Transcript Energy Performance Contracting – The Example of Berlin and EU-wide Experiences Michael Geissler CEO Berliner Energieagentur GmbH 26 November 2013

Energy Performance Contracting –
The Example of Berlin and
EU-wide Experiences
Michael Geissler
CEO Berliner Energieagentur GmbH
26 November 2013
EPC – The Example of Berlin and
EU-wide Experiences
Contents
 Berlin Energy Agency (BEA)
 Energy Saving Partnership Berlin
© Berliner Energieagentur GmbH
 EU-wide Experiences with EPC
 Lessons Learned and Outlook
EPC – The Example of Berlin and
EU-wide Experiences
© Berliner Energieagentur GmbH
Berlin Energy Agency (BEA)
EPC – The Example of Berlin and
EU-wide Experiences
Berlin Energy Agency (BEA) – Facts and Figures
Established
 in 1992 as Public Private Partnership
Shareholders
 Federal State of Berlin
 Vattenfall Europe
 GASAG
 KfW Banking Group
Equity
2.5 million €
Annual total turnover
12.9 million €
Energy Services
 Contracting
 Consulting
 International Know-How Transfer
Based in
Französische Straße 23
10117 Berlin
Phone:
(030) 29 33 30 - 0
e-mail:
[email protected]
Internet: www.berliner-e-agentur.de
Company earnings (EBIT)
905 k €
Know-how
53 members of staff
© Berliner Energieagentur GmbH
EPC – The Example of Berlin and
EU-wide Experiences
© Berliner Energieagentur GmbH
Energy Saving Partnership Berlin
EPC – The Example of Berlin and
EU-wide Experiences
Energy Saving Partnership Berlin – BEA as Facilitator of EPC
Assignment
Client
(State, hospital, etc.)
Technical-economic requirements,
Negotiations
Consultancy
Berlin Energy Agency
(BEA)
Project Manager
Energy Saving Guarantee Contract
Energy Saving Partner
ESCO
© Berliner Energieagentur GmbH
EPC – The Example of Berlin and
EU-wide Experiences
Energy Saving Partnership Berlin – Main Clients
Schools, Universities
Cultural centres
Trade and
commerce,
housing
associations 5%
Administrative buildings
Hospitals 20%
Sports
facilities
Public
authorities 75%
© Berliner Energieagentur GmbH
Prisons
Hospitals
EPC – The Example of Berlin and
EU-wide Experiences
Energy Saving Partnership Berlin – A Role Model for EPC
Total number of Pools:
26
more than 1,400 buildings
Guaranteed savings in total:
Annual plus to the public household:
€ 11.9 million (26%)
€ 2.7 million
Total CO2 reduction (1996-2012) :
approx. 600,000 t
Total net Investment:
€ 53 million
© Berliner Energieagentur GmbH
EPC – The Example of Berlin and
EU-wide Experiences
Energy Saving Partnership Berlin – General Project Scheme
Public
Authority/
Building owner
remuneration
ESCO
saving guarantee
Facilities/sites
remuneration
natural gas district heat
electricity
oil
Co-ordination
Supply
Technical issues
Utilities
Gas, electricity and/or fuel supply
companies
© Berliner Energieagentur GmbH
EPC – The Example of Berlin and
EU-wide Experiences
Best Practice – Wenckebach Hospital Berlin
 Building:
public-owned hospital with 438 beds
 Baseline:
808,359 €/a
 Guaranteed savings:
39.6% = 320,000 €/a
 Invest:
2.44 m €
 CO2 reduction:
1,789 t/a
 Duration of contract:
12 years (start in 2011)
 Measures:
modernisation of heat distribution, cooling and
ventilation system, installation of CHP unit, webbased energy management system, user trainings
 Special feature:
insulation of top storey ceilings
© Berliner Energieagentur GmbH
EPC – The Example of Berlin and
EU-wide Experiences
Best Practice – Deutsche Oper Berlin (German Opera house)
 Building:
building complex with playhouse, studios,
administration etc. (approx. 60,000 sqm GFA)
 Baseline 2005/06:
651 K€/a
 Guaranteed savings:
35.8% = 233,155 €/a
 Invest (hardware):
1.48 m €
 CO2 reduction:
1,085 t/a
 Contract duration:
12 years
 Obligatory measures: refurbishment of VAC installations, optimization of
cooling plant, hot water generation and CBCS
 Special features:
contribution of 1 m € to construction costs by DOB,
resulting in increase of budget relief from
14,992 €/a to 126,021 €/a
© Berliner Energieagentur GmbH
EPC – The Example of Berlin and
EU-wide Experiences
Best Practice – Berliner Bäder-Betriebe (public swimming pools)
 Pool 12:
