Effective Financing Tools for implementing Energy Efficiency in Buildings
EFFECT4buildings
 
PROGRAMME 2014-2020
priority
2 Natural resources
objective
2.3 Energy efficiency

EFFECT4buildings

The Interreg project EFFECT4buildings enabled public building managers in eight countries around the Baltic Sea to better plan renovation projects to unlock investments and implement retrofitting, upgrading and deep renovation and, by this, to save energy.
The challenge

Public authorities play a crucial role in the renovation of existing public buildings and in reaching satisfying energy efficiency targets in buildings. However, they often lack tools supporting their decision-making to actually move ahead with implementing energy efficiency measures.

A need to make investments profitable

Energy efficiency projects are not typical investments because they rarely result in direct revenue. In addition, a lack of knowledge and records of successful experiences increases the anticipated risks of undertaking such projects. Finding convincing investors that see energy efficiency measures as promising investments is, therefore, a challenge. These challenges which public building managers face do not differ much from the challenges concerning privately owned buildings and, to a large extent, also industry-owned buildings.

Other obstacles to overcome

Additionally, technology providers often seek a bigger market and a clear picture of the demand. Furthermore, existing legal and structural frameworks hinder the possibility for building owners to become energy producers. Last but not least, in order to convince financial managers public authorities need a better understanding of energy calculations and profitabilities. In order to address these challenges, EFFECT4buildings developed a decision support toolbox for the calculation and planning of renovation projects in the most feasible and profitable way.

Budgets

EFFECT4buildings
in numbers
  • 2.72
    Million
    Total
  • 1.91
    Million
    Erdf
  • 0.00
    Million
    Eni + Russia
  • 0.15
    Million
    Norway

Achievements

Real-life cases organised

The project EFFECT4buildings organised about 60 trainings and seminars reaching out to about 2600 people, mainly building managers from eight Baltic Sea region countries. The project partners applied retrofitting, upgrading, and deep renovation as energy efficiency measures. The project involved the trained building managers in 120 real-life cases to develop and adjust 9 tools for spreading knowledge and supporting the use of measures. These 120 cases amount to around EUR 9,157,828 of investment in energy efficiency and to up 5.700.000 kWh/year of energy savings.

Useful tools developed

The project developed an online toolbox that includes tools on technological solutions, calculations, and funding. Thanks to the catalogue on technology solutions, building managers could better understand the profitability, performance, and how to make the most out of solutions, while providers received an entry point to a bigger market for their solutions.

As regards financial calculations, the project enabled to predict the profitability of an investment which is critical for building managers, energy auditors and other investors to make decisions on energy efficiency measures. Next, on funding the project compiled a comprehensive list with the funding possibilities in the public sector (EU and national funds from Denmark, Norway, Estonia, Latvia, Poland, Finland, Sweden), as well as from international and national non-public sources and mechanisms.

The project made available the toolbox in English, Finnish, Polish and Latvian and ensured its searchability making it available at the project portal and as featured in the European Portal for Energy Efficiency in Buildings.

Inspired by the project

As concrete examples on the municipal level, Aurskog-Høland municipality (NO) started the process of implementing Energy Performance Contracting (EPC) which stands for a provision of energy services with a guaranteed outcome. One of the main principles is that investment financing is performed by using accumulated savings. Next, Hamar municipality (NO) set the commitment to include an EPC project in the municipality´s Sustainable Energy Action Plan.

Furthermore, GreenEst Summit started as a project event and continues to be organised annually as the conference on innovations in the energy sector. The County Board of Dalarna (SE) initiated a new stakeholder cooperation forum with all energy companies in the Dalarna region to work together on power loads and grid capacity for solar energy.

With EUR 2.66 million support from the European Union, the Interreg project EFFECT4buildings improved the capacity of public building managers to unlock investments, lower risks, and implement energy efficiency measures in publicly-owned buildings.

Outputs

Technological solutions toolbox

This toolbox includes a catalogue of technology solutions for energy efficiency in buildings and aimed at building managers. The catalogue is complemented by a compilation of experiences about energy solutions from building managers, including evaluations on installed and tested solutions; guidelines and templates for procurement of solutions and their maintenance. The toolbox makes the link between market technology solution providers and building managers: building managers better understand the profitability, performance and how to make the most out of solutions while providers have an entry point to a bigger market for their solutions.

Financial calculations toolbox

The financial calculation toolbox helps building managers, energy auditors and other investors to make decisions on energy efficiency measures. It enables to predict the profitability of an investment. It contains a collection of financial calculation methods and related explanations. It also contains handy tools for energy efficiency investments with detailed instructions on how to use them.

Funding toolbox

The funding tool helps municipalities and building managers find finances for implementing energy efficiency measures. It compiles a comprehensive list of the funding possibilities in the public sector (EU funds and national from Denmark, Norway, Estonia, Latvia, Poland, Finland, Sweden) as well as the funding possibilities from international and national non-public sources and mechanisms, for financing energy efficiency investments in publicly owned buildings.

Project Stories

Partners

County board of Dalarna

  • Town
    Falun
  • Region
    Dalarnas län
  • Country
    Sweden
Approximate total partner budget in EUR
610,710.00
60.607006815.6323059

Environmental office of Lappeenranta region

  • Town
    Lappeenranta
  • Region
    Etelä-Karjala
  • Country
    Finland
Approximate total partner budget in EUR
410,000.00
61.058371328.1862742

SUCCEEDED by PP12 (01.01.2020) Hedmark county council

  • Town
    Hamar
  • Region
    Hedmark
  • Country
    Norway
Approximate total partner budget in EUR
136,319.42
61.001493711.16479641006573

Vidzeme planning region

  • Town
    Cesis
  • Region
    Vidzeme
  • Country
    Latvia
Approximate total partner budget in EUR
320,655.00
57.314536125.2759759

Gate 21

  • Town
    Albertslund
  • Region
    Københavns omegn
  • Country
    Denmark
Approximate total partner budget in EUR
384,455.00
55.658601812.3562849

Foundation Tallinn Science Park Tehnopol

  • Town
    Tallinn
  • Region
    Põhja-Eesti
  • Country
    Estonia
Approximate total partner budget in EUR
110,238.00
59.437215524.7453688

State Real Estate Ltd

  • Town
    Tallinn
  • Region
    Põhja-Eesti
  • Country
    Estonia
Approximate total partner budget in EUR
200,000.00
59.437215524.7453688

Sustainable Building Cluster in Dalarna

  • Town
    Falun
  • Region
    Dalarnas län
  • Country
    Sweden
Approximate total partner budget in EUR
151,200.00
60.607006815.6323059

Association of Communes and Cities of Małopolska Region

  • Town
    Krakow
  • Region
    Miasto Kraków
  • Country
    Poland
Approximate total partner budget in EUR
245,000.00
50.061947419.9368564

Inland County Council

  • Town
    Hamar
  • Region
    Hedmark
  • Country
    Norway
Approximate total partner budget in EUR
155,549.58
61.001493711.16479641006573