“BISE” process / Forum on Intelligent Energy in Lithuanian Municipalities

Kalinka NakovaCoordinator of EcoEnergy

Municipal Network EcoEnergyMunicipal Network EcoEnergyas a Tool for Strengthening as a Tool for Strengthening Local Energy PolicyLocal Energy Policy

Kaunas, 8th June 2005

Bulgarian experience

Why is EcoEnergy (Bulgaria) effective ?

1.

The network was a bottom-up initiative of 23 municipalities (1997)

2.

Activities were based on real needs and common goals regardless political orientations

3.

General goals were addressed by local (municipal) actions

Member of Energie-Cites

1.

The network was a bottom-up initiative of 23 municipalities (1997)

Member of Energie-Cites

Member of Energie-Cites

1998

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2000

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2001

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2002

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2003

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Two stages of development

I. Informal association (1997 – 2003)

- Lack of governmental support & adequate legal framework

- US AID , GEF/UNDP and Energie-cites support

- Focus on local capacity building & information exchange

- Local energy planning

- Project development

- Project financing

- Demonstrations and horizontal connections

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Two stages of development

II. Formal association (since 2003)

- Specific EE legislation in place- obligatory local energy planning

- obligatory building certification

- Municipalities acutely need support to face the requirements of the new EE legislation

- Governmental AEE acutely needs the network support – pushing to extend EcoEnergy

- Focus on capacity building / information exchange / international cooperation

- Court registration by initiative of municipalities

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2005

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2.

Activities were based on real needs and common goals regardless political orientations

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Common goals

Reduce the burden of energy expenses on municipal budgets

Increase the security of energy supply

Improve the quality of energy services

Reduce the burden of energy expenses of households budgets

3.

General goals were addressed by local actions

A. Strengthening the legislative reform

B. Introducing financing instruments

C. Activate investment practices

D. Building local capacity

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Municipal energy planning was recognized as a national priority

40 pilot municipal energy programs developed before 2004

Manual on local energy planning developed

Training and technical assistance for energy planning offered

A. Strengthening the legislative reform

Energy EfficiencyInformation System Building of local capacity

Development of a MEEP

Implementation of the MEEP

Decision for EEIS

ІІ political decision

ІІІ political decision

І political decision Politica

l Actio

ns

Municipal Energy Planning

Methodology

Member of Energie-CitesFe

ed

back

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Municipal Information system

A special software was developed and disseminated among the municipalities of EcoEnergy

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Municipal energy database

Съотношение на използваните енергоносители в условно гориво (тне) в 39 общини за 2002 г.

Нафта за отопление31%

Въглища3%

Промишлен газьол3%

Дърва1%

Леко корабно гориво6%

Мазут1%

Пропан-бутан1%

Природен газ8%

Топлоенергия11%

Електроенергия35%

Comprehensive energy database developed and maintained for more than 40 municipalities of EcoEnergy

B. Introducing financing instruments

Energy Efficiency Funds

TPF / ESCO financing

Leasing for energy efficiency improvements

Municipal bonds issuance

Guarantee instruments for energy efficiency loans

Equity financing for large projects

Standard bank loans

Granted financing

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Example: Bonds for street lighting energy efficiency project in Varna

Bonds - documentation prepared with the assistance

of the network

Enormous success of the project

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C. Activate investment practices

District heating projects

Projects in municipal buildings:

- Hospitals

- Schools and kindergartens

- Office buildings

Street lighting projects

Renewable energy sources

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Member of Energie-Cites

Attractive payback of municipal projects

Type of project SPB (years)

Street lighting projects 1.4 – 2.9

Schools 1.1 – 2.1

Hospitals 2.2 – 3.6

District heating 3.7 – 4.1

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40 municipal energy efficiency offices established

D. Building local capacity

Hundreds of municipal specialists trained

Awareness of policy makers raised

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From pressure to mayors towards pressure from mayors

From request for money to request for knowledge and skills

From demonstrations to investments

From grants to bank loans and innovative commercial financing

Gradual change of focus

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Under the auspices of UNECE EE 21

RENEUER REgional Network for Efficient Use of Energy and Water Resources

MOLDOVAMOLDOVAChisinauChisinau

Contacts:

Municipal Energy Efficienct Networkwww.ecoenergy-bg.net

E-mail ecoenergy@ecoenergy-bg.netTel.: +359 2 963 1714 or 963 0723Fax: +359 2 963 2574