the policy makers directing the work programme and the changing environment within which the demand side is operating, as core DSM principles become embedded in policy, and digitalisation and energy transitions enable new approaches to energy use and service delivery. Given this situation, the DSM TCP’s new leadership team commissioned an independent review which will feed into decisions on the TCP’s future at the October 2018 Executive Committee (ExCo) meeting (London, United Kingdom), including the production of a new five-year strategy and transition arrangements.

Figure 1: The DSM TCP work programme

Most important achievements

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Four substantial Tasks have been active during the current three-year phase, including one (Task 25) on business models that has begun a new phase.

Task 24 on behaviour change has co-developed several award-winning pilots, including the Irish residential energy saving kit programme and the Atrium Health (largest health network in North America) “Energy Connect” programme.

Task 25 on business models has developed the “FitToServe” tool to help entrepreneurs do a quick scan of their business model and help them understand their options in moving towards an energy service delivery model.

Task 16 on innovative energy services has developed a project-level accounting framework for analysing and attributing the multiple benefits of deep energy refurbishments in building, which has been supported by the IEA Secretariat.

The DSM University (training and capacity building) will have hosted 27 webinars during the current period, involving thousands of participants from over 120 countries and reaching thousands more through YouTube.

The DSM TCP has increased its collaboration with the IEA Secretariat, contributing content to two high-profile IEA publications and presenting at a number of IEA events.

The number of Contracting Parties has increased by one and now represents 16 countries and three Sponsors on four continents.

Recognising the changing environment in which the TCP is operating, the new management team (see Organisation and management section below) has commissioned an independent review of the TCP ahead of developing a new five-year strategy and transition plan.

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Outcomes, successes and best practices Set out below are key outcomes, successes and best practices from selected sub-Tasks and activities. More details are provided in the RfE questionnaire.

Tools for behaviour change have won awards and reduced costs

Behaviour change is a complex and under-analysed aspect of demand side management. Task 24 developed a “Behaviour Changer Framework” collaboration tool to help organisations navigate a path towards behaviour change. The Framework, which is a collective impact tool that helps visualise the energy system through the human lens, won an award at the European Council for an Energy Efficient Economy Summer Study.

The TCP worked with Atrium Healthcare (the largest hospital network in North America) to design the Energy Connect behaviour change programme for building operators. This programme - which makes data visible, selects and supports site-based energy champions, develops hot/cold call response systems and documents building system adjustments - is partly responsible for the organisation avoiding USD 4 million per annum in energy costs.

Cross-country comparisons have highlighted best practices in several sectors

Task 24 has actively conducted cross-country comparisons in a variety of sectors to identify best practices in demand side management, including examining:

o ICT interventions in the higher education sector in the Netherlands and the UK;

o green leases for office buildings in Sweden, the UK, Australia and Norway; and

o energy saving kit programmes using libraries as middle actors in Ireland, New Zealand, Australia, the United States, Canada and Germany.

Research on service-based business models was used to develop tools for energy service companies to assess their business models

Evidence suggests that companies that have oriented their business model to a service delivery model have seen greater uptake of DSM technologies. Task 25 developed the “FitToServe” tool to help entrepreneurs do a scan of their business model and become aware of the options open to them. The tool enables participants to understand their capabilities, company context and situate their current practice using a business model canvas founded in the research literature. Inspiring case studies help entrepreneurs to understand how they might successfully adopt a more service-oriented delivery model.

A simplified tool for monitoring and verification (M&V) was developed, which has been adopted by the German Energy Agency

M&V enables performance assessments of energy saving measures. However, in practice, data limitations often make best practice M&V impossible. The DSM TCP Task 16 Think Tank developed a new concept of simplified M&V for use in conjunction with quality assurance instruments in cases where full-scale M&V is not possible. The German Energy Agency has decided to promote the simplified M&V concept and has published a guidebook for the German market.

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A new method for assessing the life-cycle costs and benefits of deep energy efficient building retrofits was piloted to help project investors make better decisions

The Task 16 Think Tank developed a Life Cycle Cost Benefits Analysis tool for the deep energy refurbishment of buildings, which enables potential investors to see how the multiple benefits associated with projects are distributed between actors, depending upon the building ownership model and how energy costs are borne.

Organisation and management Leadership The TCP’s Chair, Rob Kool (Netherlands) stepped down in October 2017. Since then, two interim Vice- Chairs—David Shipworth (United Kingdom) and Even Bjørnstad (Norway)—have led the TCP, with support from an Executive Steering Committee, comprising a sub-group of ExCo members and advisors.

Executive Committee (ExCo) The DSM TCP is overseen by an ExCo which meets twice a year in person to discuss and manage the progress of the work. In between meetings, the Executive Committee now also meets via teleconference when important issues need to be discussed, with some decisions being taken by written procedure. Some countries send more than one delegate to meetings, reflecting the importance of having a range of skills and expertise on the Executive Committee. A smaller Executive Steering Committee handles the organisation of the TCP supported by a secretary and an advisor. The ongoing review has highlighted ways in which the role of Chair could be better supported in order to make the role more attractive to time-limited Executive Committee members, including the employment of an Operating Agent to support the ExCo.

During 2016-2019 the ExCo will have met in Europe, following two years during which the meetings took place in New Zealand, South Africa and Canada. There are plans to hold the 2019 ExCo in Australia.

The TCP Tasks are all resourced using a mixed approach, i.e. with some cost-sharing and some task- sharing. Operating Agent costs are funded out of a pool of contributions from participating countries, while Tasks also require participating countries to provide national experts who give time to the completion of particular elements of the Tasks. The ongoing review has highlighted different approaches to structuring Tasks used by other TCPs; these may be used in future Tasks.

Membership The number of contracting parties (CPs) has increased during the current term with Australia joining the TCP. As shown in Table 1 below, there are now 19 members located on four continents.

In line with both the IEA’s modernisation vision, endorsed at the IEA Ministerial meeting in 2015, and the IEA Medium-term Strategy for Energy Research and Technology, contacts with the National Development and Reform Commission in China, and with officials in Thailand, Chile and Mexico have been developed and representatives from countries interested to participate in the TCP (i.e. China, France, Germany, Hungary, Japan, Mexico, Saudi Arabia, Singapore and Thailand, as well as the European Union) have been invited to attend Executive Committee meetings as observers.

Communication and synthesis of resultsThe DSM TCP is a leader in the Energy Technology Network in the field of communications, using a variety of channels to disseminate the key results from the

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research programme, including a popular series of webinars hosted by the DSM University.

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Table1: The DSM TCP’s Contracting Parties and Sponsors

DSM University The TCP works with one of its sponsors (the European Copper Institute) and Leonardo Energy (a web- based training provider) to deliver monthly webinars on a variety of DSM topics, including material from the TCP’s research programme and guest speakers from relevant organisations. 27 webinars will have been delivered during the current three years period, with participants registering from over 120 countries, including many developing countries with limited access to training by local experts. Average participation rates rose to over 300 per webinar in 2017, with a further 200 downloads being made per webinar. The success of the DSM University has inspired several other TCPs to consider developing similar approaches, including the International Smart Grid Action Network (ISGAN TCP).

Workshops DSM Days are held alongside the biannual ExCo meetings. These workshops draw participation from national experts in the host country and feature the dissemination of results from the DSM TCP work programme and presentations from policy makers and researchers in the host country. All the Tasks also hold workshops, enabling networking on particular elements of the DSM programme alongside the development of their RDD&D activities.

Other communication channels The TCP hosts a website, containing information about the TCP, ongoing and historic Tasks and news on the topic of DSM, as well as a password-protected section for delegates. The DSM TCP has also developed a set of templates and logo for the dissemination of TCP findings and publishes the quarterly Spotlight newsletter, featuring articles from member country delegates, Task operating agents and guest writers. Through the newsletter, an active Twitter presence and its activities on Facebook and YouTube, the TCP acts as a central hub for DSM-related news. Task 24 has its own user-only expert platform for sharing information within its expert network.

Outreach

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A senior representative from the TCP presented at the “Behaviour Change for Energy Efficiency: Opportunities for International Cooperation in the G20 and beyond” Scoping Workshop, enabling high- level contacts to be made with officials in G20 countries on a topic central to the future of the TCP. The current phase has seen a marked step up in representation by the TCP at IEA events, including contributions from the Behaviour Change and Business Models task leaders to the EGRD 2017 workshop, “Towards a Consumer-Driven Energy System: Understanding Human Behaviour”. Outside of the IEA sphere, Task 24 on Behaviour Change has been particularly active, presenting at many of the leading conferences, including BEHAVE and Behaviour Energy & Climate Conference (BECC).

Efforts have also been made to develop joint work with other TCPs, given the positioning of DSM TCP on the sociotechnical side of the energy system research spectrum. A joint proposal with IETS TCP on the multiple benefits of energy efficiency in the industry sector was pursued but has not come to fruition owing to funding issues. The difficulties the TCP has had in funding new work was one of the reasons for the commissioning of the ongoing review of the TCP’s strategy and management processes.

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Attachment 1: CERT PROCEDURE FOR A TECHNOLOGY COLLABORATION PROGRAMME REQUEST FOR EXTENSION – Key findings or lessons learned from activities

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Attachment 2: CERT PROCEDURE FOR A TECHNOLOGY COLLABORATION PROGRAMME REQUEST FOR EXTENSION – Quantitative information/indicators

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Review of the International Energy Agency Technology Collaboration Programme on Demand Side Management

A report commissioned by the IEA DSM Executive CommitteeWritten by Samuel Thomas, Independent ConsultantJune 2018

SummaryThis report was commissioned by the Executive Committee (ExCo) of the International Energy Agency (IEA) Demand Side Management (DSM) Technology Collaboration Programme (TCP). Drawing on interviews and literature, it provides an external perspective on the strategy, work programme, management and communications of the TCP. Its purpose is to inform ExCo decisions on its future direction.The IEA, through its TCPs, creates a unique platform for global collaboration on energy technology, policy and regulation. The IEA currently engages over 6000 international experts through its TCPs that undertake world leading research, international comparative analysis and global technology benchmarking studies, and provision of evidence and advice for national governments across its member countries and beyond. As the rate of change in the energy sector increases, the importance of timely international collaboration for sharing global best practice in technology research and development; policy and regulation; and consumer acceptance and adoption, become both more important and more valuable.

A future vision for the TCPIEA DSM has a unique opportunity to relaunch itself as the international hub for multi-disciplinary energy technology-related research and expertise. The need for work in this area is clear, as policy makers seek to better understand and accelerate the transitions taking place in energy systems around the world. And while the rest of the IEA Energy Technology Network largely focuses on the technologies underpinning the production and use of energy, what is missing is the human dimension: how are people buying and selling energy services; what is influencing technology take-up; what social innovations might be needed to meet ever more pressing climate targets; and what are the implications for policy makers? A dedicated TCP could provide that disciplinary focus and IEA DSM is uniquely well-positioned to do so, building on its existing portfolio of work.

An ambitious TCP could attract world-class research institutions to collaborate on policy-relevant topics. The IEA brand could be leveraged to draw in high-quality academics and practitioners to work on topics of interest to policy makers. Policy makers and regulators would be its core audience, but political scientists, economists, behavioural scientists and industry practitioners would benefit from participating in international collaboration in these areas alongside the more traditional engineering expertise associated with the Energy Technology Network.

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A vision built around the provision of the best possible socio-technical advice to policy makers. This vision emphasises the importance of the evidence base and its analysis. It builds on one of the IEA’s key strengths: its objectivity. The current vision for IEA DSM uses campaigning language: “demand side activities should be … the first choice in all energy policy decisions”. Perceptions of bias towards the demand side can weaken the organisation’s message, and in terms of overlaps, there are many campaigning organisations for energy efficiency competing for space outside of the IEA family.

