municipal energy planning - eneffect

Guide for municipal decision-makers and experts

en

erg

y e

ffic

ien

cy

de

mo

nst

rati

on

zo

ne

in

ga

bro

vo

Municipal Energy Planning

EnEffect is a non-profit NGO, founded in 1992, with the aim to support the efforts of the central and local authorities for attainment of sustainable development of the country through more efficient energy use.

To contribute to the formulation of a policy for efficient use of energy resources at all management levels.

To support local institutional and human capacity building as a prerequisite for initiation, developmentand implementation of energy efficiency programs.

To promote the development of a local market for energy saving technologies, products, materials andservices.

To assist the exchange of experience and information aimed at improvement of energy efficiency.

Overcoming of all barriers to energy efficiency in Bulgarian municipalities and creation of incentivesfor energy conservation.

Development and management of investment and demonstration projects for energy conservation.

Development of municipal and regional energy efficiency programs.

Provision of education and training in the field of rational use of energy.

Collection, processing and distribution of information on energy efficiency.

EnEffect is acting as Secretariat of the Regional Network for Efficient Use of Energy and WaterResources in Southeast Europe (RENEUER). Members of RENEUER are municipalities, NGOs andcompanies from Albania, Bosnia and Herzegovina, Bulgaria, Croatia, Macedonia, Moldova, Romania,and Serbia and Montenegro.EnEffect is acting as Secretariat of the Municipal Energy Efficiency Network EcoEnergy, whose mem-bership by 2004 comprises 159 municipalities as member minicipalities or associated members.EnEffect is part of a network of similar energy efficiency centers in Poland (FEWE), the CzechRepublic (SEVEn), Russia (CENEf), China (BECon) and Ukraine (ArenaECO).

Ene

rgy

eff

icie

nc

y fo

r su

sta

ina

ble

de

velo

pm

en

t

PARTNERS AND DONORS

OBJECTIVES

PR IOR I T I ES

State bodies, local authorities, research and training centers, universities, companies and NGOs inBulgaria. Consultancy companies, institutes and NGOs from Europe and the USA. The GlobalEnvironment Facility, the US Agency for International Development, the European Commission, theUN Economic Commission for Europe, the United Nations Development Programme, the RegionalEnvironmental Centre, West European governments.

NATIONAL AND INTERNATIONAL NETWORKS

For contacts:Center for Energy Efficiency EnEffect

www.eneffect.bg

Tel. (+359 2) 963 1714, 963 0723,963 2169; Fax (+359 2) 963 2574

E-mail:[email protected]

Mailing address:1606 Sofia, P.O.Box 85

Office: 1164 Sofia, 1, Hristo Smirnensky Blvd., fl. 3

MUNICIPALENERGY PLANNING

Guide

for municipal decision-makers and experts

Sofia, 2004

Global Environment Facility / United Nations Development Programme

2 Energy Efficiency Demonstration Zone in the City of Gabrovo

Acknowledgements

This collection is the result of the team effort of many experts from Bulgaria andabroad under the leadership and overall editing by D-r Zdravko Genchev. Theauthors wish to thank all those who contributed to the completion of this multi-

annual effort:

To Johan Havinga and his team from Novem, The Netherlands, for the initialpush during the first training courses, held in the late 1990s, that led to the

introduction of municipal energy planning in Bulgarian municipalities.

To Gerard Magnin, Director of the European municipal network Energie-Cites,for the bridge he helped build to the rich European experience in municipal

energy planning under the conditions of liberalization of the European energymarket.

To Thomas Secrest from Batelle, the U.S.A., for the patient and persistent guid-ance of the authors' team along the labyrinths of Integrated Resource Planning,known also as Least-Cost Planning, on the basis of which the methodology pre-

sented in this guide has been elaborated.

To John Deakin from San Francisco Municipality for the precious knowledgeand experience about the policy and practice of the city's municipal administra-tion, which have been generously placed at the authors' disposal as early as at

the beginning of their long road to implementation of this task.

To Bernard Laponche and his team from the International Advisory Centre onEnergy in Paris for the profound analysis of the substance and meaning of ener-

gy planning under the conditions of the European Union and of the countrieswith economies in transition.

To Elena Dimitrova from the University of Architecture, Civil Engineering andGeodesy in Sofia for her exclusive contribution to the development of models

for communication with the public in the process of preparatory work, elabora-tion and implementation of the programmes.

To all municipal leaders and experts in Bulgaria, who contributed to the testingin practice and upgrading of the methodology of planning and who worked out

with skill, devotion and enthusiasm the first municipal energy efficiency pro-grammes in Bulgaria and got them approved. They were the forerunners of the

Energy Efficiency Act and paved the way for the penetration of energy planningin municipal practice.

To municipal leaders from Serbia and Moldova, who took part in the training onmunicipal energy planning in the framework of the Regional Network for

Efficient Use of Energy and Water Resources (RENEUER) in Southeast Europe,adopted the proposed methodology and tested and proved its rationality and

viability under the circumstances of their own countries.

Introduction

Part One: MUNICIPALITIES, ENERGY RESOURCES AND SUSTAINABLE DEVELOPMENTFunctions of municipalities in the energy sector

The municipality as energy consumer

The municipality as energy producer and supplier

The municipality as regulator and investor

The municipality as motivator

Energy policy and sustainable development

Energy and the sustainable development of municipalities

The method of Integrated Resource Planning

Energy planning in support of local self-government

Regulatory framework of municipal energy planning- The Energy Act

- The Energy Efficiency Act

- The Environmental Protection Act

- The Territory Planning Act

- The Regional Development Act

- Regional Development Plans

- Municipal Strategies for Sustainable Development "Local Agenda '21"

Actors in the management of the municipal energy sector

Part Two: PREPARATORY WORK FOR COMPILING A MUNICIPAL ENERGY EFFICIENCY PROGRAMME

Step One: Building an information database for energy planning

Structure of the Information System on energy efficiency

Database

Analyses and evaluations

Contents of the database

General and aggregate information about the municipality

Specialised information - Technical information by target groups

- Technical information by sites

- Non-technical information

Analyses and evaluations of the technical information

Methods of analysis and evaluation of the available information

Types of analyses and evaluationsAnalysis by target groups

Analysis by individual sites

Combined analysis

Step Two: Selection of approach and methodology for compilation of the programme

Possible approaches

Expert approach

System approach

Method of the priority target groups

Table Of Contents

Municipal Energy Planning 3

7

88

8

10

12

15

19

19

19

20

2121

21

21

21

21

22

22

23

24

24

24

24

25

25

25

2727

27

28

29

29

29 29

30

30

31

31

31

31

31


Step Three: Formulation of the objectives, scope and spheres of impact of the programme and the actors

Objectives of the programme

Policy approach- Reduction of carbon dioxide emissions

- Improvement of the environment and promotion of the economy

Technocratic approach

Combined approach- Reduction of the energy consumption at municipal sites and diminishing of the budgetary expenditure for energy costs

- Improvement of the quality of services

- Reduction of GHG emissions

- Miscellaneous objectives

Scope and spheres of impact of the programme

Actors

Existing structures in the municipal administrations

New administrative structures

Local energy companies

External consultants

Motivated proposal for development of a Municipal Energy Efficiency Programme

Diminishing of the local authority's energy costs

Diminishing of end-users' energy costs

Improvement of the quality of energy services

Reduction of energy prices

Reduction of GHG emissions

Combination of several objectives

Part Three: ELABORATION OF A MUNICIPAL ENERGY EFFICIENCY PROGRAMME

Step Four: Baseline setting and baseline scenario

Technical and economic data about the baseline

Data about energy production

Data about fuel and energy consumption

Data about the technical state-of-repair of the sites

Data about the operating conditions at the sites

Trends in the development of the baseline

Normalised baseline

Real baseline

Normalised baseline

Step Five: Ranking of the target groups and sites according to their technical and economic potential for energy efficiencyimprovement

Ranking according to the supply-side energy efficiency potential

Ranking according to the demand-side energy efficiency potential

Ranking according to the technical state-of-repair

and the operating conditions

Summary ranking according to the technical and economic potential for energy efficiency improvement

Ranking according to the quantifiable indicators

Ranking according to non-quantifiable indicators

Ranking according to the aggregate potential (resource)

33

33

3333

33

34

3434.

34

34

34

34

35

35

35

37

37

37

37

37

38

39

39

39

40

40

40

41

41

42

42

42

43

43

43

44

45

46

46

47

47

47

47

Step Six: Assessment of the local capacity and identification of the tools to be applied by the municipality for implementation of the programme

Political climate

Regulatory opportunities and barriers

Institutional framework and human capacity potential

Opportunities for motivation of participants in the energy efficiency improvement process

Social and psychological climate and acceptability of the measures envisaged in the programme

Step Seven: Defining the financial framework of the programme

Leading principles

Mutual respect for each other's interests

Maximum economic benefits

Maximum social benefits

Control on the material assets

Minimising the risk

Local capacity for procurement of financing

Modalities of financing of municipal energy programmes

The use of conventional financing sources

Concessions for end-users

Joint-stock financing of investments

Surcharges on energy prices

Performance contracting

Step Eight: Selection of priorities and compilation of the programme

Integrated evaluation (ranking) of the target groups and selection of priorities

Engineering and financial forecasts

Alternative scenarios for energy consumption

Response to end-users' requirements

Response to the implementation-related requirements

Measures applied most frequently

Technical measures- Measures in the field of energy production

- Measures in the field of energy supply and distribution

- Measures in the field of energy end-use

Organisational and regulatory measures

Incentives

Selection and ranking of measures

Identical measures at a large number of sites

Complex intervention at a limited number of sites

A set of the most cost-effective measures

A balanced set of measures

A set a measures by sectors

Selection of a baseline scenario for the selected priority target groups and sites

Checking the conclusions and proposals

Checking through comparisons

Checking through experiments and demonstrations- In the design of the programme

- In building confidence in the programme

- In communications with the public

Step Nine: Organisation of the implementation of the programme

Approval of the programme

Pilot projects


48

48

49

49

50

50

51

51

51

51

51

52

52

52

52

52

53

53

53

53

54

54

54

54

54

55

55

5656

56

56

57

57

58

58

58

58

58

59

59

62

62

6262

62

63

64

64

64


Organisation of the implementation of the programme

Monitoring of the results from the implementation of the programme

Part Four: COMMUNICATION WITH THE PUBLIC

Communication as a tool of the municipal energy efficiency policy

Dialogue with the local public

Types of communication

Main dilemmas in communication

Essence and elements of the communication process

Model of the process

Major elements of the communication cycle

Planning communication

Defining communication targets

Defining target groups

Defining communication targets for each target group

Defining messages

Defining means of communication with the public

Organisation for implementing the communication plan

Implementation of the communication plan

Evaluation of implementation

Conclusions

References

Annexes

Annex 1, Part Two: Aggregate information about municipalities

Annex 2, Part Two: Determination of the "ton of oil equivalent" (toe)

Annex 3, Part Two: Specific energy consumption by sectors and target groups Year: 2000 Quarters: 1-4

Annex 4, Part Two: Report about the actual fuel and energy costs by types for 2003

Annex 5, Part Two: Major indicators characterising energy consumption in buildings

Annex 6, Part Two: Municipal sectors and target groups adopted in EcoEnergy

Annex 7, Part Two: Characteristic of the specific manner of energy consumption of the major target groups

in the municipal sector

Annex 8, Part Two: Model template for drafting a motivated proposal to the Municipal Council

Annex 9, Part Three: Model table about the total energy consumption of a target group

Annex 10, Part Three: Data about energy production

Annex 11, Part Three: Data about electricity produced by TPPs and HPPs

Annex 12, Part Three: Data about fuels used for energy generation by TPPs

Annex 13, Part Four: Model Communication Plan on energy efficiency issues

Annex 14, Part Four: Checklist for collecting further information on characteristics of target groups

Annex 15, Part Four: Major means of communication

Annex 16, Part Four: Press contacts

Annex 17, Part Four: Recommendations for organising and conducting an information meeting

Annex 18, Part Four: Recommendations for developing a brochure

Annex 19, Part Four: Arguments for saving energy

Annex 20, Part Four: Possible approaches to probable barriers to implementation of the municipal energy policy

64

65

66

66

66

66

66

68

68

68

69

69

70

70

70

71

72

72

73

74

75

77

77

77

78

80

81

82

82

83

84

84

84

85

85

86

86

87

88

89

89

90


The energy crisis in the 1970s has radically changed the policy ofthe industrialised countries with respect to energy use and energyconservation. In the next decade the concern about the impact ofgreenhouse gases on climate change has also grown. As a result,energy efficiency was brought forwards as a governmental priority ina number of countries in Western Europe, the USA and Japan.Ambitious programmes for reduction of energy consumption inbuildings, transport, the services and industry were developed andimplemented.

In the hands of local authorities is concentrated a considerable por-tion of the responsibilities related to energy management in munici-palities. Rational energy-use, and in many cases also energy supplyand production, are becoming centers of concern for local authori-ties. Local (municipal) energy planning is a major instrument of ener-gy management in municipalities. This Guide is designated for useby municipal decision-makers and experts.

Part one of the Guide reviews the interdependence between munic-ipalities, energy resources and sustainable development of the ter-ritory. Special attention is paid to the new functions, which munici-palities perform in the energy sector, as well as to the activitiesundertaken by them to reduce energy consumption and minimisethe harmful impacts on the environment. Energy planning is pre-sented as a major tool of local self-government.

Part Two is devoted to the information base of municipal energyplanning. It describes the contents and structure of the energy data-base and the possible forms of organisation of information. Thereader is introduced to the fundamental principles and capacity ofthe specialised software, applied by the member-municipalities ofthe Municipal Energy Efficiency Network EcoEnergy for collection,organisation and use of the information contained in the energydatabase. The principal types of analyses and assessments, towhich the information may be subjected, as well as the conclusionsthat may be drawn for the purposes of management of the sustai-nable development process are highlighted step by step. The firststeps in the preparatory work, which should be done prior to thecompilation of the municipal energy programme, are reviewed. Thepossible approaches to and methods of formulation of the objec-tives and the scope of the programme and its design are highlight-ed, as well as the institutional prerequisites for its implementation.Recommendations are made as to how to formulate a motivated pro-posal to the municipal leadership concerning the elaboration of amunicipal energy programme.

Part Three deals with the major steps of the process of compilationof the programme proper. The setting of the baseline and the base-line scenario of the programme are reviewed. The steps related toranking of the target groups according to their potential for energyefficiency improvement and identification of the tools by which themunicipality can influence the target groups as the basis on whichthe final version of the programme is compiled are dealt with inample detail.

Part Four, the last one, is devoted to the communications with thegeneral public as an important factor for the successful implemen-tation of the energy efficiency programme. The review covers the

types of communications, which the local authority may establishwith the local population, as well as the major steps in planning thecommunication effort, including formulation of the objectives forevery target group, the selection of the means of impact and theorganisation of implementation and the evaluation of the plan forpublic relations.

For short, at certain places in this Guide the activities on the com-pilation of the programme are called "energy planning" and theenergy efficiency programme -"energy programme". Energy plan-ning is a periodical (cyclic) activity, which is usually connectedwith the term of office of local authorities. By its nature and in termsof its designation, this activity is political, irrespective of the factthat it is based on objective technical and economic data and esti-mates.

This guide has been compiled on the basis of proprietary studies ofthe authors' team from the Center for Energy Efficiency EnEffect andafter in-depth analysis of the experience in Europe and the USA. Atthe same time, the postulates in the Guide are aligned to the specif-ic circumstances in Bulgaria. In the framework of the project "EnergyEfficiency Strategy to Mitigate GHG Emissions. Energy EfficiencyDemonstration Zone in the City of Gabrovo, Republic of Bulgaria"1 agenuine methodology for design of municipal energy programmeswas developed. It is based on both the experience abroad and theexperience and needs of Bulgarian municipalities. This methodolo-gy has been applied, tested in practice and upgraded in the courseof several consecutive training courses for municipalities fromBulgaria, Serbia and Moldova.

The Guide makes ample use of the results from the survey of theexperience of municipalities from Western Europe, Poland, theCzech Republic, the U.S.A. and Bulgaria in this field, conducted inthe framework of the project of the US Agency for InternationalDevelopment2. Several possible approaches to the design andimplementation of a municipal energy programme are described.The sources of information comprise publications about the munici-pal programmes and initiatives of Graz, Saarbrucken, Hannover,Copenhagen and Leicester, municipal energy efficiency pro-grammes of member-municipalities of the Municipal EnergyEfficiency Network EcoEnergy, summary analyses from the practicein the field of municipal energy planning in Germany, Poland and theCzech Republic, and methodological guidelines on municipal ener-gy planning, based on the experience in the European Union, theUSA, the Netherlands and Bulgaria.

Introduction

1 The Project "Energy Efficiency Strategy to Mitigate GHG Emissions. Energy EfficiencyDemonstration Zone in the City of Gabrovo, Republic of Bulgaria" was financed by theGlobal Environment Facility (GEF) through the United Nations Development Programme(UNDP) and implemented by the Center for Energy Efficiency EnEffect, Sofia.

2 The Project "Municipal Network for Energy Efficiency" (MUNEE) was aimed at thecountries from Central and Eastern Europe and the former Soviet Union and wasfinanced by the US Agency for International Development.

Only a few decades ago, municipalities did not have any signifi-cant functions in the field of energy. While energy generation,transportation and distribution were predominantly the responsibil-ity of the state, local authorities' functions were limited almost sole-ly to their role of heat and power consumers. In consequence ofthe privatisation and decentralisation in the energy sector, munici-palities began to acquire new functions. In the Central and EasternEuropean states these changes began to be actively introducedalong with the political reforms. The functions implemented byEuropean municipalities with respect to energy put them in diffe-rent roles, as follows:

- the municipality as energy consumer

- the municipality as energy producer and supplier

- the municipality as regulator and investor in the local energysector

- the municipality as motivator - a source of motivation for more effi-cient energy generation and consumption and for protection of theenvironment.

For the implementation of these functions, local authorities in Europeundertake a variety of actions [69]. A considerable number of themorientate their efforts to reduction of energy consumption and dimi-nishing municipal expenditures for energy costs, minimising harmfulimpacts on the environment from energy use on the area of themunicipality and a change of the behaviour of end-users in the re-sidential sector, the services and local industries.

The municipality as energy consumerThe most typical role of every municipality is that of energy con-sumer. This is the function, which is most frequently linked to theresponsibilities of the municipality and with respect to which its ini-tiative is anticipated. Energy consumption in the municipality usual-ly covers the following major spheres:

- the buildings, which are municipal property - administrative cen-tres, schools, sports facilities, medical and social care establish-

ments, residential buildings (municipal housing and other residentialsites, allocated for public use);

- public transport vehicles - service cars, waste collection vehicles,street cleaning motor vehicles, public city and intercity transport (inas much as it is subsidised by the local authorities);

- municipal services - street lighting, water supply and sewerage.

Simultaneously with its strive for expanding the range of servicesand improvement of their quality, the municipality is trying to dimi-nish the costs for their provision. Since energy is a significant com-ponent of the price of the majority of services provided by it - trans-portation, medical care, education, etc. - reduction of energy con-sumption is the main tool for minimising the costs of services [6, 69].

The main actors in the performance by the municipality of its func-tion as energy consumer are the municipal administration and theend-users and counterparts connected with it. These are the mem-bers of the municipal council, the employees of the municipaladministration, the users of municipal services and sites, the energysuppliers, external consultants and private companies engaged toimplement specific services, investors.

The municipality as energy consumer

The municipality as energy producer and supplier

The municipality as regulator and investor

The municipality as a motivator

Functions of municipalities in the energy sector


Municipalities are assigned ever more important functions in energy management. The conditions fostering such development are theadvance of decentralisation in the energy sector and the broadening of local self-government. The efficiency of extraction and utilisation

of energy resources is becoming one of the primary concerns of local authorities. Therefore, planning of energy resources is promoted toa major component of the sustainable development policy of every municipality.

Municipalities, Energy Resources and Sustainable Development

Part One


Bielsko Biala, Poland

In 1996, the Municipality of Bielsko Biala took over from the statethe ownership on schools and the responsibility for their runningcosts and maintenance. Since the funds for energy efficiencyimprovement were not enough, a Revolving Fund for theRenovation of Schools was set up in the municipality. The fundis used for financing of different energy efficiency measures.Theachieved savings are re-invested in other similar activities. Theenergy management team of the municipality believes thatupgrading of all school buildings in Bielsko Biala will be possi-ble under this scheme [59, 69].

Sadabel, Spain

Full reconstruction of the street lighting systems has been imple-mented in the municipality. The street lamps have been replacedby more efficient ones, and the number of lighting units has beenreduced by 50%. A system of preventive maintenance of streetlighting has been introduced. Although the different measuresincrease the maintenance costs, their total value is balanced bythe extension of the life cycle of the equipment, reduction of thenumber of failures and the more rational use of energy [69].

Odense, Denmark

The municipality of Odense implements a programme for dimi-nishing the energy consumption in municipal buildings. For thispurpose, the municipality collects information about the energyconsumption in those buildings, performs energy audits anddisseminates information among the municipal managers andend-users [69].

The function of energy consumer is the best developed one inBulgarian municipalities. Municipalities in Bulgaria take care of allcommon types of public buildings, which are taken care also by thelocal authorities in the other European countries, and perform thecommon range of energy services. Energy conservation at end-users at municipal sites might significantly alleviate municipal bud-gets and become a prerequisite for diminishing of prices andimprovement of the quality of services provided by the municipalityto its residents [6].

In implementation of their function of energy consumers a number ofmunicipalities in Bulgaria perform energy audits of municipal sitesand implement energy efficiency measures in street lighting systems(Gabrovo, Pazardjik, Pernik, Razgrad), hospitals (Stara Zagora,Gabrovo, Gorna Oriahovitza), schools (Gabrovo, Pernik), kinder-gartens (Dobrich, Pernik) and other sites.

Energy efficiency in municipalbuildings in Targovishte

The municipality of Targovishte implemented a project for energyefficiency improvement and reduction of the energy costs forspace heating in 20 municipal buildings. Four groups of energyefficiency measures were implemented in eight kindergartens, sixschools, four creches and the administrative building of the munic-ipality and the House of Youth. The depreciated boilers werereplaced by new energy efficient cast iron ones and the naphtha-fired burners were replaced by automatic gas and gas-and-naph-

tha burners.The annual electricity savings amount to approximate-ly 360 MWh. As a result of the fuel shift from naphtha to natural gasthe energy costs have been diminished by nearly 60%. In 2003, theproject of Targovishte Municipality won the 2nd place in the com-petition for the best municipal energy efficiency project organisedby the Municipal Energy Efficiency Network EcoEnergy [46].

A package of projects in theMunicipality of Pernik

A project for reduction of the energy consumption at municipalsites was implemented in the Municipality of Pernik in 2001. Theproject consists in the application of a package of energy con-servation measures in four school buildings and overall recon-struction of the street lighting system. Besides the direct savingsof energy and money, the implementation of the measures in theschool buildings has produced also a considerable social effectthrough the significant increase of the temperature in the class-rooms, which prior to project implementation used to be farbelow the standards. Similar effect has been achieved alsothrough the street lighting project, in the course of which thedepreciated and non-functioning lighting units have been entire-ly replaced by new energy efficient luminaries with sodiumlamps and as a result the lighting level along the streets of thecity has been greatly improved. For overall maintenance of thesystem the municipality has signed a contract with a privatecompany for a period of 10 years. Electricity consumption hasdiminished 2.5 times, as compared to that prior to the start of theproject. The municipality obtained a loan from the UnitedBulgarian Bank for financing of 70% of the project costs, and theremaining 30% were financed from municipal funds [44].

Efficient street lighting in Svishtov

When they launched their project for reconstruction of the streetlighting system, the experts from the Municipality of Svishtovcounted 1192 luminaires, some of which were crashed and rust-ed, one quarter were not operating at all and yet another partwere fully depreciated. After the implementation of the energyefficiency project the number of luminaires was increased bymore than 18%, the illumination of the streets was improved andnevertheless electricity consumption had dropped two to threetimes. The project was implemented under the guidance of theMunicipal Energy Efficiency Office by a team, composed ofengineers from "Elektrosnabdyavane" (Electricity Supply)Svishtov and experts from a designer company. In the frame-work of four months, the luminaires on the entire area of the citywere replaced. In addition, the lighting poles along the threemain streets and in the park areas were totally replaced. Theproject has produced an important social effect - the improvedpublic lighting level generates a feeling of comfort, contributesto reduction of traffic accidents and criminal assaults. In addi-tion to the project, the lighting in all the 15 villages belonging tothe Municipality of Svishtov was replaced with equity fundingfrom the municipal budget [14].



The most common activities for reduction of demand-side energyconsumption, performed by the municipalities, depend on the spe-cific particularities of the given population centre. The majority ofthese activities, however, may be aggregated in several groups,which may be identified in almost all municipalities. (Table 1)

The results to be expected from the above listed actions depend ona multitude of factors. In some municipalities the opportunities forreduction of energy consumption are significantly lower than in oth-ers. For instance, in municipalities in which a policy for reduction ofenergy consumption has been conducted since years, specificresults have already been achieved. Therefore, the possibilities foradditional diminishing of consumption might be limited. In munici-palities, which are just embarking on the implementation of suchmeasures, these opportunities might turn out to be extremely high.In the majority of municipalities in Bulgaria the energy conservationpotential is quite high. Results may be expected mainly in the fol-lowing directions:

- monetary savings, which the municipality might use for other moreurgent public needs, in addition to the improvement of the quality ofenergy services;

- energy savings, which might contribute to alleviation of the load onthe national or municipal energy system (provided the municipalityis energy independent to some extent);

- reduction of environmental pollution (both on the area of the munic-ipality and on a global scale through reduction of greenhousegases); and

- the reduction of energy consumption in municipal buildings mightserve as an example and incentive for replication by other publicand private energy end-users in the municipality.

The municipality as energy producer and supplier The role of municipality as energy producer and supplier consistsin meeting the energy demand of the inhabitants of the city and thebusiness structures operating on its area. This function is imple-

mented in different ways in the different municipalities. In countrieswith heavily centralised energy systems municipalities have quitemodest opportunities to influence energy production, transporta-tion and distribution. In other cases, the entire cycle of energy "pro-duction-transportation-distribution-consumption" is closed withinthe boundaries of specific areas. In many cases, at least someportion of the consumed heat and electricity may be produced onthe spot. In the developed countries of Western Europe, conside-rable differences have been noted with respect to the implemen-tation of this function. Some municipalities have a significant influ-ence on energy production, transportation and distribution, othershave only limited or no opportunities for impact at all. In recentyears this function has manifested rapid development in some asyet small number of states. This provides grounds to some authors,to view energy production and energy supply as two independentfunctions [6].

France and Denmark

Different examples exist in this respect. The energy systemof France is centralised, while energy production and distri-bution in Denmark are strongly decentralised. The nature ofthe energy systems in these two countries is justified by his-torical prerequisites as well as by the energy carriers usedfor energy generation. While in France the majority of thepower production comes from nuclear power plants, theenergy system of Denmark is based on the use of a varietyof fuels, including renewable energy sources - wind, solarenergy, biomass. In France the energy generation capaci-ties are aggregated and subordinated to a centrally ma-naged state energy network, while in Denmark the individualenergy production capacities have a relatively small capa-city and are dispersed over the entire territory of the coun-try. A number of territorial units feature an entirely closedcycle of energy "production-transportation-distribution-con-sumption". In this case the national grid plays only a regu-lating function [59].

Spheres of impact

Municipal buildings

Street lighting

Municipal transport

Possible actions

Working out of programmes for retrofit of the municipal building stock

Energy audits of municipal buildings and working out of projects for energy efficiency improvement

Implementation of energy efficiency measures in municipal buildings

Energy management in municipal buildings

Energy auditing of public lighting on streets, public squares and open public areas(parks, gardens, garages)

Preventive maintenance of the street lighting systems and equipment

Implementation of energy efficiency measures

Monitoring of fuel consumption by the public transport

Table 1. The most common activities related to implementation by the municipalities of their function of energy consumers*

* The classification has been compiled on the basis of examples from the practice in Western Europe and Bulgaria, as wellas from proprietary studies conducted by EnEffect

Municipalities perform their function of energy producers and ener-gy suppliers through activities in the following major spheres:

- heat and electricity generation, and sometimes thermal energy forcooling;

- use of renewable energy sources;

- use of solid urban waste as fuel for energy generation;

- energy transportation and distribution to the end-user sites.

In implementation of this function the municipality interacts with dif-ferent actors, the most typical among them being as follows: muni-cipal councilors and employees from the municipal administration;local authorised companies (for instance companies, which haveobtained a concession for district heating supply or have concludedan energy services contract with the municipality, including to per-form heat accounting, etc.) and municipal utilities in the power sup-ply sector; public and private, regional and national power and na-tural gas supply companies.

In this process the municipality collaborates with the local energyconsumers and the actors from the economic sphere, financial insti-tutions, the national and regional administration.

Amsterdam, the Netherlands

The municipal energy company, "Energiebedrijf Amsterdam"(EBA) implements a programme for introduction of decen-tralised small co-generation plants for heat and power genera-tion.The locally produced electricity produced is distributed intothe grid belonging to EBA. Heat is used in the administrativebuildings of the municipal council, the hospitals, hotels andother buildings with high demand. The city has a waste incine-ration plant of 80 MW capacity and the power produced by it isalso distributed via the municipal grid. All in all the decentralisedelectricity consumption provides almost 20% of the city'sdemand [69].

Skive, Denmark

A large solar energy heating system was installed in theHoesjslev Primary School. It consists of 30 highly efficient 12.5 m2 modules which can supply approximately 450 kWh/m2.The municipal administration sells the excessive solar power tothe local district heating network. Skive has been continued itspolicy promoting renewable energy with the installation of newsolar heating systems at primary schools since 1997.

The function of the municipality as energy producer and supplier inBulgaria is relatively limited. With the exception of Sofia, which is theowner of a significant share of the local district heating company, themajority of the remaining municipalities cannot influence the opera-tion of the enterprises producing and supplying heat and electricity.With the forthcoming restructuring on ownership rights on the districtheating companies in the country, the role of local authorities on theirmanagement will undergo a significant change. For the time being,however, the function of the municipality is limited mainly to energyproduction in local boiler yards in some municipal buildings.Renewable energy sources (solar energy, wind, water and biomass)also enjoy gravely inadequate application. The same applies towaste combustion and use as an energy source, and to the con-struction of small co-generation plants [6, 26, 30, 31]. The most fre-quent municipal projects in the field of energy generation are rela-ted to fuel shift. Usually, this involves a shift from liquid or solid fuel

to natural gas (Pazardjik, Dobrich, Razgrad, Stara Zagora, Yambol,Botevgrad). In several municipalities assessments have been madeof the opportunities for use of renewable energy sources (Omurtag,Silistra, Gabrovo).

A success story worth mentioning is the experience of theMunicipality of Stamboliyski, which set up a public-private compa-ny for implementation of an energy efficiency project. The compa-ny has worked out the project and has ensured bank crediting forconstruction of a mini-plant for combined heat and power genera-tion. This plant will produce the heat for the district heating systemin the city.

Solar systems for domestic hotwater production in the Municipalityof Belene

The Municipality of Belene has worked out a project on "Solarheating system for domestic hot water production to meet thedemand of the combined child-care establishment on the areaof the town of Belene", which has been incorporated in theRegional Programme of Pleven District on the use of RES. Theuse of new energy technologies and solutions is one of themajor directions of the future activities of the municipal energyefficiency office. The municipality possesses 9 solar collectors,purchased with equity funds. The implementation of the projectis estimated to produce annual electricity savings to the amountof nearly 66 000 kWh, as well as significant environmental andsocial benefits.

Co-generation in Pravetz

Toplofikatsiya (District Heating) Pravetz has implemented a pro-ject for combined heat and power generation. The project wasfinanced by the Dutch Government through the SenterInternationaal Agency with the Ministry of Economic Affairs ofthe Netherlands. The co-generation system features power andheat generation capacity of respectively 500 kW of electricityand 765 kW of heat. It consists of a natural gas fueled internalcombustion engine and a power generator. The estimated sa-vings at an average 6-7 thousand hours of plant operation perannum.amount to about 250 thousand Nm3 of natural gas orBGN 130 000 [50].

Renewal of the in-house space-heating systems in municipal sitesin Kardjali

After the decommissioning of the steam plant at the formerGorubso Company, the municipal sites, which were districtheating supplied by it, remained without heat supply. In orderto resolve the problem, the Municipality of Kardjali construc-ted in several of these sites local space-heating systems. Anew boiler yard was constructed in the substation of theadministrative building of the local authority. A boiler housewas installed also in the building of the House of Culture witha heated area of about 1800 m2. The Dr. Vlassakiev TB dis-pensary was also equipped with a local naphtha-fueled local




space-heating system. The space heating in the buildings ofthe "Viara, Nadejda i Liubov" (Faith, Hope and Charity) kinder-garten and the creche is provided by an electric boiler of 60 kW capacity [58].

Use of biomass in the Municipality of Apriltzi

The Municipality of Apriltzi won a project funded by theEuropean Commission for the use of biomass for energy pro-duction. The clearing logging of forests on the area of the muni-cipality, comprising sick and withered trees, broken branches,as well as waste wood from the 12 wood-processing local work-shops, were a favorable precondition for the implementation ofthe project. Three municipalities - Apriltzi on the Bulgarian side,the Greek Municipality of Dadia and the Austrian Furt/Triesing -were the main partners under the project "Contribution ofBiomass-fueled Centralised District Heating to SustainableRegional Development". The objectives of the two Balkan muni-cipalities was to set in place local district heating networksusing as fuel waste biomass from the wood-processing localenterprises and from the clearing logging of forests. The totalproject value is EUR 533 500, 75% of which have been provid-ed by the European Union and the remaining EUR 133 500 areprovided by the Municipality of Apriltzi as monetary and in-kindcontribution. The thermal power plant has a capacity of 400 kWand comprises a boiler house and a bunker for the fuel, whichis fed automatically to the combustion system. The distributionnetwork to the substations in the end-users' buildings was con-structed by Brunata-Bulgaria. Initially, the local plant will supplyheat to administrative and public buildings and, at a later stagethere will be possibility for connection of individual households,provided there is adequate demand [47].

In implementation of this major function, the municipality appliesmeasures for optimisation of the processes of energy generation,transportation and distribution among the end-users through the fol-lowing more important groups of activities:

- In the field of energy production: energy audits of the systems, fea-sibility studies, improvement of the performance of the system andreduction of the harmful impact on the environment, selection ofenergy sources depending on their economic, social and politicalsuitability, the use of renewable energy sources (for instance fire-wood and wood waste, solar energy, wind energy and the energy ofwater), development of co-generation systems and support for cer-tain independent energy producers, efficient utilisation of solidurban waste, alignment of production to meet the demand of a reg-ulated end-use;

- In the field of energy transportation and distribution: energy auditsof the systems, improvement of the efficiency of the heat and waterdistribution chains, signing of contracts for operation of the facilities(for instance for distribution of natural gas and electricity) to the ben-efit of the municipality and its inhabitants, elaboration of a simplifiedsystem for metering of consumption and billing, so that the con-sumer can be able to control consumption individually, provision ofupdated information about energy consumption in the city by typesof applications, types of consumers and consumer groups, integrat-ed planning of resources for the energy networks, optimisation of theinfrastructure of the system in order to eliminate the waste of fundsfor unnecessary investments;

- In the field of consumption: efforts for diminishing of energy con-sumption per capita, per type of service or per company (withoutdetriment with respect to quality) and undertaking of measures for

achievement of this objective (for instance through demand-sideenergy management), alignment of production and supply accord-ing to the energy end-use (least-cost planning), consideration ofconsumption as an integral part of the general policy on energy pro-duction and distribution. (Table 2)

As a result of the implementation of this major function of the munic-ipality the following more significant results may be expected:

- achievement of higher autonomy of the municipality in the energyfield;

- achievement of fuel savings;

- development of local energy production;

- expansion of the use of local and renewable energy sources;

- reduction of environmental pollution from energy sources;

- ensuring higher quality of services for the inhabitants and the busi-nesses on the area of the municipality as a lower price;

- achievement of savings from avoided investments in the energynetwork;

- energy generation from waste;

- improvement of employment for the local inhabitants.

The municipality as regulator and investorThrough a number of its activities the municipality plays also the roleof regulator and investor. For instance, land-use planning and organ-isation of transport systems are responsibilities of the local authori-ty. A number of strategic decisions, related to public works in thecity, as well as numerous other decisions that should be made daily,affect directly energy consumption by the inhabitants and the vari-ous economic entities on the area of the municipality. A considerableportion of the investments in the infrastructure are made by themunicipalities. All these can have a significant effect on energydemand, as well as on the efficiency of energy production, supplyand consumption [6].

Most frequently the municipality appears in its role of regulator in thefollowing spheres of activities:

- in the elaboration of development plans, which define the basicstructure of the cities and their adjacent areas;

- in the separation or combining of different functional zones of thearea of the population centre - residence, work and recreation;

- in the design and implementation of transport schemes and pro-grammes and the overall transportation policy on the area of themunicipality;

- in the elaboration of spatial development plans (new ones orupdating of the existing ones) for entire population centres or sepa-rate districts;

- in the formulation of recommendations concerning building stan-dards (for instance orientation of the buildings, thermal engineeringrequirements for buildings, passive use of solar energy, etc.), in theendorsement of local building rules and standards;

- in the formulation and application of the policy with respect to localtaxes and changes;

- in establishment and development of comprehensively organisedmicro-districts within the boundaries of the population centres, thus

contributing to the alleviation of the daily life of the residents andreducing dependence on motor vehicle traffic.

In the course of decision-making on issues related to the above lis-ted spheres usually different spatial planning considerations have tobe taken into account and in the majority of cases the energy-relat-ed consequences are overlooked.

The majority of actors involved in these activities are frequently notrepresentatives of the energy sector. These are most frequentlymunicipal councilors and officials from the "Architecture/UrbanPlanning and Public Works" departments of the municipal adminis-trations, investment companies and developers, architects, urbanplanners, civil engineering and other specialists, the companies forurban, intercity and regional transport, associations of building own-ers, ecologists etc., and the entire population of the city, which isever more often required to change its habits with respect to energyuse.

In order to create conditions for more profound consideration ofenergy-related factors in decision-making, the local authority shouldensure adequate training of its specialists and top officials and raisetheir awareness on the additional opportunities which energy effi-ciency may offer.

Under the conditions of liberalisation of the energy market, the reg-ulatory functions of local authorities are expected to undergo a sub-stantial change. In the municipalities in Western Europe this changehas become to manifest itself in a tangible manner. As a summaryresult of these changes local authorities get liberated to an ever-growing extent of some of the tools used for regulation of the ener-gy sector.

Montpellier, France

The Mayor of Montpellier issued guidelines for action in the fieldof construction and improvement of public school buildings.They are aimed at ensuring comfort for pupils and teachers du-ring the entire lifespan of the buildings. Two key points had to betaken into consideration were to ensure comfort in winter (elec-

trical heating was forbidden) and adequate ventilation and light-ing in summer (work placed are located close to natural day-light). As a result, energy consumption for space heating in thenew schools complex amounts to 54 kWh/m2, i.e.36% less thanthe average for schools and 60% less than for older ill-designedschools [59].

Mannheim, Germany

In 1983, the municipal energy utility in Mannheim worked out aconcept for expansion of energy supply in the city, which is peri-odically updated. This concept is based on zoning planning, inwhich one sole form of energy (besides electricity) is used formeeting the energy demand. By defining zones, which will besupplied mainly by gas or district heating, it became possible tofocus all efforts to expansion of the respective networks. This, inturn, leads to increase of the cost-effectiveness of the energysystems [69].

Every Bulgarian municipality performs the function of regulator andinvestor mainly through the planning and spatial development of theterritory. Although this issue is not yet fully mastered and is gravelyunderestimated, urban planning and the planning of transport com-munications have a significant impact on energy consumption.Unfortunately, the energy and environment related components ofthe master plans of population centres, of the programmes for pub-lic works on the area of municipalities and the transport communi-cation schemes are not always developed with the required degreeof precision. Quite often, important management decisions aremade without due consideration of the energy related conse-quences from them or of their impact on the environment. In mostcases, this is the result of information shortcomings, or of the as yetscanty positive practice in the country, or of wrong priority ranking inmunicipal policy [6].

