End-Use Energy Efficiency: National Plan for Regional Energy Challenge 26 - 27 July, 2010

1. Euro-Mediterranean
Energy Market Integration Project
Germany
France
Lebanon
Implication of the Arab EE Directive
Belgium
to the mandated National Entities
Ammar Al-Taher/MED-EMIP
End Use Energy Efficiency: National Plans for
Regional Energy Challenges
Tunis, 26th – 27th, July, 2010
“The contents of this publication are the sole responsibility of the
author and can in no way be taken to reflect the views of the
European Union”.
This project is funded
by the European Union

2.  Arab EE Directive implications
 Case study -sharing experience: Presentation of the Croatian
NEEAP
 GTZ Project “Energy Efficiency in SEE The NEEAP as milestone
on the way into the EU”
 Way forward
This project is funded
by the European Union

3. Input=100 End use =1
η= 42 η= 97 η= 94 η= 2
Efficacy 20 lm/W
Overall luminous efficiency 2%
This project is funded
by the European Union

4.  Political support
at the Heads of
States level and at
the Minister’s Level
Now it is at our
level
It is up to us to
make a difference
Needed TA is
This project is funded
by the European Union
available

5. Article 3-1 Sets national indicative savings targets upon adoption of the
Directive:
 Each government shall set and indicative target in GWhr to be achieved
by the 10th year (i.e. 2020) through energy services and other energy
efficiency measures.
 The target is to be set and calculated in accordance with annex A
This project is funded
by the European Union

6. GWhr
2020Indicative
2020 Target
% target
8 9
7
today
6
4 5
3
1 2
Baseline
1
2014
2006
2007
2008
2009
2011
2012
2013
2015
2016
2017
2018
2019
2020
2010
This project is funded
by the European Union
Time

7. Article 3-1 Sets national indicative savings targets upon adoption of the
Directive:
 Each government shall set and indicative target in GWhr to be achieved
in the 10th year (i.e. 2020) through energy services and other energy
efficiency measures.
 The target is to be set and calculated in accordance with annex A
 savings target, to be achieved via cost effective practicable and
reasonable measures.
 Annex B provides samples for eligible measures
 The general framework for measurement and verification of savings will
be prepared later
This project is funded
by the European Union

8. Water Street
Residential Tertiary Industry
pumping lighting
sector sector sector
sector sector
Cross-sectorial
Horizontal measure
This project is funded
by the European Union

9. (a) cooling and heating (e.g. efficient air conditioners heat pumps, new efficient boilers,
installation/efficient update of district cooling systems, );
(b) insulation and ventilation (e.g. wall cavity and roof insulation, double/triple glazing of
windows, passive heating and cooling);
(c) hot water (e.g. installation of new devices, direct and efficient use in space heating, washing
machines);
(d) lighting (e.g. new efficient bulbs and ballasts, digital control systems, use of motion detectors
for lighting systems in commercial buildings);
(e) cooking and refrigeration (e.g. new efficient devices, heat recovery systems);
(f) other equipment and appliances (e.g. combined heat and power appliances, new
efficient devices, time control for optimized energy use, stand-by loss reduction, installation of
capacitors to reduce reactive power, transformers with low losses);
(g) domestic generation of renewable energy sources, whereby the amount of
purchased energy is reduced (e.g. solar thermal applications, domestic hot water, solar-
assisted space heating and cooling);
This project is funded
by the European Union

10. (h) product manufacturing processes (e.g. more efficient use of compressed air,
condensate and switches and valves, use of automatic and integrated systems,
efficient stand-by modes);
(i) motors and drives (e.g. increase in the use of electronic controls, variable speed
drives, integrated application programming, frequency conversion, electrical motor
with high efficiency);
(j) fans, variable speed drives and ventilation (e.g. new devices/systems, use of
natural ventilation);
(k) demand response management (e.g. load management, peak shaving control
systems);
(l) high-efficiency cogeneration (e.g. combined heat and power appliances);
This project is funded
by the European Union

11. (p) standards and norms that aim primarily at improving the energy efficiency
of products and services, including buildings;
(q) energy labeling schemes;
(r) metering, intelligent metering systems such as individual metering
instruments managed by remote, and informative billing;
(s) training and education that lead to application of energy-efficient
technology and/or techniques;
This project is funded
by the European Union

12. (t) regulations, taxes etc. that have the effect of reducing energy end-use
consumption;
(u) focused information campaigns that promote energy efficiency
improvement and energy efficiency improvement measures.
This project is funded
by the European Union

