status of development of esco market and policies in ... · status of development of esco market...

18
Status of development of ESCO market and policies in Bosnia and Herzegovina Ministry of Foreign Trade and Economic Relations Biljana Trivanovic Geneva, 18th April 2013. UNECE EE21 Group of Experts on Energy Efficiency Investments for Climate Change Mitigation

Upload: doankhue

Post on 04-May-2019

213 views

Category:

Documents


0 download

TRANSCRIPT

Status of development of ESCO market and policies in Bosnia and Herzegovina

Ministry of Foreign Trade and Economic Relations

Biljana Trivanovic

Geneva, 18th April 2013.

UNECE EE21 Group of Experts on Energy Efficiency

Investments for Climate Change Mitigation

Current situation B

osn

ia a

nd

He

rze

go

vin

a P

rese

nta

tio

n

Min

istr

y o

f F

ore

ign

Tra

de

an

d E

co

no

mic

Rela

tio

ns

In the recent period Bosnia and Herzegovina made significant step

forward when it comes to the energy efficiency (EE) development.

Both on state and entity levels a lot of activities were done in order to

develop energy efficiency legal framework, to promote EE, raise

awareness in this filed and attract foreign and domestic investors to invest

in EE projects.

Our goal is to make stimulating legislative, regulatory, institutional and

financial framework for EE that will also enable and promote development

of ESCO model in BiH

Currently, development of EE in BiH is manly based on the fulfillment of

commitments defined within various international treaties and agreements

Also within various programmes and projects that are implemented or

currently ongoing in BiH a lot of activities in EE field have been done, that

will in practical term show all benefits of EE and make very good base for

future development of ESCO

Current situation

By signing Energy Community Treaty (EnC) BiH committed itself, inter

alia, to transpose EU directives related to the EE into national legislation.

All EnC member states, including BiH, are obliged to make reduction in

final energy consumption by 9% compared to base state in 2010, in period

2011 -2018.

In accordance with requirements of EE Directive 2006/32/EC BiH

prepared First National Energy Efficiency Action Plan (NEEAP)

After necessary EE laws at entity levels been adopted, development of

the EEAPS at the local, and the level of public institutions and large

consumers will start

In both entities a fund for environmental protection and energy efficiency

are established

Bo

sn

ia a

nd

Herz

ego

vin

a P

rese

nta

tio

n

Min

istr

y o

f F

ore

ign

Tra

de

an

d E

co

no

mic

Rela

tio

ns

Legislative framework

Transposition of EU Directives

Directive 2006/32/EC on energy end-use efficiency and energy

services

Indicative targets for reduction of energy

consumption

Promotion of EE in end-use and energy

service sector

Directive 2010/31/EU on the energy performance of buildings

Requirements for energy performance of

buildings

Energy certification

Inspection of heating and air-conditioning

systems

Directive 2010/30/EU on the indication by labeling and

standard product information of the consumption of energy and

other resources by energy-related products

Bo

sn

ia a

nd

He

rze

go

vin

a P

rese

nta

tio

n

Min

istr

y o

f F

ore

ign

Tra

de

an

d E

co

no

mic

Re

lations

Legislative framework

Legislative framework in the field of energy efficiency is at the entity level

Drafts of EE laws are prepared in both entities and they are in process of

adoption:

FBiH - Draft law on Energy efficiency

RS – Draft law on Energy efficiency

RS- Draft law on Spatial Planning and Construction

Drafts of secondary legislation have been prepared and will be subject of

approval in entities after adoption of above mentioned laws

All mentioned laws are in accordance with the EU directives and

requirements and as such will be base for future development of ESCO

model

Some segments of the building construction regulations are already in

force in the FBiH, but it is necessary to continue its harmonization with

EU directives

Bo

sn

ia a

nd

Herz

ego

vin

a P

rese

nta

tio

n

Min

istr

y o

f F

ore

ign

Tra

de

an

d E

co

no

mic

Rela

tio

ns

NEEAP( National Energy Efficiency Action Plan)

According to the EU Directive 2006/32/EC on energy end-use efficiency and

energy services

Article 4: General target : Member States shall adopt and aim to achieve an overall national indicative

energy savings target of 9 % for the ninth year of application of this Directive, to

be reached by way of energy services and other energy efficiency improvement

measures. Member States shall take cost-effective, practicable and reasonable

measures designed to contribute towards achieving this target.