11 buildings/swimming pools
 Baseline:
4.9 m €/a (incl. water costs)
 Guaranteed savings:
33.5% = 1.6 Mio. €/a
 Invest:
7.9 m €
 CO2 reduction:
4,938 t/a
 Duration of contract:
10 years (start in 2001)
 Measures:
water saving technology, optimizing filter flushes,
separating water circulations, modernisation of hot
water generation renovation of air conditioning and
lighting
© Berliner Energieagentur GmbH
EPC – The Example of Berlin and
EU-wide Experiences
Best Practice – Berliner Immobilienmanagement GmbH (1)
Pool: 18 office buildings (about 300,000 sqm GFA)
Costs [€/ a]
Share of customer
Share of customer
Energy
before EPC
EPC
Energy costs
costs before
2.755 m €
Contracting rate
Contracting rate
1st
Savings
contract
Reduced costs
1. EPC
25 %
nd contract
Savings
Reduced2 costs
2. EPC
21 %
Reduced
energy costs
after EPC
1996
Start of 1 contract
Start of 1. contract
st
• Renewal of heating pumps and heating circuit
• Use of electronic regulation and building
automation systems for heating and
ventilation
2008
End of 1. contract
End of 1st contract
== Sart
of 2. contract
Start of 2nd contract
• Use of highly efficient heating pumps
• Hydraulic compensation of heating system
• Use of CHP
2018
End of 2nd contract
Time
Time
[years]
[years]
© Berliner Energieagentur GmbH
EPC – The Example of Berlin and
EU-wide Experiences
Best Practice – Berliner Immobilienmanagement GmbH (2)
 Re-tender after expiration of first ESP contracts (Pools 1 + 2)
 Pool 24:
18 office buildings (approx. 300,000 m² GFA)
 Baseline 2007:
2.07 million €/a
 Guaranteed savings:
21% = 433,757 €/a
 Invest:
approx. 2.4 million €
 CO2 reduction:
2,208 t/a
 Duration:
10 years
 Measures (selected):
boiler replacement, CHP-unit, optimizing of
ventilation systems, renewal of CBCS special
feature: obligation of maintenance of all old
systems
© Berliner Energieagentur GmbH
EPC – The Example of Berlin and
EU-wide Experiences
Energy Saving Partnership Berlin – Proven Project Schedule
Project preparation
and development
 Involvement of decision-makers: information and training
workshops for public authorities concerned
 Research of building data (energy cost baseline, user
requirements) and framework conditions (e.g. ESCO market)
 Pre-selection of buildings → on-site visits and energy audits
 Adaptation of EPC model contract to national legislation
Competitive Tendering
 (Pre-tender) ESCO workshop for potential bidders on project
(tender documents, model contract, assessment criteria)
 Call for tender with pre-selected ESCOs
 Evaluation of offers (cost-benefit analysis and evaluation of
technical concept), pre-selection of best offers
 2 rounds of negotiations and determination of best offer
Project
implementation
→ Technical and procedural advice throughout the process
© Berliner Energieagentur GmbH
EPC – The Example of Berlin and
EU-wide Experiences
Energy Saving Partnership Berlin – Experiences and Results
 guaranteed energy savings achieved in most contracts, high savings up to
35 % feasible
 26 contracts operated by 15 different ESCOs, around 100 subcontractors
(regional SMEs) involved in implementation and maintenance
 good quality of saving measures because of expertise of ESCOs,
rising experience and improvement of cost-effectiveness
 additional improvement of maintenance situation by central coordination
through ESCO
 no legal proceedings or need to use bank guarantees so far
 re-tendering after end of contract leads to new investments and additional
savings
→ Success thanks to reliable legal framework, standardized procedures
and contracts together with professional process management
© Berliner Energieagentur GmbH
EPC – The Example of Berlin and
EU-wide Experiences
Additional Challenges for EPC
Experiences with EPC projects have shown the need for a focus on
 integration of building refurbishment measures
involving the building envelope
 energy management systems
as low-cost investment measure
 use of Renewable Energy Sources
© Berliner Energieagentur GmbH
EPC – The Example of Berlin and
EU-wide Experiences
Additional Types of EPC
 EPC plus