Nevertheless, some Bulgarian municipalities manage to successful-ly demonstrate their function of investors. The Municipality of Stara


Spheres of impact

Heat and power genera-tion and the use of renew-able energy sources (RES)

Energy transportation anddistribution

Energy consumption

Table 2. The most common activities in implementation of the function of the municipality as energy producer and supplier

* The classification has been compiled on the basis of examples from the practice in Western Europe and in Bulgaria, aswell as from proprietary studies conducted by EnEffect

Possible actions

Energy audits of the systems

Improvement of the efficiency of heat and power generation

Introduction of combined heat and power generation

Identification of the potential for use of RES

Optimisation of the systems for energy distribution

Diminishing of losses in energy transportation and distribution and improvement of the energy efficiency of the systems

Construction of facilities for energy generation from RES

Introduction of demand-side energy management

Introduction of least-cost planning

Conducting of an integrated policy with respect to energy production, transportation and distribution



Zagora has implemented considerable investments for improvementof the energy efficiency of the district hospital.3 The municipalities ofPernik and Pazardjik have realised significant investments in pro-jects for improvement of the energy efficiency in the street lightingsystems and school buildings.4 The Municipality of Stamboliyskiinvested in the construction of a small district heating co-generationplant for meeting the heat and electricity demand of the city.5

Some municipalities in Bulgaria realise their function as regulatorthrough setting of water prices, for instance. This happens mostoften in municipalities, in which the water supply and seweragecompanies are municipal property. In the future similar practicemight get established in the field of district heating as well, sincemunicipalities are expected to gain ownership rights on the DH com-panies.

The Municipality of Stamboliyskiinvests in a private TPP

The first private district heating plant in this country was com-missioned at the end of 2002 in the city of Stamboliyski. The siteis owned by the specifically founded company TEGE-21 Ltd.,shareholders in which are the Municipality of Stambloliysky andthe companies ELECTRA-2000 and "Energy Efficiency andEcology". The plant ensures heat supply for 26 administrativeand residential buildings. A number of measures to reduce heatand power losses in energy production, transportation and dis-tribution have been envisaged. Connection of new consumerswith a capacity of 600 kW during the second year of operationof the plant after its commissioning and increase of heat con-sumption by 5% per annum during the next two years is envi-saged. The co-generation module of 650 kW heat outputcapacity, product of the Austrian company Jenbacher, will pro-vide domestic hot water. This guarantees year-round loading ofthe plant and attainment of 85% overall efficiency performanceand hence makes the investment highly cost-effective. Theelectricity generated by the co-generation module will coverthe plant's own demand and any excessive quantities will besold to Electrorazpredelenie (Power Distribution) Plovdiv atpreferential prices as provided for in the Energy and EnergyEfficiency Act [54].

Energy monitoring in schools inStara Zagora

The municipal energy agency in Stara Zagora is developing an"Energy Monitor" Programme, oriented towards the problems ofenergy efficiency in school buildings. After the conducted sim-plified energy auditing of the sites and tracking of the energycosts of every school for a year back, the theme of the agencyhas resorted to the establishment of a dynamic system formonthly reporting of the data of the metering devices - electricmeters, water meters and fuel consumption meters. As a resultof the thus created organisation, at the beginning of everymonth the responsible officers of each school communicate to

the agency the current readings of the metering devices bytypes of energy carriers. Parallel to it, the agency receives dataabout currently encountered problems in the in-house spaceheating, water supply and gas supply systems. In the event ofdetection of unjustified high levels of energy consumption con-trol checks are conducted to find out the real situation. Membersof the control commissions are experts from the agency and theresponsible officers from the schools, as well as representativesof the municipal administration and the companies responsiblefor the accounting of consumption for the respective energycarrier. The application of this monitoring is expected to lead toreduction by more than 10% of the energy costs of the schoolsin Stara Zagora [56].

The City of Dobrich Municipalityinvests in energy efficient streetlighting

A report drafted several years ago in the Dobrich Municipality,revealed that only 8% of the total of 1930 lamps situated alongthe primary city arteries were in good state-of-repair. The per-centage for the entire city was slightly higher - in the best caseabout 24 percent of the lamps were in operation. The expertsfrom the local administration helped by consultants worked outa project for energy efficiency reconstruction of street lightingand incorporated it in the scope of the Municipal EnergyEfficiency Programme. The programme was unanimouslyapproved by the Municipal Council of Dobrich. Several versionsfor financing of the project were worked out, however the localcouncil members decided that the municipality could cope byitself, since they calculated that the interest due on the loanwould engulf the real effect of the achieved savings for at leasta year. BGN 210 000 were allocated from the municipal budgetfor the first stage. All parameters of the street lighting project arewell grounded, however it is hard to indicate which are its mostimportant elements, since it brings about many other benefits aswell. The lighting level is being improved, while the installedcapacity is being reduced. At the same percentage of operatinglamps, the electricity consumption has been reduced by morethan 3 times [14].

Provided there is adequate capacity, the municipality might planand perform a number of important actions, through which it mayinfluence to a considerably extent the efficiency of energy con-sumption on their respective areas. In its capacity of investor andregulator, the municipality most often exercises its impact throughthe following major actions:

- orientation of the efforts towards broadening and improvement ofthe services provided by the municipality and diminishing of theirprice;

3 The project was implemented with assistance from USAID under the guidance of theUS Consultancy Company Electrotek Concepts, Inc. and EnEffect.

4 The projects have been implemented in the framework of the USAID project for intro-duction of a mechanism for partial guarantee on bank credits (DCA - DevelopmentCredit Authority).

5 The project was developed with consultancy assistance by EnEffect and was imple-mented through a credit lent by a Bulgarian bank.


- evaluation of different scenarios for development of the energy net-works;

- evaluation of the different scenarios for public works and transportarrangements on energy consumption and the levels of harmfulemissions;

- application of energy efficiency and prevention of harmful emis-sions as leading criteria in the evaluation of the projects in themunicipality;

- seeking of adequate combinations of urban development functions(residence, work and recreation) with a view to diminishing com-muter trips;

- convincing people to refrain from using their private cars by intro-ducing pedestrian zones, limited motor traffic zones, limited travelspeed zones etc. and encouragement of the use of public transportat improved level of the services;

- support for intermodal travel (train - tramway - bus - bicycle - onfoot); facilitation and ensuring the safety of travel by bicycle ormopeds, etc.

- facilitation of the opportunities for charging of electricity or gasdriven motor vehicles;

- encouragement of bio-climatic architecture, passive and activeuse of solar energy in buildings and the broader regions, and theuse of environmentally sound energy sources. (Table 3)

The results from the above listed activities most often are manifes-ted in:

- savings of costs as a result of reduction of energy consumption bytransport;

- improvement of the living standards in urban areas through bettermanagement of the living space;

- reduction of air pollution;

- positive changes in the attitude and behaviour of urban plannersand public works experts;

- enhancement of employment opportunities and encouragement ofmore efficient energy use in industry;

- achievement of energy savings in buildings;

- creation of systems for promotion of energy efficiency.

The municipality as a motivator

Households, companies, manufacturing enterprises and the admin-istration, including the municipal administration itself, are energyend-users. It is their behaviour namely that determines the generalenergy efficiency performance on the area of the municipality. At thesame time, however, their decisions on these issues are not subjectto direct control on the part of the local authority (except for the localadministration). The municipality, on the other hand, possesses indi-rect opportunities for influencing the behaviour of energy con-sumers. It has the capacity to encourage or sanction them, or ingeneral terms to motivate them in favour of a specific type of beha-viour.There are multiple modalities and tools to motivate energy end-users to conscientiously diminish their consumption. Prices are onlyone such tool, however municipalities might apply a number of oth-ers as well. Most frequently these tools take the form of specificmaterial or moral incentives, which may be introduced indepen-

dently or as part of comprehensive incentive programmes for ener-gy efficiency improvement in different spheres. Various competi-tions, specific targeted awards, energy efficiency labels or awardingof honorary titles are only a small fraction of the broad range of toolsused by local authorities in Europe for fostering energy conservationthrough changes in the behaviour patterns of end-users.Dissemination of information on efficient energy use, developmentand realisation of educational programmes and broad offer of advi-sory services on the issues of efficient energy use are used in manycountries as effective tools to motivate end-users to more efficientuse of energy [6].

The function of the municipality as a motivator may be manifested indifferent spheres of impact: The most often reported ones are as fol-lows:

- space heating and air conditioning in buildings;

- indoor lighting of residential and work premises;

- the use of electric household appliances and computers in thehouseholds and at the workplace;

- the modality of use of urban and intercity transport or private motorand non-motor vehicles;

- various technological processes;

- waste management.

The motivating function of the municipality is oriented towards theenergy end-users. It is, however, implemented in interaction with dif-ferent actors in the chain of energy "production-transportation-distri-bution-consumption". These actors are above all the following:

- end-users: households and in a growing degree also individualoccupants, commercial sites, banks, schools and universities,administrative services units, hospitals, industrial enterprises, com-munity services companies, transport companies;

- intermediaries: different associations (housing associations, trans-port associations, municipal centres, etc.), trade union and profes-sional associations, NGOs;

- regional and national energy management agencies, energy com-panies.

Helsinki, Finland

In 1996, the Helsinki Energy Management Agency has, incooperation with MOTIVA (the National Centre for Informationon Energy Efficiency and Renewable Energy) conducted anEnergy Week. All 7 to 8-year old children from the total of 150schools in the city participated in this national event. Theyworked on projects related to energy: video films, exhibitions,role-playing, monitoring campaigns, etc. Helsinki was alsoinvolved in a pilot operation to develop an action plan for ener-gy management in schools. Guides with useful hints, tips andideas for pupils and teachers alike are disseminated inschools [59].

Bremen, Germany

One of the largest municipal energy utilities in Germany,Stadtwerke Bremen AG, organised a campaign jointly with themanufacturers OSRAM, PHILIPS and SYLVANIA and the retailnetwork North Sea. The objective of the campaign was toincrease the sales of compact fluorescent lamps under themotto "A tested Watt - a saved Watt". Half a million vouchers,


which offered a discount of EUR 2,5 on the price of every pur-chased compact fluorescent lamp, were distributed. The colla-boration with the manufacturers and retail traders proved to beconstructive, and the campaign turned into a successful under-taking for both the municipal energy supply company and itspartners on the energy market. In result, the energy savings arecombined with better services for the customers and with pro-tection of the environment [69].

The function of motivator is as yet the most underdeveloped functionof Bulgarian municipalities. It may be expected that in the comingyears a steady and irreversible trend of broadening of the powers oflocal self-government will set in. The capacity of the municipality tohave a stimulating influence on certain activities in the field of ener-gy production, supply and consumption will also increase. Localtaxes and charges, the prices of services, adequately organisedinformation, educational and other campaigns or competitions,material and non-material awards, energy labeling of products,buildings and consumers are only some of the rich variety of oppor-tunities, which local authorities have at their disposal to promote effi-cient energy consumption, reduction of harmful emissions and otheractions to the public benefit [6].

Information campaign in Gabrovo

In the framework of the project "Energy Efficiency Strategy toMitigate GHG Emissions. Energy Efficiency Demonstration Zonein Gabrovo, Republic of Bulgaria". The Municipality of Gabrovo,in a joint effort with EnEffect, conducted information campaignsin the residential building and the school, in which implementa-tion of demonstration projects for energy efficiency retrofit wereenvisaged. The campaign in the residential building wasfocused on the benefits from introduction of thermostatic radia-tor valves at the end-users. In the school, the emphasis was laidon the benefit from the measures for energy efficiency improve-ment and on a change in the pupils' attitude towards energy.The benefits from the efficient energy use were presented in anaccessible language and an appropriate format. Meetings wereheld with the pupils and teachers and a specialised competitionfor children's drawings on the subject "Energy and theEnvironment" was organised. Special folders, describing theenergy efficiency measures to be implemented in the schooland the residential building, as well as the benefits from them,were distributed among the pupils and the tenants of the apart-ment block [11, 15, 40, 42].

Spheres of impact

Planning of the sustain-able development ofthe municipality

Spatial and urbandevelopment plans

Local building rules,standards andpractices

Technical infrastructure

Possible actions

Working out of municipal energy strategies as component parts of the strategies for sustainable develop-ment of the regions and municipalities

Working out of municipal energy programmes and action plans

Working out of different options for development of the energy networks

Evaluation of the impact and selection of optimum versions for energy distribution

Optimisation of the functional zoning in order to reduce transportation requirements (commuter trips)

Optimisation of the transport communication schemes with a view to reduction of traffic intensity

Implementation of pilot bioclimatic (nature-friendly) architectural projects on the area of the municipality

Establishment of energy efficiency as a leading criterion in the evaluation of projects in the municipality

Study of the opportunities for introduction of local building rules, standards and practices, regulating thebioclimatic (nature-friendly architecture and architectural and civil engineering solutions for high energyperformance

Reconstruction of the existing technical infrastructure with a view to minimising energy losses andimprovement of energy efficiency

Construction of a new energy efficient technical infrastructure

Table 3. The most common activities in implementation of the function of the municipality as regulator and investor

* The classification has been compiled on the basis of examples from the practice in Western Europe and Bulgaria,as well as proprietary studies of EnEffect



Comprehensive campaign in Pleven

In Pleven Municipality the local district heating company con-ducted a comprehensive campaign for dissemination of knowl-edge and experience in the field of energy conservation. A spe-cial brochure designated for high school pupils was deve-loped. It was built around the opportunities for group work inthe classroom and collection of proposals and ideas on how tosave energy in the everyday life. Demonstration stalls offeringprinted matter and components for energy conservation wereopened at the offices for payment of the heat consumption bills.A special telephone post was established, at which the end-users may obtain information about the possibilities for energysaving [57].

Information initiatives in Rousse

The Municipal Energy Agency in the city of Rousse organiseda meeting of the subscribers of Toplofikatsiya (DistrictHeating) Rousse SPSCo and the companies engaged in heataccounting. The objective of the meeting was to elucidate tothe subscribers of the district heating company that throughthe introduction of "heat accounting" heat savings in house-holds and reduction of the costs for space heating can beachieved. The meeting and the results from it were reportedon the local press and electronic media. A similar kind ofmeeting was organised also with the management of the localWater Supply and Sewerage Company, whereat the empha-sis was on rational use of drinking water. Through this type ofevent, which will continue in the future, the municipal agencywould like to establish itself as an energy consultant of the citizens on all issues related to efficient use of heat, electrici-ty and water.

The motivating impact of the municipality may be realised through avariety of activities. The most typical among them are as follows:

- dissemination of information and programmes for raising publicinterest through opening of energy efficiency information offices(accessible to private individuals and companies), dissemination ofpractical hints on energy efficiency in buildings and transport, pub-lication of municipal newsletter on energy efficiency, implementationof demonstration projects as success stories of energy conservationmeasures applied by the local authority or private individuals, edu-cational activities in schools and higher educational establishments,advisory services related to procurement of technical and financialassistance;

- introduction of incentives for: broader application of energy audits,construction of energy efficient buildings, retrofit of existing buil-dings for improvement of their thermal performance, use of energyefficient luminaires, broader use of public transport and non-motorised mobility equipment, shift to behaviour patterns leading toreduction of energy consumption and more rational water use;

- joint actions of the leading stakeholders in the municipality with aview to: focusing the information and its massage on the objectivesset by the municipality, provision of consultations on the widest pos-sible scale; ensuring broad public participation in the developmentof the overall energy policy of the municipality, promotion of the dis-semination of information about the achieved results; setting up ofenergy consumers' clubs by categories of end-users.

Powerful tools for realisation of the motivating function of localauthorities are local taxes and charges and the incentive pro-grammes.

Local taxes and charges may be used both through limitation ofinappropriate behaviour and through encouragement of preferableactivities to public benefit. They are able to influence the manner ofconstruction of new buildings and the modalities of retrofit of exis-ting ones, the use of renewables, the modalities of collection of solidurban waste, etc.

The incentive programmes may be based on both material and non-material incentives. The numerous success stories from the practiceabroad may serve as a rich source of ideas for the practice inBulgaria.

A programme for encouragement of the subscribers to the localdistrict heating company to purchase and install thermostaticradiator valves (TRV) was implemented in Gabrovo. Everyhousehold, which had purchased one TRV, received anotherone for free. Further 204 TRVs were distributed for free to low-income citizens. The TRV supplier Danfoss handed over a UserGuide to all subscribers, who have obtained valves free-of-charge under this programme. Thanks to this initiative Gabrovobecame the first municipality in Bulgaria, in which heat account-ing was introduced among all subscribers of the system. Thecampaign was broadly reported in the local press and electron-ic media and enjoyed broad popularity among the inhabitants ofthe city [15, 40].

Building labeling in Denmark

Building owners may request energy auditing, involving theenergy performance characteristics of the building and recom-mendations about energy conservation measures on the build-ing envelope and the in-house space heating system. Annualcontrol by specifically trained experts is performed for buil-dings with floor area above 1500 m2 and the consumption ofheat, electricity and water is recorded on a monthly basis. An"Energy label" is prepared as a result of the audit report, whichevaluates the energy state of the building by a scale from A1 toC5 for small buildings and from A to M for larger ones (the high-est score being A). Another part of the audit is the "Energyplan", which recommends the feasible energy conservationmeasures in a short-term or a long-term aspect. The analysis ofthe labeling scheme in 2000 revealed that there is a high ener-gy conservation potential in buildings, noting that 45% of theowners of small buildings have already invested in measuresfor saving of heat. Although the energy label is mandatory in

Energy conservation incentives in Gabrovo

transactions related to purchase or sale or real estates, only60% of the houses possessed the required certificate. Almostthe half of the larger buildings can not yet meet the require-ments, however it has been found out that in the audited buil-dings the energy conservation measures were more targetedand the achieved energy savings higher than in the buildingsoutside the scheme [48].

Real results in terms of energy savings and reduced harmful emis-sions may be expected as an outcome of the motivation-orientedactions of the municipality. Along with them, some other favorabledevelopments may be expected, such as:

- delegation of the responsibility for events and activities imple-mented by the local authority to other actors (for instance energyend-users' clubs, NGOs, local energy efficiency agencies and cen-tres);

- changes in the behaviour patterns of private and individual parti-cipants (households, enterprises);

- enhancement of the role of the actions undertaken by the localauthority through public debates;

- improvement of the life cycle of all related to energy consumptionsystems in the municipality (for instance street lighting, urban trans-port).


Spheres of impact

Investors and investments

Energy end-users

Local taxes andcharges

Possible actions

Dissemination of information on the advantages of investment in energy efficiency measures

Dissemination of information about the incentive investment and taxation policy of the municipality

Dissemination of information about accessible opportunities for more efficient energy use

Implementation of demonstration projects, which demonstrate the advantages of energy efficiency andpractical ways and means to achieve it

Provision of consultancy support for implementation of energy efficiency projects

Launching of training programmes aimed at the acquirement of practical knowledge and skills on how toimplement energy efficiency projects present

Introduction of moral and material incentives for improved demand-side energy efficiency

Promotion of the development and use of public transport for the account of private vehicles

Promotion of bio-climatic (nature-friendly) architecture

Implementation of a taxation policy aimed at encouraging energy end-users to improve the efficiency ofenergy use

Implementation of a taxation policy aimed at encouraging investments in energy efficiency measures

Table 4.The most common activities in implementation of the function of the municipality as motivator

* The classification has been compiled on the basis of examples from the practice in Western Europe and Bulgaria, as wellas proprietary studies of EnEffect

Energy consumption

More efficient

Less efficient


The four major functions of municipalities in the energy sectordetermine the feasibility of different initiatives. The combinationof these initiatives makes the body of the municipal energy poli-cy, which is a principal component of the local sustainable deve-lopment policy.

For the purposes of practical realisation of this policy, municipalitiesprepare energy programmes and plans, in which specific objec-tives, tasks and deadlines are laid down. An ever-increasing numberof European municipalities use municipal energy programmes andplans as tools for exercising their energy policies. The programmesand plans are based on: (a) analysis of energy demand and the pos-sibilities for meeting it from local and external energy resources; (b)analysis of the opportunities for reduction of this demand throughimprovement of the efficiency of energy end-use; and (c) integrationof the municipal energy policy in the policy for the overall social and

economic development of the municipality.

Energy and the sustainable development of municipalitiesOne of the briefest and the most popular definitions of sustainabledevelopment describes it as

development that meets the needs of the present without com-promising the ability of the future generations to meet theirneeds.

From the point of view of sustainable development economic bene-fit is a value only provided it does not cause any damages to nature,the historical heritage and human rights.

In the framework of the UN World Summit, held in June 1992 in Riode Janeiro, a Global Plan of Action "Agenda 21" was approved. Thishistorical document covers all component parts of sustainabledevelopment and is an impressive programme for achievement ofharmony in the implementation of three global goals: (a) stable eco-nomic development; (b) social justice; and (c) high quality of theenvironment. The sustainable development concept rests on the fol-lowing more important principles:

- harmonious development and use of natural and human resources;

- reconciliation of the objectives of economic and social develop-ment with those of environmental protection;

- preservation of the historical and cultural traditions and continuityin development;

- broad public participation in decision-making;

- denouncement of centralised approach and political dictate.

Bulgaria in general and Bulgarian municipalities in particular takeactive part in the "Agenda 21" movement. As a result, an ever-increasing number of municipalities develop their own action pro-

grammes for sustainable development. With the expansion of thepowers of authority of the local self-governing territorial communitiesthe opportunities for implementation of these programmes will grow.In this way conditions are gradually created for introduction of inte-grated resource planning as one of the basic tools for achievementof sustainable development.

The method of integrated resource planningFor the purposes of this Guide it is necessary to make a distinctionbetween the traditional for our practice until recently complex (multi-factor) planning and the relatively new notion of integrated planning.Complex planning is based on taking due account of a wide rangeof factors - historical, political, social, psychological, economic, na-tural, technological, etc. This approach has not at all lost its topical-ity under the present conditions as well. Integrated planning buildsentirely on the traditional complex planning, however it introducesan additional requirement, that of efficient use of availableresources.

Until recently, extensive development predominated in our country -every newly emerged demand was met through launching of newproduction facilities. The approach with respect to natural resourceswas similar - the increased demand for fuels or water was metthrough expansion of their extraction. This was the basis on whichthe planning of the extraction and use of almost all the majorresources was realised as well. Today's attitude towards resourcesin Bulgaria still bears the marks of lack of sustainability. The existingeconomic and management systems stimulates intensive consump-tion, which endangers the natural capacities for maintaining orrestoring the balance of energy and water resources in nature. Thissituation might put at stake the very survival of the human species.

In the recent decades it has become evident that the resources ofnature are limited and hence their use should be comprehensivelyreconsidered. More efficient use of resources has become an impor-tant priority of the development of science and technologies.Increasing the efficiency might produce saving of resources andthus diminish the need to extract new ones. For that reason efficien-cy is ever stronger viewed as a resource. This understanding is fun-damental for integrated planning.

In integrated planning, the energy and water resources, saved asa result of improved efficiency, participate in the energy/waterbalance on a par with the newly extracted resources.

Efficiency has always been in the focus of attention of technicalexperts and economists. However, under conditions of relatively lowwater and energy consumption and unrealistically low prices ofresources, this criterion did not have adequately high relative weightin the past. The advance of science and technology led to anuneven and sharp increase of the consumption of natural resources



Energy and the sustainable development

of municipalities

The method of integrated resource planning

Energy planning in support to local

self-government


in general, and of energy resources in particular. There are someforecasts, which predict that in not so distant future some of the mostimportant raw materials for the energy sector would be practicallyexhausted. This situation puts on the agenda the exclusively acutechallenge of the rates of use of the still available resources and howto bring about sharp improvement of the efficiency of their use. Afterthe energy crises of the early 1970s, science and the practice haveprovided an explicit response to these questions. It has become evi-dent that

through improvement of the demand-side energy efficiency, asignificant additional energy resource may be created for theenergy end-use sector. It may help meet new demand withouthaving to spend energy resources for generating new quantitiesof energy.

As a rule, the saved resources, obtained through improvement of theefficiency of their consumption, are cheaper than the newly pro-duced. Viewing efficiency as a major component of planning, theintegrated approach in fact proposes least-cost planning ofresources. Therefore in practice integrated planning is also knownas "Least-cost Planning".6 The essence and effects of integratedplanning make it a major tool for the achievement of sustainabledevelopment. It helps create conditions for balanced and environ-ment-friendly use of nature's resources and to realise additionalbenefits for the society and the environment.

Energy planning in support to local self-governmentThe idea for efficient use of energy resources as a factor of vital impor-tance for the existence of society and for preservation of the balancein nature is integrally linked to the general aspiration for sustainabledevelopment.

Rational management of the present energy needs, withoutcompromising on the ability of future generations to meet theirenergy needs,

fully complies with the above mentioned definition of sustainabledevelopment. The present attitude towards energy resources can bechanged only as the result of a substantial change in the reasoning,the value system and the approaches to their management.Integrated planning of energy resources is a tool to realising thischange. It is a management tool in the energy sector, which is everbroader penetrating the practice of the developed countries. Incompliance with the specific circumstances in each individual coun-try, this method is applied in different manners and at different terri-torial levels.

According to the Constitution of the Republic of Bulgaria, energyand water resources are property of the state. The country's energysystem is still heavily concentrated, although the process of decen-tralisation of its management is already underway. Therefore, for thetime being, comprehensive integrated planning of energy resourcescan be realised only at the national level.With the advance of decen-tralisation in the energy sector, the possibilities for working out ofregional and local energy plans will increase. Municipalities willacquire ever broader power of authority in the planning and ma-nagement of the energy sector on their area. This will improve theiropportunities to use integrated planning as a tool for achieving sus-tainable development within their respective boundaries. Theseopportunities of local authorities depend on a number of objectiveand subjective circumstances, which are different in the differentcountries and even in the different municipalities in one and thesame country.

The possibility of impact on energy consumption depends on theownership on the end-use sites and the duty cycle of their operation.

6 In the international practice this planning approach is known under differentnames, some of which are "Integrated Resource Planning (IRP) and Least-CostPlanning ( LCP).



Municipalities may influence directly the energy consumption atmunicipal sites (schools, hospitals, kindergartens and local admi-nistration buildings). Their influence on energy consumption inhouseholds and enterprises may be realised indirectly through reg-ulatory instruments and incentive programmes. The impact on ener-gy production and distribution depends on the structure of the ener-gy system and above all on the extent of its territorial decentralisa-tion. In order to be able to effectively influence the energy system,the local authorities should posses the required human, technicaland financial resources, as well as an adequate legal and institu-tional framework, which do not as yet exist in a number of munici-palities in Europe.

Municipalities will acquire a comprehensive role in integratedenergy planning at the local level when they become able toinfluence both energy consumption and energy production anddistribution on their area.

Although there are as yet no fully adequate conditions for compre-hensive integrated planning of energy resources at the local level,energy planning in municipalities becomes ever more topical.Because of the limited influence of local authorities on energy pro-duction, transportation and distribution, the priority focus of planningis currently on the demand-side. Further in this Guide we shall pre-sent the sequence of the entire process of integrated energy plan-ning, paying special attention to those phases or steps, which arecurrently feasible in Bulgarian municipalities [5, 6, 53]. Planning ofenergy demand in municipalities will create prerequisites for thegradual introduction of integrated planning of energy resources,which will cover the entire chain of energy production, transporta-tion, distribution and consumption. This will become ever more pos-sible and realistic with the advance of decentralisation in the energysector, the progress of privatisation of energy enterprises and thebroader use of renewable energy sources.

Regulatory framework of municipal energy planning

Municipal energy planning is a new type of activity for Bulgarianmunicipalities. For this reason, it is not as yet regulated in a suffi-ciently explicit and comprehensive manner in the existing regulato-ry framework. There are, however, a sufficient number of regulatorypillars, on which one may start to build a new practice, which will inturn contribute to the gradual upgrading of the regulatory frameworkitself. Some of the below listed regulatory acts and practices are notdirectly addressed to energy planning and have a more generalnature. They, however, create prerequisites for linkage of the energyplans with the overall planning activity in the regions and municipa-lities, which in turn is a guarantee for integration of the energy pro-grammes in the general regional development plans.

The Energy Act

This law regulates the public relationships connected with theimplementation of the activities on energy (electricity, heat and na-tural gas) production, import and export, transportation, transit anddistribution, trade in electricity, heat and natural gas and the use ofrenewable energy sources. Creation of prerequisites for sustainabledevelopment of the use of renewable energy sources, includingelectricity generation from RES to the benefit of protection of theenvironment, as well as combined heat and power generation rankamong the primary objectives of the law. Art. 6 settles the responsi-

bility of the Mayors and the energy utilities on the area of the muni-cipality with respect to working out of forecasts for the developmentof energy demand, as well as plans and programmes for energysupply, which should mandatory be coordinated with the local spa-tial development plans.

The Energy Efficiency Act

The new Energy Efficiency Act (2004) is aimed at promoting energyefficiency through a system of measures and activities at the natio-nal, sectoral, district and municipal level as a major factor forincreasing the security of energy supply and protection of the envi-ronment. Through the provisions of the law the district and localauthorities have been assigned the responsibility (Articles 8 and 9)to work out and implement district and municipal energy efficiencyprogrammes and to submit them for endorsement by the EnergyEfficiency Agency.

The Environment Protection Act

In terms of their objectives, the municipal programmes for energyefficiency and the use of renewable energy sources are closelinked to the programmes for protection of the environment, whichthe Mayors of municipalities should work out in compliance withArticle 79 of the Environment Protection Act. The implementation ofmunicipal projects for energy conservation and the use of RES canbring about achievement of considerable environmental benefits,manifested above all in reduction of harmful emissions in theatmosphere. Municipal energy efficiency projects, which have beenidentified as priorities in the municipal environmental programmes,might obtain financing from the state budget or from the nationalfunds (Article 80), which is an additional opportunity for procure-ment of financing for promotion of energy efficiency and the use ofRES.

The Territory Planning Act

The law defines the responsibilities of local authorities with respectto construction, maintenance and repair of the technical infrastruc-ture of the area of the respective municipality (Articles 64, 67 and71). It formulates the requirements with respect to the energy supplynetworks and facilities - heat transportation networks, gas pipelines,DH substations (Article 90), power distribution substations (Article91), as well as outdoor public lighting, which should mandatory beprovided by the local authorities (Article 92). Technical design orworking design investment projects should be consulted with andendorsed by the Chief Architect of the municipality and checked forcompliance with the detailed spatial development plan and the built-up rules and standards (Article 145). The design, construction andmaintenance of the construction sites should comply with a numberof norm requirements and technical specifications, including thoserelated to heat conservation and thermal performance of the siteand protection of the environment during both the constructionprocess and after their commissioning into regular use/operation(Article 169, Paragraphs 1, 2, 3, 4). Every year the Council ofMinisters approves at the proposal of the Energy Efficiency Agencya list of the sites, which should be aligned to the requirements forenergy efficiency (Article 169, Paragraph 5).

The Regional Development Act

The main objective of the Regional Development Act is to createthe necessary conditions and pre-conditions for a balanced and


sustainable development of the regions in the country. It specifiesthe documents and the tools for attainment of the objectives ofregional development with the active participation of the adminis-tration bodies at all levels - national, district and local. Strategicplanning is ensured through the National Strategy for RegionalDevelopment and the district development strategies. The pro-gramming and allocation of resources for the purposes of regionaldevelopment is realised in the framework of the National OperativeProgramme for Regional Development. According to Article 6, sixplanning regions have been set up, in which regional developmentcouncils shall be created and regional development plans shall beworked out. District development councils are set up in the dis-tricts and a district development strategy should be approved. Asdifferent from the previous law, the new one contains specific dis-positions concerning local level planning. The objectives anddevelopment priorities of the individual municipalities are definedin their municipal development plans (Article 14), which areworked out in compliance with the district strategy. The municipalplan contains initiatives of the municipality with respect to sustai-nable local development and it implemented on the basis of a pro-gramme approved by the municipal council. The programmeshould specify the measures, projects and activities, as well as thenecessary human and financial resources for their implementation(Article 18). The law specifies also the functions of the Mayor andthe Municipal Council concerning the elaboration and approval ofthe municipal development plan and the programme for its imple-mentation (Articles 27 and 28).

Regional development plans

The National Plan for Regional Development is a tool for the for-mulation of a comprehensive regional development policy, long-term-oriented and procured with the required resources. It isbased on the balance between the national, regional and localinterests, initiatives and priorities. Its main function is to mobilisethe development initiatives at the national, regional and local leveland to subordinate them to a common logic and sequence ofimplementation in order to guarantee efficient use of the availableresources. The development of the plan is realised through com-bining of the two main approaches - the "top-bottom" approachand the "bottom-up" approach.

Following the logic of the Regional Development Act, the NationalPlan for Regional Development is formed by a cluster of districtplans, worked out on the basis of rules, principles, objectives andpriorities formulated by the central authorities. These plans reflect onone hand the initiative of the district administrations and localauthorities, NGOs and business entities, as well as of all otherimportant stakeholders in regional development. The district plansfor regional development interpret the strategy and objectives of theNational Plan in compliance with the specific characteristics of andcircumstances in the concrete district.

Municipal sustainable development strategies "Local Agenda '21"

The elaboration of municipal strategies for sustainable developmentis performed in parallel with the work on the district plan for regio-nal development. The municipal development strategies aim at: (a)outlining the direction of changes in all spheres of social and eco-nomic life in the respective municipalities; (b) formulating priority

tasks for their development; (c) identifying the necessary actions forimplementation of the desired changes; (d) ensuring the most effi-cient use of the available resources and protection of the environ-ment; (e) integration of the efforts and activities of the different insti-tutions and structures, which are capable of influencing the pace ofsocio-economic and other changes on the area of the municipality;and (f) to promote the emergence of a new value system, new mo-dern way of thinking in both the municipal institutions and the entirelocal community.

Municipal sustainable development strategies "Local Agenda 21"

The main stage in working out municipal sustainable develop-ment strategies are as follows: (a) formulation of a vision; (b)analysis of the existing situation; (c) formulation of strategicobjectives and tasks; (d) working out of a concrete Action Plan;(e) implementation of the programme; (f) monitoring and control;and (g) feedback, evaluation of results and correction of theprogramme.

The strategies are worked out on the basis of in-depth assess-ments of the underlying processes and trends, their persistenceor temporary manifestation. These analyses and the ensuingdevelopment priorities, objectives and tasks build on the ideas,the value system and the aspirations of the inhabitants of themunicipality.

Vision is a dream, a drive for something aspired. It is not limitedto the narrow boundaries of today's meager possibilities, butrather carries over the wealth of cultural specifics and identityfar away into the distant future. This is not the vision of theexperts or the local administration. It is the vision of the com-munity, of all inhabitants of the municipality. It is shaped on thebasis of a dialogue between representatives of the differentgroups in that society - the local authority, the citizens' organi-sations, the business circles and the media. It outlines the pic-ture of the municipality at a point in the future, some 20-30 yearsahead, without loosing contact with the realities and the histori-cal and cultural specifics and particularities of the present.

The main strategic objective of the municipality, its sub-objec-tives and strategic tasks shape the so-called "tree of objectives".It helps pinpoint visually the links and subordination betweenthe objectives, sub-objectives and tasks for implementation of astrategy, on the top of which stands the main strategic objec-tives and in the base - the tasks and concrete actions for attain-ment of the strategic objectives. The main strategic objective isidentified on the basis of the in-depth analysis of the existing si-tuation, the trends of development or stagnation during the past5-10 years and the ensuing development priorities. The mainobjective is related to the vision for development of the munici-pality. It extends over a period of several years and is normallyrelated to the term of office of the municipal leadership. Themain strategic objective of the municipality is formulated after"fixing the puzzle" of strategic policies in the different sectors ofmunicipal activities - economic development, social activities,protection of the environment, technical and social infrastruc-ture, land use and network of population centres, local self-go-vernment and democratisation of the society.



The Action Plan formulates the required efforts and resourcesfor implementation of the set objectives and tasks. It should bespecific in terms of several aspects, on which its implementationdepends: time frame, spatial scope, objects and subjects. Everyspecific measure undertaken for implementation of the strategicobjectives and tasks should be backed up by the necessaryplans, resources, financial resources, responsible officers anddeadlines.

Actors in the management of the municipal energy sector

The more centralised an energy system, the higher the tiers of deci-sion-making about its development. It is not by chance that the prob-lems concerning availability of resources for the Bulgarian energysystem are currently in the focus of attention of the Government andfor long periods of time have been among the priorities of its foreignpolicy activities.

The Parliament and the Government formulate the energy stra-tegy of the country and make concrete decisions concerning thedevelopment of the energy system. The role of municipalities inthis process is quite limited.

Municipalities, however, are those who bear the full gravity of allhardships and crises in the energy system - the rising prices offuels and energy, the fuel shortages, the overloading of thenational power grid, etc. The experience of the developedEuropean states indicates a trend towards an ever-broaderinvolvement of municipalities in the decision-making on the for-mulation of national or regional energy strategies and pro-grammes, and their practical implementation. Wide public parti-cipation in these processes under different forms is also gainingan ever-growing importance.

If we limit ourselves to framework of one single municipality, we willfind that the different activities in the energy sector are connectedwith different actors, Municipal administrations are directly respon-sible for the management of energy consumption in school build-ings, hospitals, kindergartens and the municipal administrativebuildings. They are also responsible for the state and the operationof the street lighting systems and the public urban and local trans-port in the population centres on the area of the municipality.

Besides the municipal administrations, a wide range of public cir-cles, companies and organisations are concerned with and par-ticipate directly in the formulation and implementation of the poli-cy for public works on the area of the population centre. Forinstance, fostering economic development, construction of roads,building of the technical infrastructure etc. are areas, in which theactivities of many stakeholders intersect. A number of technicalsolutions in these spheres influence directly or indirectly energyefficiency.

Energy end-users (households, enterprises and companies) formanother group of actors, which is very little dependent on the muni-cipal administration. Their behaviour is formed mainly on the basis oftheir economic interest and the incentives provided by the legisla-tion, and have a strong impact on the general picture of energy con-sumption. Therefore, their behaviour is also the object of public con-cern.

Energy producers and state-owned, municipal or private (whereverthey exist) energy supply companies play a role in the process ofenergy production, transportation and distribution. In someEuropean countries individual end-users play simultaneously alsothe role of independent energy producers.7

The art to communicate with the different actors is an important con-dition for the success of the municipal administration in compilingand implementing an energy strategy enjoying broad public sup-port.

The success of any municipal energy policy depends to a largeextent on the ability of the municipal administration to involve inthe process of its formulation and implementation of the broa-dest possible circle of actors and stakeholders and to mobilisetheir knowledge and skills.

7 The Independent Power Producers (IPPs) are actors, who emerge ever more often inthe system of energy "production-transportation-distribution-consumption" in theWestern countries. The new Energy Act created legal provisions for the role and therights of IPPs in Bulgaria.

Structure of the information systemon energy efficiency

The information system on energy efficiency (ISEE) consists of twolayers: (a) database (DB) and (b) analyses and evaluations (AE).Once created, the ISEE requires permanent maintenance and fur-ther development. Therefore, the activities related to its design,maintenance and updating are of permanent nature.

Database

The database contains adequately selected and systemised objec-tive information, which is used to evaluate the energy sector in themunicipality as a whole and its individual sectors or sites. Usually,the building of the database requires involvement of differentexperts. Some of them are officials from the local administration,others are employed in the energy end-use sites, and yet others are


Structure of the information system on energy efficiency

Contents of the database

Analyses and evaluation of the technical information

Step OneBuilding an information basefor energy planning

Municipal energy planning is realised on the basis of rich anddiverse information about the current state and the prospects fordevelopment of the energy sector in the municipalities and theindividual sites related to it. This information should contain dataabout the political and socio-psychological climate, the condi-tions under which the programme will be compiled and imple-mented, the general economic state of the municipalities and theindividual sites which the programme should influence, aboutenergy production, transportation and consumption, about theefficiency of use of fuels and energy, the technical state of andoperating conditions in the sites of impact, the accessible finan-cial resources for implementation of the programme, the capacityof the municipality to work out and manage the implementation ofan energy efficiency programme, etc. This voluminous informationmay serve the needs of planning only if it is full, reliable, wellarranged and organised.

