New Insights from Econometric Data: An Extended Exergy Analysis (EEA) of the Italian System, 2013–2017

In the recent past, several examples of the application of Exergy Analysis (ExA) to Very Large Complex Systems, including entire countries, have been published, and it can be fairly said that—while the goals of the individual authors were completely consistent—the results, the conclusions and the recommendations diverge. There are several contingent reasons for this, but the underlying problem is that a purely thermodynamic analysis cannot reproduce the complex influence that monetary, social, political and technological factors have on the purely “material” or “energetic” streams. Clearly, ExA represents a substantial improvement with respect to the “Material and Energy Balance Reports” published annually by most industrialized countries, because the exergy flow diagram unequivocally demonstrates how and at what penalty the primary exergy inflow (fossil fuels, renewables, ores, harvested food and other primary goods) is transformed into final energy, such as diesel fuel, electricity or other commodities. The issue here is, though, that the so-called Externalities (Capital, Labor and Environmental Effects) are, in spite of some opinion to the contrary, completely left out of the picture. It turns out though that ExA can be extended by including the exergy equivalents of the externalities. The theory is called Extended Exergy Accounting (EEA) as a reminder of the inclusion of monetary, labor and environmental “exergy costs” in the global budget. The scope of the study presented in this paper is twofold: First, the introduction of a novel approach based on the exploitation of a very disaggregated dataset, in order to perform the EEA of a whole country; second, the analysis of the results of the application of the method to the Italian society, over a five-year (2013–2017) window of observation, to extract new insights that could be useful to critically assess the trend of the exergy destruction of Italy vs. that of the GDP.