What do we mean by MTOE

MTOE is the acronym for Million tonnes of Oil Equivalent.  It is a unit to quantify the amount of energy which is released by the burning of a million tonnes of crude oil.  

Different fuels have different MTOE values.  The OECD defines one tonne of energy equivalent for crude oil to be 11,630 kWh.  That is, 11630 units can be produced from one tonne of crude oil. 

MTOE is important as it helps one understand how many units of electricity can be from an given fuel.  This depends on the calorific value of the fuel and the efficiency of the generating process. 

Hydroelectricity can also be quantified in terms of MTOE (million tonnes of Energy Equivalent).  When we say that Brazil has 89.6 tonnes of oil equivalent in hydroelectricity.  It means that the power generated by the total hydroelectric resources and infrastructure is equal to the power which could be generated by 89.6 tonnes of oil.

MTOE is a unit which helps compare the potential and contribution of different sources of power such as hydroelectricty, wind electricity, etc. 

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