Bo

sn

ia a

nd

Herz

ego

vin

a P

rese

nta

tio

n

Min

istr

y o

f F

ore

ign

Tra

de

an

d E

co

no

mic

Rela

tio

ns

BiH

FBiH RS

NEEAP

Cantonal EE plans

EnC

Municipal EE plans

Operational EE Plans for Public Institutions

Operational EE Plans for Public Institutions

Large consumers EE plans

Operational EE Plans for Public Institutions

Municipal EE plans

Large consumers EE plans

NEEAP( National Energy Efficiency Action Plan) B

osn

ia a

nd

Herz

ego

vin

a P

rese

nta

tio

n

Min

istr

y o

f F

ore

ign

Tra

de

an

d E

co

no

mic

Rela

tio

ns

Sectoral programs

• Residential sector

• Commercial sector and services

• Industry

• Transport

Cross-sectoral and horizontal programs

• H1: Development and adoption of the basic legislative, regulatory and institutional framework for EE on the Entities and State Level

• H2: Establishment of Information campaign on energy efficiency on the Entities and State Level

• H3: Establishment of Capacity building program on energy efficiency on the Entities and State Level

• H4: Establishment of Information system on energy efficiency on the Entities and State Level, including EE statistics, monitoring and evaluation

• H5: Development and adoption of strategic and planning documents for energy efficiency

• H6: Establishment of institutions on the Entities and State Level playing role of an EE Agency

• H7: Establishment of energy-efficiency funds at entity levels

• H8: Establishment of Municipal Energy Management Units

• H9: Establishment of Regional Energy Efficiency Centres (REES)

• H10: Strengthening Energy Efficiency in Education

• H11: Implementation of qualification accreditation and certification schemes (energy audits)

• H12: Metering and informative billing of energy consumption

NEEAP( National Energy Efficiency Action Plan) B

osn

ia a

nd

He

rze

go

vin

a P

rese

nta

tio

n

Min

istr

y o

f F

ore

ign

Tra

de

an

d E

co

no

mic

Rela

tio

ns

Total final energy consumption Bosnia and Herzegovina

2006 2007 2008 2009 2010

Unit PJ

Final inland energy

consumption within

the scope of ESD

133.79 135.61 139.95 137.85 145.60

Households 76.61 78.46 79.29 82.91 85.09

Commercial and

services 9.23 9.42 9.64 9.89 10.07

Industry (ESD scope) 29.70 28.47 30.09 23.88 28.75

Transport 18.25 19.26 20.93 21.17 21.69

Baseline energy consumption (average of 2006-2010) 138.56

Indicative value of 9% energy saving target in 2018 12.47

Energy saving target in 2018 adopted (9%) 12.47

Intermediate energy saving target in 2012 (0.49%) 0.67

Intermediate energy saving target in 2015 (3.34%) 4.63

Overall indicative target 2018 9% (12,47 PJ)

Residential sector 6,52% ( 5,25 PJ)

Commercial sector and services

16,8% (1,62 PJ)

Industry 17 % (4,82 PJ)

Transport

4% ( 0,87 PJ)

NEEAP( National Energy Efficiency Action Plan) B

osn

ia a

nd

Herz

ego

vin

a P

rese

nta

tio

n

Min

istr

y o

f F

ore

ign

Tra

de

an

d E

co

no

mic

Rela

tio

ns

NEEAP - Financial indicators

Buildings

Study „Energy Efficiency in Buildings in the Contracting Parties of the

Energy Community, Feb 2012, EnCS (ENSI, Norway)“

Overall potential for reduction of final energy consumption in

buildings in BiH has been estimated to 5,11 mil MWh/a, which

would obtain economic savings in amount of 279,3 mil EUR/a, while

the total investment value would reach the amount of 2,12 bil EUR.

In order to implement the predefined targets in buildings sector in

BiH, including the Residential sector and a major part of the

Commercial sector and services, it is necessary to obtain energy

savings in amount of 1,9 mil MWh/a, which would lead to 95 mil

EUR/a of economic savings, with corresponding total investment

value of 730 mil EUR.

