E F F I C I E N C Y D E C I D E S 1

State Properties and public Buildings.

Energy costs: about 3.5 billion €/year

Source: Umweltbundesamt, 2000 and own calculations

Local authorities 58%

Aprox. 2.000.000 €/year

Federal States 29%

Aprox. 1.000.000 €/year

Federal Republic 13%

Aprox. 500.000 €/year

E F F I C I E N C Y D E C I D E S 2

Reasons for high Energy Consumption.

Missing economical incentive for technical staff to save energy

Separation of public budget into investments and running costs

Tight public budgets with little room for strategic investments

No efficient use of technical equipment

Deficit in or missing energy management

High energy consumption in public buildings

10 – 30 % potential for energy and cost saving

E F F I C I E N C Y D E C I D E S 3

Prospects of Contracting.

Budget relief, no use of own funds

Organizational relief

Outsourcing of risks (investment, technology, conservation success)

Use of the contractor's specialization and expertise

Initiation of competition (ideas, know-how, financing)

Preservation of value of buildings

Energy conservation, reduction of CO2 emissions

Contracting

Models.

E F F I C I E N C Y D E C I D E S 5

Performance Contracting.

Owner of building or property (public body)

Electricity

Supplier

Heat Energy Supplier

Guaranteed reduction of energy costs

Contractor participates on cost savings

Realisation of measures

reducing energy consumption:

- Planning

- Financing

- Realisation

- Operation Management

- Service / Maintenance

an instrument to optimize energy supplies and consumption