In order to proceed to the compilation of a munici-pal energy efficiency programme a certainpreparatory work will be needed in order to createthe necessary prerequisites for energy planning[53]. In the framework of this preparatory work aninformation database on energy efficiency is created and training of the experts, who will beengaged in the development, management andimplementation of the programme is conducted.During the same period the selection of theapproach to and the method of development of theprogramme are performed, its objectives, scopeand spheres of impact are formulated. This partdeals with the major steps related to the creation ofan information base of energy planning.

Preparatory Work for Compiling a MunicipalEnergy Efficiency Programme

Fig.

1.Th

e pr

oces

s of

inte

grat

ed e

nerg

y pl

anni

ng

Part Two

decision to set up an InformationSystem on Energy Efficiency

first policy decision

second policydecision

third policy decision

Information System on EnergyEfficiency

local capacity building

selection of approach and for-mulation of objectives

impl

emen

tatio

nel

abor

atio

npr

epar

ator

y w

ork

elaboration of a Municipal Energy EfficiencyProgramme

implementation of the Municipal Energy EfficiencyProgramme

decision to set up an Information System on Energy Efficiency


second policy decision


selection of approach and formulation of objectives

elaboration of a Municipal Energy Efficiency Programme

implementation of the Municipal Energy Efficiency Programme

impl

emen

tatio

nel

abor

atio

npr

epar

ator

y w

ork

Information System on Energy Efficiency local capacity building


connected with the fuel and energy suppliers. Part of the informationin the database may be collected through the national and regionalstatistical centres, another part requires conducting of specific stu-dies, surveys and interview.

The first steps in the construction of the database begin with collec-tion of technical information about the baseline in the energy sectorin the municipality prior to the start of programme implementation.The absence of this basic technical information will render impossi-ble any efforts to either identify the bottlenecks of the energy systemor to select appropriate actions for resolution of the existing prob-lems. This part of the future energy database is the most voluminousand the most dynamic one as compared to the other parts. For thisreason it needs permanent maintenance and updating. A conside-rable portion of the technical information is easily accessible andmay be collected by the experts from the local administration. Thereis, however, information, which does not exist in a readily availableformat. Such is, for instance, the detailed information about the indi-vidual sites in the municipality.

The second component of the database is the information about theregulatory, institutional, human and financial capacity of the munici-pality to implement energy efficiency programmes. The majority ofthis non-technical information is of descriptive, non-quantifiednature.

In the EcoEnergy member-municipalities8 a process of accumula-tion of primary information about the needs of energy planning isunderway. After the full construction of the database in these muni-cipalities conditions are created for performing of a variety of analy-ses and forecasts for internal use by the respective municipality, aswell as for the purposes of comparing the situation in the differentmunicipalities.

The information in the database in necessary, however not sufficientfor the compilation of the energy efficiency programme, since it doesnot contain data about the energy efficiency potential and does notoffer ranking of the demand for energy conservation projects. To thisend it is necessary to conduct periodically specific analyses andassessments of the available information.

Analyses and assessments

The analyses and assessments of the information in the databaseare based mainly on objective technical and economic criteria.They are performed above all with the aim to determine the realpotential for energy efficiency improvement in individual sites, inselected target groups or entire sectors of the municipality. On thebasis of the thus established potential it is possible to select prio-rity spheres of impact through energy conservation projects ormeasures.

The analyses and assessments are the connecting link betweenthe objective information (the database) and the political objec-tives and tasks related to the compilation of the municipal energyefficiency programme. Although the analyses and assessmentsare performed mainly on the basis of the objective technical andeconomic information, a certain subjectivism might get manifestedin the formulation of the evaluations. This subjectivism ensues fromthe different professional background, life experience and accessto information of the experts performing the analyses and formu-lating the evaluations. The higher the qualification of the experts,

the more reliable and objective the analyses and evaluations willbe. Different methods, some of which are reviewed in this manual,are applied for minimising subjectivism in the evaluation of theobjective information.

Contents of the databaseThe database contains information in a different degree of detail. Atcertain stages of energy planning strongly aggregate informationabout the entire municipality is needed, while at others this informa-tion should be broken up by target groups, and yet in a third case -segmented further by sites. Each of these massifs of information hasits specific designation as well as specific sources and methods forcollection, organisation and analysis.

General and aggregate information about the municipality

The first level of information in the database consists of general dataabout the respective municipality and aggregate data about itsenergy sector. This information is used for comparing the level ofenergy costs with that of the other expenditures from the municipalbudget, as well as for comparison with the situation in other munici-palities.

The general information collected about the EcoEnergy member-municipalities is organised in "passports" of the municipalities. Theycontain the following sections:

- Data about the municipality - address, municipal leadership;

- Geographic location and natural resources;

- Climate;

- State of the environment;

- Transport connections;

- Population and human settlements;

- Building stock;

- Characteristics of the local economy;

- Structure of employment;

- Banks;

- Municipal budget;

- Energy supply;

8 EcoEnergy is a municipal energy efficiency network, founded in 1997 at the initiativeof 23 Bulgarian municipalities. By the early 2004 its membership comprises 159 munic-ipalities and 6 regional associations of municipalities with a total population of 5.5 mil-lion inhabitants (69% of the total population of the country).

Fig. 2.

Structure of the informa-tion system

Database

Analyses and assessments


- Energy consumption;

- Strategic programmes of the municipality;

- Development priorities;

- Membership in national and international organisations and part-nerships;

- Municipal energy efficiency programme;

- Energy efficiency projects;

- Data about the municipal energy efficiency office.

The aggregate information collected by the EcoEnergy member-municipalities is extracted from the reports about the actual fuel andenergy consumption, which every municipality submits on a quar-terly and annual basis to the Ministry of Finance. These reports statethe consumption rates by sectors, whereat the values are re-calcu-lated in the conventional unit "tons of oil equivalent " (toe) (Annexes1 and 2). Once the information about a given municipality is entered,two diagrams are generated: (a) energy consumption in toe bytypes of energy carriers; and (b) energy consumption by municipalsectors.

With the help of the same data other analytical diagrams may becompiled as well and comparisons can be made between the ener-gy consumption of different municipalities and the energy intensityof the different sectors, as well as to keep track of their developmentfor a period of several consecutive years.

The general and the aggregate information about the municipa-lity and the sectors serves the purposes of management.

This information should be collected and evaluated with great atten-tion, since it has a strong influence on the management decisions.The best aggregate information is one, which is compiled on thebasis of detailed data about the individual end-use sites. In all othercases the sources of aggregate information should be carefullychecked and evaluated by experts. In the records of EcoEnergythere are numerous examples of reliable and well-structured infor-mation. One should be on the watch, however, since in certaincases it is still possible to come across erroneous data, which mightlead to absurd conclusions.

Examples from the practice in EcoEnergy member-municipalities

Sometimes the data input is performed mechanically by theaccounting department of the municipality. For instance, theunit for electricity is "thousand kilo-Watt-hours" ('000 kWh),but the electricity consumption is erroneously recorded in"kilo-Watt-hours" (kWh) and hence 1000 times higher con-sumption is obtained. Sometimes, for some of the sectors theinput data are in kWh and for others - in '000 kWh. The sameapplies to natural gas, which is usually measured in thousandnormal cubic meters ('000 Nm3). In some cases, however, theinformation about natural gas is entered in the column ofpropane-butane gas. No difference is made when the naph-tha for space heating is measured in tons or in litres - the twounits are recalculated in tons oil equivalent (toe) under diffe-rent formulas. Another very common mistake is when the con-sumption of a given type of energy carrier is accounted afterits payment, for instance the total for two years. In this infor-

Fig. 6. Contents and structure of the database (DB)

Fig. 4. Sample of the passport of an EcoEnergy member-municipality

Technical and economic data Miscellaneous data

Prod

uctio

n

Cons

umpt

ion

Tech

nica

l sta

te

Ope

ratin

g co

nditi

ons

Fore

cast

for t

heIn

form

atio

n Sy

stem

Sele

ctio

n of

Info

rmat

ion

Syst

em

Docu

men

tatio

n

Norm

requ

irem

ents

Inst

itutio

ns /

Pers

onne

l

Soci

al a

ccep

tabi

lity

Fina

ncia

l con

ditio

ns

Dat

abas

e

Preparatory Work for Compiling a Municipal Energy Efficiency Programme

Fig. 3. Example for aggregate information by sectors for the City of Dobrich Municipality

Culture, religion,resort sites

0.66%

Economic services 0.51%

General governmental offices6.56%

Education74.47%

Housing construction,Community services

5.04%Health care

5,06%Social insurance

7,71%

Fig. 5. Summary information about fuel consumption in the City of Dobrich Municipality

Firewood0,07%

Coal0,18% Heating oil

6,59%

Natural gas 10,90%

Heat0,00%

Mazut0,00%

Naphtha for vehicles 0,51%

Petrol for vehicles 1,34%

Electricity18%

Propane-butane gas 0,07%

Light ship fuel 32,20%


mation no account is taken of the fuels received in the form ofsubsidies either - for instance from the Ministry of Educationor the Ministry of Culture.

After the installation of heat meters the heat for district heatingis accounted in kilo-Watt-hours / Mega-Watt-hours (kWh / MWh)depending on the setting of the heat meter. In the report thevalue is quoted in Giga-calories (Gcal) and in the majority ofcases it is not re-calculated. Electricity for street lighting issometimes accounted under the sector "General GovernmentalOffices" and sometimes it is not accounted at all.

Specialised targeted information

The first steps in the construction of the database are related to thecollection of technical information about the baseline of the energysector in the municipality prior to the start of the implementation ofthe programme. Without these basic technical data, neither locationof the hot spots of the energy system, nor selection of appropriateactions for resolution of the existing problems will be possible.

The specialised technical and economic information is the mostvoluminous and the most dynamic one and requires permanentmaintenance and updating. The predominant part of it is of quanti-tative nature and may be extracted from the project design docu-mentation of the sites and the accounting ledgers. A significant por-tion of it is easily accessible and may be collected by the expertsfrom the local administration. There is, however, information, whichdoes not exist everywhere in a readily available format. Such is, forinstance, the detailed information about the individual sites in themunicipality.

The non-technical information, which is part of the second compo-nent of the database, is usually generated specifically for the needsof energy planning [6].

Technical information by target groups

The majority of the specialised information collected about the tar-get groups is of technical nature.

The target groups unite end-users, which have a comparablemodel of energy consumption.

Such are, for instance, the schools, hospitals or kindergartens. Thedifferent parts of the lighting system of public spaces - streets, pub-lic squares, parking areas, etc. - may also make up a target group.We usually call this group "street lighting". The target groups, on thebasis of which the information is collected and structured in theEcoEnergy municipal network.are as follows:

- Administrative buildings;

- Schools, semi-higher educational establishments, colleges;

- Kindergartens, combined child-care establishments;

- Youth activities;

- Creches;

- Polyclinics, health centres;

- "Mother and Child" Homes

- District social care centres;

- Social care homes;

- Lighting of street and public squares;

- Public libraries, houses of culture;

- Museums, art galleries;

- Holiday homes;

- Stadiums;

- Sports halls;

- Transport;

- Other municipal sites.

The information about the target groups is collected through sum-ming up of the energy data about the individual end-use sites, whichmake up the respective group.

The information by target groups is used for identifying the prior-ity groups of energy end-users, on which the energy programmeshould exercise the greatest impact.

These are usually the groups, in which the energy costs accountfor the largest share of the total current expenditures. The informa-tion by target groups is used in the compilation of the energy pro-grammes when this is done under the method of priority targetgroups (Annex 3).

Technical information by sites

The specialised information by sites is also of technical nature. Themost voluminous part of the database is that, in which specific infor-mation about the individual sites in the municipality is stored. Insome European countries, in which energy planning is a well-estab-lished practice, the municipalities maintain rich databases of infor-mation about every individual site. In these databases the projectdesigns of the individual buildings are stored, a track is kept of theirphysical state and the state of repair of their energy systems, as wellas the overall energy performance of the buildings. Any changesand improvements implemented in the course of their exploitation,as well as the current costs for fuels, energy and maintenance of theenergy systems are duly recorded. Energy expert assessments oraudits are performed on a periodical basis and the results areentered and stored in the database. The municipalities, which havesignificant functions in energy product.ion, transportation and distri-bution, keep in their database information of the generation capaci-ties in the individual sites.

The information about individual sites is the lowest (the mostdetailed) tier of the database. It is often procured through energyexpert assessments and energy audits and for that reason it is con-sidered to be the most true-to-fact. All the following, higher tiers ofthe database - by target groups, by sectors and for the municipalitytotal - are elaborated on the basis of the information about the indi-vidual sites.

The reliability of the information about the sites is a precondition forthe reliability at the higher tiers.

The main sources for collection of the necessary energy data aboutthe end-use sites are as follows:

(a) Municipal archives and accounting records;

(b) Current documentation, kept by the managers of the individualsites, and the filled-in special forms, circulated among them by the


municipal energy efficiency officers in the EcoEnergy member-municipalities;

(c) Reports from conducted energy expert assessments andaudits.

The information by sites serves for identification of concreteenergy efficiency projects, which are laid down in the municipalprogrammes.

Therefore, it is the most important "foodstuff" for the energy plan-ning. The following more important information about energy end-use sites is collected in the EcoEnergy database: type of thebuilding, year of construction, number of buildings on the area ofthe site, number of floors, type of construction method; built-uparea, floor area, built-up volume per the outside perimeter of thebuilding, heated area, type of heating, age and state-of-repair ofthe in-house systems, average number of permanently employedpersonnel, duty cycle of building operation, previously imple-mented energy efficiency measures and brief description of thecurrently implemented energy efficiency programme.(Annexes No.4 and No.5).

Documentary evidence of the state-of-repair and the activitiesrelated to the maintenance and development of the municipalsites

The energy database of the municipality should contain also infor-mation of the technical state of and the operating conditions in themunicipal sites, as well as data about all current activities relatedto the maintenance and development of the sites and the relatedcosts. Especially useful is the data about fuel and energy con-sumption (in material and monetary indicators). The storage ofthese data may be performed through collection and filing of allpayment documents and invoices or through input of the datacontained in the document in the electronic database. In anycase, conditions should be created for convenient retrieval anduse of the available information and for performing of analyses onthe basis of it. The results from the activities for energy efficiencyimprovement should also be incorporated in the municipal data-base, This information might help make useful comparisons andconclusions concerning the compilation of every following energyefficiency programme.

In the database of the EcoEnergy member-municipalities informa-tion about the current maintenance is collected so far only aboutthe street lighting systems. Data about who is responsible for thestreet lighting system, what are the current maintenance costs,what personnel is engaged in the management and repair of thesystem are entered in the database. This information is graduallysupplemented and expanded in order to extend to new spheresof the municipal energy sector. Information about implementedenergy efficiency measures, as well as brief descriptions of pro-grammes and projects currently underway, is also entered in thedatabase. Data about projects, which the municipalities intend torealise in the near future, is collected as well.

Non-technical information

In order to serve the purposes of energy planning the municipaldatabase should contain the necessary minimum of non-technicalinformation about the efforts made by the municipality itself for

development and implementing of an energy efficiency pro-gramme. For this reason, besides the technical and economic dataabout the state in the energy sector the database should containalso information about the state of the regulatory framework relatedto the object, scope and objectives of the programme, the avai-lability and quality level of the institutions and the human resourceswho might be engaged in its elaboration and implementation, thesocial and psychological climate at the background of which theprogramme will be approved and implemented, the social andfinancial acceptability of the measures envisaged in the pro-gramme and the financial capacity of the municipality to fulfill theplanned measures and achieve the objectives set in the pro-gramme. Part of this information may be already stored in the data-base (for instance the regulatory documents) and the rest shallhave to be collected and processed in the course of elaboration ofthe programme itself.

The collection and processing of the data in that part of the data-base runs parallel to the collection of technical information andcompilation of technical and economic analyses about the ener-gy efficiency potential. The majority of the information about thecapacity of the municipality is made up of copies of regulatorydocuments related to the specific activity, lists and descriptions ofinstitutions and individuals involved in the activities for energy effi-ciency improvement, lists of possible sources of financing and theapplicable financial mechanisms and schemes. In compilingthese lists it is feasible to seek as a matter of priority documents,which:

(a) highlight available opportunities for energy efficiency improve-ment and for producing maximum benefits for the municipality;

(b) create opportunities for the municipality to introduce local orregional standards for promotion of energy efficiency;

(c) create barriers to energy efficiency projects;

This approach permits to take maximum advantage of the opportu-nities provided by the enforced regulatory framework and at thesame time helps for detection of the most typical barriers to energyefficiency and identification of appropriate actions for their over-coming.

The collection of the input information about the capacity of themunicipality to implement the energy programme by influencing theselected target groups and individual sites may be performed to aconsiderable extent by the experts from the local administration.Involving external experts might turn out to be necessary for the pro-curement of certain data. This is the case, for instance, with the spe-cialised financial information.



Analyses and evaluation of thetechnical informationThe energy database is the first layer of the Municipal EnergyInformation System (MEIS)9 [6]. As such, it is not adequate for mov-ing ahead with the development of the municipal energy pro-gramme, since the information does not contain evidence about theenergy efficiency potential and does not rank the needs in energyconservation projects in order of priorities. Specific analyses andevaluation of the baseline information will be necessary for realisingthe transition from the objective statistical information to the formu-lation of the policy objectives of the programme and selection ofconcrete management and technical solutions. These evaluationsare normally not available in a finished format and, quite often, spe-cific skills are required for their formulation. The analyses and evalu-ations make up the second layer of the Municipal Energy InformationSystem [6].

Subject to analysis are both the technical (quantitative) and the non-technical (non-quantifiable) data in the database. The analyses andevaluations of the technical data are based mainly on technical andeconomic criteria and are conducted above all with the aim to iden-tify the real potential for energy efficiency improvement in individualsites, target groups or entire sectors on the area of the municipality.On the basis of the thus determined potential it is possible to selectpriority spheres of impact through energy conservation projects ormeasures.

The analyses and evaluations of the technical information shouldbe performed and updated on a periodical basis, whereat theresults from these should be stored in the database.

In this way they may serve for identification and forecasting of thetrends in the development of the energy sector in the municipali-ty.

The analyses and evaluations of the non-technical informationusually cover the political, regulatory, socio-psychological andother factors. They are performed for the purposes of determiningthe municipality's capacity to implement an energy programme.This capacity is generally quite dynamic, although not directlyrelated to the energy sector, and is often subject to significantinfluence by political and socio-psychological factors. For thisreason, the analysis and evaluation of the non-technical informa-tion in the database is usually performed in the process of deve-lopment of the programme and are not obligatory part of the ener-gy database.

Methods of analysis and evaluation of the available information

The method of expert assessment is based on the evaluation byselected experts, whom the municipal administration may ask forhelp. The expert assessments are made on the basis of collecteddata about the sites to be assessed or observations and previousexperience. This method may be applied with success in the cases

when the subject of the evaluation is a smaller individual site or tar-get group in a small municipality. Experts from the administrationitself, who have their own impressions of the state in the targetgroups and individual sites from personal observations, shouldmandatory be included in the experts team.

There are different ways of collection of expert opinions. One veryreliable method is to conduct interviews with a specific circle of spe-cialists on the basis of preliminary drawn up survey forms (ques-tionnaires). The elaboration of the questionnaires is a matter of keyimportance for the reliability of the evaluations. It is desirable tostructure in a way close to the structure of the database. The repliesof the experts (the assessment) usually compensate for the absenceof reliable objective data or time for conducting specific surveys,studies or measurements.

There are different scientific methods of analysis and evaluation ofthe information, some of which require the application of complexcomputerised software. The aggregation and integration of the eva-luations for large energy systems can hardly be achieved onlythrough expert assessment. The application of these more complexevaluation methods usually requires specific training and long prac-tice. For this reason, this part of the analysis should be assigned tospecialised institutions or complex teams of experts of provencapacities.

Types of analyses and evaluations

The types of analyses and evaluations are determined by the scopeof the energy programme. If it covers only the demand-side sector,the analyses of evaluations should focus mainly on the informationof energy end-use. If the programme covers also the energy pro-duction and transportation, the analyses and evaluations should bebroadened to cover this sphere as well. If the emphasis of the pro-gramme is laid on buildings, the analyses and evaluations should beoriented towards them, etc.

Analysis by target groups

The Dutch manual "Energy Efficiency Policy Planning forMunicipalities in Central and Eastern Europe" [43] describes thedevelopment of a municipal energy programme by the targetgroups method. Under this method the analysis of the informationin the energy database is performed by aggregated data aboutgroups of sites (target groups) having similar energy behaviour.Such groups may, for instance, be schools, administrative buil-

9 In Bulgaria, the Municipal Energy Information System is called also Energy EfficiencyInformation System (EEIS). This is due to the fact that currently the activities and meas-ures for energy efficiency improvement account for the primary content of the munici-pal energy programmes in Bulgarian municipalities. For that reason they are frequentlycalled municipal energy efficiency programmes. For the same reason the energy data-bases also contain mainly information related to the potential for energy efficiencyimprovement.

Assessment of the energy efficiencypotential

Assessment of opportunities

Assessmentof produc-

tion

Assessment of con-sumptionIntegrated

assessment

Norm

requ

irem

ents

Inst

itutio

ns

Acce

ptab

ility

Fina

nces

Fig. 7.Contents and structure of the analyses and assessments (AA)

Anal

yses

and

ass

essm

ents


dings, street lighting systems, etc. The groups, which have themost substantial potential for energy efficiency improvement, aredefined as priority groups and the further development and imple-mentation of the programme is focused on them. Through analysisof the information about these priority groups, the concrete energyefficiency potential is established, the objectives for each targetgroup are set and the tools to be implemented through the pro-gramme are selected.

The analysis by target groups facilitates the work of the planningbodies when the energy database comprises aggregate informationby target groups. In the Bulgarian municipal network EcoEnergy thisinformation is compiled by summing up the data about the indivi-dual sites in the respective target groups. Since this is performed inthe process of collection of the information, the use of the aggregateinformation about the target groups in the planning process is con-siderably facilitated.

Analysis by individual sites

When the energy database is built on information about the indivi-dual end-use sites, the aggregation of the data by target groupsrepresents an additional activity, which might be avoided. The U.S.manual "Tools for the Job: How to Develop a Municipal EnergyManagement Programme" [7] describes, among others, the analysisof the information by individual sites of energy end-use. As differentfrom the analysis by target groups, under this approach the data forevery separate energy end-use site is analyzed. The sites, in whichthe highest energy efficiency potential has been found, are selectedas priority sites of the programme. These are most often individualbuildings, street lighting systems (or parts thereof), transport sys-tems. More detailed analyses are conducted for the sites selectedas priorities for the programme. On the basis of the results from themthe possible direct energy and cost savings are determined forevery single site. It is established also whether the programmewould win the support from the participating and the host organisa-tions, whether the proposed projects would be able to serve as anexample and a model for future activities or for the achievement ofother objectives, and whether the implementation of the projectswould contribute to overcoming of any existing barriers at the localor the national level.

Combined analysis

The above-described approaches for analysis of the information(based on target groups and on individual sites) may be applied incombination. In the programme one may add to the selected targetgroups of sites also individual more significant end-use sites (forinstance, schools). In the municipal energy programmes, workedout in EcoEnergy member-municipalities, the two approaches areencountered both in a pure form and in combination. The twoapproaches give an opportunity to compare target groups or indi-vidual sites having similar consumption models. In this way it ispossible to depict any significant deviations in the consumptionmodel.

The approaches to information collection and aggregation may dif-fer significantly in the different municipalities. In all cases, however,the information serves for identification of the spheres in which thereare the biggest opportunities for energy conservation. In thereviewed examples from the practice abroad there is very little

information about the structure and the contents of the databaseand the methods use for analysis and evaluation. On the basis ofindirect data the following different approaches in the analyzing ofthe information may be distinguished:

- detailed analysis of the entire information, working out of scenariosfor the future energy demand, determination of the priority directionsand selection of the measures having the biggest potential toachieve the potential of the plan (Graz and Newcastle);

- analysis of the energy conservation potential in individual prelimi-nary identified target groups [43];

- analysis of the potential for energy conservation in individual buil-dings [7].

Evidence about the methods used abroad for analysis and determi-nation of the energy efficiency potential are contained above all inthe energy planning manuals. According to them, the analyses areaimed at consecutive identification of the:

- technical potential for energy efficiency improvement in the field ofenergy production, transportation and distribution (the supply-sidepotential) on the area of the municipality;

- technical potential for energy efficiency improvement in the field ofenergy end-use (the demand-side potential);

- municipality's capacity to work out and implement an energy effi-ciency programme [43, 6].

Fig. 8. Information System on Energy Efficiency


Assessment of the energy efficiencypotential

Assessment of opportunities

Assessmentof produc-

tion

Assessment of con-sumptionIntegrated

assessment

Norm

requ

irem

ents

Inst

itutio

ns

Acce

ptab

ility

Fina

nces

Anal

yses

and

ass

essm

ents

Technical and economic data Miscellaneous data

Prod

uctio

n

Cons

umpt

ion

Tech

nica

l sta

te

Ope

ratin

g co

nditi

ons

Fore

cast

for t

he In

form

atio

nSy

stem

Sele

ctio

n of

Info

rmat

ion

Syst

em

Docu

men

tatio

n

Norm

requ

irem

ents

Inst

itutio

ns /

Pers

onne

l

Soci

al a

ccep

tabi

lity

Fina

ncia

l con

ditio

ns

Dat

abas

e

Any municipal energy efficiency programme may be worked out indifferent ways. Depending on the specific circumstances in themunicipality, the capacity of the local administration and the level ofpreliminary preparatory work on the compilation of the programmedifferent methods may be used. These methods will be discussedmost generally in two groups based on two different approaches -the expert approach and the systems approach.

Possible approachesDifferent approaches may be selected for the compilation of theenergy programme. They are often predetermined by the approa-ches selected in the analyses and evaluations of the information inthe municipal energy database.

The expert approach

In the expert approach the selection of the sites for impact, theassessment of the baseline and the selection of energy efficiencymeasures are performed in the judgment of the local experts anddecision-makers This judgment is based on observations andexperience from the practice, studies conducted in the past, avai-lable data, etc. The reliability of the expert approach depends onthe qualification level of the experts and the applied evaluationtechniques and may be influenced by the political will of the localdecision-makers. Therefore, this approach is subjective to a con-siderable extent. It is, however, fully applicable for evaluation ofindividual sites or development of energy programmes for smallmunicipalities. In these cases the amount of information is limitedand for that reason the evaluations and decisions may be alignedto a higher degree to the objective circumstances. This approachis applied also in the cases when the municipalities do not possesssufficiently comprehensive information and the method of expertassessment is the most accessible one. In these cases, in order tolimit the subjectivism in the evaluations and decisions it is neces-sary to involve also external highly skilled experts and the deci-sions should be subjected to expert and public review [6]. Whenthe expert approach is applied, usually the method of expertassessment is used, which permits application of different assess-ment techniques.

Systems approach

Under the systems approach the evaluations and decisions arebased on complex analyses of a substantial amount of objectiveinformation. A variety of scientific and applied methods and tech-niques are used for performing these analyses. The systemsapproach is considerably more objective and reliable, however it isconnected with much more preliminary preparatory work and pre-sumes high qualification level of the experts applying it. It is the onlyadequate approach for large municipalities, in which the expertapproach would not be able to cope with the large amount of infor-mation about numerous sites. In smaller municipalities the systemsapproach may be significantly simplified and combined with themethod of expert assessments. [6] The systems approach may be

realised through the use of different methods for analysis and eva-luation. In the practice the analyses are usually made by sites, bytarget groups or combined.

Method of the priority target groupsThis manual reviews one of the possible methods for working out amunicipal energy programme. It is based on the preliminary selec-tion of target groups for impact by the municipal energy programme.This method has proven its effectiveness in the practice of the devel-oped countries.

In order to apply the method of priority target groups it is necessarybeforehand to identify target groups of energy end-users whichhave similar models of energy consumption. Collection and structu-ring of the information is performed on the basis of the thus identi-fied target groups. On the basis of the information about every indi-vidual target group scanning of the groups is performed until thoseof them, which possess the greatest energy conservation potential,have been selected.

The selected target groups are declared as priority groups andbecome the object of impact of the municipal programme.

The scanning (gradation, ranking) is performed at the target groupslevel, however later in the exercise will go down to the individualsites. For the aims of the municipal programme the scanning of thetarget groups is of primary importance, since it is the basis on whichthe organisation of programme implementation is established. Thescanning of the sites inside each target group is important for theelaboration of the short-term action plans.

This method is particularly instrumental under conditions of limitedresources. At the background of absence of practical experiencein implementation of energy efficiency policy in Bulgarian munici-palities, it provides an opportunity to avoid intuitive decisions byallowing instead embracing step by step all sectors and sites onthe area of the respective municipality. Since in Bulgaria there areno nationally established norms and standards for energy con-sumption, the target groups method makes possible comparingthe performance of sites having similar modes of energy con-sumption or comparing their performance with the norms set inother countries.

The target groups are determined by the municipal administrationon the grounds of its knowledge of and experience with the prevai-ling practice. The specific model of energy consumption of a groupof sites may be determined by the following indicators:

- the annual / seasonal schedule of energy consumption;

- the weekly schedule of energy consumption;

- the 24-hours schedule of energy consumption;

- the differences in the energy consumption in the different zones ofthe sites;

Possible approaches

Method of the priority target groups

Step TwoSelection of approach and method for

compilation of the programme









impl

emen

tatio

nel

abor

atio

npr

epar

ator

y w

orkdecision to set up an Information System on Energy Efficiency

- the use of similar technologies of energy consumption;

- the specific requirements for the indoor micro-climate dependingon the designation of the site.

In order the facilitate the implementation, survey and control of theprogramme activities it is desirable in the process of identificationof the target groups the selected sites within one target group tohave identical administrative subordination. This would significant-ly ease the management of the programme activities.Kindergartens and creches, for instance, feature identical charac-teristics. To facilitate the programme management, however, theymay be incorporated in different target groups because of their dif-ferent administrative subordination in the municipality - the formerare assigned to the division (sector) "Education" and the latter - tothe division (sector) "Health care". Another example of this kind isthe situation with the "Mother and Child" homes (belonging to the"Health Care" Sector) and the social care establishments (belong-ing to the "Social Insurance and Social Care" Sector). The similari-ty between these sites may be taken advantage of in their auditingand in determining the energy efficiency potential and measures inthem. The distribution of the sites into different target groupsshould be performed in the process of management of the meas-ures.

In order to create conditions for comparison between and aggrega-tion of the indicators about target groups from different municipali-ties it is feasible that

a larger number of municipalities adopt the same types ofmajor target groups.

This condition is observed in the framework of the Municipal EnergyEfficiency Network EcoEnergy, whose members have adopted acommon structure of their information database, built by one and thesame assortment of target groups. This assortment takes account ofthe administrative subordination of the sites inside the groups aswell. The thus identified target groups have been proposed to allmunicipalities in the network. The major target groups may be splitfurther in subgroups, however this is resorted to with utmost care inorder to prevent the undue complication of the structure of the infor-mation database and the management of the programme (AnnexesNo. 6 and No. 7).

Once the target groups have been identified, it is necessary to col-lect the required primary data about the technical state of the equip-ment, the buildings and the in-house systems, the fuels and energyconsumption, the operating conditions and the major indicators.Thisinformation may be procured through the existing energy databaseof the municipality or through simplified energy audits10. In order tosave time and money, it is possible to audit several typical sites ofthe target group and to extrapolate the results for determining theindicators of all the sites in the group. Energy consumption by 1sq.m of floor area in the sites is usually a convenient indicator foranalysis and comparison. Unified measurement units, for instancekWh or toe, are adopted for convenience purposes as well. If themunicipality does not possess a database about the target groupsin situ, creation of such a database should be a task of top priority.This might take quite some time, however afterwards every next stepin the energy planning process will be much easier, quicker andmore effective.

The selection of priority target groups is made for the purposes ofnarrowing the scope of the efforts for implementation of the pro-gramme and therefore for saving time and money. The method ofpriority target groups is not the only possible one. It has, however,

been tested in the practice of municipalities in the developed coun-tries. The testing so far of this method in the framework of theBulgarian Municipal Energy Efficiency Network EcoEnergy has cor-roborated the benefits of its application. For this reason, the entiredescription further in this guide will be based on this method. Thischoice has been justified also by the fact that

the method of priority target groups is relatively cost-effectivewith respect to the preliminary investments of time, money andeffort and that it represents a reliable tool for structuring of theactivities laid down in the municipal energy efficiency pro-gramme.

For the member-municipalities of the Municipal Energy EfficiencyNetwork EcoEnergy the target groups have been already estab-lished and built in the database. Collection of information is per-formed in compliance with the thus set target groups.

Besides the target groups, the municipal programme might com-prise also individual buildings (hospital, schools) or systems (streetlighting, district heating) as objects of impact through the pro-gramme. This is made when there are sufficient data about the exis-tence of substantial energy efficiency potential in them and/or whenthese are sites of high public significance. In order for a specific siteto be incorporated in the municipal energy programme it is notobligatory for it to have undergone a detailed energy audit before-hand. Such an audit may be performed in the framework of theimplementation of the programme.


10 Detailed review of the energy audits is not an object of this Guide


Objectives of the programmeThe formulation of the objectives of the municipal energy programmeis usually based on: (a) the national policy in the field of energy andthe environment; (b) the municipal strategies and policies in this field;and (c) the specific circumstances and requirements of the respectivemunicipality. In the countries of Western Europe in recent years anincreasing emphasis has been laid on mitigation of GHG emissions.This is an expression of the growing concern about climate changeand its negative impact. In the majority of cases this trend is the resultof the fact that much of the energy efficiency potential in these coun-tries has already been realised and that municipal expenditures forfuels and energy do not any longer account for a substantial share inthe balance of municipal costs. On the other hand, the internationalcommitments on addressing climate change have been moved up tothe top of the agenda as priorities at the national and the local level.

Different approaches are used for formulation of the objectives ofmunicipal programmes and plans. They may be assembled in twomajor groups - policy approach and expert approach.

Policy approach

This approach to formulation of the objectives of the municipal pro-gramme is based on preliminary worked out policy objectives andtasks, around which the structure and contents of the programmeare developed. An example for set in advance policy objective isreduction of GHG emissions (Graz, Saarbruken, Leicester,Copenhagen) or resignation to use electricity generated by nuclearpower plants (Hanover). In the first case the objective is quantified(emissions reduction in percentage), while in the second case amore general idea (a vision) is formulated, characterised by a sig-nificant political and emotional and psychological charge. In manycases these objectives ensue from important national priorities orcommitments made under international treaties and protocols (TheUN Framework Convention on Climate Change, the Kyoto Protocol).

Local authorities in Western Europe are ever more often developingtheir programmes on the basis of policy objectives worked out inadvance.

Reduction of carbon dioxide emissions

According to the National Environmental Strategy of Germany by2005 the carbon dioxide emissions should be reduced by 25%. Theenergy concept of Saarbruken, approved in the 80's, envisagesdiminishing of the city's dependence on fossil fuels through energyefficiency improvement and broader use of renewable energysources. In compliance with the national strategy and the localauthority's concept in 1993 the city's decision-makers approved aPlan for Emissions Reduction by 2005, which outlines a number ofinitiative in the field of efficient energy production and end-use. As aresult of their implementation reduction of carbon dioxide emissionsby 25% is expected for the period 1987-2005. [68]

The city council of Copenhagen sets as its objective to reduce car-bon dioxide emissions by 20% until 2005. The municipality does thison one hand as a participant in the ICLEI initiative "Project for reduc-tion of carbon dioxide emissions in the cities" and, on the other hand,in compliance with the active national climate change policy. [61]

According to the municipal environmental strategy of NewcastleCounty until 2006 the carbon dioxide emissions should be reducedby 30%. In implementation of this objective the municipality sets thethree main pillars of its energy strategy - energy conservation, theuse of environmentally-friendly fuels and construction of small andmedium-size co-generation plants. [65]

Improvement of the environment and promotion of the economy

The municipal energy plan of Graz is worked out as a programmefor improvement of the environment and promotion of the economy.The specific targets for reduction of energy consumption and emis-sions of carbon dioxide and other noxious gases and increasing ofthe share of renewable energy sources have been set at the policylevel and have been approved by the City Council prior to launchingthe elaboration of the plan. [66]

Since 1980 the municipality of Leicester has a formally approvedenergy programme and since 1990 the city has been declared thefirst environmental city in Great Britain. As part of the "Environmentalcity" Campaign, the City Council has approved during the same yearan Energy Action Plan. With it the municipality commits itself throughnumerous activities and initiatives in all sectors to reduce by 2025the energy consumption and carbon dioxide emissions by 50% ascompared to the 1990 level. [63]

Technocratic approach

The technocratic approach to formulating the objectives of the ener-gy programme is based on the objective analysis of the state of theenergy sector in the specific municipality and of the opportunities forimpact on that state, including through energy efficiency measures.Usually, a significant amount of objective technical and non-techni-

The formulation of the policy objectives, the scope and the spheresof impact is an extremely responsible, complicated and sometimestime-consuming activity, although it is formalised through a singledecision of the political decision-making body of the municipality.This decision predetermines also all follow-up activities, related tothe compilation of the energy efficiency programme. Although it pre-cedes all the remaining actions related to the compilation of the pro-gramme, the formulation of the objectives should remain in the focusof attention of the local authority throughout the planning process.The objectives are subject to permanent specification and updating,and sometimes also to radical amendment.

The formulation of the objectives is a task for the top policy man-agement of the local authority, since it should mobilise all theresources of the municipality and influence the entire future devel-opment of the local economy. Therefore, in the conditions ofBulgaria, the Municipal Council should be directly engaged in theresolving of this issue.

Objectives of the programme Scope and spheres of impact of the programme

Actors

Motivated proposal for development of a municipal energy

effciency programme

Step ThreeFormulation of the objectives, the

scope and spheres of impact of the programme and the actors









impl

emen

tatio

nel

abor

atio

npr

epar

ator

y w

orkdecision to set up an Information System on Energy Efficiency


cal information is to be collected for the needs of these analyses.The analyses help identify the critical spheres of energy supply orconsumption, select the appropriate means (measures) for impacton them, define the priorities and formulate the objectives and esti-mated results. The technocratic approach is more accurate andmore objective, however it requires considerable preliminary prepa-rations prior to resort to formulate the objectives of the programme.This is the approach described in the methodological guides"Energy Efficiency Policy Planning for municipalities in Central andEastern Europe" (The Netherlands) [43] and "TOOLS TO THE JOB.How to Develop a Municipal Energy Management Programme"(USA) [7]. Usually, in the practice the two approaches - the policyand the technocratic approach - are combined.

The combined approach

Under the combined approach the policy tasks of municipalities arecombined with urgent actions identified by experts. This approach iswidely applied in municipalities and is particularly appropriate forthe countries with economies in transition. The municipalities fromthe Bulgarian network EcoEnergy offer a characteristic example inthis respect.

The member-municipalities of the Municipal Energy EfficiencyNetwork EcoEnergy are the first ones to take steps in energy plan-ning. For the objectives of this review the preliminary drafts ofmunicipal energy programmes of 13 municipalities have been sum-marised (Bourgas, Varna, Gabrovo, Gorna Oriahovitza, Dobrich,Haskovo, Kazanlak, Kardjali, Omurtag, Razgrad, Sliven, StaraZagora and Yambol). The selection of the objectives of these pro-grammes has been usually made depending on the specific needsof the respective municipalities and follows the priorities set in theirdevelopment strategies. Therefore, it might be assumed that inthese cases a combined approach has been applied, in which thetasks identified by expert assessment have been combined withthe policy objectives of the local authorities and the municipaldevelopment programmes. The planning period is normally three tofive years and hence coincides with the term of office of the munic-ipal leadership.

The major objectives, prioritised in the energy efficiency pro-grammes in 13 EcoEnergy member-municipalities in the spring of2002, may be summarised in the following manner:

Reduction of the energy consumption at municipal sites and diminishing of the budgetary expenditure for energy costs

As a whole, the budgets of municipalities in Bulgaria are veryrestricted and in the recent years negative trends of increase of theindebtedness of municipalities to fuel and energy suppliers havebeen observed. This fact comes to explain the desire of municipali-ties to diminish their energy costs through targeted application ofmeasures for reduction of energy consumption.