Bo

sn

ia a

nd

Herz

ego

vin

a P

rese

nta

tio

n

Min

istr

y o

f F

ore

ign

Tra

de

an

d E

co

no

mic

Rela

tio

ns

Buildings

Study „Energy Efficiency in Buildings in the Contracting Parties of the Energy

Community, Feb 2012, EnCS (ENSI, Norway)“

SECTOR BUILDING TYPE

Savings potential (MWh/a)

Max. savings (%)

Max. investment correspoinding to overall potential (EUR)

Indicative targets until end of 2018, by building type (NEEAP)

Investment to reach the targets (EUR)

Residential Individual houses

2,420,100 16 % 535.5 mil EUR 6.52 % 218 mil EUR

Residential Multi-apartment buildings

1,595,900 28 % 1,043 mil EUR 6.52 % 243 mil EUR

Commercial sector and services

Health care 143,500 37 % 64 mil EUR 16.8 % 29 mil EUR

Commercial sector and services

Education 131,600 34 % 63 mil EUR 16.8 % 31 mil EUR

Commercial sector and services

Other 822,000 33 % 411 mil EUR 16.8 % 209 mil EUR

NEEAP - Financial indicators B

osn

ia a

nd

Herz

ego

vin

a P

rese

nta

tio

n

Min

istr

y o

f F

ore

ign

Tra

de

an

d E

co

no

mic

Rela

tio

ns

8.600.000 EUR

14.780.000 EUR

23.590.000 EUR

36.460.000 EUR

54.840.000 EUR

77.730.000 EUR

2011

2012

2013

2014

2015

2016

2017

2018

5.000.000 EUR

10.370.000

17.420.000

26.160.000

36.580.000

47.200.000

142.730.000 EUR

2011

2012

2013

2014

2015

2016

2017

2018

25.000.000 EUR

41.700.000 EUR

60.300.000 EUR

80.900.000 EUR

103.400.000 EUR

127.200.000 EUR

2011

2012

2013

2014

2015

2016

2017

2018

Residential sector

216 mil EUR

Commercial sector and services

143 mil EUR

Industry

440 mil EUR

Estim

ate

d a

mo

unt o

f f

un

ds p

rop

osed th

rou

gh

fina

ncia

l

instr

um

ents

with

go

al o

f a

ch

ievin

g ind

icative

ta

rge

ts Draft NEEAP for BiH envisages

implementation of the following financial instruments, as follows: Tax benefits

Soft loans The remaining 245 mil EUR should be covered from own sources.

216

mil

EU

R

Until end o

f 2018.

Residential sector

NEEAP - Financial instruments

Residential sector 461 mil EUR

6,52% (5,25 PJ)

Bo

sn

ia a

nd

Herz

ego

vin

a P

rese

nta

tio

n

Min

istr

y o

f F

ore

ign

Tra

de

an

d E

co

no

mic

Rela

tio

ns

8.600.000 EUR

14.780.000 EUR

23.590.000 EUR

36.460.000 EUR

54.840.000 EUR

77.730.000 EUR

2011

2012

2013

2014

2015

2016

2017

2018

5.000.000 EUR

10.370.000

17.420.000

26.160.000

36.580.000

47.200.000

142.730.000 EUR

2011

2012

2013

2014

2015

2016

2017

2018

25.000.000 EUR

41.700.000 EUR

60.300.000 EUR

80.900.000 EUR

103.400.000 EUR

127.200.000 EUR

2011

2012

2013

2014

2015

2016

2017

2018

Draft NEEAP for BiH envisages

implementation of the following financial

instruments, as follows: Tax benefits Soft loans Subsidies

14

3 m

il E

UR

U

ntil e

nd

of

20

18

.