The TCP would need to build its own identity, with its own work programme. However, given the cross-cutting nature of the likely programme of work, it should actively seek opportunities to share knowledge with other end-use TCPs and aim to undertake joint Tasks, enabling multi-disciplinary approaches to the tackling of policy-relevant issues.

The scope of topics covered by the relaunched TCP could be broad, but each Task should be sharply focused with a clear link to policy priorities. ExCo members are interested in a wide variety of topics and should focus their efforts in building coalitions of interested parties to work together on the most important areas. While a number of high-profile projects would be expected to focus on developments in electricity markets, others would look beyond the electricity sector. Key themes include: Behaviour. A cross-cutting theme related to all the topics listed, behaviour is also an

important area of interest to policy makers in its own right. To meet climate targets, technology innovations are unlikely to be sufficient meaning that social innovations will be necessary, with potential implications on lifestyles. More research in this underdeveloped area would help policy makers to understand policy options. Questions related to the potential for behavioural economics to influence policy design and the impact of information campaigns are also under-developed areas for potential research.

Digitalisation. Increasing levels of automation will allow people to avoid many difficult energy-use decisions that in the past were either ignored or made without a full understanding of the costs and benefits. Research is needed to understand the new choices that consumers may be faced with and the barriers to digital technology potential related to data security and privacy. Digitalisation will also enable better monitoring and evaluation of end-use policies, enabling more outcomes-based policy development. Research into the implications of digitalisation and improvements in data analytics for demand side policies would be valuable.

Technology take up. Modelling exercises that produce scenarios consistent with meeting the climate targets agreed in Paris in 2015 emphasise the need for the take-up of more efficient end-use equipment and technologies that use lower carbon fuels. Understanding the way in which diverse consumers behave when faced with choices in different contexts is essential to the development of policy frameworks in which prices, regulations and incentives are aligned to enable business models to develop and compete.

Impact analysis. Demand side measures have many costs and benefits. The concept of multiple benefits is now well-understood; what remains missing are internationally agreed methodologies for undertaking analysis on the full range of costs and benefits, including in the macroeconomic sphere. A sharper focus on capturing the full range of economic impacts would help policy makers make more informed decisions.

Given the current IEA categorisation of TCPs, a relaunched IEA DSM would ideally sit within the cross-cutting theme. With a wide-ranging set of Tasks along the lines set out above, the TCP would clearly be focussing on topics that cut across a range of energy issues. However, the current vice-chair for electricity (the theme within which IEA DSM currently sits) informs me that the IEA committee structure is currently

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being reviewed, meaning that this issue should be reconsidered at a later date once the situation is clearer in this respect.

The current state of affairs“The DSM TCP has been in better shape”, acknowledged the outgoing Chair in the 2017 Annual Report. Along with the retirement of the Chair in 2017, a number of potential leadership candidates, including those in Vice-Chair roles, have left the ExCo over the last two years. Nobody amongst the current ExCo has been willing to take on the role of Chair on a permanent basis.

Member countries have not been willing to fund new work for some time. The TCP has not initiated a new Task since 2014, when Task 25 (Business Models for a more effective uptake of DSM Energy Services) secured funding. The agreement to commence Phase 2 of Task 25 in May 2018 was the first time for three years that the TCP had agreed to begin any new Task work at all. A number of countries have disengaged from the TCP.

The ExCo has not been driving the work programme. All of the active Tasks are in a second or later phase, with the subsequent phases being proposed by Task operating agents. Even the most recently begun Task, Task 25, was initiated through the acceptance of a proposal by an operating agent who had been working on another Task.

The way in which Tasks are structured has contributed to the current situation. The model for IEA DSM Tasks sees an operating agent contracted to facilitate collaboration, undertake research, write reports and communicate results over a two-to-three-year period. Collaborating countries supply national experts to interact with the project and undertake relevant research related to their country. The prominent role of the operating agent in this model means that they have a strong incentive to propose extensions to existing Tasks. While there are many positive aspects to the operating agents’ investment in the TCP, the ExCo has allowed its Tasks to become dominated by a small number of consultants, disengaging itself from a critical assessment of its work programme.

A number of ExCo members have expressed dissatisfaction with the management of the TCP. The distinction between ExCo members and operating agents has become blurred, with in one instance, the same person performing both duties. The rationale for decisions related to funding have not always been clear, and the secretarial and advisory roles have never been subject to competition. Between ExCo meetings, very little forward movement appears to take place on potential Task ideas, meaning that momentum is often lost and Task ideas fall away.

Recent events suggest that the TCP may have turned a corner. Australia joined IEA DSM in June 2018, bringing new ideas and a willingness to fund Tasks. A new Task was proposed by a member country delegate at the most recent ExCo meeting, and the DSM University continues to provide a useful platform for the dissemination of IEA DSM material and wider research. Without a Chair, the TCP lacks leadership, but the temporary Vice-Chairs have brought a willingness to change and have championed the commissioning of this review.

Enabling a vibrant TCPAn ambitious and highly-motivated core leadership group is essential. That team of people needs a common understanding of the value of international collaboration in this particular TCP and a shared vision for its future development. The core group needs to be ambitious and willing to work together to build the TCP into a

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world-class platform for international collaboration that shapes the policy debate.

Someone on the ExCo needs to step forward as Chair, at least on a temporary basis, to provide leadership at this time of transition. A new Chair is unlikely to be found from outside the organisation, given the position the TCP finds itself in. However, a successful transition would increase the likelihood of attracting someone to take the role on a permanent basis. The Chair needs to have credibility outside the TCP, as you seek to attract new members and resources. The Chair needs to be able to drive collective agreement within the TCP on a new strategy and plan of action. And the Chair needs to be able to call upon resources in their own country to back up the initiation of at least some of the new projects that will be proposed.

ExCo members must understand and act on their responsibilities. ExCo members should be motivated by the vision for the TCP, willing to participate in driving its success, active in searching out potential Task participants within their countries and eager to propose new projects. Building a network of potential participants in the TCP’s work is a key responsibility. The ExCo should own and manage the work programme, with lead countries having responsibility for proposing Tasks and reporting back on them. A successfully relaunched TCP would be engaging with a broad group of stakeholders, including those in academia and industry; the ExCo would need to ensure that projects remained relevant to policy makers.

An ExCo operating agent or expert secretary would facilitate operations. All the other TCPs studied have a topic expert who provides secretariat functions. Unless provided by a member country (e.g. IEA HEV), it is paid for out of the common fund. Typically, duties involve meeting organisation, record taking and producing minutes; managing contracts with sub-contractors; producing communications materials; liaising with the IEA Secretariat; and facilitating the completion of action items between biannual ExCo meetings. Some TCPs also ask the secretary to act as the account manager too. Line-managed by the Chair, the expert secretary would not have a role in decision-making but would help a time-constrained ExCo in executing its decisions.

Collaborative projects can be structured in different ways. The Task model currently used in IEA DSM could be made to work better if the formation of Task proposals and extensions, and their subsequent management, was owned by lead member countries; national experts are part of the Task formation process; and particularly in the case of extensions, more than one operating agent was considered for the role. Other TCPs use different models that could be applied to IEA DSM. Cost-shared Annexes pool member country funds to pay for an operating agent with a facilitation and reporting role and use the remaining funds to contract a range of contractors to provide research reports and analysis. Task-sharing is the most common model employed in TCPs; it involves national experts, usually academics, collaborating as an extension of their research, with one expert nominated as the operating agent responsible for reporting. One TCP also uses the common fund to commission ExCo projects on ad hoc issues of interest, or as a way to test the feasibility of new Annexes. Employing a range of models would enable the TCP to reach out to a broader community of potential collaborators, leading to a more vibrant organisation. The TCP would benefit from being relaunched with a new name. The term Demand Side Management represents neither the current portfolio of projects nor the vision recommended in this report. While the term DSM can be defined in a way that covers a broad range of issues, it is potentially off-putting to new participants - it sounds old-fashioned to some, belonging to a previous era of regulated monopoly utilities in many countries. The term “management” in particular conveys a sense of top-down control that is out of step with modern disaggregated customer-centred energy service markets. The term “demand side” could also be argued to be outdated, given the blurring of the boundary between the demand and supply of energy. A relaunch with a new name would also mark a break with the past, signalling a new era for the TCP.

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New procedures and management practices can improve the TCP’s governance. A number of changes to the way in which the TCP is run would facilitate its effectiveness. Guidance notes setting out the role and responsibilities of ExCo delegates, and the processes associated with Task initiation and management would help members to engage better with the TCP. A template for task proposals would ensure that a coherent business case is proposed, key questions are answered and ExCo members can review them easily. A template for financial reporting by Tasks would enable ExCo members to better scrutinise spending. Regular items of expenditure should be periodically reviewed for cost-effectiveness and competed for if appropriate.

The TCP should look to work with the IEA to communicate its messages. The IEA wishes to make more of the Energy Technology Network and has a much broader communications reach than any of the TCPs. Working with the IEA to craft material that they are willing to promote through their social media channels, online tools and analytical reports would enable the TCP to be much more influential than simply relying on its own communications tools. The IEA is actively considering ways in which their communications team could make more of TCP material and the potential content produced by this TCP are particularly well-aligned with the work of the IEA Secretariat. IEA DSM should keep in close contact with the IEA Secretariat and devote resources to the production of IEA-ready materials. DSM University provides a valuable channel for more pedagogic material and is seen as a good example of dissemination amongst the TCPs. A relaunch of the TCP would provide an opportunity to rebrand the webinar series, potentially losing the word “university”. The IEA DSM website is difficult to navigate, at times unintuitive, lacking an adequate search engine and in places, out of date. A relaunch of the TCP should be accompanied by a new website that better advertises the TCP’s research and provides members with the services they need. A Sharepoint site could be set up to aid co-creation amongst participants.

An action plan for the next two yearsA relaunch of the TCP could take place in spring 2020. A one-year extension to the current IEA DSM mandate would mean that the TCP would have approval to operate until the end of February 2019. A new strategic plan for the period beginning in 2020 would need to be submitted to the IEA’s End-use Working Party in summer 2019 with a decision on approval made by the IEA’s Committee on Energy Research and Technology in autumn 2019. This means that the new strategic plan must be finalised at the spring 2019 ExCo. For that to happen, ExCo members will need to come to an agreement on the new strategic focus of the TCP at the autumn 2018 ExCo and engage in the drafting process between the next two ExCo meetings. A suitable global event should be sought for the launch.

A strategic plan needs to have concrete proposals that form a work programme to deliver the stated goals. By the spring 2019 meeting a number of projects would need to be sufficiently well-developed to provide comfort that the TCP can form a work programme aligned with the new strategic direction. This will require significant effort from the ExCo over the next nine months to ensure that project proposals are sufficiently well-supported by spring 2019.

New management processes will need to be developed on a timeline agreed by ExCo members. A decision on whether or not to employ an expert secretary to facilitate the operations of the TCP should be made at the autumn 2018 meeting. This role will be needed immediately to support the ExCo in its transition. (Case studies of the roles played by expert secretaries and operating agents in a number of TCPs can be found at Annex 5). Agreement should also be sought to compete out the role at some point prior to the next five-year mandate period. Revised draft guidance documents related to the formation and management of tasks and the roles and responsibilities of ExCo members should be debated at the autumn 2018 meeting, with agreement sought in writing immediately afterwards; this will help the new work programme to develop in a coherent

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manner.

A pitch setting out the opportunity for collaboration is needed to attract potential new participants. At this point in the review cycle, it is too early to be definitive about the future direction of the TCP. However, the TCP needs to be able to reach out now to new, both in non-member countries and within current member countries. Given the desire to attract not only new participants, but also new members of the leadership group, the pitch will need to be both compelling in terms of the policy relevance and uniqueness of the TCP and show that there is space to lead and develop the work programme – an opportunity to form a new and dynamic part of the IEA family. See Annex 1 for a draft pitch, based on the recommendations of this report. It should be amended to reflect the direction the ExCo wishes to take the TCP.

