National Energy Regulatory Authority

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1 National Energy Regulatory Authority New developments for energy efficiency in Romania Energy Efficiency Seminar for Public and Private Sector Austrian Embassy Bucharest July 1 st Corneliu Radulescu General Director Energy Efficiency Department

2 Romanian primary energy target The Primary Energy Consumption target (PEC) for 2020 is established with Mtoe, on the basis of Forecast (PRIMES, 2007, realistic scenario). The PEC forecast upon this scenario is Mtoe. This committed EE amount for this scenario is 10 Mtoe. As for 2011 the PEC amounted to Mtoe (available consolidated data). The assumed realistic scenario for economic development is expressed based on a moderate growth of GDP by 0.7% in 2012 and annually 2% since 2013 to This will result into a PEC in 2020 of Mtoe. Consequently the target EE in 2020 is 0,8 Mtoe to respect the commitment of PEC of Mtoe., meaning that Romania achieve the national target in Source EBRD SWOT analysis of results

3 Obligation Scheme or alternative measures That target shall be at least equivalent to achieving new savings each year from January 1 st 2014 to December 31 st 2020 of 1.5 % of the annual energy sales to final customers of all energy distributors or all retail energy sales companies by volume, averaged over the most recent three-year period prior to January 1 st The sales of energy, by volume, used in transport, may be partially or fully excluded from this calculation alternative measures - 13 countries obligation scheme 11 countries combination 4 countries

4 Romania Why alternative measures? Reasons to not adopt obligation scheme - increasing price for the final consumers; - 40,3% of the population in risk of poverty (EUROSTAT 2013), which means also fuel poverty; - already existing 2 taxes in the energy bill: green certificate and cogeneration bonus; - moderate economic growth. Which are the measures: Specific energy efficiency programs for each sector; A National Energy Efficiency Fund in order to finance energy efficiency projects; Energy audits each 4 years and a strict action of survey for the implementation of of energy efficiency measures; Training for energy auditors and energy managers; Voluntary agreements; Development of the energy services market, specially for ESCO companies;

5 Romania Alternative measures (1) Specific programmes Energy sector: - high energy efficiency cogeneration - decreasing the technological consumption - increasing the efficiency of the energy transformation/production process Residential, tertiary and municipal Sectorul : -Rehabilitation of block of flats; -Energy audits and energy certificate for buildings -A strategy for the next 3 years to renovate 3% from building total surface of the central administration -Rehabilitation of district heating systems -Encouraging the utilization of HH appliances A, A+ sau A++ level -Encouraging the activity of ESCO companies in the building sector -Efficient public lighting

6 Romania Alternative Measures (2) Industry -Energy audits an implementation of energy efficiency measures -New energy efficient technologies -A high quality of the energy management system (ISO 50001) -Programs for SMEs to encourage to realize energy audits and to implement energy efficiency measures Transport sector -Increasing energy efficiency in : individual, commercial, public and railways transport Agricultural and rural development -Programs to develop utilization of biomass to produce thermal energy -Stimulation of energy production crops

7 Total cost of the 11 energy efficiency measures is between 4 and 5 billion Euro ( ). - Cumulative results ( ) 2,5 mil tep - Annual cost de millions de Euro. - 2 packages for buildings (H 01 si H 03) de mil Euro each, for 5 years - state budget contribution 11%, means 90 million EUR/an - Total preparation cost and implementation of NEEAP - 8,6 million EUR ( ), out of which 6,1 millions Euro contribution from state budget. Average efficiency of the 11 measures is 591 tep/million EUR investment. (~1600 euro/tep)

8 New provisions of the Energy efficiency Law It is compulsory that Municipalities more than 5000 inhabitants to have a energy efficiency programs It is compulsory that Municipalities more than to have: - Energy efficiency programs - Energy manager

9 New attributions and responsibilities of the Energy Efficiency Department - monitor the implementation of NEEAP and the specific energy efficiency programs; - market survey for HH equipment - labelling and Eco - design; -issuing, up to April 30 th each year, starting with 2015, of a Report about the progress of the achievement of energy national target. The Report will be sent to the Government; - survey of voluntary agreements (if the case); - dissemination of information regarding best practice in energy efficiency, financial and fiscal incentives to support energy efficiency programs and ESCO companies;

10 Additional information: Thank you for your attention!

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