The remaining 126 mil EUR should be

coverd form own sources

Commercial sector and services

Estim

ate

d a

mo

unt o

f f

un

ds p

rop

osed th

rou

gh

fin

an

cia

l in

str

um

ents

with

go

al o

f a

ch

ievin

g in

dic

ative

ta

rge

ts

Commercial sector and services 269 mil EUR

16,8 (1,62 PJ)

Residential sector

216 mil EUR

Commercial sector and services

143 mil EUR

Industry

440 mil EUR

NEEAP - Financial instruments B

osn

ia a

nd

Herz

ego

vin

a P

rese

nta

tio

n

Min

istr

y o

f F

ore

ign

Tra

de

an

d E

co

no

mic

Rela

tio

ns

8.600.000 EUR

14.780.000 EUR

23.590.000 EUR

36.460.000 EUR

54.840.000 EUR

77.730.000 EUR

2011

2012

2013

2014

2015

2016

2017

2018

5.000.000 EUR

10.370.000

17.420.000

26.160.000

36.580.000

47.200.000

142.730.000 EUR

2011

2012

2013

2014

2015

2016

2017

2018

25.000.000 EUR

41.700.000 EUR

60.300.000 EUR

80.900.000 EUR

103.400.000 EUR

127.200.000 EUR

2011

2012

2013

2014

2015

2016

2017

2018

Residential sector

216 mil EUR

Commercial sector and services

143 mil EUR

Industry

440 mil EUR

17% (4,82PJ)

Draft NEEAP for BiH envisages

implementation of the following financial

instruments, as follows: Soft loans Self financing

44

0 m

il E

UR

Until e

nd

of

20

18

Industry

NEEAP - Financial instruments

Estim

ate

d a

mo

unt o

f f

un

ds p

rop

osed th

rou

gh

fin

an

cia

l in

str

um

ents

with

go

al o

f a

ch

ievin

g in

dic

ative

ta

rge

ts

Bo

sn

ia a

nd

Herz

ego

vin

a P

rese

nta

tio

n

Min

istr

y o

f F

ore

ign

Tra

de

an

d E

co

no

mic

Rela

tio

ns

In order to implement cross-sectoral and horizontal programs it is needed to obtain

financing mostly allocated by the budgets of institutions responsible for

implementation. Remaining financing could be obtained by international donor

organizations.

Cross-sectoral and horizontal programs

NEEAP - Financial instruments

Total 52 mil EUR

Bo

sn

ia a

nd

Herz

ego

vin

a P

rese

nta

tio

n

Min

istr

y o

f F

ore

ign

Tra

de

an

d E

co

no

mic

Rela

tio

ns

Barriers and challenges to ESCO development

BiH has significant potential for improving Energy Efficiency and by it, for

development of ESCO model.

The main barrier for ESCO development in BiH is non-existing of

necessary regulatory framework that will define the best way of

establishing and functioning of ESCO model

Lack of knowledge when it comes to the principle and benefits of ESCO

concept , within both public and private sector as well as in commercial

banks.

ESCO project management requires a high interdisciplinary expertise and

experience. Apart from the technical experience, it is needed that expert

team have required extensive knowledge of banking procedures, legislation

and all elements of the financial engineering.

In the initial stage of development of ESCO model in BiH a transfer of

knowledge and experience is needed.

Some companies in BiH are working on base of ESCO concept, but it is

necessary to have systematic approach in development of ESCO

Bo

sn

ia a

nd

Herz

ego

vin

a P

rese

nta

tio

n

Min

istr

y o

f F

ore

ign

Tra

de

an

d E

co

no

mic

Rela

tio

ns

Factors for promoting and further development of ESCO

The EBRD established a Regional Energy Efficiency

Programme for the Western Balkans(REEP) .

The Programme is accepted and welcome in BiH.

Programme consists of three windows :

1st window – Institutional capacity building/ regulatory support

and new product development for public sector EE:

• Theme 1: ESCO projects ( Legal and technical)

• Theme 2: General Energy Efficiency policy dialogue (tariff

reforms, EPBD, public procurement )

2nd window - Credit lines for financing of smaller scale sub

projects in public and private sector, including ESCOs,

intermediated by local participating banks

3rd window – Direct financing for medium-sized renewable

energy and energy efficiency measures, including for ESCOs

Bo

sn

ia a

nd

Herz

ego

vin

a P

rese

nta

tio

n

Min

istr

y o

f F

ore

ign

Tra

de

an

d E

co

no

mic

Rela

tio

ns

THANK YOU FOR YOUR ATTENTION!

Biljana Trivanovic,

[email protected]

UNECE EE21 Group of Experts on Energy Efficiency

Investments for Climate Change Mitigation, Geneva,18th April 2013