13. Article 3.2
 Each MS :
 to prepare a NEEAP
 to implement necessary measures
 Assign the Responsibility for oversight, verification and
reporting to one or more new or existing authorities or agencies.
 NEEAP are to be prepared for a three year period from Directive adoption
date and including a set interim target.
 The NEEAP is to be reviewed annually to make sure that it fulfills its
objectives.
Article 3.3
 A new 3 year NEEAP is to be prepared after the completion of the old one
This project is funded
by the European Union

14. GWhr
2020 Indicative
3st
interim
Target
2st target
interim
target
1st
interim 8 9
target 7
today
6
4 5
3
1 2 1 2 3
1 2 3 3st NEEAP
1 2 3
2st NEEAP
1
1st NEEAP
2014
2006
2007
2008
2009
2011
2012
2013
2015
2016
2017
2018
2019
2020
2010
This project is funded
by the European Union
Time

15. Planning
1st NEEAP 2st NEEAP 3st NEEAP
2012
2013
2014
2015
2016
2017
2018
2019
2020
2011
Review
Review
Review
Control
This project is funded
by the European Union

16. Article 4 addresses end-use efficiency in the public sector.
Article 4.11It requires each government to make sure that the public sector:
 is fulfilling its exemplary role under this directive.
 to be effective in telling consumers about the exemplary role and actions
of the public sector in saving energy.
Article 4.2 MS assures that the public sector implements the efficiency
measures focusing on the most cost effective measures. Such measures
can include legislative measures, voluntary measures and measures
listed in annex B
.
This project is funded
by the European Union

17. Article 4.3
 MS to include guidelines for using energy savings as an assessment
criterion in competitive tendering for public contracts.
 In addition, the Public Sector in Member States must select two
mandatory measures from a list in Annex C, requiring energy-efficient
public procurement, energy audits and energy performance contracting.
This project is funded
by the European Union

18. a) requirements concerning the use of financial instruments for
energy savings, including energy performance contracting, that
stipulate the delivery of measurable and pre-determined energy savings
(including whenever public administrations have outsourced
responsibilities);
b) requirements to purchase equipment and vehicles based on lists of
energy-efficient product specifications of different categories of
equipment and vehicles to be drawn up by the authorities or agencies
referred to in Article 4(4), using, where applicable, minimized life-cycle
cost analysis or comparable methods to ensure cost-effectiveness;
c) requirements to purchase equipment that has efficient energy
consumption in all modes, including in standby mode, using, where
applicable, minimized life-cycle cost analysis or comparable methods to
ensure cost-effectiveness;
This project is funded
by the European Union

19. d) requirements to replace or retrofit existing equipment and
vehicles with the equipment listed in points (b) and (c);
e) requirements to use energy audits and implement the resulting
cost-effective recommendations;
f) requirements to purchase or rent energy-efficient buildings or
parts thereof, or requirements to replace or retrofit purchased or
rented buildings or parts thereof in order to render them more
energy-efficient.
This project is funded
by the European Union

20. Article 4.4 MS to Assign the administrative and executive responsibility for
implementing the requirements of this chapter. They may be the same as
those referred to in article 2.2. Designated agencies - which may be those
appointed under Article 4, - will be responsible for ensuring the public
sector fulfils its exemplary role. These agencies must co-operate with the
LAS in the promotion of awareness of best energy saving practices,
including on public procurement
This project is funded
by the European Union

21. Article 5 covers energy distributors, distribution system operators and retail
energy sales companies.
Article 5.1 It requires governments to ensure that such entities:
a. offer aggregated statistical information annually regarding their final
customers, to the agencies designated under Article 4 (or equivalent
organizations). It must be sufficiently detailed to properly design and
implement energy saving programs. It must include current information
on end-user consumption, including, where applicable, load profiles,
customer segmentation and geographical location of customers. This
should respect commercially sensitive information. It may include historic
data.
b. These businesses must not do anything to hinder the development of, or
impede the market for, the delivery of energy efficiency. Governments
must step in to stop any such practices.
This project is funded
by the European Union

22. Article 5.2 Governments will ensure that these businesses do one or more of
the following:
 Offer competitively priced energy services to customers
 Offer their customers competitively priced energy audits, and/or energy
efficiency improvements
 Make finance, equivalent to delivering the above, available to fund energy
audits (see Article 10 related to EE Fund)
Article 5.3 Either additionally or alternatively, governments must:
i. separately set up schemes which deliver the same type of benefits as
above. Details of such schemes must have clear and unambiguous
objectives; they must be made publicly available prior to introduction,
with other stakeholders encouraged to comment.
ii. Governments must ensure that there are sufficient incentives, and a level
competitive playing field, to ensure that any organization can offer and
implement energy services, energy audits and improvement measures.
This project is funded
by the European Union

