Eco Fund s Financial Incentives for Energy Efficiency in Buildings
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1 Eco Fund s Financial Incentives for Energy Efficiency in Buildings Alma Bijedić, Advisor to Eco Fund EPEC EE Workshop: Energy efficiency in Slovenia, Ljubljana 2013
2 About Eco Fund, Slovenian Environmental Public Fund Public fund specialized for supporting different environmental investments, implements environmental policies Key financial instruments to support investments in buildings: o o o soft loans non-repayable subsidies (grants) awareness-raising activities; financing of the network ENSVET (professional advice on energy efficiency, free for citizens) Grants for investments in buildings for households only (in 2011/12 also for municipalities-local authorities) Soft loans: for citizens and legal entities Total funds in 2013: 49,8 million (soft loans: 29 million; grants: 20,8 million)
3 About Eco Fund Not the only institution in Slovenia which offers grants for energy efficiency investments in Slovenia Mostly to households Ministries (EU funds) Eco Fund Mostly to legal entities companies, public sector * Suppliers of heat from distribution network which distribute at least 75 GWh of heat/year, suppliers of electricity, gas and liquid fuels which distribute at least 300 GWh of energy/year Big energy distributors* (same fin. source as Eco Fund s grants) Municipalities RARE (own funds)
4 Financial incentives for environmental investments in 2013 SOFT LOANS For various environmental investments of legal entities For various environmental investments of citizens GRANTS For citizens for new investments for use of renewable energy sources and for improvement of energy efficiency in residential buildings For citizens and legal entities for investments in environmentally friendly vehicles
5 Problem Buildings contribute 40 % of end energy use and cause 1/3 of greenhouse gas emissions Mainly for central and water heating; also through the production and use of materials and equipment necessary for construction and refurbishment of buildings
6 Solving the problem The building sector has the biggest potential for delivering significant and cost-effective GHG emission reductions (United Nations) goes for refurbishment as well as new buildings proven policies, technologies and knowledge already exist on the market Countries should prioritise the building sector as key to meet their national targets on energy efficiency Directive 2006/32/ES; National action plan AN URE ( ) - Slovenia should save at least 9 % of end energy use (4,261 GWh) by 2016 Some of the policies to achieve this goal: Eco Fund s soft loans and grants for different investments in energy efficiency of buildings
7 Eco Fund s soft loans Soft loans for environmental investments of legal entities: - Reducing air pollution and greenhouse gas emissions - Waste management - Water protection and efficient use of water - Waste water management and supply of drinking water - Initial investments into environmental technologies Funds available in 2013 for the current public call 50PO13: 24 million EUR Interest rate: 3-month EURIBOR + 1,5 % Range of the loans: from 25,000 EUR to 2 million EUR or up to 90 % of eligible investment costs Repayment period: up to 15 years including up to one year grace period, 5 years for purchase of certain equipment and vehicles
8 Eco Fund s soft loans Soft loans for environmental investments of citizens: - Installation of modern equipment and use of renewable energy for heating and sanitary water - Reduction of energy losses in builings and construction low-energy and passive buildings - Purchase of energy efficient appliances - Purchase of enviromentally friendly vehicles - Waste water management - Efficient water supply management Funds available in 2013 for the current public call 49OB13: 5 million EURO Interest rate: 3-month EURIBOR % Range of the loans: from 1,500 EUR to 20,000 EUR or even up to 80,000 EUR with some more elaborate investments such as purchase or construcion of low-energy or passive buildings Period of repayment: up to 10 years
9 Soft loans allocated for energy efficiency investments in buildings from Investment Citizens Number of investments Signed loan contracts (in 1000 EUR) Legal entities Number of investments Signed loan contracts (in 1000 EUR) Thermal geological probe Construction or purchase of low-energy or passive residential buildings Biomass boilers 266 2, ,684 Fossil fuel boilers 144 1, Heat recovery ventilation system ,241 Solar heating system 165 1, Thermal insulation of the façade 520 7, ,898 Heat pumps 338 4, ,000 Thermal insulation of the roof 152 2, ,680 Thermal insulation of foundations and floor Replacement of windows 883 8, ,986 Total 2,542 29, ,796
10 Eco Fund s grants Financial source for Eco Fund s grants for energy efficiency: Regulation on energy savings ensured to final customers (valid until 2014) specifies: Every year energy distributors and Eco Fund have to ensure energy savings in the amount of at least 1 % of energy distributed to the final customers in the previous year Range of eligible investments The amount of fees per unit of distributed electricity, heat and fuel, which have to be collected In order to reach the goal, Eco Fund and big energy distributors publish public calls for allocation of grants
11 Eligible investments in buildings for which Eco Fund allocated grants under public calls, published in 2012 Households; investments in single dwelling and two dwelling residential buildings Households; joint investments of energy reconstruction of three or more dwelling residential buildings Municipalities; buildings for public education - solar heating system - wood biomass boiler for central heating - heat pump - first central heating system in the case of first connection to district heating on renewable energy sources - replacement of old windows with energy efficient wooden windows - thermal insulation of the façade - thermal insulation of the roof - heat recovery ventilation - low-energy or passive residential building - purchase of individual dwelling in three or more dwelling buildings, constructed or retrofitted in passive standard - thermal insulation of the façade - thermal insulation of the roof - installation of central heating devices on renewable energy sources - installation of thermostatic valves and hydraulic balancing - construction or reconstruction of buildings for public education (schools, kindergartens, libraries etc.) in low-energy or passive standard