Improvement of the quality of services

In the majority of municipal buildings - schools, kindergartens,administrative buildings - the norm requirements for indoor lightinglevel and room temperature are not met. The established norms forlighting level of streets, squares and other public areas are alsorarely met. The reasons are most often the poor maintenance of thesystems, the excessive heat losses, as well as the self-imposedrestrictions with the aim to save money at any cost. Setting as objec-tive the improvement of the quality of energy services is an expres-sion of the wish parallel with the energy savings to raise the quality

of energy services provided by the municipality to a level complyingwith the enforced norms and the best practices abroad (Bourgas,Varna, Gabrovo, Dobrich, Haskovo, Kazanlik, Kardjali, Razgrad,Sliven and Yambol).


Bulgaria has ratified both the UN Framework Convention of ClimateChange and the Kyoto Protocol. It has committed itself during theperiod 2008-2012 to reduce its GHG emissions by 8% as comparedto the 1988 baseline. Municipalities, which rank among the majorenergy consumers, will also have significant responsibilities for theachievement of the national commitments. For that reason, thisobjective is present in all energy programmes developed byBulgarian municipalities so far.

Miscellaneous objectives

Some municipalities put forward more general objectives, indicatinga will for the future advance of the municipality. Such objectives are,for instance, laying the emphasis on energy efficiency as a prioritymunicipal activity (Kazanlik) [23] and investigation of the opportuni-ties for use of renewable energy sources (Omourtag) [25].

In some municipal programmes (with the exception of the pro-grammes of the municipalities of Yambol, Kardjali, Haskovo andStara Zagora) there are no specific quantitative indicators for the setobjectives, which would make difficult the evaluation of the resultsfrom programme implementation. (Òable 5.)

Scope and spheres of impact of the programme

The scope and the contents of the municipal energy programmedepend on the extent to which the concrete municipality performs itsfunctions in the energy sector. Some municipalities focus their pro-grammes in one sole sphere. Others select a larger number ofspheres and distribute their actions among them. In each concretecase the selection of the scope and the contents is performed on thebasis of the specific conditions in the respective municipality and incompliance with the political will of the local decision-makers.

In the reviewed examples from Poland and the Czech Republic theenergy planning is oriented above all to one sole sphere - that ofenergy production and supply. On the basis of assessment of thefuture demand, the cities of Ceski Krumpov and Pilsen developedwith assistance from the US Agency for International Developmentenergy programmes, according to which construction of additionalenergy generation capacities above the indispensable ones wouldbe prevented [64]. A plan for district heating, gasification and elec-tricity supply has been worked out in the Polish City of Szczecin. [3]

The energy plan of Graz aims at creating a sustainable energy sys-tem in the municipality. The emphasis of the plan is laid on two majorspheres of impact - energy end-use and renewable energy sources.This choice has been made because the combined heat and powergeneration plants have obtained a very high evaluation for efficien-cy [66].

Four priority spheres of action have been brought forward in theenergy plan of Newcastle: co-generation, renewable energysources, demand-side energy efficiency and transport [65].

The municipalities of Copenhagen, Saarbruken and Leicester haveadopted combined approaches to the formulation of the scope andpriorities of their energy programmes. They envisage measures andinitiatives in the field of energy production and energy end-use in the



Municipality

Graz

Saarbruken

Newcastle

Copenhagen

Leicester

Hanover

Baselineyear

1987

1987

1990

1988

1990

1992

Planningperiod

1993-2010

1993-2005

1992-2006

1990-2005

1990-2025

1992-2005

Objectives

Reduction of carbon dioxide emissions by 50 %

Reduction of the emissions of other pollutants (NOx, SO2, CO) by 60%

Reduction of electricity consumptionby 18%

Increasing the share of renewable energy sources from 16% to 40%

Reduction of carbon dioxide emissions by 25%



Reduction of energy consumption and carbon dioxide emissions by 50 %


Non-use of electricity produced by nuclear power plants

Expansion of the use of co-generation plants and renewable energy sources

Maintaining of local autonomy with respect to long-term energy supply

Table 5. Objectives and planning periods in some European municipalities

municipal sector, in households and the services sector, promotionof the use of renewable energy sources, provision of diverse infor-mation and consultancy services and incentives for the population[61, 63, 68].

The energy efficiency programmes worked out in the Bulgarianmunicipalities are oriented mainly to the municipal sector - buildingsand services in which the municipality is performing its function ofenergy consumer.The measures are focused on schools and kinder-gartens, as well as street lighting systems. Energy production inBulgarian municipalities is limited in the framework of the existinglocal boiler houses in buildings, which are municipal property. Forthat reason the impact is limited solely to two main modalities - opti-misation and automation of the combustion processes or fuel shift[17, 20, 22, 25, 28, 26 and 31]. (Tables No 6 and No 7)

Actors

An important condition for the successful elaboration and imple-mentation of the municipal energy programme is the availability ofwell-trained human capacity and institutions. Different approacheshave been observed with respect to the procurement of the institu-tional and human capacity needed for the programmes. In themajority of the European countries besides the capacity of the localspecialists also the human potential of the local energy companies,which are municipal property, is used as well as that of energy agen-cies and specialised consultants.

Existing structures in the municipal administration

In the majority of cases the structures of the municipal administra-tion are actively involved in the development and implementation ofthe energy programmes. The environmental protection departmentin Graz, Austria [66] is responsible for both the elaboration of themunicipal energy programme and for its implementation. Initially, theenergy department of the City Council in Leicester, Great Britain [63]was responsible only for achieving savings in the municipal build-ings. Gradually, its tasks were broadened to cover all spheres ofenergy consumption. This department is responsible also for thecompilation of the municipal energy action plan.

The divisions responsible for the technical infrastructure, regionaldevelopment, the environment and finances are the most frequentlyencountered participants in the working out and implementation ofthe municipal energy programmes in the municipalities from theBulgarian network EcoEnergy.

New administrative structures

In a number of cases special new administrative structures are setup for development and coordination of the implementation of themunicipal energy programmes. In many European cities spe-cialised regional, municipal and island energy agencies havebeen created, which provide active assistance to the local author-ities in the study and resolution of problems related to energy effi-ciency and protection of the environment from harmful impacts.The establishment and activities of these agencies are supportedthrough programmes of the European Commission. With supportfrom such programmes the first municipal energy efficiency agen-cies in our country were created in the municipalities of StaraZagora, Plovdiv and Rousse. They are expected to play a leadingrole in the development and implementation of the municipal ener-gy programmes [29].

In Germany [13] there are different examples of innovative admi-nistrative structures or working groups of experts for developmentand coordination of the implementation of municipal energy pro-grammes. Independent departments for rational energy use havebeen set up at the environmental offices in Heidelberg, Mainz andStuttgart and at the offices for high-rise housing in Duisburg,Freiburg and Cologne, In Bredstadt a coordinator on energy issueshas been nominated, who is responsible for management andcoordination of the specific activities of a working group of expertsfrom different departments of the local administration.

In 1996 in Bielsko Biala [64], Poland, an energy management officewas set up. It manages municipal property and coordinates theactivities of the different departments of the local authority related toworking out and implementation of the energy programme.

With the creation of the municipal energy efficiency offices with thelocal administrations in the municipalities of the Bulgarian network

36 Energy Efficiency Dem

onstration Zone in the City of G

abrovo

Graz

New

castle

Saarbrucken

Copenhagen

Leicester

Ceski Krum

pov

Szczecin

õõõõõ

õõõõ

õõõõõ

õõ

õõ

õõõõõõ

õõõõ

õõõ

õ

õõõõ

Table 6.Scope of the municipal energy program

mes in the European countries

Energy efficiencyprojects at municipal sites

The municipality

as energy consum

er

The municipality as energy

producerThe m

unicipality asregulator

The municipality as m

otivatorEnergy manage-ment at municipalsites

Renewable energysources

Combined heat andpower generation

Optimisation andimprovement ofenergy productionand distribution

Energy efficiencynorms and stan-dards

Obligation for con-nection to existingdistrict heating orother networks

Information cam-paigns and services

Demonstration project

Consultancy services

Educational programmes

Incentives

Bourgas

Varna

Gabrovo

Gorna O

riahovitza

Dobrich

Kazanlak

Kardjali

Om

urtag

Stara Zagora

Sliven

Razgrad

Haskovo

Yambol

Svishtov

Belogradchik

Vidin

õõõõõõõõõõõõõõõõ

xxxx

õõ

õõõõõõõõõõ

õõõõ

õõõ

õ

Table 7.Scope of the municipal energy program

mes in EcoEnergy m

ember-m

unicipalities

Energy efficiencyprojects at munici-pal sites

The municipality as

energy consumer

The municipality as energy

producerThe m

unicipality asregulator

The municipality as m

otivator

Energy manage-ment at municipalsites

Renewable energysources

Combined heat andpower generation

Optimisation andimprovement ofenergy productionand distribution


Obligation for con-nection to existingdistrict heating andother networks


Demonstration project

Consultancy services

Educational programmes

Incentives

Preparatory Work for C

ompiling a M

unicipal Energy Efficiency Programm

e


EcoEnergy the foundations have been laid of organisational andinstitutional back-up of the activities related to development andimplementation of energy efficiency programmes.

Local energy companies

Local energy companies are important actors in the developmentand implementation of the energy programmes. They pay the mostsignificant role in the cases when their owners are the municipali-ties. For instance, the local energy supply utility in Copenhagen[61] is the main driving force of the implementation of numerous ini-tiatives in the field of energy production and energy end-use. Themunicipalities of Saarbruken [68] and Hanover [60] are owners ofthe local energy utilities. For this reason the energy programmesare worked out and implemented jointly by the municipality and theenergy utilities.

The Municipality of Stamboliyski in Bulgaria is the owner of the localenergy supply company. If the municipality undertakes actions fordevelopment of a municipal energy programme, this companywould undoubtedly play an important role in the elaboration andimplementation of the programme.

External consultants

External resources are also mobilsed for the development andimplementation of the municipal energy programmes. For instance,four working groups of representatives of the utilities, the localauthorities, companies and NGOs have been set up with the envi-ronmental protection department in Graz [66] and consultancyservices from the Austrian Energy Agency have been used. Eachof the working groups focuses its activities on different spheres ofimpact. In Leicester [63] the energy plan of action is developed inclose cooperation with the working group of energy, among themembers of which are representatives of the public, the privateand the NGO sectors. In this way the municipal leadership involvesand motivates also the ordinary citizens to take part in the imple-mentation of the plan. The services of a specialised organisationfor investigations, design and implementation have been used inthe development of the plan of the Municipality of Szczecin inPoland [3].

In the member-municipalities of the Bulgarian network EcoEnergy,the local technical universities, NGOs and consultancy companiesare quite often also involved in the development and implementationof the municipal energy programmes [20, 21, 28, 29, 26].

(Tables No 8 and No 9)

Motivated proposal for development of a municipalenergy efficiency programme

The formulation of the objectives of and the estimated results from amunicipal energy programme, as well as the scope and spheres ofimpact of the programme are performed on the basis of expertassessments and discussions with a wide circle of specialists andrepresentatives of the broad public. This process is usually led by aspecifically set up team of experts from the municipality, which pre-pares a report to the Municipal Council with a draft-proposal fordecision. The objectives, which the local authority lays down in itsenergy programme, should ensue from the real circumstances anddemand in the concrete municipality. Therefore, they might turn outto be quite different for the different municipalities.

Special attention should be given to this step in every specificcase. It should be implemented under conditions of maximumpublic participation and should build on the entire intellectualpotential of the municipality.

The energy sector in Bulgarian municipalities is an extremely sensi-tive theme and every action in this field casts its shade over a num-ber of other spheres of public activity. For this reason, the formula-tion of the objectives of the municipal energy programme should beperformed in the framework of broader programmes for sustainabledevelopment of the municipality and the region. It should complywith the strategic development objectives and correspond to thepublic needs and expectations. Several examples for possibleobjectives of the municipal energy efficiency programme are listedbelow.

Diminishing of the local authority's energy costs

One possible objective of a municipal energy programme is, forinstance, reduction of the energy costs (bills) paid out of the munici-pal budget. Formulated in this manner, the objective might orient theactions also to measures for reduction of the expenditures irrespec-tive of the rest of the consequences these measures might entail.Many Bulgarian municipalities currently set exactly that type of objec-tive and in some cases pursue it at any price. This is the conse-quence of the real inability of these municipalities to cope with thegrowing energy costs. Sometimes municipalities allow temporarydeterioration of the quality of the provided services - switching off ofpart of the installed heating units and/or lighting fixtures, lowering ofthe indoor temperature and/or shortening of the heating periods, etc.Such measures may be admissible only temporary and for short peri-ods of time in the event of acute financial problems. Reasonablediminishing of the energy costs paid out from the municipal budgetcan, however, be achieved through energy efficiency measures,which provide for preservation of the quality of the services or evenits improvement. It is such measures that should be laid down in theenergy efficiency programmes of municipalities.

Diminishing of the end-users' energy costs

The municipal leadership might set an objective to diminish theenergy costs at energy end-user sites not owned or catered for bythe municipality and therefore costs not paid by the municipal bud-get - households, small and medium-size enterprises, industrialenterprises. Through the thus formulated objective the local authori-ty might leverage indirect benefits for the municipality. By alleviatingthe energy costs burden of the households it might moderate socialtensions and by encouraging the local businesses it might increasethe taxation revenue to the local budget. This objective is normallyachieved through methods of indirect impact. Such tools are, forinstance, the urban development plans and the engineering infra-structure plans, the plans of the transport communications in humansettlements. Effective tools of impact are the information and aware-ness raising campaigns, incentive programmes, etc. In the imple-mentation of objectives of this kind the municipality may compre-hensively fulfill its functions of regulator, investor and motivator.

Improvement of the quality of energy services

Objective of a municipal energy programme may be also theimprovement of the quality of energy services. In Bulgarian muni-cipalities, for instance, the objective might be to achieve the normsfor lighting level in schools, hospitals and the streets and publicsquares or to ensure the standards for indoor temperature in class-rooms. This is a normal objective for Bulgarian municipalities,


Saarbrucken

Hannover

Graz

Leicester

Bielsko Biala

Szczecin

Copenhagen

x

x

x

x

x

x

x

x

x

x

x

x

x

x

Table 8. Actors in municipal energy planning in European municipalities

Specialised department inthe local administration

Local energy supply company

External consultants (energy agencies, specialised companies, universities, etc.)

Public and NGO sectors

Bourgas

Varna

Gabrovo

Gorna Oriahovitza

Dobrich

Kazanlak

Kardjali

Omurtag

Stara Zagora

Sliven

Razgrad

Haskovo

Yambol

Svishtov

Belogradchik

Vidin

õ

õ

õ

õ

õ

õ

õ

õ

õ

õ

õ

õ

õ

õ

õ

õ

õ

õ

õ

õ

õ

õ

õ

õ

õ

õ

õ

õ

õ

õ

õ

õ

õ

Table 9. Actors involved in municipal energy planning in EcoEnergy member-municipalities

Specialised departmentin the municipal administration

District heating or electricity distributioncompany

External consultants (energy agencies, specialised companies,universities, etc.)

Representatives of thetarget groups

Public and NGO sectors

where only in rare cases the level of the provided energy servicescomplies fully with the set norm requirements. Improvement of thequality of lighting and space heating usually means to increase thetemperatures and the degree of illumination, which in turn meansincreasing energy consumption. The most natural and accessibletool to prevent incurring additional energy costs is to implementmeasures for demand-side energy efficiency improvement. Thesemeasures may produce also a number of additional effects, suchas stabilisation of heat supply, improvement of the maintenance ofthe system by the district heating company, as well as upgradingof the heat accounting system. Improvement of the quality of ener-gy services might comprise also programmes for popularising ofenergy efficiency and programmes for increasing the loyalty ofend-users to the energy suppliers, etc.

Reduction of energy prices

When a given municipality is adequately performing its function ofenergy producer and energy supplier, it may set as objective toreduce the energy price rate, which end-users pay per unit ofenergy. This may be achieved by setting the price and the pricerate on the basis of the full and real production costs withoutdirect or indirect subsidies and in the event that the municipalityhas the possibility of impact on energy production. It is obviousthat in our country such objective may be set only in the munici-pal energy efficiency programmes of certain municipalities, as isthe case of the Municipality of Stamboliyski. It may be anticipat-ed, however, that in the future this will become an ever more real-istic opportunity.



By signing the Kyoto Protocol our country undertook the commit-ment to reduce in the period from 2008 till 2012 by 8% the level ofits greenhouse gas emissions as compared to the selected base-line year 1988. This is a serious international commitment, whichwill become ever more tangible by the end of the period and inview of the expected revival of industry and the development of theenergy sector. Municipalities rank among the major energy con-sumers and their responsibilities in the implementation of the com-mitments under the Kyoto Protocol will depend to a significantextent on their engagement in activities for energy efficiencyimprovement. For this reason municipal energy programmes willever more often incorporate reduction of GHG emissions amongtheir strategic objectives.

Combination of several objectives

In their energy efficiency programmes the municipalities may laydown broader objectives, which are a combination of several of theabove mentioned ones. For instance, diminishing of budgetaryexpenditures for energy costs might be combined with the objectivefor gradual improvement of the quality of energy services. Energyconservation might be tied up to obligations for reduction of green-house gases, etc.

The model objectives reviewed above do not exhaust the existingmultitude of opportunities. They represent only a small fraction of themost common cases, which demonstrate how specific and howresponsible exercise the formulation of the objectives of a municipalenergy programme may be in order for it to be realistic and to cor-respond to the actual needs and expectations of the people. The for-mulation of the objectives is made by means of a declaration, whichshould clearly spell out:

- the level of progress expected to be achieved as a result of theimplementation of the programme;

- the baseline (scenario), which will be used as a reference formeasuring this progress;

- the time frame for achievement of the set objectives.

Any objective will be maximum useful if it declares the aspired endresult rather than some intermediate achievement. Wherever pos-sible, the programme objectives for the individual target groupsshould be defined through notions, which are subject to quantita-tive measurement and evaluation. Such notions are, for instance,the monetary savings, reduced electricity consumption in kWh, orthe number of applied measures for energy efficiency improve-ment.

In formulating the objectives it is necessary to determine also theminimum levels of success, which have to be achieved or excee-ded by the programme. Results below these minimum values shouldbe evaluated as failure. The objectives for the individual targetgroups should correspond to the major objectives of the municipalprogramme. In the course of implementation of the programme addi-tional objectives may be formulated as well, the need for which hasbeen proven by the preliminary studies or in the process of imple-mentation proper.

Defining the criteria for cost-effectiveness is a matter of particularimportance. It is on the basis of these criteria that you mayapprove or reject a project or evaluate the results from its imple-mentation. When the available funds for implementation of the pro-gramme are gravely limited, it might become necessary to intro-

duce other criteria for selection of priorities. This set of criteria isalso subject to determination through a policy decision of thelocal authority.

A model sample of how to design a motivated proposal to theMunicipal Council is shown in Annex 8.

First policy decision:Approval of the policy objectives of the programme

The decision, by virtue of which the objectives of the municipalenergy efficiency programme are formulated, is a policy act.Thetop decision-making body in the municipality - the MunicipalCouncil - is the one that should take up the responsibility for it.Approval of the objectives of and the expected results from themunicipal energy programme is the first policy decision in theenergy planning process. The specific significance and respon-sibility of this decision ensues from the fact that in practicalterms the objectives of the programme predetermine the entirefurther planning process and the selection of modalities ofimpact on the different actors in the energy sector on the areaof the municipality. The policy decision to be made by theMunicipal Council consists of two main parts:

(a) Decision to work out an energy efficiency programme. Thispart of the decision defines the general deadlines and respon-sible officers, as well as the funds allocated by the municipalityfor the development effort.

(b) Decision on approval of the policy objectives of the pro-gramme. This decision describes the most general parametersof the objectives.

It is desirable prior to the submission of the draft-decision forapproval by the Municipal Council to conduct clarification workamong the members of the specialised commissions with theCouncil. Checking the public opinion and winning public sup-port for the decision may also contribute significantly to speci-fying with greater precision the proposed objectives and con-vincing the Municipal Council in their feasibility.


In the course of this step the available information about the situa-tion of the target groups and the sites in them prior to the imple-mentation of the programme (the baseline) is summarised, as wellas the possible trends of development of the baseline provided noenergy efficiency programme was implemented (baseline scenario).The activities under this step are based on the data about the indi-vidual sites, which are aggregated to obtain data about the respec-tive target group. When in the municipality there exists a databaseabout energy production, energy consumption and the state of thesites, determination of the baseline for the target groups takes rela-tively short time. If, however, the information database is not in place,it will be necessary to conduct the preliminary work, described inPart Two of this Guide.

Technical and economic data about the baselineThe main designation of the technical and economic data about themunicipal energy sector and the individual energy end-user sites isto determine the baseline. Determining the baseline means

to identify and describe the instantaneous state of the energysector in a given municipality and its individual sites prior to theimplementation of the energy efficiency programme.

This description covers energy production, transportation, distribu-tion and consumption and serves for the purposes of assessmentand comparison of the results from the applied measures to improvethe efficiency of energy use. The baseline is expressed by means ofdescriptive and quantified information about the main parts of the

system. Until recently, there was no practice to collect and keep dataabout energy production and consumption in Bulgarian municipali-ties. This poses a serious difficulty to the determination of the base-line. Therefore, it is a priority task of every municipality, which wish-es to work out an energy efficiency programme, to collect and sys-temise the main data about the state of the energy sector. On thebasis of this data a municipal database is gradually created, whichserves as a valuable source of information and ideas about how toimprove the energy system in the municipality.

Some of the activities related to the determination of the baselinemay be implemented by the experts from the municipal administra-tion. In many cases these activities are beyond the scope of thedirect official tasks and responsibilities of municipal officials and it isnecessary to assign them to specialised institutions.

The approach applied for determination of the baseline depends onthe requirements of the concrete financial institutions, which areexpected to finance the implementation of the programme. For thisreason, in different cases the baseline for one and the same site (abuilding or a target group) may obtain different characteristics. Formore clarity we introduce the notions "real baseline" and "normalisedbaseline".


Determination of the baseline for energy production in the targetgroups is necessary in order to assess what portion of the energydemand can be met by proprietary generation and what portionshould be supplied additionally. This action helps make an inven-tory of the energy sources (producers) on which the municipality

Technical and economic data about the baseline

Step FourBaseline setting and baseline scenario


Energy planning is a process designed to formulate short-term and long-term policy objectives and to identify activities,tools and deadlines for their achievement. The elaboration of the programme passes through the following major steps:

- determination of the baseline in the municipality prior to the start of programme design;

- selection of priority fields, towards which the impact of the programme will be oriented;

- determination of the possible actions (measures) for energy efficiency improvement;

- determination of the financial framework of the programme.

The thus compiled programme should be approved by the Municipal Council, after which its implementation may start, aswell as the survey, analysis and evaluation (monitoring) of the results from the implementation of the programme.

Elaboration of a Municipal EnergyEfficiency Programme

Part Three









impl

emen

tatio

nel

abor

atio

npr

epar

ator

y w

ork


can have a real impact. For the time being the number of thesesources in Bulgarian municipalities is quite limited. For this reason,the relative share of energy of local production in Bulgarian muni-cipalities is insignificant as yet. This is the reason why when theenergy generation capacities in municipalities are analyzed, theown energy production in the municipal buildings is often neglec-ted, since it is considered that the energy produced by them isinsignificant and in practical terms cannot be sold on the energymarket.

One and the same energy plant may be viewed in some cases asenergy producer and in others - as part of an energy end-user. Forinstance, when the space heating plant of a hospital meets its ownenergy demand, the measures for energy conservation in this plantmay be classified under the rest of the measures for energy effi-ciency improvement in the hospital. When, however, this plant has ahigher generation capacity and the excess energy may be used tosupply other (for instance municipal) sites, the capacity of this plantshould be included in the total energy balance of the municipality.For this reason in a number of cases the energy plants of municipalsites are often considered to be integral component parts of energyend-users and the measures for improvement of the energy efficien-cy of the energy plants (which in essence lead to improvement of theefficiency of energy generation) are classified under the demand-side measures.

Although currently energy production in municipalities is quite limit-ed, this issue is discussed in this Guide for the following reasons:

(a) An increase in the free energy generation capacities in munic-ipalities is expected. There are a number of small energy produc-ers in municipalities. These are, for instance, the boiler plants inhospitals, schools and other municipal sites. In the majority ofcases these plants have been designed and dimensioned to meetthe demand of the respective sites. Recently, however, significantchanges in the functions of many of these sites have beenobserved - reduction of the capacity of certain sites (hospitals,schools), others are subject to comprehensive restructuring oreven closure. As a consequence of implemented technicalimprovements in some of the plants their output capacity has beenincreased, in other cases the energy demand of the respectivesites has been diminished thanks to the implementation of energyefficiency measures. It may be projected that the number of thesecases will increase in the future. As a result, a certain capacity forenergy generation will be released, which municipalities shall be

able to dispose of. It is this free capacity that is of interest to ener-gy planning.

(b) Construction of new energy generation capacities in munici-palities is anticipated. Recently, some steps have been made inthe direction of decentralisation of the energy sector. Power trans-portation and distribution were separated from the NationalElectric Company (NEC) and seven electricity distribution compa-nies were set up. Discussion is underway on restructuring theownership on district heating companies and the possibility ofinvolvement of municipalities in their management. The practice inthe other Eastern European countries with economies in transitiondemonstrates the same trend, whereat some of them have alreadymade a great progress in the implementation of this restructuring.During the coming years it may be expected that the existingenergy generation capacities might be transferred onto munici-palities, or new energy generation facilities might be constructedand in this way the functions of municipalities as energy produ-cers will be significantly expanded. For this reason, study of pro-duction will grow in importance, while the acquired knowledgeand skills in this respect will be of increasing benefit and practicalsignificance.

In the currently applied version of the database of EcoEnergy thepart related to energy production is not yet developed, however thestructure of the database envisages this happening in the nearfuture (Annexes 10, 11 and 12).

Data about fuel and energy consumption

The data about energy consumption in the individual sites, by targetgroups or entire sectors, is the main part of the information makingup the database. This data may be collected from the project designindicators about the installed capacity and from the documents forthe fuel and energy costs during a specific period of time. In theEcoEnergy database this data is collected by specifically developedforms.

The information about energy consumption is important, since it isexactly in the field of consumption that the highest potential for effi-ciency improvement is contained. It is recommended to use con-sumption data for at least a few preceding years. In this way theinfluence of the non-rhythmic payments for fuels and energy, whichare a frequently encountered practice in Bulgarian municipalities,may be diminished or even fully eliminated. The more fuels andenergy a given target group consumes, the bigger the financial bur-den it lays on the municipal budget and hence the higher the possi-bilities for absolute savings. The information about the energy con-sumption by the target groups is entered in the attached table(Annex 9). The entries show the absolute quantities of fuels andenergy consumed by each target group during the respective yearand the re-calculated quantities in tons of oil equivalent (toe). On thebasis of this table later the ranking of the target groups will be con-ducted for the purpose of selecting those that will be given priorityin the energy programme.

Data about the technical state-of-repair of the sites

In order to get a comprehensive picture of the baseline it is nec-essary to determine the technical state of the sites and the opera-ting conditions in them, since they affect directly the costs for ener-

Fig. 9.Determination of savings as compared to the baseline

projected development of thebaseline

projected savings with the time

2000 2001 2002 2003 time

baseline

ener

gy

2000 2001 2002 2003 time

energy savings

ener

gy

gy efficiency improvement. The technical state-of-repair of thesites and the in-house systems is established on the basis of theavailable documents or by means of walk-through audits if theavailable information is insufficient. To this end the sites may beclassified by aggregate estimates, for instance "in poor condition","acceptable condition" or "good condition". It is particularly impor-tant to find out and describe the urgent needs of significant repairsor reconstruction. It is also necessary to identify and record alsoeventual intentions for changing the functional designation of thesites or parts thereof.

In the case of sites in poor technical state-of-repair the applicationof energy efficiency measures is interwoven with the need of urgentoverhauls or more comprehensive reconstruction works. The costsfor them will inevitably put additional burden on the total budget ofthe energy efficiency project. This may lead to inability to pay off therepair and reconstruction costs only from the savings achieved as aresult of the application of the energy efficiency measures.

On the other hand, some repairs and reconstructions might affectenergy efficiency as well. For instance, the reconstruction of hea-vily depreciated window frames and fitting of missing glass paneshave energy conservation effect. Weather-stripping of the alreadyrehabilitated windows, which is a typical energy conservationmeasure, might turn out to be excessive. The knowledge about thetechnical state of the sites permits to avoid excessive or inefficientactions and orient the efforts towards actions of more long-termeffect. Therefore, the energy efficiency actions should be com-bined with and matched to the current and scheduled repairs ofthe sites, whereby the costs incurred for each set should be clear-ly distinguished.

As early as at the point of launching the creation of a new infor-mation database in the municipality it is feasible to find outwhether any energy efficiency measures have been undertaken inthe past. Even if they are already obsolete, the reports or notesabout energy studies or repair and reconstruction works conduc-ted in the past might contain useful starting information about thesites and the necessary measures for minimising fuel and energyconsumption and respectively costs.

The data about the technical state of the sites in the target groupsare usually collected and systemised by individual technical sys-tems. On this basis it is possible to compile a summary evaluationof the technical state-of-repair of the sites and the target groups.This data is used in the process of determination of the normalisedbaseline.

Data about the operating conditions at the sites

The operating conditions are important for the users/occupants ofthe individual sites, as well as for assessment of the opportunities forimprovement of the energy efficiency in them. There are normrequirements concerning the heat and lighting comfort in the prem-ises, which are not complied with in many of the sites. In these casesthe indicator "energy consumption per m2" for the different buildingsshould be supplemented by information about the operating condi-tions in the site, since the direct reference to the data about energyconsumption might be misleading.

In a school building, for instance, the energy consumption per m2

might turn out to be low, however the temperature in the class-rooms might hardly reach 15îÑ and the lighting level might be veryinsufficient. In this case it is evident that the quantity of consumedenergy may not provide a true-to-fact idea about the energy effi-ciency potential. Similar examples may be quoted from the field ofstreet lighting as well. If a large percentage of the street lamps areburnt out or broken, the energy consumption might appear to bemisleadingly low, although this would not mean that the municipal-ity has achieved a high degree of efficiency in the use of streetlighting.

The degree of deviation from the established norms should bemeasured or calculated and should be reflected by concrete valuesin the characteristics of the baseline. This is necessary for the pur-poses of determining with sufficient accuracy what portion of theexpected energy and cost savings may be realistically used by themunicipality for pay back of the investments made for energy effi-ciency improvement. Usually, the first savings realised through theenergy efficiency measures, are used for improvement of the quali-ty of energy services (lighting and space heating), whereby the setstandard indicators are achieved or at least approximated. In thisway the real energy and cost savings remain smaller than the pre-liminary calculated ones for every specific measure. All this indi-cates that the information about the operating conditions in the sitesis an important component of the characteristics of the baseline. Itmay be collected by means of the table provided as an annex andbe used for the compilation of the normalised baselines of the sitesand the target groups.

Trends in the development of the baselineThe results from any municipal energy efficiency programme for aspecific time horizon are determined through comparison with thedevelopment of the baselines of the sites (target groups) for thesame period of time. For this reason the full characteristic of thebaseline should contain in addition to a "snapshot" of the sitesincluded in the programme prior to the start of its implementation,also a forecast about the development of the baseline for thesesites for the same period of time, provided no municipal energyefficiency programme was implemented. It is also very important totake into account the expected changes in the sources of energy


Elaboration of a Municipal Energy Efficiency Programme

Fig. 10. Specific energy consumption by target group "Schools" in GabrovoMunicipality for the period January 2002 - April 2002

Ivan Vazov 6thPrimary School

158.7

300

250

200

150

100

50

0

116.7103.1

115.8

93.0

147.7 148.7

255.7

96.0

Nikola Voynovski 7thPrimary School

Sv. Kiril i Metodi7th Primary School

Raycho Karolev 9thGeneral Secondary

School

Otets PaisiiGeneral

Secondary School

Vassil LevskiPrimarySchool

YossifSokolovski 9thPrimary School

Nayden GerovPrimary School, thevillage of Yavorets

MUTsTPO

kWh/

m2

supply. In many cities, for instance, active work is underway forintroduction of gas supply for households and the public sector. Ifa building is envisaged to be connected to the gas distribution net-work, the energy improvement measures on the existing liquid-fuelfired boilers might turn out to be unreasonable, even if thanks tothe rehabilitation their performance was improved for the next oneor two years.

In the framework of this step the forecasts for the development ofthe baseline are made at the level of the target groups and havean approximate nature and serve for orientation only. The estab-lished tendencies towards increase or drop of energy productionand consumption may provide grounds for the respective differen-tiated approach to the target group11. Later on, baseline scenariosare developed on the basis of these forecasts for the purposes ofevaluation of the results from the implementation of the programmeand the individual measures envisaged in it.

Normalised baseline

Real baseline

The real baseline presents the actual state of the target groups or thatof the individual sites prior to the implementation of the programme. Itis known, for instance, that quite often the consumption may be toolow because the premises are heated below the norm levels, that thestreets and public areas or the classrooms in the schools are underlit.Sometimes, for long periods of time entire sections of buildings aredisconnected from the district heating network, the street lighting isswitched off. In this way costs savings are achieved for a specificpoint or short period of time for the expense of the quality of energyservices. Such situations may be observed also in certain energyplants in the municipality. As a result of depreciation or breakdownsthe productivity of the plant may be lower than the design rating. Inother cases, individual capacities might have been temporarilydecommissioned because of drop in the demand or for other reasons.As a consequence of such temporal measures the real consumptionmight be quite different from the design rating. The comparisons withthe real consumption give an idea about the real savings, which maybe achieved through energy efficiency measures, provided the quali-ty of the service remains at the same level. The majority of the finan-cial institutions is interested in the real baseline, since it gives them anidea about the actual savings, which the municipality may use for pay-off of the investment costs.

Normalised baseline

The normalised baseline is expressed by the calculated energy con-sumption, provided the norm level of the energy services (most fre-quently applicable for lighting and space heating) in the sites ismaintained. When the energy systems in the sites do not functionproperly, usually this consumption is higher than the real one andwhen compared with it the energy efficiency projects (programmes)have better technical and economic indicators. Some financing insti-tutions allow the use of normalised state in their evaluations of thequalities of the projects.


11 In the recent years in Bulgaria a number of temporary factors influenced energy con-sumption. The gradual normalization of consumption will provide grounds for compilingrealistic forecasts in this respect, which will be instrumental in terms of impact on theobjectives, contents and structure of the energy programme.

Fig.11. Energy savings as a result of the programme

2000 2001 2002 2003 time

ener

gy

2000 2001 2002 2003 time

ener

gyconsumption after project completion

maximum scenario

development of the baseline

development of the baseline

minimum scenario

Fig. 12. Baseline scenarios

2004 2005 2006 2007 time

ener

gy

real baseline

normalised baseline

consumption after project completion

The energy efficiency potential is expressed by the additional ener-gy resource, which may be leveraged as a result of more efficientenergy production or consumption. This means that it is determinedby the difference between the energy production (or consumption)levels prior to and after the implementation of energy efficiency pro-gramme.

The extent, to which energy efficiency may get improved throughcost-effective technical measures, represents the technical andeconomic potential for energy efficiency improvement. Through thisstep the target groups are ranked according to their technical andeconomic potential for energy efficiency improvement. For a spe-cific target group this potential is expressed by the sum of thepotentials of the individual sites within the group. The initial rankingmay be performed separately according to the supply-side anddemand-side potential and according to the technical state-of-repair and operating conditions in the sites belonging to therespective target group. Afterwards, the rankings are aggregated inorder to select the priority target groups according to the technicaland economic assessments of the potential.

The ranking of the target groups according to their technical andeconomic potential for energy efficiency improvement has the high-est weight in the final selection of the priority target groups, whichwill be incorporated as the object of the municipal energy efficien-cy programme. For this reason, this ranking should be performedon the basis of sufficiently reliable information and methods for itsevaluation. Unfortunately, the official statistic does not surveydirectly, nor keeps record of the energy efficiency potential either inthe field of energy production or energy consumption. The mostreliable information about this potential may be obtained from theanalyses and assessments, which are performed periodically onthe basis of the information available in the database. Useful dataabout consumption may be obtained from the energy supply com-panies, as well as from the reports on the budget of the respectivemunicipality.

If the municipality does not have at hand studies of the energy effi-ciency potential, a variety of auxiliary methods for comparison maybe used in the individual sites. One such possible method is that ofthe Key Numbers, which is based on preliminary established andapproved standard values about the energy consumption by thedifferent types of buildings. Through comparison with these valuesit is possible to determine approximately the potential for improve-ment of the efficiency of energy consumption in the respective sites(or target groups). Another useful method is comparison with dataabout similar sites (groups of sites or target groups). To this end theMunicipal Energy Efficiency Network keeps information about po-sitive practices and a database about the consumption in othermunicipalities. In this way, on the basis of comparisons it is possi-ble to lay down approximate values about the energy efficiencypotential.

The Key Numbers Method

The Key Numbers Method has been developed originally inNorway by the ENSI Company as a standard and quickmethod for assessment of the energy efficiency of buildingsand has been recognised as unique and useful in a number ofcountries from Central and Eastern Europe. Assessing theenergy conservation potential of a building by casting aglance on its total energy consumption is very difficult andmight lead to erroneous results. Specific energy consumption(for instance 205 kWh/m2year) gives a better idea about theenergy efficiency performance of the building. There arenumerous factors, like for instance the functional designationof the building (administrative building, school, hospital, etc.),the climatic conditions, the thermal insulation, etc. , whichaffect the energy demand and the specific energy consump-tion of the site and should be compared with the national stan-dards.

The ENSI Key Numbers are reference values about the speci-fic energy consumption, which take into account all these fac-tors. When the calculated and measured values for energyconsumption are compared with the Key Numbers it is possi-ble to quickly assess the potential for energy efficiency andenergy conservation of a given building. The 'Energy con-sumption" and "Capacity" budgets are used as the main struc-ture representing the Key Numbers. The specific energy con-sumption shows the energy efficiency in a building in the sameway as petrol consumption per kilometer shows the energyefficiency of a motor car. The method may be applied both inthe stage of design of a building and in the process of wor-king out of plans for energy conservation of reconstruction ofexisting buildings.

The Key Numbers Software assists engineers and specialiststo quickly calculate the energy characteristics of new andexisting buildings. The number of input data is significantlyreduced, whereby an emphasis is laid on the most importantparameters which affect the main alternative solutions andmeasures for improvement of the energy efficiency in buil-dings. Till the point of adaptation of the Bulgarian versions ofthe ENSI Key Numbers Software and ENSI Economy Softwareto the specific conditions in Bulgaria, there were no Bulgariananalogues in this field. For the purposes of building additionalskills on how to use these innovative useful tools, EnEffect hasconducted a series of training courses for specialists, trainersand students, who obtained professional certificates upongraduation.

Ranking according to the supply-side energy efficiency potential Ranking according to the demand-side energy efficiency potential

Ranking according to the technical state-of-repair and the operating conditions

Summary ranking according to the technical and economic potentialfor energy efficiency improvement


Step FiveRanking of the target groups and sitesaccording to their technical and economicpotential for energy efficiency improvement









impl

emen

tatio

nel

abor

atio

npr

epar

ator

y w

ork

Fig. 13. Comparative report, extracted from the information database of EcoEnergy

In the cases when there are no data whatever about the potential,the ranking of the target groups may be conducted also only on thebasis of the data about the produced and/or consumed energy inthe individual target groups.

Ranking according to the supply-side energy efficiency potential By virtue of this action the target groups are ranked according to thepotential for energy efficiency improvement of the systems for ener-gy generation in their sites or (if such data is not available) accor-ding to the total quantity of energy produced in them. The objectiveof the assessment of the supply-side energy efficiency potential onthe area of the municipality is

to identify the additional energy resource, which may be realisedthrough improvement of the efficiency of the energy generationproper.