23. Article missing (item 15 page 2) 5.4 metering & Informative Billing:
 requires Governments to ensure that customers have meters that provide
actual overall and time-of-use consumption levels. Such meters must
always be installed for new or refurbished buildings, or when an existing
meter is replaced - although such provision must be "financially
reasonable and proportionate to the potential energy savings".
 It also requires governments to ensure that all energy bills are provided
frequently, based on actual consumption, and easily comprehensible. The
bill should also, where appropriate, provide information on past
consumption levels and comparable premises, together with contact
details including websites for consumer and energy efficiency advice
agencies.
This project is funded
by the European Union

24. Article 6 deals with the availability of information.
Article 6.1 MS shall ensure that information on energy efficiency mechanisms
and financial &legal frameworks adopted with the aim of reaching the
national indicative saving target is transparent and widely disseminated
to the relevant market actors.
Article 6.2 They also ensure that greater efforts are made to promote end use
efficiency . They shall establish appropriate conditions and incentives for
market operators to provide more information and advise to end users.
Article 6.3 LAS will ensure the widespread dissemination of best energy-
saving practices in Member States as well as working on learning from
similar international experiences.
This project is funded
by the European Union

25. Article 7
 With a view to achieve a high level of technical competence, objectivity
and reliability,
governments, where they consider it necessary, to ensure the availability
of appropriate qualifications, accreditation and certification schemes for
the:
 providers of energy services,
 energy audits
 and energy efficiency improvement schemes.
This project is funded
by the European Union

26. Article 8 covers financial instruments for energy savings.
Article 8.1 Governments must make sure no legislation exists that
unnecessarily or disproportionately impedes or restricts the use of
financial instruments for energy savings - unless these are of a clearly
fiscal nature.
Article 8.2 Governments (or their agents referred to in article 4.4) must offer
model contracts (performance contracts), forms (tendering) and
procedures (PROSOL) for financial instruments for energy efficiency
improvements.
This project is funded
by the European Union

27. Article 9
Article 9.1 requires governments to restructure its electric tariff, in order to
promote energy efficiency.,without adversely affecting targeted social
segments,
Article 9.2 They can impose public service obligations regarding
energy efficiency on those operating in the electricity sectors.
This project is funded
by the European Union

28. Article 10 Governments are obliged to make available the required financial
resources to support and implements it energy efficiency programs and
other measures for promoting energy efficiency as well as improving the
market for energy efficiency services.
 Article 10 allows governments to create energy efficiency subsidy funds
which are open to any company. If created, these must include promoting
energy auditing, financial instruments for energy savings, and (where
appropriate) improved metering and informative billing. They must
target end-use sectors with higher transaction costs and higher risks.
They can offer loans, grants or financial guarantees, so long as they do
not compete with commercially-financed energy efficiency improvement
measures. It is up to governments to decide which consumers should
benefit.
This project is funded
by the European Union

29. Article 11 concerns energy audits.
 Governments must ensure the availability of efficient, high-quality energy
audit schemes that can be carried out in an independent manner by
ESCOs and Distribution Co. These should identify energy efficiency
improvement measures
This project is funded
by the European Union

30. Article missing (item 15 page 2) metering & Informative Billing:
 requires Governments to ensure that customers have meters that provide
actual overall and time-of-use consumption levels. Such meters must
always be installed for new or refurbished buildings, or when an existing
meter is replaced - although such provision must be "financially
reasonable and proportionate to the potential energy savings".
 It also requires governments to ensure that all energy bills are provided
frequently, based on actual consumption, and easily comprehensible. The
bill should also, where appropriate, provide information on past
consumption levels and comparable premises, together with contact
details including websites for consumer and energy efficiency advice
agencies.
This project is funded
by the European Union

31. Article 12 The Committee
 The “RE/EE Expert Committee” established by the decision of the Council
of Arab Electricity Minister no 127 and it supporting working teams are
mandated the responsibility of the implementation of this directive in
coordination with regional and international organizations and
specialized research center.
This project is funded
by the European Union

32. Article 12: Entry Into Force
Article 12.1 MS to implement the needed legislation and administration for the
implementation of this directive when they see appropriate.
Article 12.2 Ms states to submit to LAS their relevant national legislation in
relation to the adoption of the directive on the national level.
Article 12.3 This directive in directed to LAS MS. Each MS, based on its needs
and plans, decides when to adopt the directive
This project is funded
by the European Union