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Recommendations

Strategy

Recommendation 1: IEA DSM should relaunch itself as the hub for socio-economic excellence in the Energy Technology Network, bringing multi-disciplinary expertise to policy relevant issues and providing the nexus between consumers and energy technologies.

Tasks

Recommendation 2: The work programme should be designed to access a greater diversity of high-quality expertise and research. Academic and research institutions in member countries are well-placed to provide such expertise.Recommendation 3: The TCP should consider employing different funding models for different Tasks and adapting the current cost-shared model to ensure that participating countries maintain engagement in projects. The task-shared model should be encouraged for Tasks in which participants are primarily from academia.

Leadership

Recommendation 4: Someone on the ExCo should step forward as Acting Chair during the transition period to spring 2020. The TCP should aim to have a permanent Chair in place by early 2020.Recommendation 5: The ESC should be expanded to ensure broader ExCo representation. Future Task/Annex leads might be invited to join the ESC as well.Recommendation 6: Countries should consider whether there are options for alternate delegates with socio-economic expertise to help oversee the work programme and without conflicts of interest.

ExCo support measures

Recommendation 7: The TCP should consider contracting an ExCo Operating Agent as soon as possible and put in place plans to tender for Operating Agent services as soon as is practicable.Recommendation 8: The TCP should produce new guidance for ExCo members emphasising roles and responsibilities and setting out management processes.

Recommendation 9: The TCP should put in place control mechanisms to ensure the quality of its work. Nominating delegates with primary responsibilities for reviewing each key publication could be one useful mechanism.

Communications

Recommendation 10: The TCP should consider changing its name to reflect its new remit.Recommendation 11: The TCP should refer to its Tasks by names and not numbers.Recommendation 12: The TCP should upgrade its website alongside a relaunch and consider setting up a SharePoint site to aid joint working.

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Recommendation 13: The ExCo should manage the messaging of the TCP and work with the IEA to reach a broader audience when appropriate.Moving towards a relaunch

Recommendation 14: An action plan is needed to plot out the relaunch of the TCP in spring 2020 alongside the start of a new five-year mandate period. Initial decisions are needed in autumn 2018 and work should begin as soon as possible to pitch the TCP’s fresh focus to new participants.Recommendation 15: The TCP should work with the IEA legal team to redraft its Implementing Agreement in time for the start of the next substantive mandate period (March 2020) or sooner if possible.

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AbbreviationsDoE Department of EnergyDSM Demand Side ManagementESC Executive Steering CommitteeExCo Executive CommitteeETN Energy Technology NetworkHFCs HydrofluorocarbonsIA Implementing AgreementIEA International Energy AgencyIEA AMF IEA Advanced Motor Fuels TCPIEA C3E IEA Clean Energy Education and Empowerment TCPIEA EBC IEA Energy in Buildings and Communities TCPIEA ETSAP IEA Energy Technology Systems Analysis Programme TCPIEA HEV IEA Hybrid and Electric Vehicles TCPIEA HPT IEA Heat Pump Technologies TCPIEA ISGAN IEA International Smart Grids Action Network TCPIEA SHC IEA Solar Heating and Cooling TCPIEA 4E IEA Energy Efficient End-use Equipment TCPIPCC Intergovernmental Panel on Climate ChangeOA Operating AgentTCP Technology Collaboration Programme

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1. IntroductionThis report was commissioned by the IEA DSM ExCo as part of a review of the TCP’s strategy and governance. It is written by an independent consultant external to the TCP and the views expressed within it are his alone. The report

1.1 BackgroundIEA DSM is a platform for international collaborative research on matters related to the management of the demand for energy. Originally focused on the efforts of electricity utilities to manage the level and shape of demand, it has since broadened its scope to examine a broader set of issues related to the implementation of energy efficiency policies, the behaviour of energy consumers, the role of the demand side in smart electricity systems and the business models delivering energy services. The TCP is currently facing some challenges. It has been without a Chair since the retirement of the previous incumbent in 2017 and nobody from within the ExCo has offered to take on the role. The ExCo has struggled to bring together the resources required to initiate new Tasks, with only one new Task Phase (Task 25 Phase 2) commenced during the current mandate period. The strategic focus of IEA DSM is unclear and some members of the ExCo have expressed reservations over the management of the TCP. At the same time, Australia has joined the TCP in 2018, bringing resources and new ideas, and ideas for new Tasks are being brought to the ExCo table. Given this situation, the ExCo agreed that a one-year extension to the TCP’s current mandate should be submitted to the IEA’s End-use Working Party for approval, providing IEA DSM with sufficient time to agree a new long-term strategy for submission in a year’s time. This report provides an input to the formation of the strategic plan for the five-year period beginning in March 2020.

1.2 Review objectivesThe review aims to help ExCo members make decisions on the future of the TCP by providing options and recommendations on:

1. The role and relevance of DSM to the IEA and identification of strategic foci over the next five years;

2. Aims and scope of activities (i.e. which topics to focus on);3. Whether IEA DSM should remain within the ‘End Use: Electricity’ theme or be

moved to the ‘Cross-cutting’ theme;4. The relationship with other TCPs;5. ExCo governance models;6. Task funding models; and7. Communications

1.3 The reportThis report is structured around the provision of advice on these aspects of the TCP’s future, drawing on relevant literature and interviews with key stakeholders: IEA DSM ExCo members, people associated with other TCPs, members of the IEA Secretariat and potential new participants in the TCP. It provides options and recommendations on the TCP’s future strategic focus, its work programme, the way it is managed and the way it is communicated.

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2. Role and relevance of DSM to the IEA and identification of strategic foci over the next five years

A shared understanding of the compelling need for international collaboration through the TCP is the key component to success. Without a shared vision of the purpose of the TCP, the application of the best management practices will not enable the organisation to succeed. Given the changing strategic context and the coverage of existing TCPs, this reviewer believes that there is an unfulfilled need for policy-relevant multi-disciplinary international collaboration on the interaction between technology and humans. IEA DSM has a unique opportunity to relaunch itself as the international hub providing this service, building on its existing portfolio of work.The need for work in this area is clear, as policy makers seek to better understand and accelerate the transitions taking place in energy systems around the world. While the rest of the IEA Energy Technology Network largely focuses on the technologies underpinning the production and use of energy, what is missing is the human dimension: how are people buying and selling energy services; what is influencing technology take-up; what social innovations might be needed to meet ever more pressing climate targets; and what are the implications for policy makers?

2.1 Strategic ContextEnergy transitions are taking place around the world and, while each context is different, a number of common trends can be observed. The rising penetration of intermittent renewable energy sources in electricity systems is increasing the value of flexibility services across energy carriers. The supply of energy services is no longer the domain only of traditional energy utilities; digitalisation, increasing connectivity and advances in data analytics are enabling the development of new energy services, business models and markets. End-uses traditionally powered by the direct combustion of fossil fuels are on the cusp of mass electrification, with electric passenger vehicles rapidly increasing their market share, albeit from a very low base, and the electrification of heat less advanced, but necessary if climate objectives are to be met. Indeed, given the urgent need to reduce carbon emissions to meet the goals set out in the Paris Agreement, policy makers need energy transitions to accelerate.Faced with this challenging landscape, there is a need for policy makers to better understand the conditions under which energy policy and regulatory frameworks can adapt in a way that benefits consumers and contributes to broader societal objectives. That requires not just an understanding of the technologies that are emerging, but of the ways in which people are interacting, and will interact, with them. Social innovation is taking place alongside technological innovation, not just as a result of technological change, but as an important element of energy transitions in its own right. International collaboration can be extremely beneficial in this context. The sharing of positive experiences as well as less successful case studies can help countries around the world as they consider how best to redesign their energy policies. Industry and academia can also play a vital role in influencing the international policy debate. Businesses and practitioners across the globe are developing new ways to market and trade energy services; and researchers in academic institutions in different jurisdictions are working to understand the socio-economic aspects of energy technology take-up, energy use and the markets for energy services.

2.2 Positioning within the IEA Energy Technology Network

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Most of the TCPs are technology focussed but there are precedents for cross-cutting discipline-centred TCPs. There are 38 TCPs, 16 of which deal with end-use technologies or networks. Five TCPs cover the transport sector, another five TCPs cover buildings and technologies used in the buildings sector, IEA IETS covers the industry sector and IEA ISGAN focuses on smart grids technologies. The TCPs tend to be populated by engineers and technology experts within governments. Exceptions include IEA 4E (Energy-Efficient End-use Equipment), which has more of a policy focus, in the field of energy-efficient products, IEA ETSAP (Energy Technology Systems Analysis Programme), which concentrates on partial equilibrium energy systems modelling and IEA C3E (Clean Energy, Education and Empowerment), which focuses on capacity building in the energy sector. The gap in the IEA Energy Technology Network is in the interaction between technologies and people. Members of the IEA Secretariat are very aware of this gap and the need for more work in this area. As one senior colleague put it, the technologies already exist to allow smart electricity systems to operate effectively and efficiently, what is lacking is an understanding of the regulatory environment, business models and the role of the consumer that would actually make it happen. Another senior member of the IEA Secretariat noted the gap in the IEA’s research base on the socio-economic side, both within the TCPs and the Secretariat itself. Work in this area would be a welcome addition to the Energy Technology Network and could be closely aligned with the priorities of the IEA itself, providing opportunities for collaboration and dissemination.

2.3 Options for strategic focusA number of options present themselves from this analysis. To an extent they are presentational – the work programme might remain very similar whichever option is chosen – and the choice comes down to what your vision is for the TCP. What is your elevator pitch when someone asks you what the TCP does or what is its purpose? The options emphasise either the socio-technical disciplinary focus (Option 1 (or 1a) is my preferred option); the need for research on social issues (Option 2); or the need for research on demand side issues (Option 3). None of the options maintains the status quo, in which the TCP is positioned across all three options without a clear focus:

Option 1 - The TCP for policy-relevant socio-economic research

This option is sufficiently broad to cover a range of topics, from behaviour change to macroeconomic analysis, from policy effectiveness to consumer acceptance and from social innovation to technology take-up. It would provide the IEA platform for economists, behavioural scientists and political scientists to collaborate - something that is not available through any other TCP. The topic matter would be closely linked to the IEA Secretariat. Coverage would not be limited to the demand side but would necessarily focus mostly on demand-side issues. The idea of a cross-cutting TCP with a disciplinary theme providing objective advice to governments is attractive but lacks the punch of something more focussed on a particular issue.Strengths: breadth of potential issues covered, unifying disciplinary theme, link to SecretariatWeaknesses: breadth of issues covered difficult to manage, one-step removed from technology (the TCP is in a Technology Network), may be too abstract to sell to potential new participants (?)

Option 1a – The TCP for policy-relevant socio-technological research

Essentially the same as Option 1 but using different terminology and potentially a slight change of emphasis towards more technical projects and away from more socio-economic projects.Strengths: as in Option 1, plus may be easier to position within the Energy Technology Network.

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Weaknesses: breadth of issues covered difficult to manage, may be more difficult to include some valuable non-technology related socio-economic projects under this banner, may be too abstract to sell to potential new participants(?).

Option 2 – The TCP for social innovation

The use of a term such as social innovation could give the TCP more visibility. At the same time, it could also be more divisive, depending on how potential participants interpret the term. A relatively benign definition would see “social innovation [as] the process of developing and deploying effective solutions to challenging and often systemic social and environmental issues in support of social progress” (Stanford Graduate School of Business, 2018). Examples of social innovation could therefore include government policies, community initiatives and social movements to drive change. Could be attractive to policy makers, the business sector and the third sector. Would not be limited to the demand side.Strengths: a strong identity; potentially quite broad coverage.Weaknesses: would potentially exclude some valuable projects falling outside the definition; the term may be off-putting to some countries still uncomfortable with the idea of governments attempting social engineering (even if not the same thing).

