Energy efficiency in the commercial rented sector and considerations on the rebound effect after PV system installation in a shopping center in Spain (original) (raw)
Open Research Europe, 2024
In this paper, we perform a comparative analysis of business models used by Energy Service Companies (ESCOs), suitable for the deployment of energy efficiency measures in the commercial rented sector across Europe. These models can effectively contribute to solving the split-incentive issue that arises in the rented building scenario. Some of them are obtained from their "traditional" counterparts, which do not consider the rented scenario, but just a bipartite agreement between an Energy Service Company and its client. The EU Horizon 2020 project SmartSPIN (Smart energy services to solve the SPlit INcentive problem in the commercial rented sector) targets delivery of enhanced energy services for commercial rented sector. These enhanced energy services (a) combine demand management services and energy efficiency interventions, (b) facilitate the adoption of renewables, (c) optimize the balance between demand and supply, (d) alleviate the split incentive issue. The pilot implementation of SmartSPIN is in progress in a business park in Greece, in an office building in Ireland and in two shopping centers in Spain. Key recommendations toward the implementation of such a smart energy service are provided in this paper. They have been obtained from a detailed analysis of ten interviews of key stakeholders of the energy efficiency sector and of the commercial rented sector, along with an analysis of a selection of the most relevant technical literature. This paper argues that the classical shared savings and guaranteed savings ESCOs models may be adapted to the commercial rented sector and used at SmartSPIN's demonstration sites in Spain, Greece and Ireland. The guaranteed savings model appears to be the Open Peer Review Approval Status
Open Research Europe
In this paper, we perform a comparative analysis of business models used by Energy Service Companies (ESCOs), suitable for the deployment of energy efficiency measures in the commercial rented sector across Europe. These models can effectively contribute to solving the split-incentive issue that arises in the rented building scenario. Some of them are obtained from their “traditional” counterparts, which do not consider the rented scenario, but just a bipartite agreement between an Energy Service Company and its client. The EU Horizon 2020 project SmartSPIN (Smart energy services to solve the SPlit INcentive problem in the commercial rented sector) targets delivery of enhanced energy services for commercial rented sector. These enhanced energy services (a) combine demand management services and energy efficiency interventions, (b) facilitate the adoption of renewables, (c) optimize the balance between demand and supply, (d) alleviate the split incentive issue. The pilot implementati...
Journal of Cleaner Production, 2015
Although a substantial economic energy saving potential exists in the residential sector of the European Union, the energy efficiency service (EES) market is much less developed in this market segment than in other demand sectors (e.g. the industry or the public/service sector). This paper presents an analysis of the current situation and existing potentials for future expansion. A specific analysis methodology has been developed and applied by a research consortium in 18 EU countries. This methodology has mostly built upon an extensive review of the existing literature and on interviews of a large number of acknowledged experts. Its application has allowed identifying encouraging development trends in specific market segments where the possibility of aggregating the EES demand or of exploiting good relationships with customers have created interesting investment opportunities. These trends have been observed in particular in Germany, Denmark, France, Flanders (BE), Hungary, Romania and UK. The assessment performed has also allowed discussing a series of strategies and policy measures that can be adopted to overcome existing barriers to market development. The general conclusion drawn in the paper is that energy efficiency policies supporting EES markets in the residential sector are highly needed. Although EU policies have typically a limited direct impact, they can increase trust into EESs and EES providers. At the national level, a stronger collaboration of governments or local administrations with banks to finance EESs is still very necessary in many EU countries.
Energy Procedia, 2013
The EU energy policy sets an energy efficiency increase target of 20%, which is being implemented in the legislation of Member States in different ways. The greatest potential for energy savings of nearly 40% lies in buildings. The Spanish building sector has developed several instruments for significant savings. The purpose of this study is to analyze those instruments and their effectiveness and efficiency. In Spain, energy efficiency in buildings is improving more slowly than in other EU Member States, but the new regulation will open a new opportunity to recover the lost years. However, the current economic crisis, demotivation of its citizens, decentralization of power in energy matters and the large stock of housing for sale, impede achievement of energy efficiency goals
Using PV to help meet Common Property Energy Demand in Residential Apartment Buildings
Proceedings of the Australian Summer Study on Energy Productivity, 2016
14% of Australians live in apartments, predominantly in urban centres, yet few of these have PV systems, despite high levels of PV deployment on separate and semi-detached residential buildings. Increased PV deployment on apartment buildings represents a valuable market opportunity for the PV industry, which would allow apartment dwellers to obtain the financial benefits of using PV to offset electricity bills. PV on apartment buildings could also help relieve network congestion, as it is a good fit with commercial loads commonly found in urban areas, and might therefore benefit network operators as well as households. Some recent high-density residential developments incorporate a PV system for each residential unit, or an embedded network serving all units. However, in existing apartment buildings, as well as physical and other barriers to PV installation[1], legal arrangements can create additional difficulties for individual rooftop PV systems and there may be specific technical and economic barriers to the installation of embedded networks. In these cases, installing PV to supply common property demand (sometimes a high proportion of total building demand) may present a simpler retrofitting opportunity. Common property load varies significantly between apartment buildings and may include lighting for common areas, and carparks; lifts; water heating and pumping for centralised hot water and pools; air conditioning and ventilation. Its characteristics and diversity are not well understood, with a 2008 DEWHA report identifying the need for further research into communal area energy use in high and medium density housing. Common property energy is typically purchased on behalf of all unit owners by the Owners Corporation, often on commercial tariffs with high ratios of demand to volumetric charges. We present preliminary findings from a study that utilises the 30-minute common property electricity demand data for 25 apartment buildings in the Sydney metropolitan area. Daily and annual demand profiles are examined and PV systems modelled for each building, sized both for available roofspace and to ensure high levels of onsite consumption. The economic viability of these PV systems is explored using existing retail tariff structures. The findings highlight the potential opportunity for PV to assist in meeting common property load in mediumand hi-rise apartment buildings, and the additional opportunity to supply individual unit loads or sell energy to third parties in medium-rise buildings.
