Apollo’s Expert Briefing Series is a monthly virtual roundtable focused on a variety of infrastructure and transition investing topics. Moderated by Jonathan Silver, Chair of Apollo’s Global Sustainability Platform, these 45-minute discussions share insights from the industry’s top experts for Apollo clients and prospects. Register today to access the full library of Expert Briefing conversations and join us for future sessions.
Jonathan Silver and panelists Jon Creyts, Paula Glover and Roger Ballentine discuss how energy efficiency is evolving from a traditional cost-saving measure into a strategic component of long-term U.S. electricity system planning. As electricity demand grows because of AI, data centers, electrification, and industrial activity, the discussion highlights how improving energy productivity complements investments in new generation, transmission, and grid infrastructure.
The discussion begins by distinguishing energy efficiency from energy conservation, two concepts that are often used interchangeably but represent different approaches to managing energy use. While energy conservation reduces energy use through behavioral changes, energy efficiency improves how energy is used through technology, equipment, and system design, delivering the same or better outcomes with less energy. As electricity demand grows, improving energy productivity is becoming an increasingly important approach to managing future electricity demand.
Growing electricity demand is reshaping the role of energy efficiency across the electricity system. Rather than serving solely as a cost-saving or sustainability initiative, energy efficiency is increasingly viewed as a complement to new generation and grid infrastructure. Improving energy productivity reduces pressure on generation, transmission, and distribution systems while strengthening grid reliability, supporting affordability, and helping meet future electricity demand. Demand-side resources, including energy efficiency, demand response, and distributed energy resources, are playing a larger role in long-term electricity planning.
The panelists examine how utility regulation has evolved from rewarding electricity sales to increasingly incorporating energy efficiency into electricity system planning. Mechanisms such as decoupling, performance-based regulation, and shared savings have expanded utility incentives, while demand response, distributed energy resources (DERs), virtual power plants (VPPs), and grid-enhancing technologies are improving grid utilization. In the U.S., state utility programs, appliance standards, evolving Department of Energy (DOE) priorities and Federal Energy Regulatory Commission (FERC) initiatives continue to influence energy efficiency deployment, affordability, and grid flexibility.
Beyond policy and regulation, the panelists examine why many energy efficiency projects remain difficult to implement despite attractive long-term economics. Capital allocation decisions, competing business priorities, split incentives, and internal investment processes continue to slow investments. Successful deployment depends not only on technology, but also on effective implementation through utility and regulatory coordination, accessible program design, and attention to customer affordability.
Active efficiency is expanding the use of software, automation, and connected systems to manage energy use dynamically. Smart controls, connected buildings, digital twins, and advanced energy management platforms support real-time optimization, improve asset utilization, and increase grid flexibility. The discussion highlights potential investment opportunities across building technologies, industrial equipment, electric motors, heat pumps, and AI-enabled software platforms.
Overall, electricity systems in which demand-side solutions are playing a larger role alongside investment in new supply and grid infrastructure. Energy efficiency is moving beyond a traditional cost-saving framework and becoming a more prominent consideration in utility planning, corporate capital allocation, and technology investment.
Energy conservation focuses on reducing energy consumption through behavioral changes, while energy efficiency improves energy productivity through technology, equipment, and system design. Energy efficiency delivers the same or better outcomes using fewer energy inputs, helping reduce electricity demand without sacrificing performance.
Federal and state policy changes are reshaping energy efficiency programs by shifting priorities toward demand response, grid flexibility, and technologies that help manage growing electricity demand. Appliance standards, utility programs, and regulatory priorities continue to influence long-term energy efficiency deployment.
Utility regulation increasingly recognizes energy efficiency alongside electricity sales, but additional reforms may be needed. Expanding incentives for energy efficiency, demand response, distributed energy resources, and virtual power plants improves grid utilization, reduces infrastructure costs, and supports growing electricity demand.
As transportation, heating, and industry electrify, reducing energy use lowers the need for additional generation, transmission, and distribution infrastructure. Greater efficiency also reduces waste and improves energy productivity across the electricity system.
Competing capital priorities, split incentives, upfront investment costs, and uncertainty around long-term energy prices can delay energy efficiency investments. Better alignment between capital planning, operating costs, and executive decision-making can improve the evaluation of long-term investment opportunities.
Buildings, industrial equipment, electric motors, heat pumps, digital building technologies, and AI-enabled software platforms represent some of the largest investment opportunities across energy efficiency. These technologies improve energy productivity, reduce future infrastructure requirements, and support grid modernization as electricity demand grows.
00:00 Energy Efficiency Fundamentals
04:00 Efficiency vs. Conservation
09:00 Policy & Regulatory Landscape
13:00 Utilities, Grid Modernization & Demand Growth
20:00 Financing, Capital Allocation & Market Barriers
29:00 Electrification & System Efficiency
32:00 Active Efficiency & Digital Technologies
38:00 Investment Opportunities & Closing
Tags
THIS IS NOT AN OFFER OF APOLLO’S INVESTMENT ADVISORY SERVICES AND IS NEITHER AN OFFER TO SELL NOR A SOLICITATION OF AN OFFER TO BUY ANY SECURITIES. AN OFFERING IS MADE ONLY BY A PROSPECTUS OR PRIVATE PLACEMENT MEMORANDUM. FOR ADDITIONAL INFORMATION, PLEASE SEE THE LEGAL PAGE OF OUR WEBSITE HERE.
These presentations may not be distributed, transmitted or otherwise communicated to others, in whole or in part, without the express written consent of Apollo Global Management, Inc. (together with its subsidiaries, “Apollo”). The information contained in these presentations does not constitute an offer to sell or the solicitation of an offer to buy, any security, product or service, including investment vehicles or strategies managed by Apollo.
Apollo and its affiliates do not provide investment, tax, legal or accounting advice. These presentations are not intended to provide, and should not be relied on for investment, tax, legal or accounting advice. You should consult your own investment, tax, legal and accounting advisors before engaging in any transaction. Past performance is not indicative nor a guarantee of future results. There can be no assurance that any trends discussed herein will continue.
Apollo makes no representation or warranty, expressed or implied, with respect to the accuracy, reasonableness, or completeness of any of the statements made during these presentations, including, but not limited to, statements obtained from third parties. Opinions, estimates and projections constitute the current judgment of the speaker as of the date indicated. They do not necessarily reflect the views and opinions of Apollo and are subject to change at any time without notice. Apollo does not have any responsibility to update these presentations to account for such changes. There can be no assurance that any trends discussed during these presentations will continue.
Certain statements made throughout these presentations may be “forward-looking” in nature. Due to various risks and uncertainties, actual events or results may differ materially from those reflected or contemplated in such forward-looking information. As such, undue reliance should not be placed on such statements. Forward-looking statements may be identified by the use of terminology including, but not limited to, “may”, “will”, “should”, “expect”, “anticipate”, “target”, “project”, “estimate”, “intend”, “continue” or “believe” or the negatives thereof or other variations thereon or comparable terminology.
Investing involves risk, including loss of principal. Alternative investments often are speculative, typically have higher fees than traditional investments, often include a high degree of risk and are appropriate only for eligible, long-term investors who are willing to forgo liquidity and put capital at risk for an indefinite period of time. They may be highly illiquid and can engage in leverage and other speculative practices that may increase volatility and risk of loss.
© 2026 Apollo Global Management. All Rights Reserved.
