BELESCO position paper
Through a number of easy and not very expensive measures proposed by BELESCO, the energy services and financing sector can, within the next 10 years, generate up to 21.7 TWh of annual energy savings. Or the equivalent of the total current (2016) renewable energy production in Belgium!
After years of costly investments in the development of renewable energy, it is time to focus on energy efficiency! That is the ambition of the EU through its “Clean Energy for all Europeans” program that prioritises the energy renovation of buildings in the next decade. The members of BELESCO, the Belgian Association of Energy Services Companies, fully adhere to his priority and are prepared to facilitate a large nationwide program for energy renovation of buildings. To achieve this goal they are prepared to rollout their offerings for services and financing solutions. To make this rollout possible BELESCO is formulating 5 key recommendations that are aimed at mobilising private investments in the energy renovation of our country’s building stock.
The 5 priority measures that BELESCO proposes are:
- Mandatory requirement in regional legislation for commercial and public buildings: 40% energy savings for 2030
- Mandatory for buildings > 2.000 m²
- Detailed energy audit based on a TCO approach
- Energy Performance Contract endorsement
- Mandatory implementation monitoring
- Energy Performance Contracting (EPC) as a key tool for implementation and financing
- Promotion of the development of EPC (with standardized contracts and guidelines).
- Making EPC mandatory for public buildings (80 millions m²).
- Stimulate the development of the Third Party Financing (TPF)
- Creation of a “Guarantee Fund for Energy Efficiency” (GFEE) to deliver a “state guarantee” to loans from commercial banks and third-party financing operators in energy efficiency projects (in priority through Energy Performance Contract).
- Development of standardized financial guidelines applying to energy efficiency investments to help banks and third-party financing operators assessing the risks.
- Awareness raising & capacity building
- Creation of a “Technical Assistance Fund” (TAF) to deliver project development assistance.
- Support the development of local or regional one-stop-shops to aggregate projects in size and volume.
- Adapt support schemes and regulations to market realities
- Creation of a “Market Facilitator” at national or regional levels to help removing barriers to energy services market development.
- Cooperation between the regions to harmonize regulations.
Objective: 21.7 TWh energy savings per year by 2030
Buildings remain the largest energy consumers in Belgium with 38% of the final energy consumption in 2016 (148.73 TWh). Commercial and public buildings (200 millions m²) account for 36,4% or approximately 54,14 TWh. An energy saving target of 40% in commercial and public buildings could lead to 21.7 TWh yearly energy savings, equivalent to current renewable energy production.
The investment to achieve this goal would amount to 25 billion € (125€/m²), fully funded by energy savings over a 15-year horizon. The program could be budget neutral for owners and occupants and generate significant economic benefits, through the creation 42500 FTE jobs in the energy services and construction sectors. The investment would allow reducing GHG 22 million tons of CO2 and reduce the energy dependency of our country by 5,5%.