To this end it is necessary to identify the opportunities for improve-ment in the system for energy generation by analyzing step by stepthe transformation of the primary energy in electricity and heat, thetransportation and distribution of electricity and heat to the end-usersites. The possible improvements are described (from reconstruc-tion and expansion of the existing energy enterprises to theirreplacement by new ones) and different scenarios for the futuredevelopment of the system are elaborated. The improvements inenergy production have a direct impact on the level of emissions,while the improvements in the system for energy transportation anddistribution have an indirect effect on emissions by raising the effi-ciency of the entire system.

The data about the energy produced in the target groups and thefuels consumed for this production provide an idea also about theenvironmental pollution caused by the process. Pollution ratesand nature will be different depending on the type of fuels usedand the types of energy produced. Ranking of the sites in the tar-get groups by this indicator is particularly indispensable in theevent of damaged or endangered environment, as well as in thecases when environmental protection ranks among the majorobjectives of the municipal energy efficiency programme. In thesecases, the shift to cleaner fuels might be promoted as a priorityalong with the rest of the measures for energy efficiency improve-ment. In the municipalities in Bulgaria this might be linked, forinstance, with the introduction of gas supply for the residentialand public sectors, to which an ever growing interest has beenmanifested in the recent years.

Since Bulgarian municipalities may have influence above all on theproduction and supply of heat,the improvement efforts are concen-trated typically on upgrading of the combustion processes, fuelshift and reduction of the losses in the system for transportation anddistribution of heat. In Bulgarian municipalities this assessmentwould currently focus mainly on the space heating yards of hospi-tals, schools, administrative and other buildings of the municipalbuildings stock, as well as on certain factory thermal plants. Insome of them excess capacity above that needed to meet thedemand of the respective sites has already been identified, in oth-ers excess heat generation output might be expected in the nearfuture. It is namely

the capacities that are or might turn out to be excessive for thedemand of the sites, for which the respecting energy generationyards have been constructed, that are the object of attention inthe energy programmes.

The use of renewable energy sources for heat and power genera-tion might also be the object of this assessment. Expansion andfostering of the opportunities in this field might be expected in thefuture.

The potential for supply-side energy consumption is expressedthe best through the integrated potential of the individual techni-cal measures for efficiency improvement, which may be identi-fied through energy audits.

Sometimes, the energy sources, situated in different municipal sites,such as schools, hospitals, etc., are viewed as part of the end-usesector and are not considered as part of the energy generation sec-tor. In these cases the technical and organisational measures forenergy efficiency improvement are incorporated in the demand-sidepackages of measures. In terms of its essence, this approach doesnot change the end result of the evaluation. It is much more sub-stantial not to neglect the opportunities for improvement of the effi-ciency of energy production (especially heat) in municipal sites thanwhere exactly they shall be classified - to the supply-side sector orto the demand-side one.

As a consequence of the restructuring of ownership rights on districtheating companies in the next years, one may expect municipalitiesto acquire significant power of authority and responsibilities withrespect to these energy producer enterprises. Until that time manymunicipalities might neglect this part of the analyses if it is found outthat the energy production on their area is negligibly small or thatthere do not exist significant quantities of excessive energy output,which the municipality might re-distribute.


Georgui Izmirliev 1stGeneral Secondary

School (GornaOryahovitsa)

Geo MilevLanguage HighSchool (city of

Dobrich)

Baba TonkaMathematicalHigh School

(city of Dobrich)

Geo MilevEnglish

Language HighSchool (Rousse)

M. Gorki General Sec.School / R. Rolan

Foreign LanguagesHigh School (St. Zagora)

180

160

140

120

100

80

60

40

20

0

40.7

123.0

81.252.7

kWh/

m2

Energy produced (quantity)

Profit

Energy price

67.2

84.8

68.8

166.8

Vicho GrancharovGeneral Secondary

School (GornaOryahovitsa)

Fig. 14.Ranking according to the supply-side energy efficiency potential

Expe

nditu

re /

Ener

gy c

ost p

er u

nit

DH coal-fired

DH natural gas

hospitalmazut

DH naphtha

RES

Ivan Vazov High School(Natural Sciences and

Mathematics) (city of Dobrich)

4th Primary School / GeoMilev High School

(Natural Sciences andMathematics) (St. Zagora)


Ranking according to the demand-side energy effi-ciency potential

Through that action the target groups are ranked according to theenergy efficiency potential related to the energy consumption intheir sites. The objective of the assessment of the energy efficiencypotential at energy end-use is to identify

the additional energy resource, which may be produced throughdemand-side measures for energy efficiency improvement.

Since in Bulgarian municipalities it is exactly in the field of energyend-use that the highest potential for energy efficiency improvementexists, this activity is a matter of exclusive importance. Currently, thispotential is of interest to municipalities not as much because of pos-sibility to produce additional resource, which may be used for mee-ting other demands, but rather as an opportunity to save a specificresource, as a result of which to achieve reduction of energy costs.

If the data about the energy efficiency potential at energy end-usersis not sufficient, the ranking may be performed only on the basis ofthe total quantities of fuel and energy consumed in the individual tar-get groups. The relative share of the individual target groups ascompared to the total fuel and energy consumption in the munici-pality (or of the sites as compared to the total consumption for therespective target group) is expressed in percentage, In this way it ispossible to identify which of the groups (or sites) are of the greatestimportance from the point of view of this indicator. The ranking of thetarget groups (or sites) is based on the analysis of each site - abuilding, the street lighting system, an enterprise, a household or thetransport network. The same as in the case of the supply-sideassessment, the improvements in this sphere are also describedthrough their technical characteristics for reliability, efficiency, emis-sions and costs (in absolute figures and per unit of "saved/avoided"energy).12

The changes in the sphere of energy consumption are connectedwith the input of a large number of participants and equipment,among which there is a specific interaction. As compared with theimprovements in the system for energy production, the upgradinginterventions in the field of consumption are cheaper, however theirimplementation is often more complicated and time-consuming. Forthis reason, the results from the application of energy efficiencymeasures in the field of energy end-use are not a simple sum of theresults from each individual measure.

Demand-side improvements do not reflect directly on the level ofemissions of harmful or greenhouse gases. Improving the energyefficiency in this sphere limits the demand for energy and thusdiminishes the load on the energy system. In this way production ofadditional energy is avoided and hence the emissions of addition-al harmful and greenhouse gases and other pollutants are mi-nimised. These reductions are usually influences by other factors aswell. For instance, in the field of district heating supply the reduc-tion of heat consumption at end-users will inevitably lead to thesame amount of reduction of the heat load at the energy producerbecause of the energy losses in the systems for heat transportationand distribution.

The potential for demand-side energy efficiency improvement isexpressed the best through the integrated potential of the indi-vidual technical measures for efficiency improvement, which maybe identified through energy audits.

The information needed for performing the evaluation of the supply-and demand-side energy efficiency is enormous in terms of volumeand very diverse. Its collection and keeping requires considerableefforts and resources. The beginning laid with the creation of thedatabase in the member-municipalities of the Municipal EnergyEfficiency Network EcoEnergy provides grounds to expect that inthe near future municipalities in Bulgaria will have at their disposal areliable information base for implementation of modern planning ofenergy resources.

The data about the fuels consumed by the individual sites and tar-get groups gives an idea also about the environmental pollutioncaused by them. In the cases when the consumed electricity has notbeen produced on the area of the respective municipality, the levelof consumption may be used as an indicator for judging the globalimpact on the climate as a result of GHG emissions. The evaluationof the sites and the target groups by this indicator is necessarywhen mitigation of adverse climate change ranks among the majorpriorities of the municipal energy efficiency programme.

Ranking according to the technical state-of-repairand the operating conditions.

The assessments of the technical state-of-repair and of the operat-ing conditions in the sites from the target groups (which should becontained in the information database) serve the purposes of ran-king of the groups. This ranking shows which sites require morecomprehensive repairs and reconstruction and in which of themthere are significant deviations from the norm requirements con-cerning the levels of space heating or lighting.

The use of scores (figures) for evaluation in the ranking according tothe technical state-of-repair of the sites creates conditions for inte-gration of these evaluations with those of the potential. Such possi-bility is created also when the values about the deviations from theestablished norms are used for evaluation and ranking of the sitesaccording to the operating conditions.

12 The assessment of the individual energy end-use sites is performed throughenergy audits and economic analyses, which are the object of specific Guide onhow to prepare energy efficiency projects, worked out by EnEffect in collaborationwith consultants from abroad. It describes the different forms of energy audits, aswell as the methods for performing financial analyses and elaboration of businessplans.


Energy saved (quantity)

Energy price

Expe

nditu

re /

Ener

gy c

ost p

er u

nit

Windows Space heatingsystem

Roof insula-tion

Basementinsulation

External wallsinsulation

Fig. 15.Ranking according to the demand-side energy efficiency potential


Summary ranking according to the technical andeconomic potential for energy efficiency improve-mentThe ranking of the target groups and the sites according to the sup-ply- and demand-side technical and economic potential and theranking according to the technical state-of-repair of the sites and theoperating conditions in them are a prerequisite for compiling a sum-mary ranking according to the technical and economic energy effi-ciency potential. The integral ranking serves as the basis for the finalselection of the priority target groups and the concrete sites, whichwill make the backbone of the municipal energy efficiency pro-gramme.

The summary ranking of the target groups represents arrange-ment according to the energy resources that may be generatedin each of them through energy efficiency measures.

The energy resources, which may be gained through energy effi-ciency measures in the target groups, represent the sum of theresources gained in each separate site within the target groups. Theaggregation and the ranking (arrangement) of the evaluations of theenergy efficiency potential in energy consumption and energy pro-duction in the individual sites of the target groups is typically a 3-step process.

Ranking according to quantifiable indicators

The first action is ranking of the potential resources by means of aset of quantitative (usually financial) indicators. The most commonones are the Payback Period, the Internal Rate of Return (IRR) andthe Net Present Value (NPV). Normally, a unified price (or costs) perunit of energy is used. In the cases when the leading objective isreduction of emissions, the quantity of reduced emissions or theprice (costs) per unit reduced/avoided emissions is used as an inte-gral indicator. In the event of ranking of the resources in the field ofproduction a balanced price for the generated energy resources isused, while in the field of consumption - that of the saved energy (oravoided consumption).

Fig. 16. Ranking according to the summary potential

Ranking according to non-quantifiable indicators

With the second action non-quantifiable ranking of the potentialresources is performed in order to eliminate those among them thatare generated by practically inapplicable measures (for the specificcircumstances in a given municipality), or measures which mutuallyexclude each other, or yet measures that will generate limited (neg-ligibly small) energy resources (or financial and other benefits). Themeasures (resources) which are eliminated through the non-quan-tifiable scanning are usually related to the demand side, howevermeasures (resources) in the supply side might also be eliminatedwhen considerations related to reliability or maintenance take theupper hand.With this action account is taken of the conclusions fromthe analysis of the technical state-of-repair of the sites and theirenergy systems, as well as those from the analysis of the operatingconditions and deviations from the norm requirements for therespective sites.

Ranking according to the summary potential (resource)

Finally, the selected resources in the field of energy production andenergy consumption are ranked in order of priority. Usually, this isperformed by the selected quantifiable indicator, for which the bal-anced price.is most frequently used. In this way one or several sum-mary mixes (assortments) of energy resources are established,which might be achieved through supply-side or demand-side ener-gy efficiency improvement. The mixes, selected by means of thesummary evaluation, are linked to the scenarios for future consump-tion, developed through the baseline analysis. For this reason, whenthe resources are ranked according to their least cost this is carriedout not only vis-a-vis the situation at a given point of time, but alsoaccording to the projected development of the baseline for the spe-cific time horizon of programme implementation.

Fig. 17.Steps of the process of assessment of the energy efficiency potential

Energy saved (quantity)

Energy price

Expe

nditu

re /

Ener

gy c

ost p

er u

nit

DH c

oal-f

ired

Win

dow

s

Spac

e he

atin

g sy

stem

DH n

atur

al g

as

Roof

insu

latio

n

hosp

ital m

azut

Base

men

t ins

ulat

ion

Demand-side potentialSupply-side potential

Integrated potential


Step SixAssessment of the local capacity andidentification of the tools to be appliedby the municipality for implementationof the programme

The analyses and assessments of the capacity of the municipali-ty to work out and implement an energy efficiency programme aimat identifying the capacity of the local authority to influence theselected target groups or individual sites. The larger portion ofthese assessments might be realised by the experts from themunicipal administration. There are some assessments, however,which require higher specific skills level. In these instances itwould be feasible to attract external consultants to perform them.In any case, when some of the assessments are assigned toexternal contractors, the municipal administration should pre-serve its leading role in the management and co-ordination of thatactivity.

This step serves also to identify those non-technical tools andactions, through which the municipality may influence the selectedpriority target groups or sites and in this way to contribute for theachievement of the objectives of the programme. These non-techni-cal actions are usually aimed at enhancing the local authority'scapacity to implement the programme. Input information about themis available in the energy database.

The non-technical measures are extracted from the analyses of thepolicy framework and the regulatory framework, of the institutionalframework and the skills level of the human resources, the role of theindividual actors in the implementation of the programme and thesocial acceptability of the activities envisaged in the programme.These measures might be implemented beforehand or concurrentwith the technical measures. Actions may be undertaken for upgra-ding of the regulatory framework for energy efficiency, for creationand strengthening of the institutions, for training of specialists andend-users. If through some of these activities the necessary condi-tions for implementation of cost-effective technical measures mightbe created, these actions may be given high priority in the pro-gramme, irrespective of whether they bring about immediate directeconomic benefits or not.

As under the previous steps, the volume of the work to be imple-mented in the framework of this step depends on the extent towhich one will go into detail and the quality of the information data-base. If there is a good database in situ and comprehensive analy-ses and evaluations of the data, they will be used directly for eva-luating the capacity of the municipality to implement its energyprogramme. If, however, the information database is scanty, thisactivity might take considerably more time, since it will be neces-sary to conduct also activities, which belong to the preliminarypreparatory work on planning.

Political climate It is necessary to identify to what extent there is an adequate polit-ical climate for compilation and implementation of a municipalenergy programme. In the ten recent years the political and legalframework, within which municipalities realise the power ofauthority and in particular the activities for energy efficiencyimprovement, have undergone dynamic changes. Knowledgeabout this framework, about the specific barriers and the existingincentives for implementation of the activities envisaged in theenergy programme, is an important condition for success.Identification of the conditions and especially of the barriers pro-vides an opportunity for planning of actions for their alleviation ordismantling.

The political considerations are determined by the legislative,legal and budgetary opportunities, required for implementation ofthe energy efficiency programme.

An important prerequisite for planning of actions for improvement ofthe energy efficiency in municipalities is the fact that it has beenraised to the rank of priority in the governmental policy through thespecialised Energy Efficiency Act. There are national strategies andprogrammes for the development of the energy sector, for enhance-ment of energy efficiency and for sustainable development of thecountry and its regions. Work is underway on upgrading of the reg-ulatory framework on energy efficiency, which might serve also as aprerequisite for identification of appropriate incentives to promoteenergy efficiency. By means of the local taxes and charges, differentmodalities of incentives or sanctions, the local authority may planlong-term impact in specific directions of its policy for energy con-servation. The municipality might, for instance, realise such impactby approving the necessary regulations, ordinances or local incen-tive programmes. These might address the level of development ofthe business environment, or other economic objectives, or bespecifically oriented towards the municipal energy programme itself.

The local authority's activities with respect to the energy efficiencypolicy are based on several sources of information about:

- the efforts of external forces (actors); such are, for instance, thenational legislative bodies and the related institutions, which createthe national legislation, regulations and standards, the national pro-grammes and the conventional incentive mechanisms, other natio-nal or municipal development programmes;

- the state of the energy sector in the municipality; the evaluation ofthis state is deducted from the technical and economic evaluation of

Political climate

Regulatory opportunities and barriers

Institutional framework and human capacity potential

Opportunities for motivation of the participants in the

energy efficiency improvement process

Socio-psychological climate and acceptability of the

measures envisaged in the programme









impl

emen

tatio

nel

abor

atio

npr

epar

ator

y w

ork


the energy sector in the municipality, which is contained in the infor-mation base on energy planning;

- other considerations, related to the implementation: it is possiblethat certain actions might in the process of preparation for energyplanning influence the activities of other bodies or generate adverseeffects; these unplanned influences should also be envisaged andtaken into account;

- independent efforts: the independent efforts (studies, lobbying,etc.) of bodies, institutions and individuals outside the municipaladministration, including the specialised agencies, NGOs or indi-vidual public figures and citizens, may also serve as a basis for for-mulation of legislative and policy actions.

Regulatory opportunities and barriersOn the basis of the collected documents and data, studies andanalyses are conducted of the opportunities for and barriers to theimplementation of energy efficiency programmes and projects, putforward by the regulatory framework. The analysis of the currentlyenforced regulatory documents in Bulgaria reveals that parallel tothe numerous restrictions there exist also opportunities, which areknown to and used by a limited number of people. For the time beingthe possibilities of municipalities to create their own (local) regulato-ry framework for energy efficiency are limited. The policy and regu-latory framework concerning energy efficiency are formulated aboveall at the national level. Therefore, this part of the activity may be(and is more effectively) implemented at the central level. Profoundstudies of the existing laws and by-laws in Bulgaria, which are in oneor another way related to energy efficiency in municipalities and inparticular to the process of energy planning at the local level, wereconducted for the needs of the Bulgarian Municipal EnergyEfficiency Network EcoEnergy. In these analyses the emphasis waslaid on both the barriers to energy efficiency (with the aim to identi-fy the most adequate measures for their overcoming) and the oppor-tunities, which the currently enforced regulatory framework providesto municipalities (with the aim to help them take better advantage ofthese opportunities).

Institutional framework and human capacity potential Prior to compiling an energy efficiency programme it is necessary tomake clear which are the institutions, who shall be responsible for orinvolved in its implementation. Identification of the major actors inenergy planning and the analysis of the capacity of the existing localinstitution are an indispensable condition for the setting in place ofadequate organisation of the development and implementation ofthe programme. It is equally important to establish the lack of appro-priate institutions in the municipalities. It will permit to plan actionsfor building the necessary local or regional structures, which will fillin this gap. Institutional capacity building may precede the elabora-tion and implementation of the energy programme, although it maybe also one of its tasks.

Besides data about the local institutions, the database should con-tain also information about the availability and the qualifications levelof the local management and executive personnel, who may beinvolved in the development and implementation of the municipalenergy efficiency programme. This is a task of primary importance inthe preparation for energy planning. On the basis of its implementa-tion will be planned activities for specific local human capacitybuilding.

Another very important aspect is to define the role of every partici-pant in the planning process, as well as the relationships betweenthe individual participants. As a result of the analysis it is possible tofind out a need of consolidation of certain existing institutions or ofsetting up of new ones. It is also possible to discover that there is aneed of specialised training of local experts. The results from thisanalysis serve as the basis for development of an organisationalscheme of the management and implementation of the energy pro-gramme.

Energy planning is a new activity for Bulgarian municipalities, forwhich there are neither traditions, nor specialized institutions inplace. Therefore,

the leaderships of the municipalities should allocate specialattention to this issue in order to create the necessary institu-tional environment for implementation of the municipal energyprogramme.

The success of the energy programme depends to a considerableextent on the ability of the institutions and the specialists responsi-ble for its implementation to create the appropriate conditions forthat. In a number of cases the analyses will reveal that in their tradi-tional set up the existing institutions and the structures of the localadministration would hardly be able to handle the new responsibili-ties related to energy planning. It might turn out to be feasible to cre-ate new structures. Examples in this respect exist in the practiceabroad, as well as in Bulgaria. In recent years, with support from theSAVE Programme of the European Union, energy agencies, per-forming coordination of these specialised activities, were set up inmore than 100 settlements, regions and islands in Europe. InBulgaria such agencies exist in the cities of Stara Zagora, Plovdivand Rousse and creation of several more is being prepared.Regional energy centres have been set up in the cities of Lovechand Haskovo in the framework of the PHARE Programme of theEuropean Commission. In the member-municipalities of theMunicipal Energy Efficiency Network EcoEnergy, these activities arecoordinated by the municipal energy efficiency offices. In a numberof cases they seek support from different specialised organisationsor experts in personal capacity. The municipal energy efficiencyoffices, energy agencies and regional energy centres are appropri-ate examples for Bulgarian municipalities, which have not yet under-taken the necessary actions for creation of appropriate institutionalframework for the activities related to energy efficiency improve-ment.

The notion "institutional resources" means on one hand thecapacity of the local institutions to compile a municipal energyprogramme, and on the other hand - to make organisationalarrangements for its implementation.

The institutional resources may exist in the framework of the localauthority, outside it, or in combination with the governmental andexternal organisations. In the structuring of the programme accountshould be taken of the degree of interest of the involved institutionsand their capacity to render maximum support in the process ofmanagement and implementation of the programme and theachievement of its objectives.

Serious attention should be paid also to the capacity building of thespecialists who will be engaged in activities related to the manage-ment and implementation of the energy programmes. Their ade-quate training should precede the implementation of the pro-gramme, however it should be continued also as a component of themunicipal programme itself.

Opportunities for motivation of the participants inthe energy efficiency improvement processThe key requirement for successful implementation of a municipalenergy efficiency programme is that is should respond to the inter-ests of all participants and its development into a driving force of theimplementation of the tasks laid down in it. A condition of decisiveimportance for the interest of all participants is whether the pro-gramme will bring them benefits or losses. This evaluation is usuallymade through critical analysis of all aspects of the management andthe activities related to the implementation, including feedback fromthe sites of impact by the programme. This analysis is based onthree main elements:

(a) clear formulation of the envisaged activities, objective evalua-tion of their implementation in compliance with the projections of theprogramme and description of the reasons for the success or failureof the implementation efforts;

(b) feedback from the stakeholders with emphasis on the opinionof those, who have been directly affected by the measures or haveparticipated in their implementation, whereby distinction should bemade between the actions that have been a success of a failure,coupled with the respective evaluation of the factors and causesthat have contributed to that effect;

(c) clear acceptance and commissioning procedures, whichshould guarantee that the envisaged measures have been imple-mented at the maximum quality and workmanship level.

In order to ensure adequate commitment of the actors it is neces-sary above all to nominate the key institutions and individuals, whoshall play significant role in the process of compilation and imple-mentation of the energy efficiency programme. It is necessary toidentify both those, who will be the object of impact by the pro-gramme (the objects of the programme - target groups, buildings,systems), and those, who will perform the impact (the subjects ofthe programme - institutions and individuals). It is also important toknow who will be making the decisions in each target group and toensure his/her support. It should be found out whether the partici-pants in the target group may take decisions independently or thisdepends on the endorsement by other public authorities or inter-mediaries. It will be useful to establish contacts also with officialsfrom the sites, whose decisions matter in the field of energy con-sumption (for instance, the officers responsible for procurement ofenergy consuming equipment). Quite often, the operating and man-agement personnel have the best ideas on how to improve energyefficiency.

For the municipality it is important to establish to what extent andhow it may influence the key stakeholders in the implementationof the municipal energy programme.

The local authority's opportunities for impact on the sectors, whichare entirely under its disposition, are different from those on the sec-tors, which are outside its competence. While in the spheres of res-idence, trade and transport the local authority still has opportunitiesto influence energy efficiency improvement through regulatorymeasures and incentive programmes aimed to foster energy effi-ciency, in industry and agriculture its opportunities for impact areconsiderably more limited.

The majority of the actions with respect to the participants in theprocess are interrelated. Many of these actions should be taken into

consideration when work is underway on the others. Different organ-isations and individuals might propose views and perspectives,which would improve the conditions for implementation of the pro-gramme. Others might be able to actively support or obstruct cer-tain actions if their interests have not been taken into account. Thisleads to the necessity of permanent interaction and involvement ofthe stakeholders in order to buy their contribution to the implemen-tation of the programme.

Socio-psychological climate and acceptability ofthe measures envisaged in the programmeThe municipal programme might be beforehand doomed to failureif no adequate socio-psychological climate has been created forits implementation or if the objectives laid down in it are unbea-rable for the inhabitants of the municipality. In many cases barriersof social or psychological nature might emerge in the process ofimplementation of the energy efficiency programmes. Some of theplanned activities might turn out to be unpopular or simply insuffi-ciently familiar and cause passive attitude or even resistance onthe part of key participants in the implementation process. In othercases the implementation of the programme might stumble on dif-ficulties because certain measures put an excessively heavy finan-cial burden on some or many participants. For this reason, it isnecessary that the activities included in the programme should becarefully weighed up from the point of view of their psychologicaland social acceptability or affordability. To this end conducting ofstudies by institutions or qualified experts might turn out to beindispensable.

An important condition for the success of the programme is theunderstanding of the role of the people in the target groups.Different people live and work in each of them. Their motivation,interests and support are of exclusive importance for the imple-mentation of the programme. In order to compile a good pro-gramme and then to create a suitable atmosphere for its imple-mentation, conducting of specialised studies will be necessary onone hand, and awareness-raising and promotional campaigns, onthe other hand.

An important part of this series of actions is conducting meetingswith representatives of the target groups. At these meeting theobjectives of the proposed programme should be elucidated andthe manner in which the representatives of every target groupswould participate in the implementation of the programme shouldbe discussed. The results from these meeting might formulateevaluation of the willingness of the representatives to support theprogramme in scores, for instance, 1 (high), 2 (average) and 3(low).

In order to determine the socio-psychological conditions in a givenmunicipality it is necessary to collect specific information, mainlyconcerning the ownership on the equipment, the income levels ofthe consumers, etc. In certain cases these data are accessible fromstatistical sources, while in others conducting of targeted surveysand studies will be necessary.




Step SevenDefining the financial framework

of the programme Leading principles


This action serves to determine the financial means, which themunicipality commits itself to allocate from its budget, as well as themeans that are expected to be procured from external sources, therevenues from privatisation deals, local taxes and charges, grants orother sources. In this way the financial framework of the programmeis formulated. It is usually a realistic compromise between therequirements and the possibilities.

To formulate the financial framework of the municipal energy effi-ciency programme means to identify the financial resources, towhich the municipality has access, as well as the schemes andmechanisms for getting hold on these resources. At the same time itis necessary to identify and evaluate the financial risks of the pro-gramme, as well as the actions for local capacity building on finan-cial matters. This should be done for each target group, since theresources accessible for one target group might not be accessiblefor another, while the financing mechanisms and schemes applica-ble in some of the target groups might prove inadequate for othergroups.

In order to perform the necessary analyses, the information data-base should contain data about the budgetary revenues and expen-diture, the liabilities under current payments and bank credits andthe anticipated amounts receivable. Besides this information, theinformation database might contain entries about financial schemesand specific mechanisms used in previous projects. It is recom-mended to perform an inventory of the financial partners of themunicipalities and to store basic information about them. Part of thisactivity may be performed by the financial experts of the localauthority and external consultants might be attracted to providehelp.

Leading principlesThe creation of an acceptable financial scheme for the implementa-tion of the municipal energy programme might turn out to be a diffi-cult task. It is usually connected with the identification of one or morefinancial organisations willing to support the programme. It is onlythen that it becomes possible to work out a financing scenario (oralternative scenarios) matching the objectives of the stakeholders.There are several general principles that should be observed in allcases of selection of financing schemes or mechanisms.

Mutual respect for each others' interests

The objective of every municipality should be an energy pro-gramme, which shall be acceptable to the municipality itself as aborrower and for the creditors. The internal policy and institutionalconsideration of the municipality are an expression of the aspirationfor maximum benefits for the strongest participants in the pro-gramme. The requirements of the crediting institutions or the orga-

nisations participating in the process of implementation of the pro-gramme concerning minimising of the risk or compliance with cer-tain public procedures should also be taken into account.

Maximum economic benefits

The direct economic benefits are related to obtaining the mostfavorable conditions for borrowing money (participation in thefinancing with a specific share, interest rate, grace period and termof the credit) in order to minimise the outflow of funding from thecountry. They are further related to maximising the positive cash-flow and improvement of the other financial indicators such as, forinstance, the Net Present Value and the Internal Rate of Return.

Maximum social benefits

Although they are not strictly related to the financial economics interms of their nature, the environmental and other economic factorsare also of interest for the national institutions, the local authoritiesand the international development banks. The implementation of amunicipal energy programme might create direct employment in themanagement and realisation of the programme itself. The pro-gramme might lead also to indirect employment opportunities byactivating the production of materials and equipment or by provi-ding room for indirect services. The environmental benefits from andimpact of the energy programme is often manifested in reduction ofemissions or waste, or in improvement of the work environment andquality of life. Another factor in the category public benefits, which isdifficult to measure, is creation of conditions for multiplication of theresults from the programme.

Control on material assets

One of the conditions of financing may be the joint rather than thesole-proprietor ownership or control on material assets. This usuallymeans involvement of private sector representatives and mightimply somewhat more complicated structure of the already agreedorganisation of programme implementation.









impl

emen

tatio

nel

abor

atio

npr

epar

ator

y w

ork

Minimising the risk13

Since the risk related to the payback of investments is a primaryfactor for the crediting organisations, it should be brought downbelow the permissible levels for all parties involved in the finan-cing of the respective project. The technical risk is related to thetechnical and economic results from the measures selected in thecourse of the technical assessment. The financial risk is related tothe guarantees that the financing organisations will get back theirmoney. This requires careful evaluation of the capacity of the localauthority or of the organisations, which have borrowed the money,to pay back the debt. It is necessary to ensure transparency oftheir organizational structure and adequately formulated responsi-bilities and methods for collection of the amounts due by the end-users.

Local capacity for implementation of financing

Sometimes the implementation of the municipal energy efficiencyprogramme turns out to be strongly dependent on the capacity ofthe local specialists to procure the required financing from domesticand external sources. The absence of adequate local financing insti-tutions or specialists might prove a serious obstacle to achievementof the programme objectives. Therefore, it is recommended as earlyas during the stage of development of the programme to planactions for setting up and strengthening of the necessary institutionsand for human capacity building.


Financing is a decisive component of the efforts for implementationof every project. It is usually realised through combining equityfunds of the municipality with different types of external financing in

the form of monetary or material credits, as well as grants, conces-sion contracts, contracts for supply of materials and equipment orservices, etc.

The financing modality should permit the municipality to stand upfor its interests in the best possible manner.

It is difficult to come across exhaustive publications on the formsof financing of the activities related to the preparation and imple-mentation of municipal energy programmes in Bulgaria andabroad. Random examples give partial idea about concrete solu-tions and approaches in the financing of the energy efficiencymeasures and of the entire programmes. Of particular interest arethe examples, which illustrate different forms of participation ofthe end-users (including the population) in the financing of themunicipal energy programmes. Reported are projects financedby the existing conventional financing sources, as well as pro-jects financed by specialised sources of financing, which havebeen created specifically for facilitation and development of theenergy conservation process.

The use of conventional financing sources

The conventional (non-specialised) sources of financing are thebanking institutions, investment funds and the companies for riskfinancing. These institutions lend loans, purchase bonds or partici-pate as shareholders in the enterprises, provided the projects offersufficient guarantees for return on investments plus the respectiveprofit on it. The participation of the banks and investment funds isprovoked by their commercial interest and in this sense it makes nodifference for them which is the concrete sphere in which theirmoney will be invested as long as it is sufficiently profitable and risk-free. These sources of financing are the most numerous and theaccess to them is relatively easy. The practice of using bank loansfor municipal projects is typical for the majority of the Europeanstates.

Improvement of the efficiency of heating in the House for the Aged in Silistra

The Municipality of Silistra is implementing a project forimprovement of the efficiency of space heating in the socialcare establishment. The site consists of five sections, heatsupplied by one common boiler house. The introduced ener-gy efficient technical solutions comprise both measures onthe building envelope and the in-house space heating sys-tem, and installation of a solar heating system for domestichot water production, which meets 63.9% of the demand. Forfinancing of the project the municipality obtained a creditfrom UBB under the USAID mechanism for guarantee oncredits (DCA) to the amount of 79% of the total investmentcosts, and the remaining 30% were provided by thePrivatisation Fund of the municipality. The project of the



13 The methods of risk analysis in implementation of energy efficiency projects are dealtwith in the Guide on How to Prepare Energy Efficiency Projects.


Silistra Municipality won the first place in the 2003 competi-tion for the best municipal energy efficiency project, organ-ised by the Municipal Energy Efficiency Network EcoEnergy[52].

The issue of municipal securities may also be classified underthe general sources of financing. As different from the Europeanpractice, in the U.S.A. and Canada municipal bonded debt ispreferred for financing of municipal projects. The grounds con-tributing to this are the well-developed market for state andmunicipal securities, the established since many years traditionand, last but not least, the existing tax concessions for investors.The revenue from interest on municipal bonds is exempted fromincome tax. This motivates investors, who are permanent resi-dents of a given municipality, to purchase bonds and in this wayto contribute to its development.

Issue of municipal debt bonds in Varna Municipality

After the conducted audit of the street lighting system by theexperts from the Engineering Infrastructure Department ofthe Municipality of Varna it was found out that the efficiencyof the system is very low. For that reason, the municipalitydecided to improve the street lighting level in the city incompliance with the standards. As in every human settle-ment, the problem in this case was also reduced to where tofind money for upgrading of the street lighting system. Thedecision of the municipal decision-makers was to issuebonds - a specific loan, which permitted them access to theso acutely needed financial resource for the city's develop-ment. Once the money was available, almost 1/3 of this loanwas allocated for street lighting. The local Parliament madethis decision also in view of the fact that as a result of therenovated lighting the aesthetic appearance of the city willimprove significantly and its attractiveness as a centre oftourism during the summer season will increase [49].

Concessions for end-users

A Citizens' Participation Programme is implemented inSaarbrucken, in the framework of which credits at an interestrate which is 3 to 5 points below that of the banks are offered.The local energy utilities subsidised these loans through a localpartner bank. The loans are granted for housing improvements,which help achieve energy and water savings. Because of thelower interest rate, these savings sometimes exceed the amountof installments for payoff of the loan. The energy utility selectsthe energy conservation measures to be financed by the pro-gramme and exercises technical control on their implementation[68].

Joint-stock financing of investments

Six of the twelve turbines of the Avedore wind-farm inCopenhagen are owned by 722 private shareholders, each ofwho has invested USD 3,313 in them. The total investmentsamount to USD 2,178,162. In the course of about seven yearsevery investor will get back USD 497 (DK 3,000) a year and thusthe investments made will be fully recovered [61].

Surcharges on energy price

The local energy company in Copenhagen has introduced sur-charges on the price of 1kWh energy, which are used for energyaudits of the largest consumers, for awareness raising cam-paigns about energy efficiency and for implementation of spe-cific projects in the commercial, public and residential sectors[61].

Performance contracting

In Jablonec-nad-Nisou, the Municipality has signed a 10-year con-tract with "MVV EPS, s.r.o." for implementation of energy efficiencymeasures in schools, kindergartens, a swimming pool and a healthcentre. According to this contract the company implements for itsaccount the identified technical measures and achieves savings of23.4% as compared to the costs prior to the signing of the con-tract. The investments will be recovered within the terms set in thecontract [64].


Step EightSelection of priorities and compilation of the programme

In the course of this last step in the process of compilation of themunicipal energy efficiency programme an integral evaluation(ranking) of the target groups is made and on the basis of it the pri-orities of the programme are selected. Afterwards, the approachtowards the packaging of the technical and non-technical meas-ures, which will be implemented in the framework of the pro-gramme, is formulated. An important component of this step is toformulate the baseline scenario, which will serve as a reference forevaluation of the results from the implementation of the programmeand the individual measures envisaged in it. This step containsalso one recommendable action - verification of how realistic theconclusions made and the proposed priorities and actions are.Only then may one proceed with the final assembly of the pro-gramme in the form, in which it will be submitted to the MunicipalCouncil for endorsement.

Under this step the objects of impact of the municipal energy pro-gramme - the priority target groups - and the subjects of the pro-gramme - the institutions and individuals, who will be responsible forits implementation, are established. The financial parameters of theprogramme and the major phases of its implementation are outlined.

Integrated evaluation (ranking) of the target groupsand selection of prioritiesThrough this action the summary ranking of the target groupsaccording to the technical and economic evaluation of the energyefficiency potential is matched with and corrected by the evalua-tions of the possibilities of impact of the municipality on the targetgroups. On this basis the integrated evaluation (ranking) of the tar-get groups is formulated, through which the priorities of the energyefficiency programme are worked out. Usually, in this evaluation(ranking) economic criteria are given the greatest weight. In practi-cal terms this means that the selection is effected in a manner, whichgives preference to the less costly measures before the more expen-sive ones. For this reason, the planning based on this method ofselection of the measures is called also "Least-cost planning".14 Thismethod enjoys ever-broader application in the practice of the devel-oped Western countries. It may be expected that in the future it willattain an increasing role in the practice of municipalities in Bulgariaas well.

The final ranking, however, takes account also of the capacity ofimpact of the municipality on the selected target groups.

The integrated evaluation (ranking) of the target groups com-bines the summary evaluation of the supply- and demand-sideenergy efficiency potential with the possibilities of the municipa-lity to implement the energy efficiency programme by efficientimpact on the selected target groups.

The methodology of compilation of a Municipal Energy EfficiencyProgramme described in this Guide is based on this understan-ding. The integration of the evaluation of the resources appearsclear and easy. In practice, however, it might take much time,efforts, broad social preparatory work and experience. For imple-mentation of this task diverse highly skills experts, who will work inclose collaboration with the local experts, might be attracted to pro-vide assistance to the local authority. In order to compile the inte-grated evaluation (ranking) is might be necessary to ensure thebelow listed elements.

Engineering and financial forecasts

Experience and good information support in these directions areimportant in order to ensure realistic forecasts, since the projectionsin the technical sphere are sometime too optimistic. The reliable cal-culation of the costs for the measures is of decisive importance fordefining their cost-effectiveness and estimating the investmentrequirements for implementation of the municipal energy pro-gramme.

Alternative scenarios for energy consumption

The best set of objectives and of measures for their achievement isthe package which ensures the desired level of energy services atreasonably low costs and which allows for minimum opportunitiesfor review of the objectives of the energy programme in the event ofemergence of extreme changes in the circumstances.

Response to end-users' requirements

End-users are those who deal with the operation and maintenanceof the facilities. In general, successful are those programmes,which involve consumers in a dialogue with the municipal leader-ship both with respect to the formulation of the objectives and theimplementation of the measures. This is a guarantee that theimprovements of the equipment and facilities are acceptable to theend-user and that he/she can apprehend well their rationale andoperating mode.

Response to the implementation-related requirements

In the final selection of measures the specific requirements con-cerning their implementation should be carefully weighed up. In thisway conditions will be created for correct operation of the equip-ment and facilities, the planned results will be achieved (for

14 In the practice abroad, this planning method is also known as "Integrated resourceplanning" (IRP). The characteristic feature of this method is the joint consideration (inte-gration) of the assessments of the supply-side and demand-side energy efficiencypotentials.

Integrated evaluation (ranking) of the target groups

and selection of priorities

Measures applied most frequently

Selection and ranking of the measures

Selection of baseline scenario for the selected priority target

groups and sites

Checking the conclusions and proposals









impl

emen

tatio

nel

abor

atio

npr

epar

ator

y w

ork


instance energy savings or improvement of the quality of services)and the possibly longest life cycle of impact of the measure will beensured.

In practice, the target groups are ranked by just summing up thescores from the preceding rankings. On that basis, weight coeffi-cients (scores) are introduced, according to which the final rankingis effected.

When the object of the analysis is energy consumption as well asenergy production in the municipality, the summing up of the datais considerably more complicated. Because of the relatively under-developed energy production on the area of Bulgarian municipali-ties, it might be assumed that the first energy programmes mightto significant degree neglect the energy production sector. In thiscase, it will not be necessary to make a summary evaluation of pro-duction and consumption, which is the base for the integratedranking.

More simplified schemes are used for this ranking as well.According to the practice established in the Netherlands, the ran-king is performed on the basis of the following basic data about thetarget groups:

- the total energy consumption for each group;

- the local authority's opportunity for impact on the individual targetgroups;

- the preparedness and opportunities of the target groups to parti-cipate in the programme.

The tables below illustrate the results from the application of this sim-plified ranking system. On the basis of this ranking, the targetgroups, in which more effort will be invested, are selected.

Measures applied most frequently The measures described in the reviewed municipal energy pro-grammes and guides on energy planning may be divided into threemain groups:

- technical measures;

- behavioral and organisational measures;

- promotional measures.

Technical measures

The technical measures are the most closely related to the functionsof municipalities as energy producers and energy consumers.