Option 3 - The TCP for energy efficiency and flexibility

This strategic focus would be much closer to the current strategy of the TCP, recognising the value of efficiency to reduce demand and flexibility to shape demand. Moving away from the terms “demand side” and “management” would mark a break from the past and avoid terms that may seem old-fashioned, given the blurring of the boundaries between the demand and supply sides, and the move towards consumer-centred policy making. However, a change in terminology would not address the more fundamental question about the viability of a TCP with such a remit, given the perceived overlaps it would have with other technology-focussed TCPs.

Strengths: focus on outcomes; building on past achievements while still representing a break from the past.

Weaknesses: not sufficiently different from the past; (perceived) overlaps with other TCPs.

Fallback Option: Parcel up the work areas and ask the EUWP to ensure that other TCPs take them onIn the event that the TCP was not able to agree a new strategic focus, or was not successful in developing a functioning work programme in support of its new strategy, the work areas of interest to IEA DSM could be parcelled up and handed to other TCPs. The technology related TCPs could take on more work around technology use and take-up; ISGAN could take on the consumer-related work on smart grids and ETSAP could be approached to take on some of the economic modelling work.

Strengths: one fewer international organisation in a crowded landscape.

Weaknesses: other TCPs are not primarily focussing on socio-economic issues, meaning that they would most likely be peripheral to their core missions. This would be a loss to the IEA Energy Technology Network.

Recommendation: IEA DSM should relaunch itself as the hub for socio-economic excellence in the Energy Technology Network, bringing multi-disciplinary expertise to policy relevant issues and providing the nexus between consumers and energy technologies.

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3. Aims and Scope of activitiesThis section draws upon the conclusions of the strategic discussion above, setting out a number of areas of a socio-economic or socio-technological nature that are broadly related to the demand side of energy systems.

3.1 Purpose and visionIt is worth reiterating the author’s view that all of the projects should be designed to provide policy makers with the highest quality objective advice to inform better policy making. Tasks should be designed with policy questions in mind and the vision for the TCP should match this overarching aim for the activities. Instead of being a campaigning organisation for demand side policies, the TCP should aim to be an exemplar of high quality policy relevant research, if anything, campaigning for its inclusion in the policy making process. Such an organisation could be a magnet for high quality academic institutions, enabling much greater involvement from academia in the TCP’s work than has been the case in the past. In this vision, the ExCo would need to ensure that work of a more academic nature maintained its policy relevance.

Recommendation: The work programme should be designed to access a greater diversity of high-quality expertise and research. Academic and research institutions in member countries are well-placed to provide such expertise.

3.2 Which topics to focus onThe range of topics that could be covered by a TCP focussed on socio-economic research is vast. While that is a strength when considering its long-term viability, in the short-term a keen focus on priorities will be needed to signal the future direction of the TCP. However, over the next five-year strategy period, I would hope that work could be begun in all of the areas outlined below. These cross-cutting themes could be applied to policy relevant issues in both electricity markets and other fuels, including the electrification of end-uses that have traditionally not used electricity. However, I would expect a number of the Tasks allocated priority status would on the topical issues related to digital electricity markets.

3.2.1 DigitalisationDigitalisation is bringing significant opportunities for new technologies and energy services as well as creating new challenges related to cybersecurity and data privacy. The potential resulting from the combination of big data analytics and smart energy systems are only beginning to be explored and realising the full value proposition will require substantial action from policymakers and the private sector. The IEA produced its first report on the issue in 2017 and recognised it as a first effort that will need to be followed up (IEA, 2017). The Clean Energy Ministerial held its first round table on the issue in 2017 too, noting the urgency needed from policy makers to adapt to the changing technological environment. Increasing levels of automation will allow people to avoid many difficult energy-use decisions that in the past were either ignored or made without a full understanding of the costs and benefits. Research is needed to understand the new choices that consumers may be faced with and the barriers to digital technology potential related to data security and privacy. Digitalisation will also enable better monitoring and evaluation of end-use policies, enabling more outcomes-based policy, and principles-based regulation development. Research into the implications of digitalisation and improvements in data analytics for demand side policies would be valuable.Some potential task ideas are listed below:

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Empowering automation. With increases in electrification, renewables penetration and distributed generation, the value of flexibility to energy systems is increasing. Automation can both avoid wasted energy consumption and deliver flexibility services when called upon. However, for these digital technologies to provide value to the wider energy system, in many jurisdictions consumers will likely need to opt in, putting a premium on ensuring that consumers see the value of automation and issues related to data privacy are regulated sensibly. At the same time the regulatory environment will need to ensure that business models offering value to both consumers and the energy system are able to develop and compete. A Task, either as a slimmed down Task 17 Phase 4, or as a new Task in its own right, could examine best practice in terms of the technological solutions allowing automated demand response, the business models developing service offerings and the regulatory conditions allowing such developments while safeguarding consumers’ interests. Potential for joint work with other TCPs: IEA 4E (product regulations); IEA ISGAN (electricity regulatory framework); IEA EBC (smart homes); IEA IETS (smart industrial systems)

Global peer-to-peer observatory. Enabled by digitalisation and the increase in decentralised energy production, peer-to-peer energy trading offers the potential to solve balancing issues at the grid edge and is growing fast in many member countries. At this very early stage in the development of transactive energy, collating and analysing case study evidence to understand common success factors will be very valuable to policy makers. The UK proposal for a new Task on this topic could be developed over the coming months with support from other countries.Potential for joint work with other TCPs: IEA ISGAN (Annex 7 on institutional change).

Smarter data; better policy design. More accurate and granular meter data will enable the impacts of policy interventions to be measured more precisely. This in turn could lead to an increase in outcome or output-based policy design where currently it is more cost-effective to reward policy participants for the provision of inputs (e.g. energy efficiency measures). Policy implications from experiments in the United States (California in particular) and other jurisdictions, where policy has changed and new business models have developed, could be collated along with recommendations for future policy innovation.Potential for joint work with other TCPs: IEA 4E (better product standards and labels).

3.2.2 BehaviourBehaviour is a cross-cutting theme related to all the topics listed here, drawing on many academic disciplines from economics to sociology and psychology. The IEA has held three workshops on behaviour and energy efficiency over the last three years, highlighting the need for more research into the factors underpinning the use of energy, the take-up of energy consuming technologies and the social changes underpinning changes in consumer preferences and practices (IEA 2015, 2016, 2016a). G20 countries have raised the issue of behaviour in their recent meetings on energy efficiency and are interested to understand how best to undertake international collaboration on the topic. Task proposals with behavioural elements are likely to be welcomed by policy makers and the IEA itself.Behaviour is also an important area of interest to policy makers in its own right. Leaked drafts of the 6th IPCC Report on tackling climate change refer to a “radical transformation of society” (Spiegel Online, 2018). To meet climate targets, technology innovations are unlikely to be sufficient, meaning that social innovations will be necessary with potential implications on lifestyles.

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The challenge for a relaunched TCP would be to identify the topics that could form useful, policy-relevant tasks in this area. The topic of behaviour is very broad and risks getting caught up in theoretical debates. Specific Task ideas, all of which would need considerable work to bring to the proposal stage, could include:

Energy Sector Social Innovation Repository. Social innovation is taking place in many fields in the energy sector as groups try to find solutions to the issues they face, whether they are related to fuel poverty alleviation, improving energy access, or putting new concepts such as energy sufficiency into practice. A new Task could explore the success factors behind such initiatives and their implications for policy makers.

The potential of behavioural economics to improve energy policy making and energy service delivery. What can both theory and practice tell us about the ways in energy policy could be adapted to take account of behavioural factors. It has been 10 years since the publication of Nudge, and many countries have developed behavioural insights teams and adapted policies in different domains as a result. A new Task drawing together evidence on the effectiveness of these policy changes and their transferability could be useful.

Focus on a particular type of behavioural intervention, e.g. understanding the impacts of information campaigns. Virtually all jurisdictions have undertaken information campaigns related to energy and other topics. But do they actually work? If so, what are the critical success factors? And what lessons can be generalised across countries and time periods? The IEA behaviour workshops revealed the lack of analysis in this area and countries’ appetite to understand more.

3.2.3 Technology take-upModelling exercises that produce scenarios consistent with meeting the climate targets agreed in Paris in 2015 emphasise the need for the take-up of more efficient end-use equipment and technologies that use lower carbon fuels. Understanding the way in which diverse consumers behave when faced with choices in different contexts is essential to the development of policy frameworks in which prices, regulations and incentives are aligned to enable business models to develop and compete.Task ideas, all of which would need considerable work to bring to the proposal stage, could include:

Overcoming the barriers to the electrification of heat. While this topic may be limited to a subset of countries in IEA DSM, it is of interest other countries outside DSM as it is a key measure in meeting countries’ decarbonisation targets. However, take-up of heat pumps has been very slow in many countries where natural gas is the predominant heat source. What can countries learn from each other’s policy experiences and social research in this area? A new Task could explore this issue from a socio-economic perspective and draw policy conclusions.Potential for links with other TCPs: IEA EBC, IEA HPT

Satisfying the demand for space cooling through the take-up of energy efficient technologies and their effective use. Space cooling is the fastest rising end-use globally as incomes grow countries in tropical zones and average temperatures increase. What can the behavioural sciences tell policy makers about ways in which this demand for cooling services can be met in a way that does not impose too great a strain on energy systems and the natural environment? How can policy successfully influence cooling choices towards efficient ceiling fans and the most efficient air conditioners? And how might excessive, or even conspicuous cooling consumption in public spaces and office buildings be addressed through policy initiatives? International experiences in these areas could be usefully shared in order to feed into policy development as countries look to build on the recent attention given to this topic following the signing of the Kigali Accord to phase out the use of HFCs in cooling equipment.Potential for links with other TCPs: IEA EBC, IEA HPT, IEA SHC

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3.2.4. Impact analysisThe concept of multiple benefits is now well-understood in the energy-efficiency community; what remains missing are internationally agreed methods for undertaking analysis on the full range of costs and benefits, including in the macroeconomic sphere. A sharper focus on capturing the full range of economic impacts would help policy makers make more informed decisions.Task ideas, all of which would need considerable work to bring to the proposal stage, could include: Better understanding the macroeconomic impacts of changes in energy use

and supply. Macroeconomic studies are often used to justify potential policy interventions, but the methods and assumptions used can have a huge bearing on the results obtained. A Task that provided guidance to policy makers on how to specify and interpret macroeconomic studies could be useful. And a more long-running Annex could be envisaged as a platform for macroeconomic modellers to develop new methods for better capturing the energy demand side of computerised general equilibrium models and macro-econometric models.Potential links to other TCPs: IEA ETSAP.

Exploring the distributional impacts of energy transitions. Changes in the way in which energy is consumed, produced and traded are happening quickly. How equitably are the costs and benefits of energy transitions being borne? Are some groups excluded from the benefits of new energy services while still paying for the costs of new energy infrastructure through energy prices? How are improvements in access to modern energy sources impacting on women and men? How have women’s lives improved if freed from the burden of collecting firewood and the indoor pollution impacts of traditional cook-stoves? One or a number of Tasks could look at distributional impacts and the policy implications across a range of social policy issues.Potential links to other TCPs: IEA C3E (gender issues), IEA EBC (community issues)

Best practice in cost-benefit analysis. A Task could be set up to compare the ways in which energy policies are analysed in impact assessments and similar appraisal systems in different countries. Best practice guidance could be produced, setting out methodologies for accounting for the key energy system, economic, environmental and social impacts. Separate sub-tasks, perhaps as part of an annex, could be devoted to exploring particular issues and developing the evidence base, for example on health impacts.