33. This project is funded
by the European Union

34. Situation before:
 Lack of sound, clear and documented energy
efficiency strategy fully harmonized with EU acquis
Solution:
 the Ministry in cooperation with UNDP Croatia
initiated the development of Energy Efficiency Master
Plan for Croatia
EE Master Plan –basis for 1stNational Energy Efficiency
Action Plan (NEEAP)
This project is funded
by the European Union

35.  Lack of energy efficiency strategy(programme) both on a
national and local (regional) level with quantified goals for
short-, mid-and long-term energy efficiency improvements
 Incomplete legislative framework for energy efficiency(energy
legislation)
 Insufficient administrative and institutional capacities for
implementation of energy efficiency strategy (programme)
 Insufficient economic and financial support mechanisms for
energy efficiency (fiscal legislation, public procurement, etc.)
 Lack of demand for energy efficient products and services
→underdeveloped energy efficiency market →need for
information and promotional activities
This project is funded
by the European Union

36. To obtain a well-documented energy efficiency strategy for Croatia:
 Definition of short-, medium-and long-term quantified goals for energy
efficiency improvements on the national level and separately, for every
sector
 Identification of and elaboration on all prerequisites necessary for
successful implementation of defined action plan, including
identification of key stakeholders and definition of their role and
responsibilities;
 List of eligible measures for achieving defined goals for every end-use
sector: residential, services, industry, transport;
 Addressing cross-sector and horizontal issues;
 Giving guidelines for monitoring and verification of achieved results in
energy savings and reduction of greenhouse gasses.
This project is funded
by the European Union

37. EU End Use
Croatian Energy
Energy Efficiency
Strategy &
Directive & EU
Legislation
acquis
EE Master
Plan
Implementing Measurement &
Targets Sector programs Cross-cutting issues
instruments verification
• National energy • Completion of • Residential, • Climate change • Guideline for
end-use efficiency legislative • Public services • Renewables energy savings
improvement formwork • Commercial • R&D measurements and
target according to • Strengthen services verification
• Public awareness
EE Directive institutional • Top-down
• S&M industries campaign
• Recommendations capacities • Bottom-up
• Auditing programs
for benchmarking • Financing EE
EE and CO2 • Labeling and
projects &
indicators energy
programs (Loans,
performance
taxation system)
standards
• Involvement of
• Energy metering
energy sector
and informative
• Stakeholders billing
responsibilities
This project is funded
by the European Union

38. This project is funded
by the European Union

39. National EEI target allocated to four main sectors: residential, tertiary,
industry and transport
 Reason for allocation: to be able to monitor effectiveness of
proposed measures at a more disaggregated level
 The sector allocation of the national target is primarily based on
the following:
 the proportion of individual sectors within the final energy consumption
 the potentials for efficiency improvements and
 the level of policy interventions in the sector
This project is funded
by the European Union

40. This project is funded
by the European Union

41.  Indicative national energy-saving targets and breakdown
according to sectors
 Coherent policy package, cross-sectoral thinking (to exploit
potential cost-effective energy savings in an economically
efficient way)
 Exemplary role of public sector
 Strengthening of the market for energy services
 Information on energy efficiency improvement programmes and
measures are widely disseminated to relevant market actors
 Estimating and measuring the savings
 Availability of resources for financing energy efficiency
improvement programs & measures
This project is funded
by the European Union

42. How to meet the quality criteria and to get the EU-approval?
This project is funded
by the European Union

43. NEEAP derives from the Energy Efficiency Strategy Development Process
(Example: Germany)
This project is funded
by the European Union

44. Benefits of process-based NEEAP
 Efficiency through coherence of measures and evaluation of their
cost-effectiveness
 Broad acceptance and thus, high feasibility due to stakeholder
involvement
 Stakeholder dialogue during the process gives an idea about roles
& responsibilities for the implementation and about training needs
 Institutional building & capacity building for obtaining a fully
supportive legal and institutional framework
 Approval by the EU Commission
This project is funded
by the European Union

45. 5. Success factors for the NEEAP-process
 Commitment of the national government
 Clear mandate to a selected authority (e.g. Energy
agency, Ministry of Energy, Ministry of Economic
Affairs
 Dealing with energy efficiency as „energy resource“,
that also means involving the Ministry of Finance
 Availability of financial and human resources
This project is funded
by the European Union

46. Regional/ international expert team
Developing Energy Efficiency Strategies and NEEAPs in X countries
Capacity building of national experts (e.g. workshops, seminars)
This project is funded
by the European Union

47. Euro-Mediterranean
Energy Market Integration Project
Germany
France
Lebanon
Belgium
The Start
This project is funded
by the European Union