Target groups

Industry

Agriculture

Residential sector

Municipal sector

Commercial sector

Transport

Local energy supply

Energy consumption(1, 2, 3)

1

3

2

2

3

2

1

Impact of the munici-pality (1, 2, 3)

3

3

2

1

2

2

2

Willingness to partici-pate (1, 2, 3)

2

3

1

1

3

2

1

Score

6

9

5

4

8

6

4

Table 10. Model selection of priority target groups (at the level of sectors)

Target groups

Administrative buildings

Schools

Hospitals

Social care establishments

Street lighting

Holiday homes

Public libraries, cultural centres

Sports halls

Stadiums

Transport

Municipal markets and marketplaces

Energy consumption(1, 2, 3)

3

1

1

2

2

3

3

3

3

3

3

Impact of the municipality (1, 2, 3)

1

1

2

2

2

2

2

2

3

2

2

Willingness to participate (1, 2, 3)

2

1

1

1

2

2

3

3

3

2

2

Score

6

3

4

5

6

7

8

8

9

7

7

Table 11. Model selection of priority target groups from the municipal sector


Measure in the field of energy production

One of the most common measures in the field of energy productionis the introduction of combined heat and power generation. In somecases new small (mini-) plants are constructed, which provide ser-vice to part of the consumers in the municipality (Newcastle andLeicester). In Leicester [63}, for instance, a new system for districtheating supply to 260 flats was constructed. It generates heat andelectricity on the basis of co-generation, which is used for lighting ofthe common spaces in the apartment blocks. Such mini-plants havebeen installed also in two holiday centres. In other cases the exis-ting plants, which have served the municipality, are re-equipped forco-generation (Copenhagen).

Energy production from renewables also ranks among the prioritymeasures, which are encountered in the majority of the reviewedmunicipal energy programmes. Energy generation from solar radia-tion, wind, biomass or waste is usually connected with long-termstrategies for sustainable development of the respective municipa-lities [66, 63, 68]. The interest in the use of solar energy is the high-est - solar installations are used, solar extensions are built next tosome of the apartment blocks in housing estates. The Municipality ofSaarbrucken has invested in a solar demonstration house with aphotovoltaic roof, which in turn paves the way for the programme"Solar installation on the roof" [68]. Through this programme, theinhabitants of the city are, with a certain financial support by themunicipality, installing solar installations on the roofs of their housesand sell the generated electricity to the local energy utility. In thesame municipality solar systems have been installed for heating thewater in the city swimming pools. A photovoltaic system for electric-ity generation has been installed at the University of Newcastle aswell [65]. In Leicester an installation for energy generation from thesolid urban waste in the local landfill was constructed, supplyingpower to 2000 dwellings [63]. Despite the relatively high initialinvestments, some local authorities find solutions for mixed finan-cing of their projects for use of renewable energy sources(Copenhagen, Saarbrucken)15.

Measures in the field of energy production are not applied on amass scale in Bulgarian municipalities as yet, on one hand becauseof the existing regulatory and financial barriers, which repulsemunicipalities, and on the other hand because the local companiesfor energy (heat and power) production and distribution are notmunicipal property. Nevertheless, there is the instructive example ofthe Municipality of Stamboliyski, which initiated by itself the con-struction of the first private TPP in this country with municipalinvolvement as shareholder and procured bank crediting for theproject. Some municipalities begin to invest in the construction ofplants for energy generation from renewables, such as installation ofsolar panels of municipal buildings (Belene, Gabrovo) and the useof biomass (Gotze Delchev, Apriltzi).

Measures in the field of energy supply and distribution

These measures consist most commonly in expansion of the exist-ing district heating systems (Saarbrcken, Copenhagen, Graz). Theaim is usually to reduce the use of coal or naphtha fired stoves forspace heating. In order to encourage the broader connection of newconsumers to the existing or newly constructed district heating sys-tems some municipalities launch targeted measures. InCopenhagen and Graz, for instance, the local authorities use theirfunction of regulators and oblige all consumers, to which there is a

district heating system in situ, to get connected to the system [61,66].The municipal administration of Saarbruken keeps an active dia-logue with the population, through which it encourages an everincreasing circle of end-users to use the district heating system [68].

The measures in the field of energy supply and distribution inBulgaria are characterised mainly by fuel shift from naphtha oranother energy carrier to natural gas. Construction of gas supplynetworks to municipal sites is underway in a number of municipali-ties throughout the country because of the high energy and envi-ronmental efficiency of the blue fuel (Pazardjik, Razgrad, Dobrich,Botevgrad).

Measures in the field of energy end-use

In their role of energy consumers, the majority of municipalitiesengage in the implementation of technical measures for energy effi-ciency improvement in municipal and residential buildings(Leicester, Saarbrucken, Graz, Bielsko Biala). Following an energyaudit of the building stock in the municipality, the city of Leicesterhas launched a phased implementation of different energy efficien-cy measures - thermal insulation and waterproofing, the use of high-ly efficient automated boilers, installation of thermostatic radiatorvalves, double glazing of the windows. Reconstruction of the ligh-ting and installation of a system for automatic regulation and switch-ing off of the lighting has been implemented in the City Hall [63]. InSaarbrucken programmes for reconstruction and automation of thelighting systems in school and gyms have been implemented [68].In Graz, energy efficiency reconstruction of the existing municipalbuilding stock and the space heating systems is conducted in theframework of the "Thermoprofit" Programme [66].

15 Besides through technical measures, energy generation from renewables is promo-ted also through information campaigns, demonstration sites (the Solar House inCopenhagen) or other specific incentives.



The measures in Bulgarian municipalities are oriented mainlytowards the fields in which the local authorities have the greatestopportunity for impact - municipal buildings and the energy ser-vices provided by the municipality. The target groups "Schools","Kindergartens" and "Street lighting" are invariably present amongthe priorities of all the reviewed municipal programmes. In somemunicipalities priority is given to the groups "Social care establish-ments" (Gorna Oriahovitza and Varna) and "Administrative buil-dings" (Gorna Oriahovitza, Gabrovo, Omurtag and Razgrad). In themajority of municipalities a common type of low-cost measures areproposed for a large number of sites. Typical measures of this kindare repair and weather-stripping of windows of municipal buil-dings. The most common measures in the street lighting systemsare replacement of the luminaires by energy efficient ones, intro-duction of control of street lighting and two-rate metering of theelectric power consumption. In the buildings with individual boilerplants replacement or improvement of the efficiency of boilers orfuel shift is proposed. The programme of the Municipality ofGabrovo envisages the installation of solar systems on the roofs oftwo buildings [20].

Organisational and regulatory measures

These are measures, which usually require significantly lessercosts as compared to the technical measures, however exercisesubstantial influence on both energy consumption and the energyculture of the end-users. Such are, for instance, control and tra-cking of energy consumption in municipal buildings, provision ofinformation and advisory services to industry, the population andthe private sector, creation of specific rules and standards forenergy efficiency.

In Saarbruken programmes have been worked out for consultancyservices, training and analysis of energy consumption. In a specialinformation centre on energy efficiency an operating solar photo-voltaic installation is exhibited. By means of power meters the visi-tors can check the quantity of energy produced by the panels andcompare it to the energy, used in the Centre [68].

In Graz paid consultancy advice is offered for improvement of theenergy efficiency in industry and the commercial sector and freeconsultations for the citizens. The use of technologies, which complywith the established standards for efficient energy consumption, ismandatory in the construction of new buildings [66].

In Leicester, energy consumption is tracked daily with the help ofspecialised computer software. If deviation from the usual model ofenergy behaviour is detected in some of the sites, the programmesends a signal to the energy department of the municipality. A pilotproject for monitoring the energy consumption in residential build-ings permits the occupants to track easily every change in their con-sumption. The inhabitants are encouraged to record daily their con-sumption and compare it with the data about the average con-sumption for the preceding year, which the municipality makes avai-lable to them. To facilitate consumers, the municipality has workedout energy efficiency standards for residential and industrial build-ings. A demonstration ecological house has been constructed, inwhich different examples of energy conservation measures, pro-ducts and appliances are exhibited [63].

In Copenhagen a consultancy office on the energy problems in thepublic and commercial sectors has been set up, which performsenergy checks and makes recommendations on how to improveconsumption. Comparative information about the efficiency of

household appliance available on the Danish market, as well asabout the possible measures for energy conservation in buildings isprovided to the occupants of residential buildings [61].

A growing number of Bulgarian municipalities are orienting them-selves towards application of this type of measures. In Kardjali, intro-duction of energy accounting for municipal sites and rationalisationof the working spaces in some buildings is envisaged with the aimto reduce the energy consumption in them [24]. Training of the tech-nical personnel of the municipality on efficient operation and main-tenance of the systems is envisaged in Sliven and monthly accoun-ting of the energy consumption is being introduced [28]. Phasedenergy auditing of the municipal building stock is envisaged in somemunicipalities with the objective to identify the most feasible andcost-effective energy conservation measures (Dobrich andRazfrad). Information campaign on the benefits from energy effi-ciency among the employees in municipal sites is planned inHaskovo [30].

Incentives

The municipalities may encourage both the energy savings in theirown sites and the energy efficiency in residential buildings, thelocal industry and the private sector. A variety of incentives areused to this end, which may be part of comprehensive incentiveprogrammes. Some of them foster the introduction of energy con-servation technologies through provision of subsidies (Graz), others encourage the sales of energy efficient products and appli-ances through rebates on the price (Leicester, Saarbruken), yetothers promote reduction on electricity bills through reduced pricerates applied in the event of evidence of energy savings(Saarbrucken).

The Municipality of Graz offers annual subsidies for energy efficien-cy to the amount of about USD 1 million.They may be used for instal-lation of solar systems (for domestic hot water and space heating)and other renewable energy sources, for connection to the districtheating (only for low-income households) and for construction oflow-energy and solar buildings [66].

Leicester is the first municipality in the United Kingdom, whichhas started to sell fluorescent lamps without trade surcharge tooccupants of municipal housing and the employees of the localadministration [63]. The Municipality of Copenhagen encour-ages the business enterprises to implement the recommenda-tions, which the municipal consultancy office makes as a resultof the energy checks, by allowing them to get back the paid car-bon tax [61].

The "Space heating passport" in Saarbrucken is based on theprinciple "Save energy and get an award". Households, whichachieve low energy consumption, are assigned scores, whichgive them the right to use lower price rate for electricity. The utili-ty provides rebates up to USD 30 for purchase of energy efficientappliances and USD 60 for fuel shift from electricity to natural gasfor domestic hot water production. The municipality providesfinancial assistance to households, which install solar photovolta-ic installations, and encourages them to sell the generated ener-gy to the local utility [68].

The customers of the Hanover energy company, who diminish theirannual consumption by more than 10%, obtain bonuses at the endof the year, and for the purchase of one energy saving lamp they geta second one for free [60].


A scheme for encouragement of low electricity consumption isapplied in Bulgaria as well. This scheme, however, has a limited co-verage and in practice it is not related to improvement of the energyefficiency performance, but is aimed rather at assisting the low-income strata of the population to cope with the growing costs forelectricity.

Selection and ranking of the measuresThe important thing for every municipality is to compile such anenergy programme, whose implementation will permit maximum util-isation of the available energy efficiency potential. To this end diffe-rent approaches may be used. On one hand, orientation to meas-ures, which have the best economic indicators, is not always theshortest way to utilisation of the potential. On the other hand, insteadof having the programme spread over all spheres, it is possible toselect measures in only one sphere possessing significant potentialand focus the efforts on it. Which approach will be adopted dependson the specific circumstances in each municipality. The analysedconcrete examples do not provide sufficient information for genera-lisation in this respect. However, referring also to information fromthe guides on energy planning, one may identify the following morefrequently encountered practices in the selection and packaging ofthe energy efficiency measures, applied in the practice of the deve-loped countries and in recent years in Bulgarian municipalities aswell [7, 6].

Identical measures at a large number of sites

Under this approach priority is given to a specific group of iden-tical technological or organisational measures to be applied indifferent spheres (sectors) of energy end-use in the municipality.In this way a large number of sites may be covered, so that aconsiderable portion of their energy efficiency potential may beutilised through implementation of measures of the same orapproximately the same type. The essence of this approach isthat

one specific technology for energy use is subjected to recon-struction by approximately identical measures (tools) is thebiggest possible number of different sites.

Through this approach it is possible to cover rapidly a large numberof sites, whereby a significant portion of their energy efficiencypotential is realised by means of identical actions.Thus, for instance,in some municipalities there may be many boilers in different buil-dings, which are in need of tuning and improvement of their insula-tion. In other municipalities there may be an acute need of replace-ment of the incandescent bulbs by more efficient ones in both thebuildings and the street lighting system. In yet a third case one mayselect repair and weather-stripping of windows in a large number ofmunicipal sites.

The major advantage of the approach of the identical measures isthat the management of the municipal programme, compiled onthe basis of this method, is easy and the successes may beachieved and recognised rapidly. As a consequence of the appli-cation of this approach, however, a large number of energy effi-ciency measures might get postponed for long periods of time andhence significant energy conservation potential might be missedor wasted.

Complex intervention at a limited number of sites

The maximum energy conservation potential is realised when thesite is viewed as an integral system. The joint consideration of allenergy systems in the sites might reveal their interaction and mutu-al influence. The detailed energy auditing of the lighting, space hea-ting, ventilation, air conditioning and other in-house energy systemscan help identify the most effective means to utilise the availablepotential for energy saving in the selected site.

The complex intervention in a limited number of sites is based ona combination of different measures, through which the energyconservation potential of the selected sites is utilised to the ma-ximum.

This approach requires more profound preliminary auditing of thesites and more time for preparation and implementation of themeasures than in the cases when identical measures are applied.Along with its advantages, however, the approach of complextechnological intervention has some disadvantages as well. Insome cases the implementation of the programmes might takeyears, especially in big cities with complex administrative buil-dings. Also, while comprehensive energy efficiency programmesare being worked out, some simple and cost-effective measures insites, which have been left out of the scope of the programme,might get postponed for long periods of time, while in the mean-time the energy waste continues to persist. For this reason, thecomplex intervention is easier to apply and manage in small citiesor in individual large end-use sites.

A set of the most cost-effective measures

Under this approach16 priority is given to

the measures possessing the highest values of economic indi-cators, through which maximum savings may be achieved withinthe shortest possible time.

In this way it is possible to accumulate rapidly savings, which mayafterwards be reinvested in other efficiency measures. Thisapproach is very attractive in the event that the municipality suffersfrom acute financial difficulties or faces urgent needs, which may bemet by quick energy savings.

Despite its apparent attractiveness, the selection of sets of the mostcost-effective measures contains also some risks. After the imple-mentation of the most cost-effective measures a range of measureswith less cost-effective indicators is left unattended, including sometotally unprofitable ones. These unprofitable measures are doomedto non-implementation, although some of them might be very impor-tant for the full reconstruction of the sites. As a consequence, part ofthe energy conservation potential might remain untapped for a longperiod of time, and maybe forever.

A balanced set of measures

In order to avoid the risks related to the selection of the most cost-effective measures, a balanced approach may be applied, underwhich

16 In the US practice the method is known also as "cream skimming".


the most profitable measures are combined with less profitableones, whereby an acceptable averaged general profitability levelis achieved.

In this way the entire available energy efficiency potential may betapped, however this will take longer. If in a given municipality thereis a small number of sites, the programme will probably gain if theapproach of complex technological intervention was selected. If,however, there are many sites, it will be more useful to make a com-bination between the complex technological intervention approachand the approaches of identical measures or selection of the mostcost-effective measures. In this way both rapid and tangible savingsand energy savings in long-term perspective will be ensured simul-taneously.

Example

Let us assume that two groups of energy efficiency measureshave been identified for a given site - replacement of the elec-tric drives and reconstruction of the in-house lighting system.The two groups of measures can produce approximately thesame amounts of savings, however in the case of the electricdrives the costs are considerably higher than those for the ligh-ting system. Taken in isolation, the replacement of the electricdrives cannot meet the requirements for a 6-year PaybackPeriod, which is the preliminary fixed criterion for cost-effective-ness. If, however, the replacement of the drives is implementedtogether with the reconstruction of the lighting system, the pro-ject as a whole will be cost-effective. In this way the more pro-fitable measures subsidise the less profitable ones, in order tomake the project economically feasible as a total.

Economic profitability as a result of the combination of energyconservation measures

In this example the energy savings from the reconstruction ofthe lighting system and the replacement of the drives aresummed up. However, it is not always possible to sum up theenergy savings achieved by the different energy conservationmeasures within one and the same building, since the effect ofsome of them might intersect. For instance, the more efficientlighting produces less heat, which in turn requires less coolingin the summer or more heating in winter. As a consequence, theactual savings from the reconstruction involving installation ofmore efficient lighting and the reconstruction of the heating,ventilation and air conditioning systems in one and the samebuilding might turn out to be different from the simple sum of thesavings achieved by each of the measures viewed in isolation.

A set of measures by sectors

Concentrating the responsibility for programme implementationwithin one single sector (administrative department) will facilitate itsmanagement. It will shorten the time needed for establishing con-tacts with the department heads and the maintenance personnel, forsetting in place organisation for application of the measures and forinvestigation of the specific issues related to the operation of thesites. Irrespective of which of the above-discussed approaches willbe assumed,

the municipality may save time and money by making the selec-tion of energy conservation measures with due consideration ofits own institutional structure.

A certain group of measures may be packaged in the sphere ofresponsibilities of one sector (or administrative department), forinstance the sector responsible for the buildings of educational andhealth care establishments or for the transport in the city. The"Education" Department is responsible for schools and kinder-gartens. The majority of the energy-related problems in these buil-dings will be valid for all the buildings and this will evidently acce-lerate the design and implementation of the energy conservationmeasures.

Selection of baseline scenario for the selectedpriority target groups and sitesThe data about the current state of the energy sector in the munici-pality is necessary but insufficient condition for evaluation of theresults from the implementation of the municipal energy efficiencyprogramme. It is necessary to compile a baseline scenario about theanticipated development of this sector for the duration of the pro-gramme life cycle. To this end a forecast for the development of thebaseline is used. It gives an idea what would be the state of the sys-tem if the municipality would not undertake any specific actions forenergy efficiency improvement.

The forecast for development of the baseline during the projectlife cycle is called baseline scenario.

This Guide reviews mainly the working out of a baseline scenarioabout the future energy consumption in the municipality, since ener-gy production in the majority of municipalities is as yet negligible.

The baseline scenario is compiled on the basis of assumptions. Forthis reason it is useful to elaborate it in several versions. A preferableapproach is to compile a minimum, a maximum and a realistic ver-sion of the baseline scenario. For instance, if a certain end-use con-sumption is expected to increase drastically, this might obtain quan-titative expression in the selected time horizon.

To determine the baseline scenario for the energy sector in a givenmunicipality and for the individual sites in it means to identify anddescribe the following:

- the baseline prior to implementation of the energy efficiency pro-gramme;

- alternative scenarios about the development of this state providedno energy efficiency programme is implemented.

This description may cover energy production, transportation, distri-bution and consumption (or only consumption) and serves the pur-


Identified energy efficiency measures

Reconstruction of the in-house lighting systemalone

Replacement of electric drives alone

Both measures combined

Annualsavings(USD)

500

500

1000

Costs(USD)

1000

4000

5000

Paybackperiod(years)

2

8

5


poses of comparison and evaluation of the results from the imple-mentation of the energy programme. The information required forthis purpose is collected and systemised in a specialised database.The municipal energy database consists of two main groups of infor-mation [6]:

(a) technical information about the state of the energy sector in themunicipality;

(b) information about the regulatory, institutional, human and finan-cial capacity of the municipality to implement energy efficiency pro-grammes;

The baseline scenario is used for evaluation of the results froma given energy efficiency programme (or project) for the entirelife cycle of the programme (project).

In the course of compilation of the baseline scenario the anticipa-ted changes in the target groups and in the individual sites in themare taken into consideration. It is also investigated whether certainsites are subject to closure (for instance some schools or hospi-tals), others - to radical reconstruction or change in the profile oftheir activity, or yet other - to complete demolition and liquidation.There will be probably also sites, which will change their owner orwill be transformed from municipal property to property of privateindividuals or associations and consortia, in which the municipali-ty might have a limited participation (or none). These develop-ments would substantially change the extent and the form of inter-vention of the municipality in the management of and care forthese sites. When the planning is effected on the basis of prioritytarget groups, it is sufficient to take note of the most generalexpectations in this respect.

As it has been explained above, the baseline, and hence the base-line scenario, might turn out to be distorted as a result of tempo-rary (instantaneous) problems with the operation. It is a well-knownfact that in many cases the heating and lighting levels in municipalbuildings are below the norm requirements. Such deviations havebeen observed in the street lighting systems and district heatingas well. For this reason, in order to get a realistic idea about theenergy consumption at full use of the installed energy consumersand when the norm requirements have been met, it is necessary todetermine the so-called normalised baseline and the respectivenormalised baseline scenario.

In the compilation of the programme both modalities of the base-line scenario (realistic and normalised) play a role and matter. Onthe basis of the realistic baseline, it is possible to determine theactual savings, that might be achieved as a result of the imple-mentation of the programme. These savings are of utmost signifi-cance for the municipality. The realistic baseline scenario is nor-mally used by the crediting institutions in calculating the econo-mic efficiency of the projects applying for financing. By comparingthe realistic baseline scenario with the normalised baseline sce-nario the municipality may calculate the financial means it wouldhave to invest in order to achieve the norm levels for space heat-ing and lighting in municipal sites. The normalised baseline maybe used in some cases by certain financial institutions in the eventof lending of "soft" loans or grants for implementation of energyefficiency projects.

At the offset of the compilation of the municipal energy efficiencyprogramme it is not always clear what financial sources will beused. Therefore, preparing both the realistic and the normalisedbaseline scenario is indispensable. Later, in the course of thenegotiations with each specific financing institution it will be deci-ded which one to use to meet its requirements.

In the Municipality of Graz the baseline has been defined bypreparing an energy profile of the municipality for the baselineyear 1993. To this end information has been collected and sum-marised about the energy consumption in the different sectors andthe specific end-use applications (space heating, lighting, etc.).The energy sources have been described by energy carriers. Onthe basis of this information the emissions of carbon dioxide andother pollutants, such as sulphur dioxide, dust, etc. have been cal-culated. The thus drawn up energy profile has served as the basisfor the follow-up analyses and assessment of the potential of dif-ferent measures for reduction of consumption and respectively ofCO2 emissions [66].

Graz, Austria

The analysis and evaluations of the collected data formed thebasis for working out of two development scenarios - "lowdevelopment" and "ambitious development". Each of them iscompared with the baseline scenario by taking into accountthe future energy demand in the absence of an active energyefficiency policy. The analysis of the energy conservationpotential of the different packages of measures has shownthat the highest energy savings may be achieved throughactions in the field of heating, transport and lighting. As aresult of these assessments seven major sub-programmeshave been developed, which have been laid down in bothscenarios.

The "low development" scenario describes the potential for reduc-tion of carbon dioxide emissions and energy consumption as aresult of the application of the different programmes. Besides tech-nical measures, the "ambitious scenario" envisages restructuringof the energy policy through the introduction of new standards andcharges and through certain amendments to the existing regulato-ry framework. The success of these scenarios depends to a con-siderable extent on the support by and active involvement of thefederal government and the provincial government. The compari-son of the two scenarios with the baseline scenario shows that theimplementation of the second one will produce two times higherenergy savings and respectively reduction of carbon dioxideemissions [66].

The Municipality of Newcastle [65] has collected and aggregatedthe following data about the baseline during the baseline year 1990:

- energy consumption by types of fuels;

- energy consumption by categories of end-users;

- origin of the supplied electricity - a cross-section was made of theelectricity generation from different energy carriers;

- number, type and energy characteristics of the residential build-ings;

- potential for use of renewable energy sources.



On the basis of these data the sectors and activities, to which theenergy programme of the municipality will be oriented, have beenidentified.

Newcastle, United Kingdom

In the municipality of Newcastle two alternative scenarios havebeen developed. The first scenario is called "Business AsUsual". It shows what the future energy consumption would beprovided the rates of application of energy efficiency measuresand technologies would remain the same as prior to the start ofprogramme implementation. Account has been taken of theexpected increase in energy consumption as a result of the con-struction of new housing, the development of business activitiesand the broader use of electrical household appliances andvehicles. The second scenario is called "New Policy Initiatives".It reviews the impact of large-scale introduction of proven tech-nologies in the field of energy efficiency and the use of rene-wable energy sources.

The comparison between the two scenarios indicates that inthe first case the new energy demand will wipe out what hasbeen done for improvement of the efficiency, while as a conse-quence of the scenario "New Policy Initiatives" it would be pos-sible to achieve reduction of energy consumption and hence ofcarbon dioxide emissions by 45%. In the Action Plan deve-loped afterwards the main components of the "New PolicyInitiatives" scenario have been incorporated, grouped in fourmajor directions:

- introduction of combined heat and power generation;

- introduction of renewable energy sources;

- energy efficiency improvement;

- upgrading of urban transport [65].

According to the Dutch Manual "Energy Efficiency Policy Planningfor Municipalities in Central and Eastern Europe" [43], the collectingof information may be performed in two stages. First of all aggregateinformation is collected about the energy consumption in pre-deter-mined "target groups". After the selection of the priority targetgroups, which will be the focus of impact on the part of the energyprogramme, more detailed information is collected about them,comprising:

- the relative energy consumption per 1 m2 - study of the energyconsumption of each building by energy carriers and total heated orlit floor area;

- technical state of the buildings and installation in them;

- operating conditions in the reviewed sites.

This information is used to determine the opportunities for improve-ment of the efficiency of energy use and to select the methods andtools, which will be applied.

In the U.S. Guide "Tools for the Job: How to Develop a MunicipalEnergy Management Programme" [7] it is suggested that the collec-

tion of information should be performed by individual energy end-use sites in the municipality. Those of them, which have the highestenergy costs, become the priority sites for impact through the ener-gy programme. For them more detailed information is collectedadditionally.

Currently, more than 30 Bulgarian municipalities have at hand spe-cialised energy information systems, which comprise besides dataabout the energy consumption also data about the technical state ofthe sites, the operating conditions in them, the in-house space hea-ting systems and the types of fuels used, the size and the operationcycle of each site, etc. These databases are a reliable basis for theformulation of baseline scenarios in the development of energy effi-ciency programmes.

A specifically developed software for organisation of the municipalenergy database - "Information System on Energy Consumption inMEEN EcoEnergy member-municipalities" [12] - is used for theneeds of the EcoEnergy member-municipalities. It has been madeavailable for use to other countries from Southeastern Europe as well(Serbia and Montenegro, Moldova and Albania). On that basis, newsoftware products, adapted to the specific circumstances in therespective countries, are being developed in Serbia andMontenegro and in Albania.

Energy efficiency demonstration zone in Gabrovo

In the process of development of the baseline scenario for thestreet lighting system in the city of Gabrovo it was found outthat of the total of 6.400 installed luminaires hardly 31% werein operation. The energy consumption by the operating lumi-naires was found to be significantly below the one envisagedin the project design and the lighting level quality much poo-rer. An energy efficient project was developed, envisagingreplacement of all existing luminaires by new energy-efficientunits. The calculations have revealed that if all the installedluminaires would be replaced by more efficient ones andwould be operate properly, savings to the amount of 846 MWhwould be achieved as compared to the actual energy con-sumption prior to project implementation, which accounted for34% of the quantity of energy consumed at that time. If, how-ever, the number of operating luminaires was retained (31% ofthe total installed ones), the enegy saved would amount to 1834 MWh, which made a reduction by about 75% as com-pared to the present consumption [41].

Whether to switch on all the installed new luminaires and thusimprove significantly the lighting level along the streets of the city orto continue to limit lighting and thus achieve higher cost savings andensure money for more rapid return on investments is a decisionwhich is entirely in the prerogatives of the municipal leadership.However, whether to use the real energy consumption (the realisticbaseline) or the energy consumption laid down in the project design(the normalised baseline) depends on the requirements of thefinancing institution.

In the project for energy efficiency reconstruction of the street light-ing system in Gabrovo the installed capacity and the correspondingenergy demand (the normalised baseline) were used. This was therequirement of the donor - the Global Environmental Facility. Underother circumstances the baseline may be negotiated in a different

way. In many cases it is logical in defining the baseline to use thedesign values, established through the standards and norm require-ments. This is based on the expectation that both energy productionand energy consumption will be effected according to these valuesor will return to them, if there had been some temporary deviations.At the same time, it is necessary to be aware of the actual level atwhich the system operates, why and since when exists this situationand when is it expected for the system to go back to the design va-lues if certain deviations had been detected. The selection is con-crete in each individual case. Most frequently the considerationsand requirements of the financing institution, which uses the dataabout the baseline for evaluation of the profitability of the investment,play a leading role.

Checking the conclusions and proposals The preliminary check of the activities for energy efficiency improve-ment proposed in the draft-programme is necessary for the pur-poses of increasing the guarantee that the programme is realisticand can be implemented. The check may be performed in diffe-rent ways. The most accessible manner is comparisons with otherprogrammes of this kind and the experimental (demonstration)projects.

Checking through comparisons

Comparisons are an easily accessible checking tool. In the frame-work of a programme comparisons may be made between theindividual sites on the area of the municipality (for instanceschools, hospitals, etc.). For instance, the comparison between thespecific energy consumption in the schools in Gabrovo, whichoperate under identical climatic conditions has depicted the exis-

tence of significant differences. This is clear evidence where theenergy consumption is substantially above the average levels forthis type of sites.

A good opportunity for evaluating the level of total energy con-sumption in the target groups is to compare the level of consump-tion in the respective target groups by that in other similar munici-palities. Comparisons may be made also with respect to the objec-tives and tasks of a given municipal programme with those of theprogrammes of other municipalities. To this end the MunicipalEnergy Efficiency Network EcoEnergy maintains a database aboutits member-municipalities and information about good practices inthem and in municipalities abroad. The comparisons with munici-palities having similar characteristics may provide a general ideaas to what extent the programme is realistic, to what extent theselected priorities and measures for impact are correct, etc. Theymay also suggest approaches and solutions, which might havebeen omitted in the process of compilation of the programme. Themore comparisons are made with other municipalities, the greaterthe level of confidence that the programme has been properlycompiled.

Checking through experiments and demonstrations

The experiments and demonstrations are not a mandatory compo-nent of the elaboration of a municipal energy efficiency programme.They may be implemented or not depending on the specific needsand the opportunities to procure financing for them. In any case,however, when there is an opportunity to conduct them, the effortshould be encouraged.

Experiments and demonstrations are limited in scope implemen-tations of specific fragments of the programmes, aimed to checkwhether specific technical, management or other solutions arecorrectly and realistically formulated.They serve as a unique lab-oratory for testing innovative solution prior to their application ona mass scale in the practice.

The demonstration projects have a trial-and-error nature and aresometimes called "experimental". They are most frequently preparedand implemented for the purposes to test new technological solu-tions or to specify more accurately the estimated results from certaintechnical measures. Demonstrations may be implemented also withrespect to the organisation and management of certain activities,whereat specific institutional or management schemes, solutionsand approaches are tested to this end. The object of demonstrationsmay be also concrete mechanisms or financing schemes, which arepoorly known in the practice.

The influence of demonstrations on municipal energy programmesis usually manifested in the following directions:

In the design of the programme

The information accumulated in the course of the demonstrationsmay be of help in the evaluation of the major assumptions used inthe compilation of the programme. This applies to both the process-es of implementation and the technical expectations with respect tothe selected measures. Upon completion of the demonstrations usu-ally some corrections or specifications are introduced in the preli-minary designed models.



Fig. 18.

Baseline scenario of the street lighting project in the city of Gabrovo

Real (metered) consumption

Prior to projectimplementation

After projectimplementation

Retained illumination level

According to the installed capacity

6535Calculated consumption according to the installed capacity

Example from the Bulgarian practice:Street lighting in Gabrovo

1617

Probable objective of the programme

2463

620


In building confidence in the programme

Quite frequently, the limited scope of the implementation under realconditions is one of the most effective tools for convincing the stake-holders. For this reason the demonstrations represent also a usefulsource of information and a tool for building confidence in andensuring public and financing support for the programmes.

In the communications with the public

The demonstrations may prove an important factor for popularisingthe benefits from the energy programme, as well as for raising theawareness of the stakeholders about their role and obligations.Demonstrations are an instrument for integration of the different eva-luations.The results from them may be of decisive importance for thefinal ranking of the priorities in the programme, as well as for theselection of concrete technical, management and financial models.In certain cases alternative solutions are demonstrated for the pur-poses of facilitating the final selection. This is the essence of the dif-ference between demonstration projects and pilot projects, the lat-ter being part of the implementation of the programme. The demon-stration and pilot projects differ in terms of designation and for thatreason they feature different characteristics with respect to theirorganisation and implementation.

Examples From the Bulgarian Practice

In the past ten years a number of energy efficiency demonstra-tion projects have been implemented in Bulgaria. Almost all ofthem without exception have been financed in the framework ofinternational programmes or implemented under the guidanceof experts from the West.

Energy efficiency demonstration projects have been implement-ed in a number of enterprises for energy production and trans-portation. Through measures for improvement of the combustionprocesses, replacement of solid fuels by liquid fuels and natu-ral gas, replacement of the worn out heat transportation networkand introduction of modern devices for metering and billion ofconsumption the road was cut towards the introduction on amass scale of modern solutions in the Bulgarian energy system.

In part of the demonstrations measures for energy efficiencyimprovement in buildings were illustrated. Some of these buil-dings were typical municipal sites - hospitals, schools andkindergartens. Modern construction products and materials,such as windows, insulation, efficient space heating and airconditioning equipment, heat metering devices etc. were testedin Bulgarian conditions [11, 35, 38].

In the majority of cases, the cost-effective energy efficiencymeasures are relatively simple in technical respect.Nevertheless, in some random projects the latest highly efficienttechnological solutions were demonstrated, which are innova-tive for the world practice as well (the air conditioning systemsin the hospitals in Gabrovo and Stara Zagora).

In other projects the demonstrations comprises entire energysystems, like for instance the street lighting system or the dis-trict heating system of an entire human settlement (Gabrovo). Inthese cases an attempt is made to combine elements of energy

efficiency in the sphere of energy production, transportationand distribution and in the sphere of energy end-use.

In some projects, testing of new modalities of organisation of theenergy efficiency activities has been planned, including settingup of the respective institutional conditions for that. The estab-lished Municipal Energy Efficiency Network EcoEnergy and thenewly set up municipal energy efficiency offices with the muni-cipal administrations are examples for experiments in that direc-tion [8].

The results of several different in terms of nature and scopedemonstration projects within a comprehensive overall munici-pal energy efficiency policy have been integrated in the energyefficiency demonstration zone in Gabrovo. In this way, the indi-vidual demonstrations are linked to the strategic objectives ofthe plan for sustainable development of the municipality [9, 11,15, 33, 35, 41].

Once the municipal energy programme is compiled andapproved, it is necessary to proceed with setting up the organi-sation for its implementation. This is one of the most responsiblephases of its preparation, which is not the subject of detailedreview in this manual.

Approval of the programmeThe result of energy planning usually consists of two products -Energy Efficiency Programme, which usually features a medium-term horizon (for instance the term of office of the municipal lead-ership) and an Action Plan of short-term validity (most frequentlyone year), compiled on the basis of the programme. It is possibleto elaborate a programme whose validity is different from that ofthe term of office of the municipal leadership. When the pro-gramme covers a period of several terms of office (for instance 10-15 or more years), it has the nature of a long-term strategy. Thestrategy usually defines the most general development directions,which are further specified through the programmes and actionplans.

The energy strategy and the energy programme are policy docu-ments, which are subject to endorsement by the MunicipalCouncil. Their approval is the second policy decision in the frame-work of the entire process of energy planning.

Second policy decision: Approval of the municipal energy effi-ciency programme

Once the above described activities under this step have beenperformed, one may resort to the compilation of the energy effi-ciency programme proper. For the needs of EcoEnergy a modelstructure of such a programme has been developed, which canbe used by every Bulgarian municipality. Deviations from thisstructure are possible, however it is desirable that its majorcomponents should be present in the programme in all cases.Compliance with the general structure of the programmes faci-litates the comparison between the experience of the individualmunicipalities in the field of energy planning.

In there a sufficient quantity of detailed information available,the municipal programme may contain concrete plans forimpact on the selected priority target groups. These plans areusually worked out after consultations with representatives ofthe target groups. In order to ensure their active involvement inthe implementation of the plans, it would be recommendable toinvite them to participate in the preceding steps of the process,in the course of which their target groups are analysed and eva-luated [4, 6, 53].

The Action Plan is a document of operative nature and may beapproved by the executive body of the municipality (the Mayor), pro-vided the Municipal Council had not decided explicitly otherwise.

Subject to approval are the major parameters of the programme andabove all the priority sites envisaged in it (the target groups), therequired resources for implementation of the programme and themain responsible officers or entities/departments. In order to ensurepermanent public support for the programme it is necessary to planthe achievement of some rapid results from it.

Pilot projectsThe implementation of a project with short payback period and highrate of return will be very instrumental for enhancement of the trans-parency of the programme and for more rapid winning of publicsupport for it. A well-selected and implemented pilot project mayplay this role. An early success may have a strong influence for thefurther advance of the implementation efforts. The same applies tothe early failures. Therefore, the first steps in the implementation ofthe programme are of extreme importance for the final success.Pilot projects are launched after the specification and testing of theprogramme through the fragmentary demonstrations. Their objec-tive is to perform the final check of the overall functioning of the sys-tem for implementation of the programme under real conditions betesting the links and mutual influence among the individual compo-nents.

The pilot project is a small-scale model of the programme or ofa typical part of it. It serves to demonstrate the processes andmethods of implementation of the programme and to testwhether they have been planned correctly and have been cor-rectly understood by those responsible for the implementation.

Pilot implementation is not mandatory and may be omitted. It is,however, very instrumental in the case of multi-annual programmes,envisaging implementation of a large number of identical measureson a large scale and in a large number of sites. In the course of thepilot project, it is possible to find out whether changes are neededin the preliminary set up organisation for implementation of the pro-gramme prior to launching its regular implementation (on a massscale).

Organisation of the implementation of the programmeDepending on the desirable and established partnerships and thetype of the selected measures to be implemented in the frameworkof the programme, you may skip the pilot implementation and pro-ceed directly with the regular implementation. The process ofinstallation and implementation is something more than a mereapplication of selected technical measures or an ordinary installa-tion of the envisaged equipment. This step requires high skills andtalent on the part of the personnel, who will coordinate the imple-mentation of the programme. Those responsible should be able toensure:


Step NineOrganisation of the implementation of the programme

Approval of the programme

Pilot projects

Organisation of the implementation of the programme

Monitoring of the results from the implementation of the programme









impl

emen

tatio

nel

abor

atio

npr

epar

ator

y w

ork


- timely delivery of the necessary materials and equipment and avai-lability of labour force for the implementation of the planned mea-sures;

- high quality of workmanship in the implementation of the selectedmeasures;

- survey, analysis and evaluation (monitoring) of the technical, finan-cial and organisational outputs from the implementation of the pro-gramme;

- development and conducting of training programmes for the ope-rating personnel and the end-users;

- timely reporting at the adequate quality level of the results from theimplementation of the measures;

- modification and improvement of all aspects in the process ofimplementation of the programme, whenever this is necessary.

The other participants in the implementation of the municipal energyprogramme also have important responsibilities, like for instanceservicing of the debt or ensuring that the results from the implemen-tation of the programme are adequately reflected in the overall poli-cy of the municipality.

The installation and application are the synthesis of all planning andpreparative actions from the nine preceding steps, irrespective ofwhether each of them has been implemented in real terms or not.

Monitoring of the results from the implementationof the programmeUpon completion of the installation works and the implementation ofeach individual project, as well as upon the expiring of the period foroverall implementation of the programme, a quantified expressionmay be given to the realised change. The easiest way to do this isthrough comparisons using the data about:

(a) the state of the sites, which have been the object of impact,and the municipality as a whole, prior to and after implementation ofthe programme;

(b) the total amount of energy saved for the entire period of imple-mentation of the programme and the projections for a certain futureperiod, using data about real measurements and forecasts based onthe actual results from the implemented measures.