3.3 Relationship with other TCPsThe TCP will need to build its own work programme as it rebuilds over the next few years. Many of the Task ideas set out above could be of interest to other TCPs and opportunities for joint events and projects should be explored. The possibility of joint Tasks could also be explored, although I would expect that these would be relatively rare in the initial phase of the relaunch. A Task focused on distributional impacts with IEA C3E could provide an early high-profile opportunity for cross-TCP collaboration however, something which the IEA encourages. Joint Tasks are relatively rare in the Energy Technology Network, given the complexities involved in administering them, however IEA SHC have been involved in a number of such Tasks, including with IEA EBC. Usually, one TCP assumes the primary role, through the provision of the operating agent, however, in one case the OA role is shared between the two TCPs.

Given the current IEA categorisation of TCPs, a relaunched IEA DSM would ideally sit within the cross-cutting theme. With a wide-ranging set of Tasks along the lines set out above, the TCP would clearly be focussing on topics that cut across a range of energy issues. However, the current vice-chair for electricity (the theme within which IEA DSM currently sits) informs me that the IEA committee structure is currently being reviewed, meaning that this issue should be reconsidered at a later date once the situation is clearer in this respect.

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4. ExCo Management

4.1 Motivation and ambition; roles and responsibilitiesAn ambitious and highly-motivated core leadership group is essential if the TCP is to be relaunched successfully. That team of people needs a common understanding of the value of international collaboration in this particular TCP and a shared vision for its future development. The core group needs to be ambitious and willing to work together to build the TCP into a world-class platform for international collaboration that shapes the policy debate. The effort required should not be underestimated. The leadership group – the core of the TCP – will need to work together to build coalitions of policy makers, academics and industry to participate in the new work programme, and to seek out new members countries. The current leadership team is small, comprising the two vice-chairs (Norway and UK) and a third ExCo member (Ireland). Having a wider spectrum of voices on the ESC would be beneficial in ensuring that the views of the ExCo as a whole are reflected in the decisions it makes. IEA 4E is noted by the IEA for its good management practices; it has six people on its management committee: the ExCo Chair, two ExCo Vice-chairs and the Chairs of each Annex (one of whom is also an ExCo Vice-chair).

Recommendation: The ESC should be expanded to ensure broader ExCo representation. Future Task/Annex leads might be invited to join the ESC as well.A Chair is needed to provide leadership and represent the TCP. A strong leadership group can operate effectively for a short period of time without a chair, but in the current situation that the TCP finds itself, a Chair will be vital in driving the relaunch. The Chair will need to represent the TCP to prospective new participants and provide assurance to the IEA regarding the future of the TCP. Within the TCP itself, the Chair will need to drive through changes to the TCP’s management processes and at all times act fairly, listening to the concerns of all ExCo members and reflecting them in the ExCo’s decision making processes.

Recommendation: Someone on the ExCo should step forward as Acting Chair during the transition period to spring 2020. The TCP should aim to have a permanent Chair in place by early 2020.The ExCo as a whole must understand its responsibilities and act on them. ExCo members should be motivated by the vision for the TCP, willing to participate in driving its success, active in searching out potential Task participants within their countries and eager to propose new projects. Building a network of potential participants in the TCP’s work is a key responsibility and will be vital in the relaunch process. ExCo member s should actively manage the work programme, ensuring that funds are spent wisely and projects remain relevant to policy makers. Processes can be put in place to facilitate this, but the ExCo members themselves must be willing and able to fulfil their duties.

Box: Country participation in IEA ISGANIn IEA ISGAN, where the work is split between seven annexes, which run in parallel to the term of the TCP mandate period, each participating country must sign up to participate in, and provide funds for at least one annex. Annexes are cost-shared. This structure means that participation requires greater investment by countries, increasing the size of the hurdle to joining, but meaning that countries that do participate have more invested in its success.

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The makeup of the ExCo will be important in order to manage the new work programme effectively. Delegates from countries’ ministries and other government agencies will be essential to ensure that the work maintains its policy relevance and does not wander off on academic tangents of interest to researchers. Government officials will also be essential in ensuring that the messaging of the TCP is consistent and acceptable to national governments. At the same time a diversity of knowledge and skills on the ExCo will be necessary to manage the range and types of projects likely to be undertaken by the TCP. Having some alternate country delegates from academia or research institutions with different disciplines could help in the oversight of project content and quality control. Representatives from sponsor organisations also helps to provide diversity. A more diverse ExCo, populated by both policy representatives and high-quality academic delegates could also raise the profile of the organisation, leading to more senior representation over time as it becomes known for its good networking opportunities and the quality of its work.

Avoiding conflicts of interest is essential. While Operating Agents may have more technical subject knowledge than many ExCo members, they should be excluded from the decision-making of the ExCo. Operating Agents should not be ExCo members, given the potential for conflicts of interest with respect to the allocation of funding, the judgements made on the quality of Tasks and the communications strategy of the TCP.

Recommendation: Countries should consider whether there are suitable options for alternate delegates with useful socio-economic knowledge to help oversee the work programme and without conflicts of interest.

4.2 Measures to support the functioning of the TCPOne way to lessen the burden of the role of the Chair is to employ someone to provide substantive support to the ExCo to help them execute their decisions. This differs from the more administrative role that is still needed to ensure that meetings are set up and delegates’ questions around travel and accommodation etc. are dealt with. This more substantive role, often referred to as the ExCo Operating Agent, requires someone that has sufficient subject knowledge to be able to act on behalf of the ExCo in drafting documents; have topic-related conversations with ExCo members, Task Operating Agents and prospective new members; represent the TCP in certain circumstances; and undertake sundry other tasks as directed by the ExCo.

All the other TCPs have someone providing an ExCo Operating Agent role, although sometimes the role is referred to as an expert secretary. The size of the role depends upon the preferences of the individual TCPs. In some cases, the role of Operating Agent and administrative secretary is performed by one individual or organisation. In other cases, the role of Operating Agent, financial account manager and/or communications are combined. The more duties required of the Operating Agent, the more important it is that the ExCo have strong oversight. In the case of IEA 4E, where the Operating Agent is responsible for all the roles set out above, the ExCo Chair line manages the ExCo Operating Agent. This process appears to work well, providing a formal process for feedback between the two parties. In all the TCPs studied, the ExCo Operating Role is tendered periodically, usually in line with the five-year mandate periods. A relaunch of IEA DSM would make the need for ExCo support more vital and urgent.

Recommendation: The TCP should consider contracting an Operating Agent to provide support to the ExCo as soon as possible and put in place plans to tender for Operating Agent services as soon as is practicable.

The current TCP Implementing Agreement (legal text) does not make a provision for the TCP to employ and Operating Agent. This would not stop the TCP from doing so, but it

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would be advisable for the TCP to work with the IEA legal team to update its Implementing Agreement to ensure that it envisages the employment of an Operating Agent.

Recommendation: The TCP should work with the IEA legal team to redraft its Implementing Agreement in time for the start of the next substantive mandate period (March 2020) or sooner if possible.

ExCo delegates themselves need to be clear about what their roles and responsibilities are. A number of ways of ensuring that these are understood are employed by TCPs. IEA SHC has a one-page document that neatly summarises the ExCo role (see Annex 2). IEA AMF begins every ExCo meeting with a presentation about the TCP, including a slide setting out the ExCo role (see Annex 3). And a number of TCPs have guidance documents for participants, setting out the way in which the ExCo and its Annexes / Tasks operate. Amongst those guidance documents, the IEA 4E paper is perhaps the most clear and succinct (see Annex 4). While these documents would not ensure a vibrant ExCo, they are particularly useful for new participants, and their periodic review would help to remind the ExCo as a whole of their roles and responsibilities.

At the same time, the ESC, ideally supported by an ExCo Operating Agent, should ensure that ExCo meeting papers are succinct and to the point, clearly focussing on decisions that need to be made. All papers should be circulated at an agreed date prior to ExCo meetings, and actions identified at ExCo meetings should be reported back on in a timely manner. In terms of the quality of ExCo meeting papers, in IEA 4E papers must be submitted two weeks before the dissemination deadline so that the Chair and Operating Agent can review them and raise any issues with authors in advance. The IEA AMF expert secretary has a very clear understanding of her role and responsibilities in part owing to workbook setting out the tasks that are expected of her. A comparison of Operating Agent / Expert Secretary roles in different TCPs can be found in Annex 5, with an excerpt from the IEA AMF secretary workbook reproduced as the Appendix to Annex 5.

Recommendation: The TCP should produce a new guidance document for ExCo members emphasising roles and responsibilities and setting out management processes.

As part of the management of the TCP and its Tasks, ExCo members should consider options for controlling the quality of Tasks, both in terms of their policy relevance and the quality of analysis and presentation. IEA HEV has a technical committee of delegates that performs Task audits in order to check that projects have delivered on their stated objectives and to learn lessons for future projects. Amongst the current group of Tasks, Task 24 on behaviour change could be a candidate for such an audit, given the exploratory nature of the work. In terms of the ongoing management of the quality of TCP outputs, ensuring that ExCo delegates read materials in advance of ExCo meetings, and that at least two named delegates have a primary responsibility in reviewing each key publication, would help to manage the quality of outputs. IEA SHC has a communications committee that reviews every key report before publication.

Recommendation: The TCP should put in place control mechanisms to ensure that the quality of its work is fit for purpose. Nominating delegates with primary responsibilities for reviewing each key publication could be one useful mechanism.

The model for the twice-yearly meetings could be changed at some point in the future, particularly once new Tasks are in progress. IEA ISGAN and IEA 4E always have a full week of meetings. In IEA 4E one day is given over to the ExCo itself, with no annex operating agents, another day features annex reviews and other ExCo business (e.g. side meetings on ExCo projects, or industry liaison meetings), a third day is an external facing conference, and the other two days feature annex meetings, allowing ExCo delegates to check in on the progress of these projects. In IEA ISGAN, the ExCo meets for three days, an internal workshop is held on another day and the final day is an external facing day.

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In IEA AMF, their ExCo meetings are 3-4 days. They start with a pre-meeting day which gives the opportunity for a pre-meeting on any task. This is followed by an informal day which features information exchange on the annexes and country experiences – each annex reports on progress and three countries explain their policies at each meeting. On the third the host country shows off their expertise and facilities (this is a more technical-focussed TCP with test laboratories and so on). Finally, the last day is the formal meeting day, where decisions are made and by which time people can have got feedback from home if necessary.

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5. Task funding modelsThere are two broad models used by TCPs for funding tasks: the task-shared model and the cost-shared model. Amongst the 16 end-use TCPs, one uses only the task-shared model, five use only the cost-shared model (including IEA DSM) and ten use a mixture of both models.

The task-shared model sees collaborators from participating countries provide their time pro bono. A Task Operating Agent with responsibilities for reporting to deadlines, and other management duties, is provided by one of the participating countries, usually the lead country that proposed the Task without demanding remuneration from the other participating countries. In some instances, a small contribution from participating countries is agreed to cover some of the costs borne by the Operating Agent. Individual countries may have their own national funding arrangements in place to ensure that collaborators can provide the required time to devote to the Task.

The cost-shared model sees participating countries pool funding to pay for an Operating Agent’s time and other costs related to the Task. Collaborators from participating countries provide their time pro bono although individual countries may have their own national funding arrangements in place to ensure that collaborators can provide the required time to devote to the Task. In some instances, including IEA DSM, the pooled funds pay only for the Operating Agent role. In other cases, the pooled funds are used to pay for the Operating Agent and for other projects managed by the participating countries.

5.1 Appropriateness of Task models for IEA DSMGiven the range of topics and stakeholders that the TCP could look to work with, both Task models could be appropriate for a relaunched IEA DSM. A hub of expertise for the socio-economic disciplines could attract a wider range of high-quality academic and research institutions, along with government departments and agencies, businesses, sector organisations and consumer bodies.

