Achieving Zero, by Dr Brenda Boardman of the Environmental Change Institute, says there needs to be a shift in emphasis from energy purchase to energy services.
The report, commissioned by Greenpeace, recommends using personal carbon allowances and display energy certificates to complement existing policies.
It asserts that energy demand could be reduced from 477TWh of gas and oil and 200TWh of electricity to 100TWh of renewable electricity.
Greenpeace chief scientist Doug Parr said: “This report makes the simple case that we need a proper plan, as doing nothing is not an option. The savings that could be made by the government by implementing the recommendations in the report are staggering. The energy that could be saved is nearly 500 times larger than energy used to run London Underground system or 10,000 times greater than the energy used each year to keep MPs and Lords warm and well-lit in Parliament.”