These comparisons can be performed by using the baseline estab-lished at the start of the project and the forecast calculations aboutthe estimated state of the sites/municipality and the energy savings.The evaluation of the programme should comprise also a compari-son of the achieved results for each of the set quantifive and quali-tative objectives of the programme - alleviation of the burden of ener-gy costs, reduction of emissions, improvement of the quality of ener-gy services and other indicators subject to ascertaining and mea-surement.

The primary units of measure with respect to the success of amunicipal energy programme are as follows: (a) achievement ofthe preliminary set objectives; (b) creation of conditions for repli-cation of the successful implementations on the area of themunicipality or in other municipalities; and (c) the degree ofimpact of the programme on other spheres of planning anddevelopment in the municipality.

The above listed indicators for the success of the energy pro-gramme may be detected only provided in the course of implemen-tation of the programme and after its completion sufficiently long andwell organised monitoring has been performed. This step is particu-larly important for guaranteeing sustainability of the achieved resultsand avoidance of the errors made and the identified omissions andweaknesses.

Third politicy decision: Evaluation of the results and correctionof the objectives

Once the term of implementation of the prgramme has expired,it is necessary to report the results using data from the per-formed monitoring of the implementation. The evaluation of theimplementation is performed by comparing the achievedresults with the baseline and the baseline scenario. Besidesthe objective technical and economic results, it is necessary toreport also the non-quantifiable outputs, as well as the indirectresults.

As a result of the evaluation amendments to some of the objec-tives and parameters of the programme may be proposed, aswell as changes in the tools for its implementation during thenext term of office.


Communication as a tool of themunicipal energy efficiency policy

The practical implementation of the municipal energy policy is a complex process, which comprises aseries of policy steps and whose success depends on many factors of diverse nature. We might have

worked out an excellent municipal energy efficiency programme and may have proposed the best possiblemeasures for its implementation, based on the latest scientific and technical achievements. The elaborated

business plan might be economically feasible and justified in detail from the point of view of the manage-ment. This, however, is no guarantee for success. Finally, whether the energy efficiency policy of the munici-pality will be implemented or will remain a pile of useless paperwork depends entirely on the human factor.The success of the municipal energy policy is intricately related to the extent in which people are willing to

and capable of assuming their responsibility with respect to the state of the environment.

Communication With the Public

Part Four



Major dilemmas in communication


The tools for implementation of the local energy policy comprise amultitude of diverse measures, which differ in the modalities of theirapplication and the estimated effects:

- legislation and regulatory framework (laws, ordinances, etc.);

- financial incentives (subsidies, taxes, charges, compensations);

- communication (information, co-ordination, training, etc.).

The practice has shown that communication has played a particu-larly important role in all the cases of successful policy in the field ofenergy and protection of the environment. They contribute to raisingthe awareness about the significance of the probelms, to improve-ment of the level of knowledge and to bringing about a change inthe people's behaviour. For this reason, in the process of elaborationof the municipal energy strategy it would be recommendable to payspecial attention to the question how will its practical implementationbe organised. This means to ensure, besides the masterful con-ducting of the internal communication (management bodies of thesites and activities, inter-departamental exchange and dissemina-tion of information, etc.), also efficient external communication (infor-mation for the broad public, education and training of personnel,public debates and consultations with the target groups). Dialoguewith the local public is needed, since it may help achieve a changein the attitude and behaviour of all stakeholder groups and individu-als on energy-related issues.

Of course, it is necessary to remember that communication with thepublic is successful only when there are not too many hindrances tochanges in people's behaviour towards more effective energy con-

servation. Communication has better chances for success in thecases when it is combined with other tools - legislative or financial.


The elaboration and implementation of the municipal energy effi-ciency strategy presumes making three major policy decisions - ondeveloping a strategy, on approving a municipal energy efficiencyprogramme and on evaluating the implementation of the pro-gramme. It is important to take account of the fact that the priorityobjectives of communication with the local public are different foreach of the phases and this predetermines the differences in therecommended forms of communication.

Major dilemmas in communication

The dialogue with the local communities on the issues of energy effi-ciency and protection of the environment is charged with the mostunexpected challenges. Achievement of a change in people's valuesystems, attitudes and behaviour has always been a difficultprocess. People are apt to neglect any information, which castsdoubt on their established habits. They usually seek confirmation ontheir old ideas and most frequently do not easily open their minds tonew ways of reasoning.

The daily activities of groups of people and of individuals are oftenfull of contradictions with respect to energy efficiency because theyare responses to a multitude of different factors. For instance, agiven individual may one day use the public transport and on thenext chose to use his/her private car. Someone may always maintainlower temperature of the district heating at home, while at the same


time continues to purchase all kinds of household appliances. If youask the people to explain the contradictions in their behaviour, youwill often hear unsubstantiated arguments. However, it is exactlythese arguments that should be assumed as the starting point in theplanning of all further actions, since in this case perception is theonly reality. What is more, the awareness on the energy efficiencyissues does not automatically lead to a more conscious behaviourtowards energy. The gap between the awareness of a given problemand the actions in this respect is related to the "social dilemmas"phenomenon. These dilemmas obstruct the transformation of atti-tude into an energy-conscious action.

Some of the frequently shared social dilemmas are as follows:

- collective versus individual interests

The collective/community benefits from energy conservation areless tangible to the individual than the immediate inconveniences ofchanging one's own behavior (e.g. reduction of individually per-ceived comfort).

- short-term effect versus the long-terms results

Short-term effects, such as reduced comfort when using publictransport instead of one's own car, are obvious. The long-termeffects, however, such as preservation of the available deposits offossil fuels for a longer period of time, are difficult to perceive or tocomprehend.

-the 'here and there" effect:

The fact that the use of fossil fuels causes damage to the environ-ment elsewhere in the country or in another part of the world is oftennot clear to the individual using that energy source.

Other reasons, that might cause the failure of some energy efficien-cy programmes aimed at changing people's attitude and practices,are as follows:

- lack of knowledge

People often lack information about alternative equipment of higherenergy efficiency characteristics that is available on the market andis sold at affordable prices.

- contradictory messages causing information confusion

Some people refuse to switch off the fluorescent light when theyleave the room for one hour because they are convinced (they haveheard from some expert) that the frequent inter-switching ON/OFF offluorescent lamps leads to excessive energy consumption, i.e. itcosts money. The correct message is that any switching OFF of thefluorescent lights when one leaves the room leads to energy saving.

- the "after you, sir?" effect

People tend to give responsibility to other people or institutions butthemselves. For instance, they reason as follows: "Why should I sellmy car, when my neighbours have two cars, using them for stupidthings!" Or "Why should I sit in a dark and uncomfortable housewhen the the municipality building of is full of lamps burning even atnight! Let the authorities act first!"

In as much as communication is an important policy tool, it shouldbe planned beforehand in the least detail. The most tangible effectis obtained when it is correctly co-ordinated with other tools andother messages of the local authorities. In order to use this toolseffectively used in the implementation of the municipal energy effi-ciency policy, the public relations officers and the municipal em-ployees on energy efficiency and environmental protection shouldbe well-versed in:

- the general conditions under which the activities under the pro-gramme will be implemented;

- the general policy on energy efficiency and protection of the envi-ronment;

- the thoughts, feelings and protective mechanisms of the local com-munity;

- the recommendable methods and tools for public relations in thedifferent phases and under different situations.

Stages in the development of the municipalenergy policy

First policy decision Decision to work out an Energy EfficiencyStrategy

Second policy decisionApproval of a Municipal Energy EfficiencyProgramme

Third policy decision Assessment of the implementation of theMunicipal Energy Efficiency Programme

Follow-up actions

Working out of an energy efficiency strategy

Local capacity buildingWorking out of a Municipal Energy

Efficiency Programme

Implementation of the Municipal EnergyEfficiency Programme

Feedback in the process of evaluation ofthe implementation

Priority objectives of communication

Dissemination and exchange of information

Announcement and dissemination of the adopted policy

Building of attitude towards the energy efficiency issues

Changes in the habits and behaviour patters of the target groups

Improvement of the efficiency of the municipal policy

Guaranteeing of democratic decision-making

Table 12. Priority objectives of communication during the different stages of development of the municipal energy policy

THE ENERGY PLANNING PROCESS


Model of the process There are many definitions of the notion "communication". In thiscase it will be useful to assume as a starting point the following de-finition:

" Communication is a process, in which a sender conveys informa-tion to a receiver through a communication channel in order to bringabout a certain response in the receiver".

This definition orients the attention to several important aspects ofthe process:

- Communication is based on the exchange between the sender andthe receiver.

- The sender puts an idea in such a way (by encoding it) that thereceiver can hear or see it. This creates the message: a collection ofsounds and/or signs. The message is conveyed to the receiver bymeans of a medium, e.g. sounds, words or images.

- The responder is the person who receives the message anddecodes it on the basis of his/her expectations or previous know-ledge. If the receiver responds to the message, then he/she in turngets the role of sender.

- Communication is not just "sending" of messages.

It is connected with deliberate and careful coding of the messages,selection of the proper media and, in particular, with the properalignment with and motivation of the responder of the message tohear and reply it.

Communication often means above all the capacity to listen, to dis-cover more about the person or the group on the other side.Nowadays, with the ever broader spread of innovative technologies,we may note an increase in the number of "responders", who them-selves actively seek the information they need.

From what has been said above it becomes clear that for realising asuccessful communication the sender should be familiar with:

- the interests of the different target groups;

- their knowledge and previous experience;

- the manner of selection of the information; and

- the channels of receipt of messages.

Major elements of the communication cycleThe communication strategy (public relations) is a process basedon five major elements: target group, target, message, organisationand means.

Target group. The target group is an accurately described group onwhich a specific message will focus. For instance, the notion "the citizens" is not a good description because it is too broad (A 20years old female reads different media than a 60 years old male and

will accept as reasonable different arguments from those accept-able for him). It is important to remember that the target groups areend-users having specific common models of energy end-use, butat the same time they are human beings with their inherent propen-sities, biases, knowledge, behaviour patterns, (un)conscious inter-ests, (un)willingness for change.

Target. The targets of the communication ensue from the objectivesof the formulated policy. They should take into account what a spe-cific target group has to know, to feel or to do. It is preferable toquantify the percentage of the target group that has to meet thesetargets and to set deadlines when the targets must be achieved.

Message. The message refers to the contents of the communication,which you want to convey to the selected target group.

Means. With a view to transmitting successfully the intended mes-sage, it is important to select the organisations or individuals thatcan play the role of intermediaries for its communication. Somemethods are more adequate than others for the selected targets andtarget groups.

Organisation. The organisation concerns the planning, timing, distri-bution of tasks and budget, guidelines for internal and external co-operation (for instance intermediary organisations or individuals)etc.

Designing a communication strategy is not a linear, but rather acyclic process. The practice has shown that quite often it is neces-sary to go back a step and to reformulate earlier parts of the cycle(for instance of the message or the target group) in order to be ableto proceed successfully forwards.

Fig. 19.The communication cycle


Model of the process

Major elements of the communication cycle

Message Means

Targetgroup

Organi-zation

Target

Defining communication targets

Defining target groups


Defining messages

Defining means of communication

Organisation for implementation of the communication plan

Implementation of the communication plan

Evaluation of implementation


Defining communication targets Prior to starting to work out your communication strategy it is nec-essary to clarify the issues covered by the municipal energy effi-ciency policy. This will help you identify the following:

- the concrete problems which you will have to deal with;

- the specific role of communication in the framework of the generalenergy efficiency policy;

The best way to perform this analysis is through conducting discus-sions or "brainstorming" with the colleagues and the basic sourcesof information. Since the very beginning it is assumed that the issuesin question are of the competence of local authorities.

Example of "specification of the selected issue"

Energy efficiency project: Environmental improvement throughenergy conservation

Participating cities: Stary Smokovec, (Slovakia), Glasgow(Scotland, U.K.), Dublin (Ireland)

General aim of the project: to implement a pilot project thatdemonstrates to the local authorities and habitants how impro-ving home insulation could lead to energy saving.

The selected issue is the introduction of a 'home energy labelscheme" in which the energy consumption of every household ismeasured. The official of Stary Smokovec city, who is responsi-ble for the energy efficiency project, might develop a communi-cation plan in order to provide a basis for communicating that itis, for instance, useful to cooperate in the activity of "measuringhome energy consumption". [2]

Defining target groupsThe target groups are those groups of individuals which you want toreach with you message. Determine the desired effect of the com-munication activities and start with selecting the concrete targetgroups, to which you wish to address the message (the selection of

the target groups depends on the specific issue, which you aredealing with). Try to stick to the following steps:

- Make an overview of the target groups that play some role withrespect to the energy issue selected by you. Try to be as specific aspossible (for instance, the occupants of flats on a specific street orarea).

- Try to rank them in order of importance. The more responsible foror the more involved a target group is in the energy issue, the moreimportant it is to launch a dialogue with that group.

- Indicate approximately the size of the group (it might probablybe necessary to make additional clustering of those incorporatedin it).

- Formulate their position in social networks and look for individuals,who might be of interest from the point of view of their capacity toexert influence).

- Formulate the extent to which the target group is definable andaccessible.

- Make assumptions concerning the feasibility of their contribution tothe resolution of the energy issue (what can they do?).

To make the right choices in the other elements of the communica-tion strategy (target, message and means) you shall have to collectadditional information on a number of important characteristics ofthe target group selected by you.

Example of "selecting target groups":

The official of Stary Smokovec city, who is responsible for theenergy efficiency project might select the following targetgroups:

- unemployed people (a selected person might become atrainee);

- the energy supplying company;

- the inhabitants of the apartment block that has been selectedas the site of the pilot demonstration.

Planning Communication


Participants that might exert influence are as follows:

- teachers and students from schools situated in the vicinity ofthe apartment block;

- the organisations providing funding for the project (the autho-rities, companies);

- the general public;

- the press and the media [2].

Defining communication targets for each targetgroup

From the range of energy issues selected by you, you can deter-mine what contribution you expect from communication: the com-munication targets and "messages" for each target group. Formulateyour targets in an active way by using verbs. In general, we distin-guish four types of communication targets:

- Targets concerning attention (having heard about, having an opi-nion);

Example

The occupants have heard about the possibilities to savemoney by improving the insulation of their flats.

- Targets concerning awareness of the issue, knowledge and under-standing (being aware of it, knowing about it, understanding it);

Examples

1. 70% of car drivers are aware of the fact that the style of driv-ing influences the amount of fuel that is used.

2. Companies know about possibilities to obtain subsidies forenergy improvements in their buildings.

3. The pupils know that their school is saving energy, theyunderstand why this is important and they know the environ-mental effects of using fossil fuels.

- Targets concerning willingness and motivation (wanting, beingmotivated, being ready);

Examples

1. The school boards of 50% of the secondary schools recog-nise the importance of energy saving at school and want to par-ticipate in energy saving programmes of the municipality.

2. House owners are motivated to invest in roof insulation andweather-stripping of windows.

- Targets concerning behaviour and skills (doing, being able, partic-ipating)

Examples

1. The local electricity company participates in dissemination ofinformation among the citizens about energy saving possibilitiesat home.

2. Car drivers don't use their cars anymore for little errands inthe neighbourhood.

3. At the end of the year 50% of the companies know how toapply for subsidies.

Please, note that the above-mentioned targets may be related notonly to the implementation of the approved policy or project, butmay also serve to make the results widely known and to promote theimage of the local authority.


The official of Stary Smokovec City, who is responsible for theenergy efficiency project, selected various target groups.Specific communication targets for the inhabitants of the 18-storey apartment block might be:

- the inhabitants have heard about the energy conservation proj-ect and the possibilities for them to save money on their ener-gy-bill if they participate;

- the inhabitants know what activities will take place during theproject implementation period;

- inhabitant are motivated to accept possible inconveniences;

- the inhabitants participate in keeping the energy label schemein their apartment. [2]

Defining messages

On the basis of the already formulated communication targets foreach target group, concrete messages can be defined. The centralquestion here is: "What is the core of the message to the respectivetarget groups?"

The core of the message for a specific target group can be deter-mined by taking the following two steps:

- Formulate the main theme. It should reflect the communication tar-get and should be related to the general policy target.

- Formulate specific sub-themes. They should focus on the bene-fits for the specific target group and attract the attention of itsmembers.

Another important element of the message is its tone. Do youchoose a problematic approach or a positive one? Do you choose arational approach or an emotional one? It is recommended to opt fora balance between the rational and emotional aspects by carefullyweighing up the nature and the attitudes of the target group.

Recommendations on how to formulate the message:

- Project yourself are one of the members of the target group, sha-ring their motifs, aspirations, desires;

- Present the issue in a simple form, clear and understandable forthe respective target group, avoid unnecessary details or back-ground information;

- Try to find a balance between the emotional and the rational atti-tude;


- Be honest;

- Use positive images; point out how other people or organisationscontribute to the resolution of the problem (some broadly used argu-ments with respect to energy conservation are given in the Annex).

Example: Communication messages for each target group

The official of Stary Smokovec City, who is responsible for theenergy efficiency project, might formulate the following mes-sage for the inhabitants of the 18-storey apartment block as anintroduction to the project:

"The local authority of Stary Smokovec City wants to take aneffort in reducing energy-use for environmental reasons. Weselected your block for a pilot project. The experience will beused for further implementation in other buildings in the city. Theconcrete project activities might bring about some inconve-niences to you, but - in return - your energy bill will be reducedand you will notice an increase in comfort in your apartment." [2].

Defining means of communication

Some well-known means for conveying your messages are, forexample, hand out of leaflets, brochures, sending letters and con-ducting meetings. In order to be able to use these means in the mosteffective way it is well to choose your media on the basis of the fol-lowing four criteria:

The nature of the means and media itself. It is wise to look for a com-bination of communication means:

- Personal communication (visits to the flats, group discussions,etc.);

- Written communication (leaflets, letters, articles in the local news-papers, etc.);

- Mass media (items on the local radio or TV station).

The practice proves that personal communication gives the bestresults. But it is also time consuming and thus often not very effi-cient. Moreover, only a limited number of people may be reached bythis method. Mass media are much more appropriate for reachingout a large number of people. The disadvantage in their case is that

the information is frequently too general and using mass media canbe expensive. It should be evaluated also in how much the media,which has been chosen, is suitable to transmit the message. Forinstance, it you drive a car all around the city carrying a billboardwith the message "save energy at home", the medium itself makesyour message hard to believe.

You can use the "target-media" matrix to choose the media, whichare most suitable for your communication target.

Media that are regularly used by the respective target group.Publishing advertisements in the local newspaper as a mediumwould make sense when you know that the selected target groupreads the newspaper regularly and thoroughly.

Available budget. Budget forms a difficult criterion. If the budget islimited, you have to check whether your targets are realistic. Audio-visual means are effective, however expensive. Therefore, considerhow long a medium can be of use for you. Do not develop anexpensive video programme, if you intend to show it only once. Thecosts of printed matter can be reduced by reducing the number ofcolours.

Traditional means and media. Using already available media is usu-ally cheaper. What is important, however, is whether these are the


Target

Attention

Knowledge and understanding

Willingness and motivation

Behaviour

Recommended means

Mass media (short, repeated, conspicuous)

Written information and personal advice

Group meetings and visual feedback on the results

Personal communication

Table 13: "Target-media" matrix

right information media for the selected target group. It is also a well-known fact that the opinion of the target groups on media changesin time, so do not base your media selection on old facts and figures.

Example: Selection of communication media

The official of Stary Smokovec City, who is responsible for theenergy efficiency project, might use a combination of the fol-lowing communication means for bringing the introduction mes-sage to the inhabitants of the 18-storey apartment block:

- a letter of the municipality;

- the first edition of a special newsletter;

- introduction and information meetings for the inhabitants;

- a press release;

- an article in the local newspaper;

- interview on the local TV programme [2].

Organisation for implementation of the communication plan

Whether your communication plan succeeds or fails depends large-ly on the organisation of the implementation process. Usually, theavailable personal capacity and financial means determine the tar-gets you can work on and the media you can use. The followingissues are of particular importance concerning organisation.

Tasks and responsibilities. Find out which persons have responsibi-lities for communication activities in the municipality and find outhow their activities are coordinated.

Control questions:

- Does the cooperation offer a possibility to work more effectivelyand efficiently?

- Can we work efficiently by making use of private organisations orfreelancers?

Budget. Make a preliminary estimate of the costs and indicate howthe individual activities will be financed. If the available budget isinsufficient, it might be possible:

- to formulate priorities;

- to split activities in individual phases, so that the costs may bespread over a longer period of time;

- to find additional sources;

- to establish cooperation with other actors (for instance local citi-zens' organisations);

- to attract private professional organisations of freelancers to carryout some of the activities (sometimes this is more efficient);

- to skip activities or choose for cheaper alternative activities.

Planning. It is desirable to arrange the activities in a chronologicalorder and determine who has to do what and when.

Implementation of the Communication Plan

The success of the implementation of the communication strategyand communication plan requires particular attention for the follo-wing more important aspects:

Establish coordination. It is most likely that your communicationplan consists of various activities for the specific target groups. It iseven likely that these activities are assigned to more than one per-son. In that case coordination is very important. The messages forthe specific target groups should be clear and unambiguous. Theactivities should be carried out in a logical order, so timing isimperative. When communication activities cause confusion, thereis the danger that the target group drops out and that it will noteasily be accessible again for further information.

Set an example to the selected target groups. If you want your tar-get group to change its behaviour, you or your organisation) shouldset an example. If this is not the case, you will weaken your mes-sage. As a result of that, your target group will confront you withyour behaviour instead of changing its own.

Give feedback on results. Show your audience the results of theirefforts, for instance:

- Give personal feedback to individuals, who have independentlymade some efforts;

- Present calculations that show what it means when every citizenbehaves energy efficiently in his/her house. Knowing about theresults of their actions is a motivation for people to continue theirefforts.

- Give explanations and use the negative situation to turn it into apositive starting point for further action. Never lie about results.

Use intermediaries. Using intermediary organisations as a primarysource of information can be very effective for various reasons:



- Their credibility is sometimes higher than yours (as an agent ofthe local authority);

- NGOs or their intermediaries often have a lot of experience onspecific items;

- Making use of NGOs or other intermediaries may save you timeand money.

Invest in networking and make notice to involve interesting interme-diaries as early as in the initial phase, i.e. the phase of planningcommunication activities.

Make use of our checklists. To help you when implementing yourcommunication activities we offer you in Part Four (Annexes andChecklists) several checklists.

Evaluation of implementationEvaluating the communication programme. It is important to evaluateboth your communication activities and the cooperation with part-ners in the course of implementation of your communication pro-gramme.

We suggest you make such an evaluation twice - one halfwaythrough your activities and once at the end of your communicationprogramme. The purpose of the evaluation is:

- to find out how to adjust you activities, to make them more ade-quate to the formulated targets;

- to learn from your experiences (for future activities);

- to give feedback to the target groups;

- to give account to the local government and whose who financial-ly supported the communication activities.

Evaluating cooperation with partners. It would be best to evaluateseparately internal and external cooperation:

- Internal cooperation refers to cooperation between you (your divi-sion) and other divisions in the municipality.

- External cooperation refers to cooperation between you (your divi-sion of the municipality) and external organisations (NGOs, institutesor consultancy agencies).

The main purpose of this kind of evaluation is to improve the qualityof your communication activities in future and to make a better useof the experience of partners.

Method for evaluation and monitoring of communication activities:

- Registration of complaints and questions;

- Informal contacts;

- Analysis of messages in the media;

- Interviews (meetings or telephone calls) with colleagues, keyinformants, members of the target group (most intensive);

- Penal discussions / consultations with members of the targetgroup;

- Evaluation meeting with colleagues or key informants;

- Circulate a questionnaire at the end of meetings or send out anexhaustive questionnaire to the target group with a request to fill it inand return.

The result from successful communication activities consists inattainment of several important characteristics of the municipalenergy policy, which guarantee its high efficiency:

- Transparency of the policy;

- Flexibility of reaction to a dynamic public situation;

- Building of an atmosphere of mutual confidence and cooperationin the name of recognised common interests.


Energy planning is spreading at an increasing pace in the munici-palities in Western Europe and the USA. In recent years, it has gra-dually begun to penetrate also the municipalities in the countrieswith economies in transition, Bulgaria being one of them.Municipalities perform certain specific functions in the field of ener-gy, whereby they try to ensure high quality of the services for theirpopulation and to reduce the costs for these services. The experi-ence of the municipalities covered by this review is of interest underthe following aspects:

The functions of municipalities in the field of energy management. Allmunicipalities perform, generally speaking, identical functions, how-ever to a different extent. In recent years, changes have beenobserved in the scope and coverage of these functions in the muni-cipalities in Western Europe and the USA, which are of interest to thecountries with economies in transition. The function of the munici-pality as energy consumer is no longer linked solely with improve-ment of the efficiency of energy end-use. Reduction of GHG emis-sions is gaining in importance. This and some other circumstancesimpart an ever-growing significance to the function "energy produ-cer and supplier, which is gradually getting split into two separatefunctions. On the contrary, the regulatory functions of municipalitiesare loosing in importance. The functions of municipalities in WesternEurope continue to evolve as a consequence of the liberalisation ofthe energy market. During the next several years, this process willget ever more distinctly manifested in our country as well.

The Integrated Planning method. The process of Integrated EnergyPlanning is rather an art than a science - the art to combine multi-facet factors and many actors, who play a key role for the achieve-ment of a harmonious result. With the transition of the project vianumerous stages and through many hands - from its initial identifi-cation, through its development to the implementation phase - avoluminous programme will be achieved, whose direct contractorswill frequently change in the course of implementation. The pilotapplication of local integrated planning of energy resources in theMunicipal Energy Efficiency Network EcoEnergy created prerequi-sites for its mandatory introduction in Bulgarian municipalitiesthrough the new Energy Efficiency Act (2004). The described frame-work of integrated energy planning in municipalities complies withthe conditions in Bulgaria, however it may be applied in other coun-tries with economy in transition as well. This framework should beflexibly aligned to the specific conditions and the available informa-tion, while, at the same time, in the planning process the dueaccount should be taken of all the elements, in order to avoid omis-sions and shortcomings.

Selection of objectives and scope of the energy programme. Thechanged functions of municipalities cause respectively changes inthe essence and objectives of the energy programmes. From ener-gy efficiency programmes they gradually grow into integrated pro-grammes for energy production, transportation, distribution andconsumption at the local level. This choice usually follows the natio-nal policy and complies with the municipal development strategies.An important lesson learned from the experience of Western Europeand the USA in the recent decades is the gradual exhaustion of thedemand-side energy efficiency potential and orientation of theefforts towards more efficient and flexible combined systems forheat and electricity production and much broader use of renewableenergy sources.

Needs and options. The efforts and money, which a given munici-pality may afford to invest in energy planning, are almost always lessthan really needed. That is why it is not always necessary to imple-ment the entire series of activities described in this guide in thesequence quoted herein. However, even when the financing doesnot allow the realisation of some of them, for the sake of successfulimplementation of the programme they should be considered in theprocess of its elaboration with due account of their interaction withthe rest of the steps. For this reason it is necessary to be familiar withthe full cycle of actions, however the efforts should be focused onthe most important part (or parts) of the cycle in order to achieve thedesired result.

Institutions and personnel. Municipal administrations with their spe-cialised teams play a leading role in energy planning everywhere.The broadened functions of municipalities in energy managementimpart an ever-increasing significance to municipal energy agen-cies. From energy efficiency agencies (in the beginning) they gra-dually develop into true energy agencies, dealing with the full rangeof energy problems on the area of the municipalities. The circle ofpartners of municipalities and municipal energy agencies expands- technical universities, NGOs, the local utilities, etc. The signifi-cance of the specific qualification of the local human resourcesincreases as well.

Information base of energy planning. Municipal energy programmesare compiled on the basis of a considerable amount of reliable infor-mation, collected from documentary evidence or through energyaudits. This is a relatively new type of municipal activities, which isconstantly gaining in importance.

Methods for compilation of the energy programmes. There exist dif-ferent methodologies on how to identify the priority spheres ofimpact of the municipal energy programmes, how to develop fore-cast scenarios of future energy consumption, how to select specificactions and prioritise their implementation in the different sectorsand sites. The most significant evolution in these methodologies ismarked by the gradual transition from development of municipalprogrammes with emphasis on demand-side energy efficiencyimprovement to programmes for comprehensive development ofmunicipal energy systems.

Measures for energy efficiency improvement. The diversity of actionsand measures for energy efficiency improvement, contained in theconcrete examples from the European practice, are a rich source ofinformation for the countries with economies in transition, for whichenergy planning is a new type of activity. The practice of EcoEnergymember-municipalities in the recent years is also rich in ideas andlessons learned in this respect.

Financing of municipal energy programmes. The municipalities in thecountries with economies in transition perform their activity underconditions of grave shortage of equity funds. That is why examplesof procurement of external financing for the programmes, or thoserelated to involvement of the municipality as shareholder in the con-struction of new energy generation facilities, or to participation ofend-users in the financing of energy conservation measures, or yetpromotion of energy efficiency through energy prices and rates, areequally important for them.


Conclusions


1. Barriers to Energy Efficiency Projects in Municipalities. Study on financial barriers to project implementation. Proposals for their overcoming. EnEffect, 2004

2. Bie, M.J. van der and E.M.A. Leussink. Communication Manual for Municipalities in Central and Eastern Europe.Energy Efficiency Series for Central and Eastern Europe.Vol. 3, Utrecht, Institute for Environmental Communication, 1996

3. Wucki, A. Energy Planning on the Example of the City of Szczecin. Szczecin: City Hall, Strategy and Urban Development Department, 2000

4. Genchev, Z. Local Energy Planning - a Prerequisite for Sustainable Energy Policy. EnEffect, 2001

5. Genchev, Z. et al. Municipalities and Energy. Good Practices.EnEffect, 2002

6. Genchev, Z. et al. A Guide on Energy Planning. EnEffect, 2000

7. Deakin, J. F., C. Broomhead and E. Carlassare. Tools for the Job. How to Develop a Municipal Energy Management Program. San Francisco, CA: Bureau of Energy Conservation, 1995

8. EcoEnergy. Municipal Energy Efficiency Network. Review of Activities during the period 1997 - 2003. EnEffect, 2004

9. The Result of a Recognized Need. Demonstration project for energy efficiency retrofit of the administrative building of the Gabrovo municipality. EnEffect, 2004

10. Learning about Energy Efficiency. Review of the activities and results from local capacity building for energy efficiency improvement in municipalities. EnEffect, 2004

11. Investment in the Future. Energy Efficiency Demonstration Project in Otets Paisii School in the city of Gabrovo.EnEffect, 2003

12. Information System on Energy Consumption in MEEN EcoEnergy Member-municipalities. EnEffect, 2000

13. Lottemozer, J. and K. Kaplen. Management of Energy Consumption in German Municipalities. Berlin: German Urbanistic Institute, 1997

14. Guide for Implementation of Projects for Energy Efficiency in Street Lighting. EnEffect Library No. 10, 2003

15. Untapped District Heating Potencial. Demonstration project for energy efficiency renovation of district heating and heating end-use in the city of Gabrovo. EnEffect, 2003

16. Belogradchik Municipality. Energy Efficiency Programme, 2002

17. Bourgas Municipality. Municipal Energy Efficiency Programme, October 2001

18. Varna Municipality. Energy Efficiency Programme, 2001

19. Vidin Municipality. Energy Efficiency Programme, 2002.Approved by the Municipal Council in November 2002

20. Gabrovo Municipality. Municipal Energy Efficiency Programme, June 2000

21. Gorna Oriahovitza Municipality. Energy Efficiency Strategy, 2001. Approved by the Municipal Council in February 2002.

22. City of Dobrich Municipality. Energy Efficiency Programme for the Period until 2006, Phase One 2001 - 2003. Approved by the Municipal Council in November 2001.

23. Kazanlak Municipality. Municipal Energy Efficiency Programme, October 2000

24. Kardjali Municipality. Energy Efficiency Programme 2002-2006, January 2002

25. Omourtag Municipality. Energy Efficiency Programme, 2001.Approved by the Municipal Council in October 2002.

26. Razgrad Municipality. Energy Efficiency Programme, July 2001

27. Svishtov Municipality. Municipal Energy Efficiency Programme, 2002

28. Sliven Municipality. Municipal Energy Efficiency Programme, 2001. Approved by the Municipal Council in September 2002

29. Stara Zagora Municipality. Energy Efficiency Programme, 2000

30. Haskovo Municipality. Energy Efficiency Programme for the Period 2002-2004. Approved by the Municipal Council in May 2002.

31. Yambol Municipality. Municipal Energy Efficiency Programme, September 2001

32. Major Barriers to Implementation of Energy Efficiency Projects in Bulgarian Municipalities.EnEffect Library No. 2, 2002

33. Partnership to Mutual Benefit. Energy Efficiency Demonstration Project in Mehatronika JsC in Gabrovo.EnEffect, 2004

34. Fifth Annual Conference of the Municipal Energy Efficiency Network EcoEnergy, Sofia, 15-16 April 2003.EnEffect Library No. 9, 2003

35. Better Health Care with Less Energy. Energy EfficiencyDemonstration Project in the Dr. Tota Venkova Regional Hospital inthe city of Gabrovo. EnEffect, 2003

36. Transfer of Ownership Rights on Street Lighting onto Municipalities. EnEffect Library No. 3, 2002

37. Project "Establishment of a Regional Energy Agency" in StaraZagora in the framework of the SAVE II Programme of the European Commission. EnEffect, 1999

38. Energy Efficiency Projects in School Buildings in Bulgaria.Good Practices. EnEffect, 2003

39. Regional Network for Efficient Use of Energy and Water Resources (RENEUER). EnEffect Library No. 4, 2002

References


40. More Comfort with Less Energy. Retrofit of a Large-panel Residential Building to Reduce Energy Use. EnEffect, 2004

41. Light for Comfort and Safety. Demonstration Project for Energy Efficiency Improvement of the Street Lighting in Gabrovo. EnEffect, 2003

42. Energy Efficiency Strategy to Mitigate GHG Emissions.Energy Efficiency Demonstration Zone in the City of Gabrovo, Republic of Bulgaria. EnEffect, 2002

43. Jong, M.I.C.A. Energy Efficiency Policy Planning for Municipalities in Central and Eastern Europe. Utrecht:Novem, 1996

44. Andronov, Tsv. What Does Pernik Municipality Do to Save Energy, EcoEnergy Magazine 2/2002, p. 5 - 6

45. Vraykov, M. Solar Systems for Domestic Hot Water in Belene.EcoEnergy Magazine, 1/2002, p. 8

46. Energy Efficiency in Municipal Buildings in Targovishte, EcoEnergy Magazine 2/2003, p. 18

47. Energy from Biomass in Apriltsi Municipality.EcoEnergy Magazine, 1/2002, p. 23

48. Building Labeling in Denmark. EcoEnergy Magazine, 3/2003, p. 16

49. Dinev, K. Issue of Municipal Bonds for Efficient Lighting in Varna Municipality. EcoEnergy Magazine, 2/2003, p. 14-15

50. Co-greneration in Pravets. EcoEnergy Magazine, 2/2002, p. 22

51. Laponche, Bernard. Energy Planning: Weapon for Politicians and Energy Efficiency Defendants. EcoEnergy Magazine, 2/2003, p. 4-5

52. Improvement of the Efficiency of Space Heating in the Housefor the Aged in Silistra. EcoEnergy Magazine, 2/2003, p. 18

53. The Energy Planning Process.EcoEnergy Magazine, 2/2003, p. 6-7

54. Simeonov, K. The First Private District Heating Plant in Bulgaria. The Municipality of Stamboliyski Invests in a PrivateTPP. EcoEnergy Magazine, 2/2003, p. 12-13

55. Stefan, Helene. Integrated Energy Planning in Bretagne.EcoEnergy Magazine, 2/2003, p. 8-9

56. Stoilov, A. Energy Monitoring in Schools in Stara Zagora.EcoEnergy Magazine, 4/2002, p. 16

57. Stoykov, A. Phase Two of the Demonstration Project in Pleven. EcoEnergy Magazine, 1/2002, p. 18-19

58. Terziev, D. Renewal of the Space Heating Systems in Municipal Sites in Kardjali. EcoEnergy Magazine, 3/2003, p. 18

59. Energie-Cites Info. Twice-Yearly Information Bulletin for a Local Sustainable Energy Policy in Europe. Besancon:Energie-Cites, 1-26/1994-2003

60. Hannover, Germany. Comprehensive Municipal Energy Efficiency. The Results Center.http://sol.crest.org/efficiency/irt/bytype.htm

61. Copenhagen, Denmark. Comprehensive Municipal Energy Efficiency. Copenhagen: The Results Center.http://sol.crest.org/efficiency/irt/bytype.htm

62. Laponche, Bernard et al. Energy Efficiency for a Sustainable Word. Paris: International Conseil Energie, 1997

63. Leicester, England. Comprehensive Municipal Energy Efficiency. The Results Center.http://sol.crest.org/efficiency/irt/bytype.htm

64. Local Energy Policies in Poland and the Czech Republic.Energie-Cites, June 2001

65. Newcastle upon Tyne: Energy & the Urban Environment.Newcastle City Council, 1997

66. Papousek B., St. Kirchpal and K-H. Lesch. The Municipal Energy Concept KEK of Graz Summary of the Results.Energieverwertungsagentur (E.V.A.), ACEEE Summer Study, 1996

67. RENEUER Circle "Energy Efficiency Programmes, Practices and Instruments". Proceedings. Paris, 9-13 September 2003

68. Saarbrucken, Germany, Comprehensive Municipal Energy Efficiency. The Results Center.http://sol.crest.org/efficiency/irt/bytype.htm

69. Urban Energy Planning Guide. Energie-Citås, 1994


I. General state department

III.Education - total, incl.

A. Education

B. Youth activities

C. Semi-higher institutes /Colleges

IV.Health care

V. Social insurance and social care

B. Social insurance activities and departments

VI. Housing construction and communal services

VII. Activities related to recreation, cultural and

religious activities - total, incl.

A. Recreation

B. Physical culture and sports

D. Culture

VIII. Economic services - total, incl.

B. Agriculture, forestry, fishing, hunting

C. Transport and communications

E. Other economic activities and departments

12

0

0

0

0

1

0

0

0

0

0

0

0

0

0

0

7

0

0

0

0

2

0

0

4

0

0

4

0

0

0

0

42

8

0

0

0

38

15

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

1

0

0

0

0

0

0

0

0

0

38

633

0

0

0

19

98

0

0

0

0

0

10

0

0

10

0

0

0

0

0

0

1

0

0

0

0

0

0

0

0

0

218

1662

0

0

0

272

221

812

97

0

0

97

0

0

0

0

0

0

0

0

0

0

1

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

1

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

1

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

1

0

0

0

0

0

0

0

0

0

Description / title

The "ton of oil equivalent" (toe) measures the quantity of heat pro-duced by each type of fuel.