5.1.1 Task-sharingThe task-shared model is particularly suited to Tasks involving academics from universities and researchers from research institutions, and potentially other non-governmental organisations. Researchers already working in the area of interest can reorientate their work programmes to focus on international collaboration in the same area, creating additional value in the process. Amongst the end-use TCPs, IEA EBC uses this model very effectively. It has 17 ongoing Tasks (or Annexes), all of which are task-shared. Researchers give significant amounts of their time to collaborative projects given the tangible benefits from working internationally. Being able to share results and mesh their research means that researchers do not have to do all the work in their own institutes and where similar work is going on, results can be compared. International work tends to be career-enhancing and align with research institutions strategies, particularly for an organisation tied to the IEA, which adds prestige.

The operating agent and any sub-task leads provide more time than other participants to the Task and get more visibility for their efforts by doing so. One of the key roles of the operating agent during the preliminary phase of a Task is to use their network to bring in other prestigious research institutions to the Task. During the early period of the relaunched TCP, this will be crucial in building up the capacity of the TCP.

Even within IEA EBC however, funding within countries providing task-share participants can be problematic. As a result, projects can take a long time to get off the ground and it

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is not uncommon for Tasks to take a year to move from proposal to commencement. As a result, it is imperative that a relaunched IEA DSM move forward with securing resources for Task proposals during the process of firming up the strategic plan.The role of the ExCo in ensuring that projects are designed to provide policy-relevant outputs, and maintain that focus during their operation, would be extremely important if the TCP moves towards having a number of task-shared Tasks led by academics.

5.1.2 Cost-sharingThe cost-shared model is more suited to Tasks where participants are more time-constrained and more of the value of the Task is in information sharing, networking and learning from others. These types of Tasks are more commonly associated with policy makers and others outside of the academic community. Pooled resources can be used to bring in outside knowledge, through bespoke report and events as well as to fund the administration of the Task. These types of Tasks would be expected to be needed in a relaunched IEA DSM.

In some TCPs (IEA ISGAN and IEA 4E), Tasks known as Annexes are set up and run like mini-TCPs in their own right, with their own management committees, finance arrangements and communications strategies. Running for five-years at a time, alongside the main TCP’s mandate, they employ operating agents to provide administrative and other services, while running their own projects with the remaining funds. The operating agent roles are competed for alongside the ExCo operating agent position every five years.

This type of model, in which participating countries take a much more hands-on approach to the management of Annexes and Tasks could be applied to the management of IEA DSM cost-shared Tasks as well, irrespective of whether they are expected to be long-lived annexes or one-off Tasks.The benefits of such a model are that (i) participating countries maintain control over the direction of Tasks during their lifetimes, making it more likely that Tasks retain their focus on issues relevant to national governments; and (ii) by limiting the proportion of the pooled funds going directly to the Task operating agent, participating countries can use resources to bring inputs from other experts to the Task, either through ad hoc contracts or through events, increasing the diversity of contributions to the project. As a result of both of these benefits, the power relationship between the Task operating agent and participating countries would be more balanced, with country delegates clearly making decisions and operating agents helping to execute them.

Guidance from 2008 does exist on the IEA DSM website regarding the initiation and management of IEA DSM Tasks. These reveal fundamental differences between the model set out above and current practice in the TCP. The Task operating agent is given the job of managing the Task, with the country from which the operating agent comes from having responsibility for keeping a close eye on performance, i.e. the countries themselves are not managing the funds. Secondly, national experts are expected to be identified by ExCo members and contribute to the project, as opposed to being the participants for whom the project is set up for. The risk here is that national experts become merely paid consultants delivering agreed inputs and no more, creating difficulties for operating agents in the delivery of high quality outputs and not getting full value out of the international collaborative opportunities. A more vibrant model would see the national experts themselves involved in the initiation of Task ideas and being the people who sit on the management committee that drives the direction of the Task once it is operational.

The IEA 4E guidance document (Annex 4) provides clear guidance as to how future cost-shared Tasks or Annexes could be set up and managed in IEA DSM. Annexes are managed at Annex level by the management committee of participating countries. Expenditure above a certain limit has to be signed off by the ExCo and the lead country participant reports on progress to the ExCo. These processes could be used as a starting

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point for the development of new guidance for Tasks in IEA DSM.

ExCo ProjectsAnother form of cost-sharing to fund projects is the ExCo project. In this model the ExCo common fund is used to fund projects of common interest to all participating countries that do not warrant the setting up of a Task. IEA 4E annexes often undergo a development phase in which an ExCo project, paid for out of the common fund, is used to test the feasibility of the new Annex and develop it to the point at which it can be put to the ExCo for a vote on its commencement. In such cases, the lead country nominating the ExCo project is expected to demonstrate some financial commitment to the project in addition to the use of the common fund.This model is suitable for both exploratory studies into the feasibility of potential future Tasks and smaller ad hoc pieces of research. Funding smaller pieces of research in this way provides the ExCo with more flexibility and can also provide more substantive issues for discussion between ExCo members at side-meetings alongside the main ExCo meeting, making the twice-yearly meetings more attractive for participants.

Recommendation: The TCP should consider employing different funding models for different Tasks and adapting the current cost-shared model to ensure that participating countries maintain engagement in projects.

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6. CommunicationsThis section provides feedback on the IEA DSM website and makes some suggestions around the management of the TCP’s messaging.

6.1 The IEA DSM WebsiteThe main purpose of the TCP’s website should be to make it easy for users to navigate through the material on it. Internal stakeholders (members, operating agents and support staff) will be the people that use the website the most and it should be easy for them to find the material they need. External stakeholders are very unlikely to decide unprompted to have a browse on the website. Most commonly they will have landed on the site because of a link in an email or a social media message pointing to some interesting story or research. This puts a premium on making it easy and attractive for them to click on other links on the website, directing them to topics that you would like them to read, e.g. other flagship research and how to participate. The website also sends a message to the reader about the characteristics of its owner – if it looks and feels modern, it is more likely to breed confidence in the reader; if it is out of date with old content and an old-fashioned feel, the opposite is true.

The current IEA DSM website falls short in a number of ways. The pages designed for internal stakeholders are difficult to navigate, with material on different tasks accessed through different routes and a search function that does not appear to work. As a reviewer of the material generated by the TCP I found it very frustrating to interact with. New participants in the TCP would find it more useable if the content was reorganised, with the most useful files being accessed very quickly, e.g. guidance documents, minutes of meetings, materials on operation tasks and task proposals. A future project could be to split the external and internal facing elements of the website, setting up an internal-facing Sharepoint site for the TCP in which the material could be reorganised and that would make it easier for participants to work simultaneously on documents.

For external stakeholders, the website does have an old-fashioned feel. The main content items that the reader is directed to could be better embedded within the site itself. For example, the June 2018 Spotlight Newsletter is the first item that readers might click on as it is at the top of the news feed. Clicking on the link opens a pdf document as opposed to web content, during which time some readers will have given up, and for those that have continued to the newsletter, the chance has been lost to provide them with easy access to other content.

Some of the content itself also feels out of date. As a newcomer to the website, an external stakeholder might reasonably select some of the links under the “About us” menu. Here the TCP is referred to as an Energy Technology Initiative (I think this was one of the possible names for the TCPs during the rebranding process for the TCPs) and the first chart presented on the strategic plan page is from 2012, giving the impression of a slightly moribund organisation. Maintaining a website takes resources, and this could be one of the tasks that an operating agent could be asked to oversee. A relaunch of the TCP with a different name would force the TCP into a more significant overhaul of its website, most likely redesigning it from scratch. At this point, decisions could be made about whether to split the internal and external facing functions of the current website.

Recommendation: The TCP should upgrade its website alongside a relaunch and consider setting up a SharePoint site to aid joint working.

6.2 Message and content disseminationWhile the website is important as a repository of information and a calling card for the TCP that you must get right, content and message dissemination requires the use of

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multiple channels. The dissemination of content needs to be specific to the target audience. Academic papers and conferences are an important way of reaching the research community and are also a signal of quality. Using delegates’ networks within their own countries to disseminate important policy findings is also important in ensuring that policy relevant work is used in policy making processes. Online webinars enable presentations to reach audiences beyond the conference circuit. The DSM University has been a good example amongst the TCPs of this type of dissemination, drawing praise from the EUWP vice-chair for electricity. Housing the webinar series within a broader IEA effort could enable the content to reach a much wider audience.

The value of the TCP’s brand starts with the content, which must be strong, but can be increased through the use of social media. Short synopses that draw the reader in, link to fuller reports and can be shared through Twitter, LinkedIn and other platforms are increasingly the way in which information is disseminated. The TCP’s Twitter account could be used as the starting point for such material, with ExCo delegates retweeting messages for greater reach. It is important that the TCP’s messaging is managed by the ExCo to ensure that messages are in line with an agreed communications strategy.

Allying with the IEA Secretariat will be particularly important in terms of the TCP’s reach. The IEA is looking to make more of its network of researchers embodied by the TCPs and will gladly retweet the TCPs messages if they align with the IEA’s overall messaging. Devoting resources to the production of IEA-ready materials could be an effective way of expanding the TCP’s dissemination potential. Given the likely content of the new TCP’s outputs, working with the IEA Secretariat on the production of material for inclusion in the IEA’s publications should also be considered. Tasks or Annexes could include within their work plans the production of such material, in consultation with the IEA desk officer and other IEA staff as appropriate. The ExCo could also consider the use of the common fund for projects that led to the inclusion of the TCP’s materials in IEA publications. IEA publications are not limited to reports. Interactive databases are becoming increasingly important as a way of interacting with the materials that the IEA produces; TCP outputs, e.g. from case studies or its own databases could be usefully linked to IEA products, again increasing visibility for the TCP.

Recommendation: The ExCo should manage the messaging of the TCP and work with the IEA to reach a broader audience when appropriate.

6.3 A new name for the TCP?The term Demand Side Management represents neither the current portfolio of projects nor the vision recommended in this report. While the term DSM can be defined in a way that covers a broad range of issues, it is potentially off-putting to new participants - it sounds old-fashioned to some, belonging to a previous era of regulated monopoly utilities in many countries. The term “management” conveys a sense of top-down control that is out of step with modern disaggregated customer-centred energy service markets. The term “demand side” could also be argued to be outdated, given the blurring of the boundary between those who demand and supply energy. A relaunch with a new name would also mark a break with the past, signalling a new era for the TCP.

If the ExCo decides to change the name of the TCP, the new name will clearly need to reflect the chosen strategic focus. Key words for deliberation could include consumer-centred, socio-economic, efficiency, flexibility, social innovation, behaviour, energy services. A challenge for ExCo delegates will be to find a name that is inclusive enough while still being snappy. The inclusion of IEA before and TCP after the name makes the snappiness criterion particularly important.

Recommendation: The TCP should consider changing its name to reflect its new remit.

6.4 New names for Tasks

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The common reference to Tasks by their chronological number may make sense from an internal accounting perspective, and members may become used to using numbers as short-hand for projects. However, these numbers mean nothing to the outside world, and can act as a barrier to engagement, either because the audience cannot tell what the project is about, or because it excludes those that are not aware of what the number signifies.

Recommendation: The TCP should refer to its Tasks by names and not numbers.

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7. An action plan for the next two yearsA relaunch of the TCP could take place in spring 2020. A one-year extension to the current IEA DSM mandate would mean that the TCP would have approval to operate until the end of February 2019. A new strategic plan for the period beginning in 2020 would need to be submitted to the IEA’s End-use Working Party in summer 2019 with a decision on approval made by the IEA’s Committee on Energy Research and Technology in autumn 2019. This means that the new strategic plan must be finalised at the spring 2019 ExCo. For that to happen, ExCo members will need to come to an agreement on the new strategic focus of the TCP at the autumn 2018 ExCo and engage in the drafting process between the next two ExCo meetings. A suitable global event should be sought for the launch.

