ABSTRACT
This chapter explores Scottish energy policy in some detail and assesses how successful it has been in achieving its stated objectives. Energy policies around the world, including in the EU, the UK and Scotland, acknowledge the policy "trilemma" of: improving the environment; ensuring security of energy supply; and enhancing energy affordability. Much of energy policy, including regulation, was reserved to Westminster in the original devolution settlement that established the Scottish Parliament in 1999 and this has not changed to any significant degree. The Scottish Government uses the 2005-2007 total final energy consumption as the base for the target cut of 12 percent of total energy consumption by 2020. Total final energy consumption varies, reflecting its dependence on factors such as the weather and the state of the economy. Energy efficiency improvements essentially reduce the relative price of a unit of effective energy and so actually stimulate the demand for energy measured in efficiency units.