Integration of (comprehensive) building refurbishment
measures
Shared financing instruments
First EPC with (small) share of construction measures
 EPC light

Operation and energy management of buildings with saving
guarantee
 Green EPC



Focus on renewable energy technologies
Specific tender objectives and link to subsidy programs
Primary energy consumption as guaranteed element
© Berliner Energieagentur GmbH
EPC – The Example of Berlin and
EU-wide Experiences
Best Practice EPC light – Building pool in Berlin district Pankow
 Buildings:
12 schools, 1 art centre,
1 youth facility,
1 office building
 Baseline 2009:
€ 883,000 €/a
 Guaranteed savings:
10.2% = € 90,037/a
 Share/payment to ESCO: 5.00% = € 44,118/a
„Tesla“ secondary school
 CO2 reduction:
3,973 t/a
 Contract duration:
2 years
 Service of the ESCO:
active optimization of heating and ventilation by
building control systems; analysis of
consumption, monitoring of meters; control of
the invoices of supply companies; energy
reporting every 6 months, weak-point analysis
© Berliner Energieagentur GmbH
EPC – The Example of Berlin and
EU-wide Experiences
© Berliner Energieagentur GmbH
EU-wide Experiences with EPC
EPC – The Example of Berlin and
EU-wide Experiences
EU-wide Capacity Building in Energy Services
Clearcontract – Clearinghouse for Energy Contracting in CEE
• Project duration: 2003-2004
• Model contracts and tender documents (LV, LT, PL, CZ, SLO, SK, BG, H)
• Results: > 10 contracts signed
• Project duration: 2005-2007
• Model contracts and tender documents (A, D, F, FIN, GR, I, N, S)
• Results: 17 new EPC projects kick-started
Clearcontract –
European Energy Service Initiative (EESI)
• Project duration: 2009-2012
• Improving EPC and energy efficiency standards (B, SE, NO, CZ, SK, SI, RO, A, F)
• Results: assistance of 24 EPC pilot projects (incl. 6 advanced EPC), 57 trainings/workshops
© Berliner Energieagentur GmbH
EPC – The Example of Berlin and
EU-wide Experiences
Best Practice – clearcontract
Municipality of Kranj, Slovenia
 Pool:
14 buildings
(office, schools, sport centres)
 Baseline:
€ 350,000/a
 Guaranteed savings:
15%
 Invest:
€ 340,000
 CO2 reduction:
60 t/a
 Contract duration:
15 years (from 2001)
 Measures:
Replacement of boilers and thermostats, installation
of new control centers, adjustment of heating
system, renovation of heat distribution systems,
fitting of thermostats to radiators
© Berliner Energieagentur GmbH
EPC – The Example of Berlin and
EU-wide Experiences
Best Practice – EUROCONTRACT
Municipality of Nyköping, Sweden
 Pool:
130 buildings,
all public remises
 Baseline:
about € 4.7 m/a
 Guaranteed savings:
17% = € 800,000/a
25% = € 1.2 m/a
Achieved savings:
 Invest:
€ 5.5 m
 Contract duration:
6.5 years (from 2003)
 Measures:
Renovation of heating systems, optimization and
retrofit of HVAC system, building control,
operation and maintenance system, targeted
training for the operational staff
Source: Schneider Electric
© Berliner Energieagentur GmbH
EPC – The Example of Berlin and
EU-wide Experiences
Best Practice – EESI (EPC plus)
 Characteristics:
9-storey buildings with single
staircase (36 apartments), built in 1980
 Guaranteed savings:
56.9% = 245.9 MWh/a
 CO2 reduction:
64.9 t/a
 Measures: comprehensive renovation (general insulation of
building, replacement of windows, renovation of
heating and hot water system, reconstruction of
roof, energy monitoring system)
 Renovation of 7 buildings by the end of 2012
with consortium of financial partners and
EU structural funding (23 by the end of 2014)
Source: Ekodoma
© Berliner Energieagentur GmbH
EPC – The Example of Berlin and
EU-wide Experiences
Best Practice – EESI (Green EPC)
 Pool:
14 buildings,
high schools
 Baseline:
about € 2.4 m/a
 Guaranteed savings:
35% = € 606,000/a
 Invest:
€ 36 m
 CO2 reduction:
2,300 t/a
 Contract duration:
20 years (PPP contract, start 2009)
 Measures:
6 wood boilers, 1 heat pump, other new boilers,
district heating connection, insulation of
windows, photovoltaic plants (5,000 m²)
© Berliner Energieagentur GmbH
EPC – The Example of Berlin and
EU-wide Experiences
Lessons Learned – Criteria and Conditions of Success
 Driving force:

Political decision makers and public authorities who take on responsibility
© Berliner Energieagentur GmbH
 Reliable legal framework:

Clear information that EPC is possible

Favourable public procurement rules, tender procedure and accounting
treatment
 Standardized procedures and contracts (while adaptable):

Time and cost-effectiveness for implementation → reliability

Competition and transparency
 Promotion and capacity building

Information and assistance through independent EPC market facilitators
EPC – The Example of Berlin and
EU-wide Experiences
Market Development for Energy Services – Principality of Monaco
 Objectives


Support the Principality of Monaco in introducing
a suitable EPC model
Call for tenders for a pilot project with contract award
 Role of BEA: Consultant





Develop and adapt the EPC model to Monaco
Select public buildings
Train administration officials
Prepare tendering documents
Support the call for tenders and the award of contract for a pilot project
→ establish a framework for EPC projects in Monaco
 Result:



EPC contract (12 years) for 5 public buildings
Guarantee on 27% annual energy cost savings (35% in CO2 emissions)
total project cost: € 2+ million
© Berliner Energieagentur GmbH
EPC – The Example of Berlin and
EU-wide Experiences
Outlook
European Energy Service Initiative towards
the EU 2020 energy saving targets (EESI 2020)
 Objective: Europe-wide dissemination of EPC as contribution to EU 2020 targets
 Target group: demand side = public institutions (as potential EPC clients) and
project developers in 9 European cities/metropolitan regions –
with EU project „Transparense“ focusing in parallel on supply side (ESCOs)
 Consortium: BEA as coordinator; partners from Antwerp, Barcelona, Dublin,
Graz, Oslo, Prague, Sofia, Zagreb
 Contents: best-practice database, marketing tools for EPC project developers,
implementation of at least 20 EPC projects, European Energy Service Awards
 Duration: 36 months (4/2013 – 4/2016)
© Berliner Energieagentur GmbH
EPC – The Example of Berlin and
EU-wide Experiences
For more information please visit:
© Berliner Energieagentur GmbH
www.berliner-e-agentur.de