A strategic plan needs to have concrete proposals that form a work programme to deliver the stated goals. By the spring 2019 meeting a number of projects would need to be sufficiently well-developed to provide comfort that the TCP can form a work programme aligned with the new strategic direction. This will require significant effort from the ExCo over the next nine months to ensure that project proposals are sufficiently well-supported by spring 2019. New management processes will need to be developed on a timeline agreed by ExCo members. A decision on whether or not to employ an expert secretary to facilitate the operations of the TCP should be made at the autumn 2018 meeting. This role will be needed immediately to support the ExCo in its transition. (Case studies of the roles played by expert secretaries and operating agents in a number of TCPs can be found at Annex 5). Agreement should also be sought to compete out the role at some point prior to the next five-year mandate period. Revised draft guidance documents related to the formation and management of tasks and the roles and responsibilities of ExCo members should be debated at the autumn 2018 meeting, with agreement sought in writing immediately afterwards; this will help the new work programme to develop in a coherent manner.

A pitch setting out the opportunity for collaboration is needed to attract potential new participants. At this point in the review cycle, it is too early to be definitive about the future direction of the TCP. However, the TCP needs to be able to reach out now to new, both in non-member countries and within current member countries. Given the desire to attract not only new participants, but also new members of the leadership group, the pitch will need to be both compelling in terms of the policy relevance and uniqueness of the TCP and show that there is space to lead and develop the work programme – an opportunity to form a new and dynamic part of the IEA family. See Annex 1 for a draft pitch, based on the recommendations of this report. It should be amended to reflect the direction the ExCo wishes to take the TCP.

Recommendation: An action plan is needed to plot out the relaunch of the TCP in spring 2020 alongside the start of a new five-year mandate period. Initial decisions are needed in autumn 2018 and work should begin as soon as possible to pitch the TCP’s fresh focus to new participants.

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Annex 1: Potential pitch to new participants for use in the period prior to the October 2018 ExCo meetingAn exciting new opportunity for international collaboration on the nexus between people and energy technologies through the IEA Energy Technology Network

The energy sector is evolving rapidly. Digitalisation, the electrification of transport and heat, the increasing penetration of intermittent renewable generation and the blurring of the boundaries between consumers and producers are reshaping the energy landscape. At the same time, policy makers would like to see these energy transitions accelerate in order to improve living standards and meet urgent environmental goals.

Technologies already exist that would enable the world’s energy systems to operate more efficiently and at much lower levels of carbon intensity. The key issues for policy makers relate to the transitions themselves. - How should policies and regulatory frameworks adapt in the face of the energy

transition?- What conditions allow new energy service business models to compete and flourish? - What do the behavioural sciences tell us about the take-up of energy-use

technologies? - Does meeting climate targets require social innovation alongside technological

innovation? - Will digitalisation enable significant gains in energy efficiency? - How can policies be made more effective through the use of advanced data

analytics?- Can energy efficiency deliver benefits for health, productivity, and wellbeing?- How will consumer behaviour and new technologies reshape expectations and

demand?These issues cut across sectors, approaches and regions and so require international multi-disciplinary research to develop the robust evidence that policy makers worldwide need to adapt their policy frameworks. This makes international collaboration to develop and share policy-relevant research essential.

The IEA Demand Side Management (IEA DSM) Technology Collaboration Programme (TCP) understands the urgent need for multi-disciplinary work drawing on technology research, economics, the behavioural sciences and political science. The new leadership team at IEA DSM are reshaping the organisation’s strategy to reflect these new priorities and will be relaunching the TCP as the hub for international energy sector multi-disciplinary research and expertise. We are reaching out now to new partners who share this vision and would like to play a role in developing its strategy, work programme and projects.

This an exciting opportunity to be part of a new initiative that benchmarks global best practice, and has the potential to significantly shape the energy policy dialogue and influence policy design. The relaunched TCP is in the process of developing its future work programme. Projects examining the regulatory frameworks that will enable the integration of disaggregated flexibility resources; the uptake of peer-to-peer trading of energy; and the development of energy service business models are already in place or being developed. Further projects are envisaged across the technology–people nexus and there is space for you to play a significant role in shaping them.

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To get involved, or for further information, please contact: xxx@ieadsm.org

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Annex 2: IEA SHC ExCo roles and responsibilities one-pager

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Annex 3: IEA AMF ExCo roles and responsibilities slideThe slide reproduced below is taken from a slide deck presented at the start of every ExCo meeting.

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Annex 4: IEA 4E Administrative GuidelinesThe 4E legal text permits the Executive Committee to issue Administrative Guidelines as agreed and required. These Administrative Guidelines1 are intended to provide general guidance for the operational management of 4E Annexes & Projects in order to ensure transparency and efficiency in daily operations. These arrangements do not replace but complement the formal rules adopted in the text of the 4E Implementing Agreement and subsequent decisions by the 4E ExCo (see end of document for Summary of these rules).

These arrangements have been developed to assist ExCo delegates, Annex lead countries, participants and Operating Agents by providing practices and procedures to deliver on those agreed goals of transparency and efficiency. Changes to the arrangements in this document may be made by agreement between the ExCo chair and lead countries of all operational Annexes, and reported to the ExCo.

1. Annex and Project Distinction

Both Annexes and ExCo Projects have different attributes and roles within the 4E structure:Annexes are formed to bring together a critical mass of 4E member countries (but not necessarily all members) to focus on topic areas, whether these are based on technologies, applications or cross-cutting issues.

Annexes enable the kind of sustained attention on a topic required to develop expertise and cause change in policies and technologies. Annex budgets are set to deliver a strategic plan, are funded and managed by participants with regular reporting to the ExCo.

ExCo projects may fall into two categories; a M&B project comparing member policies and practices or a project idea which the ExCo wants to commission.ExCo projects are funded through the Implementing Agreement common fund, and sometimes supplemented by additional voluntary contributions by individual member countries.ExCo Projects tend to be more short-term, require lower levels of financial support and are usually exploratory in nature.

2. Initiating or renewing 4E Annexes

ProcedureThe process for initiating an Annex, or renewing an existing Annex, is that a clearly identified lead country should:Prepare an Annex proposal. Typically an outline proposal is presented to the ExCo for comment in advance of a formal application which outlines the scope, likely member support, an indicative budget and operating agent, likely initial focus and reporting timeframe.

Secure the support of sufficient other countries to make the Annex viable. At a minimum, two member countries must agree to create a new Annex with an agreed work plan and budget though in normal circumstances Annexes should strive to engage all members and have a critical mass of members because it meets the 4E objectives.

Gain Annex approval from the ExCo.

1 Adopted 15 May 2014

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Applications for ExCo approval for a new Annex should be made to the ExCo as far in advance of meeting dates as possible and not later than 30 days prior to the ExCo.Annex approval criteria

The following criteria may be used by the ExCo to approve an Annex application or renewal.

The extent that a proposal is able to demonstrate:

Well-defined objectives and realistic deliverables, best met through international collaboration.

A Work Plan that:o Addresses one or more barriers to the achievement of improved energy

efficiency, oro Directly leads to significant improvements in energy efficiency or energy

savings.Activities that do not duplicate those currently undertaken by another organization or could be better achieved by another organisation.

The commitment of the lead country and other participating countries in delivering the Work Plan.

Proposals for Annexes may have other unique attributes, and these should be addressed in any proposal.

Annexes do not require all contracting parties to participate in Annex activities, but Annex proposals must receive unanimous approval from the ExCo. Unanimous approval includes votes in support or abstentions. Where unanimous support is not obtained, the funds of the Implementing Agreement may not be used.

3. Process and criteria for allocation of ExCo funds

The ExCo may allocate funds for:

ExCo Projects, including projects that were previously completed under the M&B Annex and other research activities.

To support the development of new Annexes.

Procedure for application

The following process may be used by the ExCo to approve applications for funding under these two categories:

Each project must have at least one ‘nominee’ that is a current member of the ExCo. This person will be regarded as the lead person for the project, responsible for preparing the proposal, monitoring and reporting progress to the ExCo.

Applications for ExCo funds should be made to the ExCo as far in advance of meeting dates as possible and not later than 30 days prior to the ExCo. Each project proposal must be supported by the provision of outline information, supplied by the nominee. The Chair and Operating Agent in consultation with lead country sponsor will review the application against the criteria in a paper circulated prior to the ExCo meeting.

The nominee (or someone appointed by the nominee) must present the project to the ExCo.

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The nominee should demonstrate some financial commitment to the project, not including in-kind support2. The ExCo will debate the merits of the project or potential Annex having regard to the nominee’s proposal and management assessment. The ExCo will make a decision on the allocation of funds based on the proposal’s ranking against the selection criteria, the amount requested, and the availability of ExCo funds.

Selection criteriaThe following criteria may be useful in assessing ExCo Projects and support for the development of new Annexes:

The ExCo supports projects that:

Demonstrate well-defined objectives and realistic deliverables.

Where these objectives can best be met through international collaboration.

Will:o Address one or more barriers to the achievement of improved energy

efficiency, oro Directly lead to significant improvements in energy efficiency or energy

savings.Do not duplicate activities currently undertaken by another organization or could be better achieved by another organisation.

In the case of applications for the support of developing new Annexes, additional criteria may include:

The ability of the proposed Annex to meet the above criteria.

The commitment of other 4E countries to participating in the proposed Annex.

An application must not receive any ‘no’ votes to be considered approved by the ExCo.

4. Administering ExCo finances

ExCo funds are administered by the 4E Operating Agent. When the ExCo has approved the allocation of ExCo funds according to this guideline for an Annex or a project, the Operating Agent is authorised to contract directly with a third-party contractor identified by the lead country nominee to facilitate the Annex or project starting.

5. Annex Management Responsibilities

Each Annex, under the management of the lead country (who shall be appointed by the majority vote of the Annex Participants), shall decide on issues of membership, financial contributions and the day-to-day running of the Annex within the broad framework agreed by the ExCo and the legal text.

The Annex Operating Manual (the “AOM”) that is presented as part of a proposal to establish an Annex shall record the organisational procedures for managing the Annex. The AOM shall become part of the Annex legal text when adopted.

In the following text, Annex Members are defined as Participants (that is, Contracting Parties or Sponsors) that have formally joined an Annex by the nomination of one or

2 It is accepted that since all contracting parties make a contribution to cover M&B activities, the nominee for M&B type projects may choose not to make any additional financial contribution.

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more delegates and the payment of any Annex fees.

Annex Members may appoint one of the Annex Members to lead the task and be the Annex leader. This should be done by majority vote.

Operational Annexes are to provide a progress report at each ExCo meeting.

6. Annex Membership Issues

Participants in or Members of Annexes must also be participants in 4E.

It should be noted that Sponsors from Industry are currently not invited to join 4E (and hence individual Annexes), although information sharing is encouraged. All other organisations seeking to participate as Sponsors must be approved beforehand by the ExCo and CERT. (See 4E legal text Article 10.2.)

Because all the terms and conditions in regard to Sponsors are determined by the ExCo, Annexes cannot adopt rules regarding the rights and obligations of Sponsors, except for Annex fees.

Observers may not attend more than three ExCo meetings unless that have taken substantive steps toward joining 4E.

No entity may observe for more than 18 months, or three meetings, unless it has completed substantive steps toward joining the IA; and

Observers cannot vote.

Invitations to join 4E have been approved for China, India, Japan, Mexico, India, Germany and Russia. These invitations were reaffirmed by the ExCo at its meeting on 15 May 2014 and will be valid for two years.

7. Annex Decision making procedures

There should be clear procedures for Annex members to make decisions. A record of decisions adopted by Annex members at formal Annex meetings shall be kept and made available to Annex members as soon as possible and not more than 6 weeks after the relevant meeting. This may be done through the secure part of the Annex website.

Decision making outside Annex meetings should consist of a formal vote by Annex members, the result of which is recorded and circulated with the outcome to all Annex members. A vote may be conducted by email or other electronic transmission, along the lines of Article 6.5(e) of the 4E IA legal text.

8. Annex Financial Management

In the following text, the term ‘in-kind’ is defined as non-financial support, and third-party is defined as financial and/or in-kind contributions provided by parties that are not Annex members or are paid consultants that provide services to an Annex.