12 2008 January 2013: - 69,4 million of grants allocated to households for 48,993 investments - 5,4 million of grants allocated to 14 municipalities At least one of Eco Fund s grants was allocated to about 10 % of Slovenian households and to about 8 % of Slovenian municipalities Grants to households allocated for: 0.03% 2.47% 8.36% 2.31% 1.05% 0.52% 0.14% Solar heating system 13.88% Wood biomass boiler for central heating Fossil fuel boilers 25.96% 14.15% Heat pump for central heating Heat pump for heating of sanitary water 22.07% 1.94% 0.10% 7.02% Replacement of old windows with energy efficient wooden windows Thermal insulation of the façade Thermal insulation of the roof Thermal insulation of floor Heat recovery ventilation
13 Grants allocated for energy efficiency investments in buildings from January 2013 Unit Grants in EUR Number of investments Investment Total Three or more dwelling residential buildings Total Three or more dwelling residential buildings Total Three or more dwelling residential buildings 1 Solar heating system m ,88% Wood biomass boiler for central heating kw ,15% Fossil fuel boilers kw ,10% 64 3 Heat pump for central heating kw ,02% Heat pump for heating of sanitary water kos ,94% Replacement of old windows with energy efficient wooden windows m ,07% Thermal insulation of the façade m ,96% Thermal insulation of the roof m ,31% Thermal insulation of the floor m ,03% 44 7 Heat recovery ventilation kos ,47% Construction or purchase of low-energy or passive residential buildings m ,36% 485 Purchase of an apartment unit in passive residential building m ,05% Installation of thermostatic valves and hydraulic balancing of the heating system m 2 10 Heat cost allocation m ,52% ,14% Total ,00%
14 Positive effects of grants Sustainable decisions of investors Environmental effect Grey economy decrease, budget revenues increase, jobs Adaptation of the building business in sustainable direction Encouraged use of strategic materials (wood)
15 Some examples of investments in buildings for which Eco Fund allocated grants LOW ENERGY AND PASSIVE BUILDINGS
16 First passive house, subsidized by Eco Fund s grant: House Zimic; Q h (PHPP)=14 kwh/m 2 a; wooden frame construction; natural thermal insulation materials; solar water heating system Photo: Zimic
17 First passive house, subsidized by Eco Fund s grant: House Zimic; Q h (PHPP)=14 kwh/m 2 a; wooden frame construction; natural thermal insulation materials; solar water heating system Photo: Zimic
18 House of a champion (literally): one of the most famous houses in Slovenia: energy-plus house Petkovsek; Q h (PHPP)=10 kwh/m 2 a; prefabricated wooden construction; natural insulation materials; solar power plant Photo: Petkovsek; video: WCSN
19 Passive house Prezelj, Q h (PHPP)=15 kwh/m 2 a; wooden frame construction; natural thermal insulation materials Photo: Prezelj
20 Low-energy house Hostar; Q h (PHPP)=19 kwh/m 2 a; wooden frame construction; natural thermal insulation materials Photo: Hostar
21 Low-energy house Hostar; Q h (PHPP)=19 kwh/m 2 a; wooden frame construction; natural thermal insulation materials Photo: Hostar
22 Passive house Auersperger; Q h (PHPP)=14 kwh/m 2 a; wooden frame construction; natural thermal insulation materials Photo: Auersperger
23 Low-energy house Tramsek; Q h (PHPP)=22 kwh/m 2 a; brick construction; mineral thermal insulation materials Photo: Tramsek
24 Passive house Korber Jancar; Q h (PHPP)=11 kwh/m 2 a; polystyrene bricks; new building Photo: Korber Jancar
25 Passive house Starc; Q h (PHPP)=12 kwh/m 2 a; wooden frame construction; natural insulation materials Photo: Starc
26 Low-energy house in Sujica; Q h (PHPP): 18 kwh/m 2 a; wooden frame construction; heating on heat pump air to water; heat recovery ventilation; rainwater reservoir; small biological wastewater treatment plant Photo: Starc
27 Passive house Kramzar Bencina; wooden frame construction; Q h (PHPP): 14.7 kwh/m 2 a; wooden windows; natural insulation materials; heat pump air to water; heat recovery ventilation; rainwater reservoir; small biological wastewater treatment plant Photo: Bencina
28 House Babsek (before and during reconstruction) Photo: Babsek
29 After reconstruction: low energy house Babsek; Q h (PHPP): 20 kwh/m 2 a; wooden windows; mineral thermal insulation materials; condensing gas boiler; heat recovery ventilation Photo: Babsek
30 Kindergarten Vrhnika (before and during reconstruction) Photo: Obcina Vrhnika, Biro Petkovski
31 After reconstruction: low-energy kindergarten at Vrhnika; wooden windows; mineral and synthetic thermal insulation materials (insulated from within); heat pump air to water Photo: Obcina Vrhnika
32 Passive kindergarten Preddvor; prefabricated wooden construction; mineral and synthetic insulation materials; wooden windows; solar power plant; heating with wood biomass district heating plant Photo: Obcina Preddvor, Jelovica
33 Passive kindergarten Moravce; prefabricated wooden construction; natural thermal insulation materials; wooden windows; wood biomass district heating plant providing heat for the kindergarten, other public buildings and households in the neighborhood Photo: Geoplan
34 Eco Fund, Slovenian Environmental Public Fund Bleiweisova cesta 30 SI-1000 Ljubljana Slovenia Phone: abijedic@ekosklad.si ekosklad@ekosklad.si
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