The principles of ESCO mechanics can also be implemented to improve the energy efficiency of residential buildings.
What is the ESCO mechanism for condominiums?
ESCO mechanism is an additional tool for funding of energy efficiency projects in condominiums, where the energy efficiency measures are implemented by energy service companies (ESCO), both Ukrainian and foreign, for the own or deposited funds under the terms of the energy performance contract.
The main feature of ESCO is the insulation, which is paid for by the condominium/reinforced concrete construction using the savings of energy resources and which is guaranteed by the ESCO company.
The ESCO Company will implement energy efficient measures and assume all the risks and guarantee the achievement of the energy savings. The condominium, in turn, makes all payments to the ESCO company only under the condition of achieving these savings.
The ESCO company is selected by the condominium and enjoys the following benefits:
Savings on heating costs (from 50%).
Insulation "turnkey" (from design to operation).
The lack of financial and technical risks.
Increased comfort of living conditions.
Increased commercial value of the property (approximately 25%).
STAGES OF IMPLEMENTATION OF ECO-MECHANISM IN THE USB:
Investor search
Energoservis is an extension of the thermal insulation of the energy services company (ESCO). The company invests in insulation, residents pay by instalments (within the savings achieved by ESCO). Once the energy consumption data is available, the Derzhöfeffektivnost will assist in the investor's search.
Energoaudit
After reviewing your energy data, ESCO investors will perform (if interested in the object) an energy audit.
General fees
Once the investor is identified and the measures to be implemented are understood, the joint owners have to take a collective decision. Only members of the co-owners in excess of 75% of the total floor area of all flats and non-residential premises of the multi-family building are eligible to vote for the ESCO contract.
Energy contract
ESCO contract is established for a period of several years, during which the residents, paying monthly (distributing solely on the basis of savings in energy resources achieved by the ESCO-company), repay the full cost of the implemented energy efficiency measures.
Insulation
The energy supply company develops a project and implements insulation of the building. Occupants will receive savings, which compensate the cost of the visits.
Calculation. Result .
For several years residents will pay the full cost of the implemented measures for thermal insulation of the building. The greater the savings, the quicker the calculation. At the end of the contract equipment becomes the property of co-owners.
For more details see http://saee.gov.ua/sites/default/files/1_7.pdf.
As of today, the first 6 ESCO contracts are already being implemented in Kyiv and Kherson, which were presented at the 4th Energy Efficiency Partnership Forum on 27.04.2018. More details are available at https://www.youtube.com/watch?v=e37NZf1JTqo.
Also, in order to implement the energy efficiency mechanism in your city's condominiums, the first step is to inform the potential ESCO companies about the energy consumption by condominiums for the last 2 years (2017/2018). ) for the purpose of an optimal calculation of the baseline consumption level and the estimation of the expected savings from the planned energy efficient measures.
For this, the condominium needs to fill in (electronically), developed by the Derzhzhenergoeffektivnosti, a template with basic information on the energy efficiency of apartment buildings, which upon receipt will be sent to potential ESCO-investors to identify the most acceptable and feasible sites for investment (standard form for energy performance of condominiums).
Now the Derzhengineering Efficiency, in cooperation with local authorities, has already started to develop an information base of potential residential energy objects (condominiums), which will make it much easier for investors to find attractive objects for investment through ESCO mechanisms.
The database currently has the first 100 potential ESCO properties from 9 regions listed by reference.
Moreover, in order to explain and expand the positive experience of implementation of ESCO mechanisms in the housing sector with the presence of the Ebert Foundation in Ukraine during the June-September of this year, 8 regional ESCO workshops were held in co-operation with the Ukrainian representative office of the Ebert Foundation. 8 regional seminars were conducted in 8 first oblasts (Mykolayiv, Khmelnytskyi, Chernivtsi, Poltava, Volyn, Cherkasy, Kharkiv, Zaporizhia, and Dnipropetrovsk) and up to 450 RSD were attended.
The continuation of such activities for condominiums in other regions is currently being evaluated.
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