Each Annex shall submit a yearly work plan and a budget, including all financial and in-kind contributions, for approval by the ExCo. Any subsequent changes to Annex expenditure exceeding 5,000 Euro shall be approved by the Annex and ExCo.

All financial transactions (income and expenditure) of a value exceeding € 10,000 which are entered into by Annexes or the ExCo, or by Operating Agents (or other entities) on behalf of an Annex of the ExCo, not including Annex member fees or Operating Agent contracts, shall require prior approval by the ExCo Chairman, Vice-Chair or person

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nominated by these officers. The following information shall be provided to the ExCo when seeking such approval:

Pro forma for approval:Annex Name:Organisation contracting for AnnexIncome/expenditure:Purpose of transaction:Transaction amount:Third party name:Expected date of transaction:Other relevant information regarding the transaction and any consequences (where applicable)

In-kind contributions should only be accepted in lieu of financial support where they are for the express purpose of achieving the aims and objectives of Annexes or to support Annex activities.

Activities associated with projects which are not under the direct management of the Annex should not be considered as in-kind support, but may be identified as an ‘Associated Project’ that is beneficial to the Annex.

Generally, in-kind support should not include the time and expenses of participating in management activities by Annex members. Participants in each Annex should decide on:

o The type of in-kind contributions allowed;

o The method of valuation and accounting of in-kind contributions.

All Annexes should adopt rules for the treatment of contributions by third-parties to the activities of the Annex.

The Operating Agent of the ExCo or any Annex must inform the Executive Committee Chair and Operating Agent when a Participant remains in default of financial obligations for more than 2 meetings or for 12 months (whatever is the shorter period).

9. Co-ordination between the Annexes

The Operating Agents for every 4E Annex and the ExCo Operating Agent will have regular contact, comprising at least 1 teleconference each year.

This purpose of these meetings will be coordinate activities across 4E and to raise operational issues for consideration by the ExCo Chair. The outcomes of these meetings will be recorded and provided to the ExCo chair and Annex leaders. Where necessary, matter may be referred to the ExCo for further deliberation.

10.Resolution of Disputes

Annex members should take up any issue or complaint directly with the relevant Annex Operating Agent, also informing the leader of the relevant Annex, where applicable.

If they remain dissatisfied with the outcome, members may refer the issue to the Chair of the ExCo for consideration by all other members of the ExCo.

The Chair may refer the issue to the Operating Agents, the ExCo or deal with the matter himself.

11.Attachment: Summary of 4E Implementing Agreement Rules

1. Participants in Annexes must also be Participants in 4E.

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2. There are two kinds of Participants: a) Contracting Parties and b) Sponsors. i. Contracting Parties are governments, or a national agency, public

organisation, private corporation or other entity designated by the government, or international organisations in which governments participate.

ii. Sponsors are entities which are not designated by the governments of their respective countries to participate in the Implementing Agreement, or non-governmental international entities.

3. Each Participant in 4E shall designate a representative to the Executive Committee (ExCo), and may designate up to three alternates. Each Participant shall inform the Executive Director of the IEA and the Operating Agent of 4E in writing of all designations under this paragraph.

4. A representative of the Operating Agent and one representative of the IEA Secretariat may attend meetings of the ExCo and its subsidiary bodies in an advisory capacity. (Art 6.4(b) legal text)

5. The ExCo can adopt rules of procedure as are required for its proper functioning. (Art 6.3(b))

6. New Participants can be invited by unanimous vote of the ExCo. Participation of Sponsors requires prior approval by the CERT.

7. New Annex proposals are required to be approved by the ExCo. (Art 3.3)8. Annex work plans and budgets are required to be presented and approved by a

unanimous vote of the ExCo. 9. Annexes must advise the ExCo and IEA about their membership and any changes to

Participants’ details.

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Annex 5: Case studies of Operating Agent / Expert Secretary arrangementsThis annex summarises the different approaches taken in different TCPs to the role of Operating Agent or Expert Secretary.

IEA AMFDina Bacovksy performs the role of secretary to IEA AMF. She is a sector expert and combines the role of administrative and substantive assistance to the ExCo. She does not perform the account manager role; Argonne National Laboratory (US) handles the funds, but she does check the financial reporting as part of her role.

Dina spends 650 hours per year on this role – roughly 1/3 of her time.

She has delegated authority to sign documents for the TCP, such as invitation letters and so on, but cannot sign any legal contracts.

The competition to find the expert secretary took six months to complete.

In-between meetings she critically reviews annex proposals and manages the production of the annual report with features on each country and annex and a print run of 350 copies. She is also responsible for reaching out to potential new members, often beginning with letters at the very highest level, e.g. to Prime Ministers’ offices.

Ahead of ExCo meetings she drafts the agenda and goes through all the action items with the Chair.While she is happy to provide advice when asked, she is very clear that the secretary should have no role in the decision-making process, including the development of the strategic plan. Keeping the distinction in the roles between ExCo members and secretary is vital.

She is also responsible for registering all significant developments (publications, events, meeting minutes, changes in membership etc.) in a logbook.

The level of input required of the expert secretary vary with the Chair in place and their appetite for new work and delegation. The duties of the secretary in IEA AMF are clearly set out in a workbook that is used as a guidance document. See the Appendix to this Annex for an excerpt setting out those duties.

IEA 4EMark Ellis performs the role of ExCo operating agent in IEA 4E. The role comprises both administrative and substantive assistance to the ExCo as well as account manager and communications.

Mark employs an assistant to perform administrative duties (finances, official records, list of members, website maintenance) and between them they spend around 1/3 of a full-time equivalent on the role. The operating agent function is paid around €90 000 per year, which also pays for subcontractors to supply graphics for the annual report and travel costs (roughly €10 000).

The role is competed for every 5 years (along with the operating agents of each of the three annexes). The roles are line-managed by the Chair (in Mark’s case) and the annex lead in the case of the annexes. Six monthly performance meetings are held and

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reported back on at ExCo meetings without the operating agents present.

Mark produces a communications strategy and looks after its delivery. This entails drafting up documents, getting them approved by the ExCo, and then ensuring that both the ExCo and Annexes follow the strategy as much as possible. For the ExCo, he oversees publications and usually does an editing role, reading through it to ensure that the concerns of members are reflected in final documents and bringing documents to the stage where they can be voted on by delegates. He also drafts short policy briefs associated with ExCo projects for ExCo approval and, in the case of their annual Standards and Labels Achievements report, Mark contracted data collection on behalf of the ExCo and then wrote the commentary in the report himself.

He organises the agendas for monthly management group meetings with the Chair, vice-chairs, and annex leads. These are tight one-hour long business meetings, the main purpose of which is to advise Mark on how to proceed on various things. This frees up the Chair for her day job. Mark reckons that the Chair spends roughly ½ a day per month on the role, outside of the ExCo meetings themselves. He will send her roughly 10 items a month for the consideration of the Chair (e.g. a request to do something, or a suggested course of action for which he needs approval). Occasionally he represents the TCP at IEA events, but does not think that this is something to encourage.

As with Dina in IEA AMF, Mark is also acutely aware of the boundary between the roles of ExCo member and secretariat. He knows that his actions are likely to have had some impact on the decisions made by the ExCo but tries to limit this as much as possible.

IEA SHCPam Murphy plays a similar role for IEA SHC as Dina Bacovsky does for IEA AMF. She provides administrative and expert support to the ExCo is not the account manager. She does however do the payment tracking.

In addition to Pam, the common fund pays for a webmaster, a communications specialist, an account manager and sundry other expenses, including an annual statistics report.

IEA HEVJim Miller is the operating agent for the IEA HEV TCP. He provides a similar role to the one that Mark Ellis provides for IEA 4E. He performs both the administrative and expert support function as well as acting as account manager. As a staff member at the Department of Energy (DoE), the US government contracting party, he represents the TCP from time-to-time.

Jim spends between 1/3 and ½ of his time performing his IEA HEV duties.

Jim’s time is paid for by DoE, as opposed to the common fund, which means they now have a surplus of funds and are considering paying for some ad hoc ExCo projects. Previous operating agents had been paid for out of the common fund.

IEA ISGANMatthias Stifter is the operating agent for ISGAN, providing a similar role to that provided to IEA 4E and IEA HEV. He plans to spend around 25%-33% of his capacity providing the OA role (and is supported by two other colleagues who provide an unspecified proportion of their time), but with 25/26 countries and a vibrant work programme it is difficult to do the role in this time allocation. With a large number of countries participating, the costs of the operating agent role grew to around €180 000 per year during the last mandate period, although those costs came down somewhat following a competition for the role in

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the current mandate period.

The Chair and 4-5 vice-chairs meet with the operating agent every week. There are lots of publications and support work for representatives presenting at events, and their own events to organise.

During the most recent year, as operating agent he oversaw the setting up of a collaborative Sharepoint site hosted by his organisation for the TCP and provided support for the development of a strategic engagement plan to promote the TCP to new countries.

Appendix to Annex 5: IEA AMF Expert Secretary dutiesSecretary position description

The Secretary acts as an Administrative Assistant to the IA Chairman and the Executive Committee.The Secretary shall carry out its functions under the supervision of the Executive Committee and its Chairman. The Secretary is a member of the Executive Committee in an advisory capacity with no voting rights.

Flexibility in hours and schedule is a requirement as the workload peaks around the twice-yearly meetings.

Although the position of Secretary is a part-time one, it should take precedent over any other work commitments the Applicant may have.

English is the working language.

Overview of duties1 Assist the Executive Committee and its Chairman in carrying out their

responsibilities in everyday business of the Agreement

2 Make and distribute agendas, Minutes and other documents of Executive Committee meetings

3 To cooperate with Delegations to organise Executive Committee meetings

4 Prepare Annual Reports of the AMF activities

5 Ensure that IEA regulations and the IA text is followed

6 Keep a logbook of, e.g., activities and correspondence to ensure continuity, of the work of the Committee

7 Participate in preparing annual budgets for the IA

8 Act as Liaison between: the IA and IEA (Secretariat, CERT and EUWP), the IA and the Annex Operating Agents and between the Committee and the Delegations

9 Assist the Executive Committee in the overall co-ordination of the work in the different Annexes, guide Operating Agents in financial and administrative issues

10 Undertake such other activities as may be required by the Executive Committee to assist it in carrying out its responsibilities under this Agreement, e.g., represent the Chairman or the Committee at various IEA meetings

11 Assist the Chairman in marketing the Agreement and soliciting new members.

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ReferencesA. Bojanowski (2018), Forscher ringen um neuen Uno-Klimabericht, Spiegel Online, http://www.spiegel.de/wissenschaft/natur/umstrittener-entwurf-forscher-ringen-um-neuen-uno-klimabericht-a-1194646.html.

Clean Energy Ministerial (2018), CEM8 Roundtables Summary Report, http://www.cleanenergyministerial.org/sites/default/files/2018-03/CEM8_RT_Summary_Report.pdf

IEA (2015), Energy Efficiency Behaviour Workshop, https://www.iea.org/workshops/energy-efficiency-behaviour-workshop.html

IEA (2016), Influencing Behaviour and Decision-making in Businesses and other Organisations towards increased Energy Efficiency, https://www.iea.org/workshops/influencing-behaviour-and-decision-making-in-businesses-and-oth.html

IEA (2016a), IEA Workshop on Transport, Energy Efficiency & Behaviour, https://www.iea.org/workshops/workshop-on-transport-energy-efficiency--behaviour.html

IEA (2017), Digitalization & Energy, OECD/IEA, Paris.IEA DSM (2018), Strategic Plan, http://www.ieadsm.org/strategic-plan/.

Stanford Graduate School of Business (2018), Defining Social Innovation, Stanford, https://www.gsb.stanford.edu/faculty-research/centers-initiatives/csi/defining-social-innovation.

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