2014
One of the primary European Union’s “Europe 2020” energy strategies is the reduction of the total energy consumption by means of energy efficiency improvements. In the European Union (EU) the building sector is responsible of about the 40% of the total final energy consumption and of the 36% of the Europe global CO2 emissions. During the last decade the European Commission released the first legislative instrument aimed to improve the energy performance of buildings: the “Energy Performance of Building Directive (EPBD) was introduced in 2002 and updated in 2010. The first edition of the document focused the analysis on new buildings, in order to promote the diffusion of energy efficient buildings, characterized by very low energy demand, possibly almost zero energy buildings. The recast of the document introduces the important topic of the existing building stock. It presents and discusses the recommendations that the European Commission released so far and focused on the possibilit...
The New Market Transformation Needed for Commercial Building Energy Efficiency
Journal of Sustainable Development, 2016
The U.S. Department of Energy [DOE] established the Consortium for Building Energy Innovation [CBEI] to address commercial building energy efficiency as an innovation cluster, where the regional market context (Note 1) guides the research agenda for market transformation (Porter, 2001). CBEI develops content to support Advanced Energy Retrofits (AERs), a retrofit which results in 50% or greater reduction in building energy use, in small- and medium- sized commercial buildings (less than 250 000…
2011
A main objective of the Energy Service Directive (ESD) is to stimulate the market for energy efficiency services (EES) and for the delivery of other energy efficiency improvement measures to final consumers. In order to achieve this objective, the ESD gives a special role to energy companies. On the other hand, there are energy service companies (ESCOs) and further actors ready to expand their business in the field of energy efficiency services. Against this background, it is important to know about the status and barriers of the markets of EES in Europe, how and to which extent existing energy efficiency policies foster or hinder EES market development, and how energy efficiency policies should be designed and implemented to stimulate this market. Since 2009 the IEE project ChangeBest is committed to assisting energy companies and ESCOs in entering the EES business, starting with an empirical analysis of the existing EES markets and the respective economic and policy frameworks. Th...
The effect of improved efficiency on energy savings in EU-27 buildings
Energy, 2013
Utilising energy efficiency to lower energy demand in buildings is a key policy goal of the European Commission. This paper presents the results of bottom-up modelling to elucidate the impact of energy efficiency on the EU building stock up to 2050 under three different scenarios. The modelling is performed for eight individual EU countries and a ninth hypothetical entity that represents the remaining nineteen EU countries. The scenarios highlight the roles of different levels of efficiency improvements in the context of increasing floor area and the demand for energy services. From the results it can be concluded that the EC 2020 goals for primary energy savings can be met by focussing on a combination of minimum efficiency construction standards, improved conversion efficiency standards for final energy to useful energy, and a ≥2% annual improvement in end-use efficiency applied at the useful energy level. A comparison of the results obtained in the present study for Spain with th...
Promoting energy efficiency in the private rented sector
Property management, 2002
The English House Condition Survey for 1991 demonstrated that levels of energy efficiency in private rented property are significantly below other sectors, even though energy improvements have tangible benefits for landlords. The low level of energy efficiency provision in the private rented sector indicates that landlords are unaware or unconvinced of these benefits and market barriers may have restricted uptake. Information regarding energy efficiency advice to the private rented HMO sector has focussed on offering good practice design guidance, and information about the level of fitness and overall characteristics of the sector. This research project evaluated the PRESS scheme, which encouraged landlords to introduce energy efficiency measures. A total of 78 private sector rented properties in Sheffield were analysed with retrofit measures to improve levels of energy efficiency. The results demonstrate that whilst market barriers exist, the PRESS scheme went some way to overcoming some barriers to energy efficiency.