Energy Efficiency and policies in Households - Bulgaria

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1 BULGARIA Energy Efficiency and policies in Households - Bulgaria Tsvetomira Kulevska Lyudmil Kostadinov Third meeting of the project ODYSSEE-MURE Vienna, Austria April 2018 SEDA Bulgaria

2 Content EE Households status quo National Program for Energy Efficiency of Multifamily Residential Buildings nzeb definition in Bulgaria applicability for residential buildings 2

3 Households Sector General data Number of homes: (NSI, 2016) Number of multifamily buildings: The energy intensity in this sector is calculated in terms of the growth of individual household monetary consumption. Reducing energy intensity in terms of monetary consumption is an indicator of increased efficiency of household energy use, which limits the growth of energy consumption. Increased household energy consumption due to: increased living area per capita; increased provision of household appliances; increasing the level of thermal comfort in the dwellings, both in the winter and in the summer. 3

4 Households Sector Main EE measures Residential Energy Efficiency Credit Line (REECL) - Provides loans for energy efficiency home improvements funded and implemented 725 projects. Total amount of 4,3 mln. Saved energy 12,42 GWh Reduced CO 2 emissions t CO 2 eq Demand Side Residential Energy Efficiency Through Gas Distribution Companies In Bulgaria - DESIREEGAS - Dedicated and effective mechanism to support the gasification of Bulgarian households To support gas supply and installation of high-efficiency boilers in about households; To save energy equivalent to 142,000 MWh per year; To achieve additional energy savings of 70,000 MWh per year due to switching from coal, biomass and oil to natural gas because of higher combustion efficiency; To save around 213kWh for every 2 BGN of grant for the average economic life of 15 years of the equipment installed; To reduce GHG emissions by 70,000 tons of carbon dioxide a year, or more than 1 mln. tons of carbon dioxide in the economic life of the equipment installed. 4

5 National Energy Efficiency Program for Multifamily Residential Buildings All 265 Bulgarian municipalities are eligible to participate in the Program. Targeting: Residential buildings constructed industrially to three or more floors of a minimum six (6) separate objects with residential use up to 36 separate objects with residential use and massive buildings, designed before April 26, 1999 of three or more floors with six (6) or more separate objects with residential use. Financial support: Up to 100% grant support for eligible expenditures covering mainly measures to: (i) (ii) improve the EE of the buildings (thermal insulation of building envelope improvements of the heating, electrical work, etc.) and common spaces; and measures to improve the structural soundness of the buildings to, amongst other things, comply with the current building code, if needed. Measures to be implemented should bring the energy consumption of buildings to at least Class C (energy use of 191 kwh/m 2 to 240 kwh/m 2 ) at the lowest cost. Implementation mechanisms: The Program is administered mainly through municipalities. They not only approve project application and sign the contracts, but also are responsible for all procurement and acceptance of the energy and structural audits, approval of detailed designs and issuing of construction permits and perform construction supervision. Financing of the Program: In the state budget for 2017, a state guarantee has been included in the amount of BGN 1 billion. 5

6 Residential buildings renovation program roles and responsibilities (1/2) Ministry of Regional Development and Public Works Ministry of Finance Bulgarian Development Bank Program Coordinator Provides methodological guidance on non-financial aspects of the Program; Observes the process of Program implementation; In the framework of the budgetary procedure for a given year plans the funds for inclusion in the national budget and in the medium-term budget forecast Methodological guidance regarding the budgetary aspects of the PforR, supporting the NEEPMB; The relevant actions by issuing a state guarantee under Art. 100 of the State Budget Law of Republic of Bulgaria for 2015 Participates in negotiating the agreement/s to provide loans of BDB to ensure financial resources for the implementation of the Program, for which a state guarantee will be issued; Signs contracts for targeted financing (CTF) with the mayor of the municipality and the regional governor. Municipal administrations Managing the registration of House Owner Associations (HoAs) and maintaining a public register; Maintaining a register recording applications from HoAs for the financing of renovation works under the Program; Maintaining a database for the implementation of the Program; Approving the received applications and investment proposals. Contracting and payment of all renovation activities; Administering the public procurement procedures related to the Program; Issue construction permits, necessary for the rehabilitation of multifamily buildings; Construction supervision; Exercise investment control. 6

7 Residential buildings renovation program roles and responsibilities (2/2) Regional governors Observe the process of renovation of residential buildings on their territory in compliance with the rules and regulations that are relevant for the Program; Participate in committees for final approval of objects and signs of all protocols during construction. Home Owners Associations Submit applications of interest for financial assistance; Conclude a contract with the respective municipality; Control the implementation of renovation for energy efficiency in the building by an authorized technician or the association representative. External contractors Develop technical and energy surveys/investigations for establishing the technical characteristics related to the Spatial Planning Act; Elaborate an energy efficiency audit and prescribing the necessary energy - saving measures in accordance with Energy Efficiency Act; Implement the construction and installation works; Perform compliance assessments of the investment projects and construction supervision if required. SEDA Prepares an annual evaluation of the estimated savings under the Program and calculates the EEOS; Annually prepares an analysis and assessment of the progress made on the implementation of the measure as part of the NEEAP report; Maintains database for the elaborated energy audits; Controls the quality of the audits; Gives cumulative monthly information about the energy audits to the Ministry of Development and to Bulgarian Development Bank. 7

8 Residential buildings renovation program results 2017 Renovated buildings 769 Improved housing infrastructure, m Number of renovated homes Num. of residents benefiting from the improved infrastructure Expected energy savings from renovated residential buildings, MWh/ann. Estimated annual greenhouse gas emission reductions (CO 2 equivalent) - incl. saving of kt CO 2 /ann Value of all building activities, mln. EUR 380,4 8

9 Before and after 9

10 More Before and After 10

11 The art of renovation 11

12 Nearly zero-energy building national definition "Nearly zero-energy building" shall be a building which simultaneously fulfils the following conditions: а) the energy consumption of the building, defined as primary energy, complies with Class A on the scale of energy consumption classes for buildings of the relevant type; б) not less than 55 per cent of the energy consumed (supplied) for heating, cooling, ventilation, domestic hot water and lighting is energy from renewable sources produced on-site or near the building.

13 New buildings segment - scenarios Projections expressed as newly built gross floor area New construction in the Residential buildings: Scenario A: baseline year 2014 and annual growth 1%; Scenario B: baseline year 2014 and annual growth 2,5%; Scenario C: baseline year 2014 and zero growth in the next years. Investment required for residential buildings (new construction) 13

14 New residential buildings interim National targets Year Floor area Investments Savings (FEC and emissions) m 2 ktoe GWh tco ,00 0,00 0, ,06 0,64 154, ,14 1,65 395, ,29 3,39 811, ,45 5, ,9 Cumulative ,19 13, ,9

15 National targets for new nze buildings Overview of the construction of new nze buildings and the expected energy and environmental savings by

16 Thank you for the kind patience! Sustainable Energy Development Agency Tel: kulevska@seea.government.bg lkostadinov@seea.government.bg Web: 16