1 toe = 41.868 GJ = 10 Gcal = 1.428 tons of coal equivalent = = 11.63 MWhToe firewood = C*3.563*0.02388 = C*0.08508

C = quantity of wood in cubic meters

Toe coal = C*9*0.02388 = C*0.21492C = quantity of coal in tons

Toe naphtha for space heating = C*1000*41650*0.02388/1000000 == C*0.9946

C = quantity of naphtha for space heating in tons

Toe naphtha for space heating = C*840*41650*0.02388/1000000000 == C*0.000835

C = quantity of naphtha for space heating in liters* Conversion of naphtha for space heating in liters (C) in naphthafor space heating in tons

= C/1191

Toe DH heat = C*0.02388/0,2388 = C*0.1C = quantity of heat in Giga-calories

Toe propane-butane gas = C*1000*46035*0,02388/1000000 == C*1.09932

C = quantity of propane-butane gas in tons

Toe electricity = C*0.02388*1000/278 = C*0.0859C = quantity of electricity in thousand KiloWattHours

Toe petrol for vehicles = C*760*42500*0.02388/(1000*1000000) = = C*0.00077

C = quantity of petrol for vehicles in litres

Toe naphtha for vehicles = C*840*41868*0.02388/(1000*1000000) == C*0.00084

C = quantity of naphtha for vehicles in litres

Toe mazut = C*1000*38900*0.02388/1000000 = C*0.92893C = quantity of mazut in tons

Toe light ship oil = C*840*42700*0,02388/(1000*1000000) = = C*0.00086

C = quantity of light ship oil in liters

Toe natural gas = C*7966/104 = C*0.7966C = quantity of natural gas in thousand normal cu.m

Aggregate information about municipalities

Annex 1, Part Two

Determination of the “ton of oil equivalent” (toe)

Annex 2, Part Two

Woo

d (c

u.m

)

Coa

l (to

ns)

Nap

htha

for s

pace

heat

ing

(tons

)

Hea

t (G

cal)

Nat

ural

gas

('ooo

Nm

3 )

Prop

ane-

buta

ne g

as(to

ns)

Elec

trici

ty

('000

kW

h)

Petro

l for

veh

icle

s(li

tres)

Nap

htha

for v

ehic

les

(litre

s)

Maz

ut(to

ns)

Ligh

t shi

p oi

l (li

tres)


Specific energy consumption by sectors and target groups

Year: 2000 Quarters: 1-4

Annex 3, Part Two

Settlement

City of Dobrich

City of Dobrich

City of Dobrich

City of Dobrich

City of Dobrich

KWh/sq.m

74.3625

143.4303

77.6181

33.5840

136.1892

MWh total

7.585

10.040

6.830

6.314

548.706

Site

Land Commission

House of the Teacher

Children's Pedagogical Centre

Civil registration and services

City of Dobrich Local Authority

Sector: General Governmental Offices

Target group: Administrative buildings

Municipality: City of Dobrich

Settlement

City of Dobrich

City of Dobrich

City of Dobrich

City of Dobrich

City of Dobrich

City of Dobrich

City of Dobrich

City of Dobrich

City of Dobrich

City of Dobrich

City of Dobrich

City of Dobrich

City of Dobrich

City of Dobrich

KWh/sq.m

565.1979

27.0002

44.1258

39.4393

56.3779

70.0076

25.2543

59.9397

27.7290

28.2695

27.8013

55.1121

46.1182

38.4467

MWh total

27.129

54.000

110.403

62.985

88.062

91.010

90.158

92.247

95.110

77.458

113.262

72.307

62.767

74.202

Site

Transport unit - Directorate

Daily kindergarten No. 11


Lyubimka Daily kindergarten No. 29

Parvi Yuni Daily kindergarten No. 17

Daily kindergarten No. 33, Riltsi Quarter


Bodra Smyana Daily kindergarten No.8

Slaveyche Daily kindergarten No. 27

Prolet Daily kindergarten No. 7


Daily kindergarten No. 12, Daily kindergarten No. 12 - branch

Pchelichka Daily kindergarten No. 9, Daily kindergarten No. 9 - branch


Sector: Education

Target group: Kindergartens and combined child-care establishments


Settlement

City of Dobrich

City of Dobrich

City of Dobrich

City of Dobrich

City of Dobrich

City of Dobrich

City of Dobrich

City of Dobrich

City of Dobrich

City of Dobrich

City of Dobrich

City of Dobrich

City of Dobrich

City of Dobrich

City of Dobrich

City of Dobrich

City of Dobrich

City of Dobrich

City of Dobrich

City of Dobrich

KWh/sq.m

73.2799

521.6378

51.2890

50.8738

38.3892

0.1771

187.2248

4.4286

132.9283

5.4722

6.0018

14.5341

35.9613

4.3159

10.4177

8.4455

43.2606

17.9174

0.0735

101.9404

MWh total

175.945

1708.364

143.814

341.058

267.688

0.911

217.930

19.384

235.416

49.797

41.016

34.983

134.316

17.255

68.215

74.489

125.023

195.819

0.374

88.076

Site

N.Y. Vaptsarov Primary School

Hristo Smirnenski Primary School

Otets Paisii Primary School

St. St. Kiril and Metodiy High School of Arts

Dora Gabe General Secondary School

Stefan Karadja Primary School

Khan Asparukh Primary School

Geo Milev Language High School

Panayot Volov Primary School

St. Kliment Ohridski General Secondary School

P.R.Slaveykov General Secondary School

Hristo Botev Primary School

G.S.Rakovski Sports School

Yordan Yovkov Primary School

Ivan Vazov Natural Sciences and Mathematics High School

Lyuben Karavelov General Secondary School

Bacho Kiro Primary School

High school hostel

Dimitar Talev General Secondary School

Otets Paisii Primary School, Riltsi Quarter

Sector: Education

Target group: Schools, semi-higher institutes, colleges



Settlement

City of Dobrich

City of Dobrich

City of Dobrich

City of Dobrich

City of Dobrich

KWh/sq.m

39.1641

31.7989

100.0850

27.6945

17.5776

MWh total

93.994

77.558

128.009

68.738

66.022

Site


Slanchitse Daily kindergarten No. 10

Vessela Daily kindergarten No. 25



Settlement

City of Dobrich

City of Dobrich

City of Dobrich

City of Dobrich

City of Dobrich

City of Dobrich

City of Dobrich

KWh/sq.m

75.7783

52.6951

87.8515

93.0782

186.3472

59.3090

85.0619

MWh total

128.368

97.275

92.244

96.243

57.022

103.791

86.253

Site

Creche No.4 and Rehabilitation Centre

Parvi Yuni Creche No.6

Zdrave Creche No.1

Slanchevo Detstvo Creche No. 3

Children's dairy kitchen

Prolet Creche No. 5

Radost Creche No.2

Sector: Health care

Target group: Creches

Îáùèíà: City of Dobrich

Settlement

City of Dobrich

KWh/sq.m

98.4933

MWh total

22.063

Site

Rehabilitation centre and Creche

Sector: Social insurance and social care

Target group: Regional Centre for Social Care


Settlement

City of Dobrich

KWh/sq.m

0.0008

MWh total

772.364

Site

Street lighting

Sector: Housing construction and communal services

Target group: Public lighting - streets and squares


Settlement

City of Dobrich

City of Dobrich

City of Dobrich

KWh/sq.m

225.4539

8.8876

104.9650

MWh total

54.785

13.589

102.236

Site

Social patronage building

Administrative building - Social insurance

House of the aged - Riltsi Quarter

Sector: Social insurance and social care

Target group: Social care establishments


Settlement

City of Dobrich

City of Dobrich

City of Dobrich

KWh/sq.m

7.8426

27.9725

52.5798

MWh total

10.980

27.972

9.990

Site

Centre for scientific and technical creative activities of young people

Youth Centre

Centre for work with children

Sector: Education

Target group: Youth activities


Settlement

City of Dobrich

City of Dobrich

City of Dobrich

City of Dobrich

City of Dobrich

KWh/sq.m

32.4681

46.1389

17.9955

32.6203

24.5689

MWh total

12.987

2.999

2.699

3.099

2.899

Site

Professional folks ensemble

Pensioners' club, Riltsi Quarter

Pensioners' club, Nezavisimost St.

Pensioners' club, Al. Stamboliyski St.

Pensioners' club, Otets Paisii St.

Sector: Culture, religion and recreation

Target group: Libraries, houses of culture



Description

1. Electricity

2. Naphtha for space heating

3. Naphtha for space heating

4. Heat

5. Natural gas

6. Mazut

7. Propane-butane gas

8. Light ship oil

9. Light ship oil

10. Industrial gasoilÏðîìèøëåí ãàçüîë

11. Industrial gasoil

12. Firewood

13. Coal

14. Petrol for vehicles

15. Naphtha for vehicles

Value

3888

12 973

17 600

1663

Quantity

30.9

13

19 000

1520

Unit

'000 kWh

ton

litres

MWh

'000 Nm3.

ton

ton

litres

ton

litres

ton

m3

ton

ltres

litres

Settlement

City of Dobrich

City of Dobrich

City of Dobrich

City of Dobrich

City of Dobrich

City of Dobrich

City of Dobrich

City of Dobrich

KWh/sq.m

225.3894

9.5683

109 392.3628

57.4435

64.3117

26.4740

52.5150

104.7095

MWh total

11.720

21.978

1 093.924

0.919

0.514

0.159

1.575

1.675

Site

Yordan Yovkov Memorial house

Art gallery

Museum - city park

Bay Tsonyo House

Dimitar Spisarevski House

Military Cemetery Memorial Complex

Building of the Archeology Department

Ethnographic House-museum

Sector: Culture, religion and recreation

Target group: Museums, art galleries


Settlement

City of Dobrich

City of Dobrich

City of Dobrich

KWh/sq.m

90.724

17.345

247.593

MWh total

90.724

17.345

247.593

Site

Vegetation Dept. - City Park

Zoo

Vegetation Dept. - Decorative plant nurserie

Sector: Economic services

Target group: Miscellaneous municipal sites


Municipality: Gorna Oryahovitsa

Sector: Education

Site: Ivan Vazov Primary School, city of Gorna Oryahovitsa

Total number of sites covered by the report: 75

Report about the actual fuel and energy costs by types for 2003

Annex 4, Part Two


Major indicators characterising energyconsumption in buildings

Annex 5, Part Two

Activity: ..................................................................................... Municipality:..................................................................................................

Site: .......................................................................................... District: .......................................................................................................

(Title) Settlement: ...................................................................................................

Address: .........................................………………………………………………………..........................................................................................

Filled-in by: ..................................................................................................................…….................................................................................(Name, position, Tel. No.)

Contact person: ...................................................................................................……..........................................................................................(Name, position, Tel. No.)

Number of catered buildings: ……………………………………………………………............................................................................................

1.Type of building…………………......….………………………............

2.Year of construction: ........................................................................

3. Number of floors: ………...............................................….…………

4. Type of construction technology: brick-carcass, panel, large-scale shuttering, etc. ……………………..............................................

5. Built-up area: .....................….........................................………. m2

6. Floor area: .................................................................................. m2

7. Built-up volume of the buildings along the outside perimeter:...........……..................................................................................... m3

8. Type of space heating: centralised district heating, local spaceheating, electricity, coal, briquettes, naphtha, firewood, gas, etc.

9. Connected heat load (for buildings with in-house space heatingsystem): ...…...................................................................………….kW

10. Age and state-of-repair of the systems. (Òàble 1)

11. Heat sources. (Òàble 2)

12. Heated area: ............................................................................ m2

13. Average annual number of permanent personnel: ………......……

14. Duty cycle of operation of the building:

Year-round: ........................................(number of workdays per year)

Seasonal: ...........................................(number of workdays per year)

Number of work hours per day: .……..................................................

15. Energy efficiency measures implemented during the three recentyears:...............................................................................................................................................................................................................

16. Currently implemented energy efficiency programme:Yes / No

If the answer to questions 15 and 16 is YES, please fill in Items 16.1through 16.3:

16.1. Brief description of the activities.................................................

16.2. Investments................................................................................

16.3. Estimated effect..........................................................................

*) Note:To be filled in for the following sites:- Daily, curative, half-day, temporary and summer kindergartens, combinedchild care establishments, combined child care complexes;- Schools for retarded children, general, evening and sports schools, climat-ic schools, vocational training educational establishments- Centres for children and adolescents, centres for professional training, cen-tres for work with handicapped children;- Hostels, semi-boarding schools, school holiday camps, sports boardingschools, sports schools, school canteens;- Young technicians' and agrobiologists stations, observatories and planetar-iums;- Post-graduate professional schools, colleges;- Other buildings in the field of education, which service activities havingcosts covered from the municipal budget.

In-house system

Electrical wiring system

Space heating system

Ventilation system

Air conditioning system

Gas supply system

Miscellaneous

Year of

installation

State of repair:

poor, satisfactory, good, very good

Type of system

Type Model Year of

installation

Type of

installation

Capacity

kW

State Automation

Yes / No

Description

Òàble 2. Heat sources.

Table 1. Age and state-of-repair of the systems.

Major characteristics of the buildings (to be filled in for every building)


Sectors

General governmental offices

Education

Health care

Social insurance, social assistance and social care

Housing construction and communal services

Activities related to recreation, culture and religion

Economic services

Target groups

1. Administrative buildings

2. Kindergartens and combined child care establishments

3. Curative kindergartens

4. Schools, semi-higher institutes, colleges

5. Hostels and boarding houses

6. Inter-school centres for vocational training

7. Creches

8. Hospitals

9. Polyclinics

10. Rural health case sections and centres

11. "Mother and Child" Homes

12. Stomatological laboratories

13. Municipal social assistance bureaus

14. Social care establishments

15. House social patronage

16. Public lighting of streets and squares

17. Other communal activities

18. Libraries, houses of culture

19. Museums, art galleries

20. Holiday centres

21. Stadiums

22. Sports halls

23. Transport

24. Municipal markets and marketplaces

Municipal sectors and target groupsadopted in EcoEnergy

Annex 6, Part Two

Sectors

General Governmental offices

Education

Health care

Social insurance

and social care

Characteristic of the specific manner of energy consumption of the major target groups

in the municipal sector

Annex 7, Part Two

Use of simi-

lar forms /

equipment

Yes

Yes

Yes

Yes

Yes

No

No

Yes

Yes

Specific

indoor

requirements

No

No

Yes

Yes

Yes

No

Yes

No

Yes

Major target groups

Administrative buildings

Schools, semi-higher institutes,

colleges

Kindergartens, combined child

care establishments

Creches

Hospitals

Polyclinics, rural health care

sections and centres

"Mother and Child" Homes

Regional Social Care Centre

Social care establishments

Differences

among the dif-

ferent zones of

the sites

No

No

No

No

Yes

No

Yes

No

Yes

24-hour

schedule

During the day

During the day

During the day

During the day

24 hours

During the day

24 hours

During the day

24 hours

Annual/seasonal

schedule of ener-

gy consumption

Round the year

Less the summer

season

Round the year

Round the year

Round the year

Round the year

Round the year

Round the year

Round the year

Weekly schedule

Only on workdays

Only on workdays

Only on workdays

Only on workdays

Every day

Only on workdays

Every day

Only on workdays

Every day


Template of the Municipal Energy Efficiency Programme Contents

Annex 8, Part Two

Sectors

Housing construction

and communal services

Activities related to

recreation, culture and

religion

Economic services

Use of

similar

forms /

equipment

Yes

Yes

Yes

Yes

Yes

Yes

Yes

Specific

indoor

requirements

No

No

Yes

No

No

Yes

No

Major target groups

Public lighting -

streets and public squares

Libraries, houses of culture

Museums, art galleries

Holiday centres

Stadiums

Sports halls

Public transport

Weekly schedule

Every day

Only on workdays

Only on workdays

Every day

Only on workdays

Under specific

schedule

Daily

Differences

among the

different zones

of the sites

Yes

Yes

Yes

Yes

Yes

Yes

Yes

Annual / seasonal

schedule of energy

consumption

Round the year

Round the year

Round the year

Round the year with

seasonal peaks

Predominantly out of

the winter season

Round the year

Round the year

24-hour

schedule

Only on workdays

Only on workdays

During the day

24 hours

Under a specific

schedule

Under specific

schedule

Under specific

schedule

1. OBJECTIVES OF THE MUNICIPAL ENERGY EFFICIENCY PROGRAMME1.1. Linkage of the Municipal Energy Efficiency Programme to the development strategy of the municipality1.2. Defining the "energy efficiency issue" as related to the municipality 1.3. General analysis of the energy efficiency potential of the municipality1.4. Objectives of the Municipal Energy Efficiency Programme 2. FUNDAMENTALS OF THE MUNICIPAL ENERGY EFFICIENCY PROGRAMME2.1. Method applied for elaboration of the Municipal Energy Efficiency Programme 2.2. Information database of the Municipal Energy Efficiency Programme 3. PRIORITIES OF THE MUNICIPAL ENERGY EFFICIENCY PROGRAMME3.1. Selected priority target groups3.2. Selected priority sites3.3. Selected approach and measures for energy efficiency improvement4. SUMMARY PARAMETERS OF THE ESTIMATED EFFECTS FROM THE APPLICATION OF THE

MUNICIPAL ENERGY EFFICIENCY PROGRAMME:3.4. Energy savings3.5. Environmental impact3.6. Cost-effectiveness of the programme 3.7. Improvement of the quality of municipal services3.8. Additional benefits5. INVESTMENT REQUIREMENTS FOR IMPLEMENTATION OF THE MUNICIPAL ENERGY EFFICIENCY PROGRAMME6. FINANCIAL BACK-UP OF THE PROGRAMME (FINANCIAL PLAN)6.1. Equity assets6.2. Loans6.3. Funding provided under international and foreign programmes6.4. Attraction of funding from miscellaneous sources7. ORGANIZATIONAL ARRANGEMENTS FOR IMPLEMENTATION OF THE PROGRAMME7.1. Institutionalization (working group for implementation of the Municipal Energy Efficiency Programme)7.2. Implementation deadlines7.3. Organizational modalities of programme implementation (subcontractors, ESCOs, etc.) 7.4. Creation of a communication system8. ORGANIZATION OF MONITORING AND CONTROL OF IMPLEMENTATION ACTIVITIES


Energy carrier

Firewood

Coal

Naphtha for space heating

Heat

Natural gas

Propane-butane gas

Electricity

Heavy oil

Light ship oil

Industrial gas oil

Total

Value, BGN

2 601.34

6 736.50

0.00

0.00

0.00

0.00

10 827.97

0.00

0.00

62 818.93

82 984.74

MWh

77.377

172.467

0.000

0.000

0.000

0.000

87.242

0.000

0.000

765.378

1102.465

TOE

6.653

14.829

0.000

0.000

0.000

0.000

7.501

0.000

0.000

65.811

94.795

Year: 2002

Quarters: 1 - 4

Activity: Education

Target group: Schools, post-graduate professional schools, colleges

Municipality: Aytos

Model table about the total energy consumption of a target group

Annex 9, Part Three

Type of energy produced

Electricity

- by TPP

- by HPP

Heat

- by TPP

- other sources

Domestic hot water

Value in BGN

thousand

Annual production

output

Method of

generation

Unit


Annex 10, Part Three

District heating

companies and

HPPs

1.

2.

3.

4.

Heat supplied to

the municipality

Gcal

Electricity sold in

the municipality

kWh

Heat output

million GcalType of

fuel

Capacity

MWElectricity output

million kWh

Gross Net

Data about electricity produced by TPPs and HPPs



TPP name Coal (thousand t)

Total / Of local origin

Heavy oil

(thousand t)

Gas

(thousand litres)

Data about fuels used for energy generation by TPPs


1. The municipal energy efficiency

policy and the role of communication

with the public

Communication strategy

Specification of communication

activities

Preface: the reason to make this plan

Outline of the energy policy and its central targets

Central clusters of issues and the directions in which solutions might be found

The contribution of communication activities in relation to other policy instruments (regulatory

and financial instruments)

Priority of the clusters of issues in time

Central target groups for communication activities

Central participants in communication activities

Indication of budget for communication activities

Indication of central results of communication activities

Specification of the selected issue

Selecting target groups

Communication targets for each target group

Communication messages for each target group

Selection of communication means

Organisation of the communication activities

Division of tasks and responsibilities

Participation of intermediary organisations or persons

Coordination

Planning in time

Division of budget

Model Communication Plan on energy efficiency issues

Annex 13, Part Four


Checklist for collecting further information on characteristics of target groups

Annex 14, Part Four

A. Social-demographic characteristics• scope of the group (size);

• sex;

• education, profession and hobbies;

• residential area;

• income;

• civil status;

• practices and roles with regard to energy policy;

• position within networks, membership in organisations.

B. Knowledge, attitude and behaviour (present versus desirable)• Try to divide your target groups into subgroups as much as possi-ble. Find out whether the target groups are organised in one way oranother.

• Do these target groups know enough about the issues or is therea lack of knowledge? Describe as accurate as possible the ele-ments of knowledge that are lacking.

• Are the target groups aware of the issue?

• Do they realise the impact of energy issues/ Are they willing tocontribute to improvements or solutions? Describe the aspects oftheir attitude as accurate as possible. Those aspects can be bothpositive and negative.

• What behaviour of the target groups do you want to change? Tryto be as specific as possible.

Example: Concerning energy use, one may apply the followingindicators to distinguish between the behaviour of the individualconsumers: use of public transport or private car, use of heat-ing, use of domestic hot water, use of household appliances,energy saving by insulation of the premises and so on.

• Are target groups able to behave as you wish? Are there any constraints?

Example: If consumers cannot influence the heating system intheir house, it is of no use to communicate that they have tosave energy by lowering the temperature indoors.

C. Social networks and media communication of the target group• Is the target group organised in one way or another (for instance;branch organisation, trade union)?

• Are there specific organisations that usually inform your targetgroup? Are those organisations willing to act as an intermediary foryour message?

• Does your target groups attend specific meetings? Can thesemeetings be used in your communication strategy?

• What media are used by your target group?

- concerning information in general (for instance, the local newspaper);

- concerning information on energy;

- concerning information on the policies of the local authority;

• Has your target group extremely adjusted to a specific kind ofmedia - audio or audio-visual (such can be the case for a certaingroup of youngsters)?

• Is there any address database of your target group available? (Youcan spare time and money by using available address database).

Major means of communication

Annex 15, Part Four

One-to-one meetings

Group discussions,

Symposia

Seminars

Demonstrations

Pamphlets, leaflets, brochures

Magazines

Newsletters

Press releases

Manuals

Written media

Non-media communications Media communications


Press contacts

Annex 16, Part Four

General recommendations for press contacts• Mass media like to have news. Offer them current and reliableinformation, which has news value.

• Write in a comprehensible language.

• Give your information in time.

• Be honest. If you cannot answer right away, tell the journalists thatyou will call them back. If you do not want to answer a question,explain why.

• Define beforehand what you want to tell and what you don't wantto tell. Keep the interests of your organisation in mind.

• Appoint a spokesman (in order to prevent different interpreta-tions).

• Never give information to the media if the people whom it con-cerns do not yet know it.

• Maintain an up-to-date list of the media and try to build up a reg-ular contact with the most important journalists.

Recommendations on how to prepare a press releaseA press release is a brief notice for publishing in the press. Severalbasic rules need to be observed in preparing it:

• Indicate "Press Release at the top of each page.

• Indicate the date.

• The first sentence or paragraph should cover the five W's: Who,What, Why, When and Where.

• Each next paragraph covers one item.

• State the most important in the beginning.The further you go in thetext, the less important the information is.

• Provide your own suggestion for a title, but keep in mind that ajournalist usually chooses his own.

Games/contests

Theatre performances

Exhibitions

Telephone conversations

Information kits

Articles in selected press

Books

Letters (direct mail)

Slides

Posters

Stickers

Banners

Billboards

Bulletin boards

Maps / charts / diagrams

MuralsT-Shirts

RadioAudio tapes

Articles on selected radio programmes

Television

Cinema

Video-news releases

Articles on TV

Documentaries

E-mail message to selected users

CD-ROM

Conference on selected computer network

Written media

Visual media

Audio-media

Audio-visual media

Computer communications

Non-media communications Media communications


• Put a release on one page, if you can. If it takes two pages, clear-ly indicate the carryover.

• Clearly indicate the end of the release.

• Note at the bottom of the page the name, affiliation, address andphone number of the person who wrote the release and can providemore information.

• Give accurate information and be objective.

Recommendations on how to organise and conduct a press conference

Conducting a press conference is necessary if the information iscomplex. Those situations may cause many questions and calls foran oral explanation.

• Send invitations a fortnight before the conference. Ask journaliststo return a message whether they will be present. Remind those whodon't react two days before the date of the conference.

• Determine a limited number of spokesmen. Appoint one centralspokesman. Only those who have the actual knowledge and who arewilling to answer the questions in an open way should be behind thetable. Prepare them for possible questions and the information theywill be asked for.

• Make up a press file to hand out to the journalists. Include figures,photos, etc.

• Prepare an attendance list. Provide nameplates.

• Provide something to drink (coffee or tea).

• See to a proper illumination of the room and tables for the journa-lists to take notes.

• Start with a short introduction and introduce the spokesmen.

• Be at hand after the conference for further information or arran-ging an interview.

• Send a press file to the absent journalists.

• Keep up with the messages in the media afterwards.

Recommendations for organising and conducting an information meeting

Annex 17, Part Four

• Set up a task force of the people, who will be involved in organi-sing the meeting.

• Make a scenario for the preparations, the meeting itself and thefollow up, including description of the activities, planning and distri-bution of tasks.

• Discuss the scenario with your task force Hand out the definitiveversion to all those involved in the preparation for and conducting ofthe meeting.

• Make arrangements for the location, catering and the necessaryequipment (like microphones, overhead projector, flipover stand,blackboard).

• Make appointments with the chairman and the spokesmen. Give abriefing on the contents of their contribution.

• Decide on the information materials that must be specificallydeveloped, like slides, sheets, a brochure, etc. Draft a work plan forthe development of these materials and give brief instructions tothose involved.

• Make a plan for your press contacts.

• Send invitations to the participants and the press.

• Check equipment and catering on the day itself.

• Provide for additional equipment if needed and the appearance ofadditional spokesmen.

• Keep up the interest through notices in the press.

• Provide for an attendance list and send a report to those who werepresent at the meeting.


Recommendations for developing a brochure

Annex 18, Part Four

Start a small collection of printed matter like brochures and leaflets.It will help you conduct creative and well-structured briefings forcopywriters and designers.

• Determine whether it is necessary to make use of the services ofa professional copywriter.

• Briefing for copywriters, designers and printers should be bothoral and written.

• Examine the budget beforehand. The technical aspects arestrongly determined by the budget.

• The design ought to be entirely determined by the targets, the tar-get group and the messages. It is necessary that beforehand youform an idea of:

- type of paper;

- colour;

- pictures;

- size and number of pages;

- the finishing (folding, stapling, perforation);

• Using printed media means working with other organisations andpeople. Make sure to provide them with information, texts, photosetc. in time and on a regular basis. Preparing the respective sche-dule for regular briefing of those involved would significantly facili-tate the work.

• Determine how your brochure will be disseminated.

Arguments for saving energy

Annex 19, Part Four

The below listed arguments can be used in formulating the messages for every target group. It is desirable that you update and expandyour own list of arguments all the time depending on the established effectiveness of their impact on your specific target groups.

Financial

Environmental

Health

General responsibility

Alternatives

Comfort

• Prices of energy are getting higher.

• You can earn money with saving energy.

• Prices should take into account environmental damage.

Use of fossil fuels damages the environment and produces effects that cause damage at a local, regional,national and international level.

The effect on the environment may cause health problems, such as allergy, complaints of the bronchialtubes and cancer.

• For other people, for their health.

• For future generations, our children's children - the supply of fossil fuels.

• For the environment all over the earth - global warming, climate change, depletion of the ozone layer.

• Tell people what they can do themselves on energy saving.

• Show alternatives for heating, transport, etc.

• Invest in a promotional programme for alternative energy sources, like wind and water energy.

Promoting energy saving means gaining comfort.

Some frequently used arguments in favour of energy saving

Barrier

ECM initial costs

Non-budget benefits

Low initial costs driven

purchases

New technologies

hard to get

Unfamiliar

technologies

Insufficient

maintenance funding

Insufficient energy-

efficiency funding

Loan anxiety

Solution

Obtain funds for initial costs, educate funding

providers about the decreased costs associated

with energy efficient designs.

Quantify these benefits and educate budgetary

staff about their importance.

Create a policy that mandates the purchase of spe-

cific equipment; teach the procurement personnel

in life-cycle-cost purchasing.

Locate existing government contracts that include

new efficient items and make the purchase of this

type of products as easy as the practice for existing

products.

Educate procurement personnel about efficient

products and demonstrate a demand for them.

Restructure funding to support cost-effective ongo-

ing maintenance. Educate budget and mainte-

nance staff about the cost of poor maintenance.

Educate decision-makers about the need for ener-

gy conservation and the long-term costs of not

investing in energy efficiency.

Demonstrate to decision-makers through success

stories and analysis that the risk is low and the

return on investments high.

Description

Funding providers do not support cost-effective and

energy efficient proposals because of the higher initial

price as compared to conventional solutions.

Benefits such as lower maintenance costs and less

environmental damage are not directly reflected in the

budget and for that reason they are underestimated.

Purchasing is based on the principle of keeping initial

costs as low as possible, resulting in selection of prod-

ucts that cost much more over their lifetimes.

Purchasing contracts for equipment do not include

new efficient products; they just stipulate the prices

and the administrative advantages of traditional equip-

ment.

Procurement personnel is not willing to purchase new

energy efficient products that they are unfamiliar with.

The shortage of funding for maintenance results in

premature deterioration and inefficient operation of

equipment.

Low funding levels do not allow energy offices to

implement cost-effective retrofits.

Decision-makers are unwilling to pursue loans for

energy conservation projects because of the per-

ceived risk and a low awareness of benefits.

A. Budgeting and Purchasing Barriers


Possible approaches to probable barriers to implementation of the municipal energy policy

Annex 20, Part Four

Description

Since laws restrict the terms of contracts to one year,

Third Party Financing is not possible.

There is no specific policy mandating energy efficien-

cy, leaving energy decisions to individual discretion.

New efficient equipment is not welcomed by operators,

who are accustomed to familiar equipment and fear

new complexities.

Facility staff is discouraged by lack of action (usually

due to a lack of funding) and resents studies that do

not seem to result in any action.

Facility maintenance staff believes they need to keep

equipment in a condition where it fails frequently to

keep their jobs.

Policy decision-makers are most responsive to short-

term visible results and are not motivated to plan for

the long-term term.

Immediate, critical issues (such as staff cutbacks)

make energy conservation a low priority, especially in

terms of funding.

Projects do not get full support from the people who

are had either not been informed or are outside of the

decision-making process.

Since changing the status quo is difficult and per-

ceived as risky, staff resists change.

Review of the energy-related issues is not formally inte-

grated into the design process, so opportunities for

review of planned projects are missed.


Barrier

No multiple-annual

contracts

No energy manage-

ment policy

Technology anxiety

Actions, not studies

Job preservation

Lack of foresight

Low priority

Incomplete involve-

ment of the staff

Resistance to change

Unknown projects

Solution

Convince policy makers of the importance of Third

Party Financing and seek to make it legal.

Convince individual decision-makers of the need for

energy conservation by emphasising the benefits

that overlap with issues on their agenda; help poli-

cy-makers create/enforce such policies.

Provide training on new technologies.

Provide some action in the near term to gain the

confidence of facility staff; demonstrate the value of

audits and other studies.

Show work that is currently not being performed,

however that could be, if the maintenance staff did

not need to frequently repair equipment.

Make sure your long-term plans include short-term

milestones, where successes can be publicised.

Show the amount of money that can be saved and

the cost of inaction.

Educate the funding entities about the benefits of

energy conservation, emphasising financial

aspects and items that overlap with their agenda.

Cultivate two-way communication with all involved

parties.

Use tangible project successes to reduce percep-

tion of risk. Share achieved success.

Study design process and identify key design staff;

develop and institutionalise a mechanism for iden-

tifying upcoming opportunities.

B. Policy and attitude barriers


Barrier

Large number of sites

Poor tracking and invi-

sible results

Low awareness

Narrow focus

Lack of maintenance

knowledge and experi-

ence

Brand new technical

information

No constituency

No expertise in energy

efficient design

No ongoing design

training

Solution

Identify existing sources of facility data; develop an

energy accounting system; prioritise the facilities to

audit and estimate the energy saving potential in

facilities without auditing them all.

Develop an energy accounting system; use results

from similar projects as arguments in support of

projected results; provide information to the staff of

the respective departments in an appropriate for-

mat

Develop education programmes for staff (and the

public, where appropriate).

Wherever possible, measure the energy savings

directly; document conventional assumptions, fol-

low up on projects and emphasise avoided costs.

Meet with occupants before and after retrofits to

identify issues and opportunities.

Help ensure training for the maintenance staff on

energy efficiency issues; demonstrate the cost

effectiveness of this investment.

Develop a network of information sources from go-

vernment, private designers, R&D laboratories, pro-

fessional associations and vendors.

Develop ties with local organisations that support

resource conservation; publicise successful pro-

grammes and enlist support.

Identify and develop resources for design review

and designer training; provide technical guidance.

Demonstrate benefits of keeping designers up-to-

date on new materials and provide contracts and

training opportunities.

Description

Energy offices have insufficient resources to audit all

facilities in order to determine which of them need the

most urgent attention.

Poor tracking of energy use and energy costs makes

actual energy savings difficult to quantify billing errors

difficult to find.

Staff (and the public0 do not fully understand or value

the benefits of energy conservation.

The achieved energy savings from the energy conser-

vation measure fall short of the projections due to load

increase of changes in occupants' behaviour.

Maintenance staff on in-house heating, ventilation and

air conditioning systems are not extensively trained in

respect of the energy efficiency related aspects of their

work.

New energy efficiency technologies raise many ques-

tions about technical performance and other issues.

Since public support for energy conservation is very

low, decision-makers do not actively support it conser-

vation.

Designers lack expertise in energy efficient design

practices and equipment.

Designers are not current on existing energy efficient

equipment and practices.

C. Awareness and information barriers

Barrier

No continuity

Isolated projects

Environmental issues

Communication break-

down

Mixed technologies

Solution

Teach energy efficient design principles using spe-

cific projects as case studies. Provide teaching

aids. Provide regular in-service training to staff.

Retrofit groups of facilities that offer similar opportu-

nities and are occupied by the same department.

Establish contacts and coordinate efforts with other

agencies responsible for dealing with hazardous

waste disposal.

Determine all relevant parties and keep them

informed; establish permanent channels of commu-

nication between them.

Perform comprehensive retrofits to change all

equipment at once; wherever possible, standardise

replacement equipment and coordinate with equip-

ment operators.

Description

Assisting designers with the energy efficient design on

one specific project does not result in designers apply-

ing the acquired knowledge to future projects.

Isolated retrofits at individual facilities are not fully inte-

grated into routine departmental operating proce-

dures.

Energy efficient retrofits can "generate" hazardous

waste.

Erroneous communication or lack of communication

(one hand not knowing what the other is doing) limits

the effectiveness of the programme.

Replacing old equipment with new energy efficient

equipment as needed results in confusing mixture of

technologies.

D. Coordination barriers


Introduction

Part One: MUNICIPALITIES, ENERGY RESOURCES AND SUSTAINABLE DEVELOPMENTFunctions of municipalities in the energy sector


Part Two: PREPARATORY WORK FOR COMPILING A MUNICIPALENERGY EFFICIENCY PROGRAMME

Step One: Building an information database for energy planning

Step Two: Selection of approach and methodology for compilation of the programme

Step Three: Formulation of the objectives, scope and spheres of impact of the programme and the actors

Part Three: ELABORATION OF A MUNICIPAL ENERGY EFFICIENCY PROGRAMME

Step Four: Baseline setting and baseline scenario

Step Five: Ranking of the target groups and sites according to their technical and economic potential for energy efficiency improvement

Step Six: Assessment of the local capacity and identification of the tools to be applied by the municipalityfor imple mentation of the programme

Step Seven: Defining the financial framework of the programme

Step Eight: Selection of priorities and compilation of the programme

Step Nine: Organisation of the implementation of the programme

Part Four: COMMUNICATION WITH THE PUBLIC

Communication as a tool of the municipal energy efficiency policy


Planning communication

Conclusions

References

Annexes

7

8

8

19

2424

31

33

40

40

44

48

51

54

64

66

66

68

69

74

75

77

Brief contents

EcoEnergy is a voluntary non-formal network of Bulgarian municipalities willing to improve the efficiency of fuel and energy end-use on their area. Founded in 1997 in Gabrovo, by 2004 theNetwork had a membership of 54 municipalities and 6 regional associations of municipalities or atotal of 159 municipalities as regular and associated members

EnEffect, Center for Energy Efficiency -www.eneffect.bg

Tel. +359 2 963 1714 / 963 0723 / 963 2169;Fax: +359 2 963 2574

E-mail: [email protected]

Mailing address: 1606 Sofia, P.O.Box 85

Office:1164 Sofia, 1, Hristo Smirnenski Blvd.

www.ecoenergy-bg.net

Unification of the efforts for impact on the national energy policy and elaboration ofproposals for institutional and legislative measures aimed at improvement of energyefficiency in municipalities

Interaction in and support for identification and overcoming of the barriers to efficientenergy use in municipalities

Identification of energy conservation opportunities in municipalities and assistance inthe design of municipal energy efficiency programmes and projects

Creation of institutional framework and local human potential for development andmanagement of municipal energy efficiency projects

Establishment and development of collaboration among member-municipalities to thebenefit of exchange of knowledge and experience in the field of efficient use of fuelsand energy

Collection and dissemination of information about achievements in the field of cost-effective energy use and about new technologies, products and materials

To contribute to promotion of energy efficiency as an integral part of the overallpolicy for sustainable development of each municipality

To contribute to reduction of municipal budget energy costs and creation of condi-tions for utilization of the money saved for other priority activities in municipalities

To encourage energy end-users in municipalities (households and business entities) to diminish their energy costs

EcoEnergy maintains an information database on energy sources and energy consumption in Network member-municipalities. The information is used in theprocess of development of municipal energy efficiency strategies and programmesand for identification, design and implementation of specific investment projects. Themembers of the Network set up specialized Municipal Energy Efficiency offices,which are the first steps towards the development of a modern institutional base ofrational use of resources in Bulgarian municipalities

Secretariat:

OBJECTIVES

PR IOR I T I ES

D A T A B A S EE

ne

rgy

eff

icie

nc

y fo

r su

sta

ina

ble

de

velo

pm

en

t

Publication of EnEffect

www.eneffect.bg

For contacts:

1606 Sofia, POBox 85

E-mail:

[email protected]

Tel.: +359 2 963 17 14, Fax: +359 2 963 25 74

Translator: Anna Dourcheva

Corrector: Nadya Mihaylova

Design and

Desk top publishing: SolAir Ltd.

Print: Press Product Line Ltd.

The Global Environment Facility (GEF) is a financingmechanism. It is structured as a trust fund, operatingin collaboration and partnership with its three execu-tive agencies - the United Nations DevelopmentProgramme (UNDP), the United NationsEnvironmental Programme (UNEP) and the WorldBank, with the aim to achieve global environmentalbenefits.

The United Nations Development Programme(UNDP) is the UN global network for introducingchange and facilitating the exchange of knowledge,experiences and resources among the states withthe aim to help people build a better life. UNDP ispresent in 166 states and works jointly with them forresolution of global issues and the national problemsthey stumble upon. Until they develop their own localcapacity they may draw on the experience of UNDPand its numerous partners.

UNDP/GEF support environmental projects in thefield of biodiversity, climate change, internationalwaters, depletion of the ozone layer in the atmos-phere, durable organic polluters and soil erosion.

The project is financed by the GlobalEnvironment Facility through the UNDP. It

aims at dissemination among Bulgarianmunicipalities of policies and practices that

can assist them to overcome successfullythe barriers to energy efficiency

improvement and reduction of GHGemissions and other environmental

polluters.

The project comprises two majorcomponents:

Local capacity building in Bulgarianmunicipalities in the field of energy efficiency;

Supporting demonstration projectsin typical energy end-user municipal sites.

The activities incorporated in the first projectcomponent are its core. They comprise

introduction of energy efficiencymanagement in municipalities, training of

local decision-makers and experts andintroduction of financial tools and

mechanisms for implementation of energyefficiency projects.

The demonstrations under the secondproject component aim at supporting the

development of local institutional and humancapacity and consolidating its importance for

and impact on the municipal policy. Theycomprise representative projects in the field

of street lighting, district heating andbuildings. The demonstration projects

illustrate how the local institutions and thenewly acquired knowledge and skills might

be applied under real conditions.

The activities under the two projectcomponents are concentrated in Gabrovo.

This municipality acts as a specific laboratoryin which different management and technical

approaches and solutions are elaboratedand tested. In fact, the impact of the project

is spread among all the municipalities-members of the Municipal Energy Efficiency

Network EcoEnergy and in a number ofcases even beyond its boundaries. The

number of municipalities influenced by theexperience of the Energy Efficiency

Demonstration Zone in the city of Gabrovoprovides grounds to consider that the

reforms in the field of sustainablemanagement of natural resources are

welcome throughout the country.

Energy Efficiency Strategy to MitigateGHG Emissions. Energy EfficiencyDemonstration Zone in the city of

Gabrovo

EnEffect, Sofia, 2004

http://creativecommons.org/licenses/by-nd/2.0/fr/deed.fr

municipal energy planning - eneffect

Documents

energy efficiency eneffectwww

efficient energy use

development of municipal

international development

local authorities

municipal decisionmakers

regional network

local market