COMMISSION STAFF WORKING DOCUMENT Guidance note on Directive 2012/27/EU on energy efficiency, amending Directives 2009/125/EC and 2010/30/EC, and repealing Directives 2004/8/EC and 2006/32/EC Article 7: Energy efficiency obligation schemes Accompanying the document COMMUNICATION FROM THE COMMISSION TO THE EUROPEAN PARLIAMENT AND THE COUNCIL Implementing the Energy Efficiency Directive – Commission Guidance
Date: 2013-11-06
Institutions: European Commission
Subjects: administrative check, application of EU law, energy consumption, energy efficiency, energy saving, energy use, renewable energy, scientific calculation













EUR-Lex - 52013SC0451 - EN











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52013SC0451

COMMISSION STAFF WORKING DOCUMENT Guidance note on Directive 2012/27/EU on energy efficiency, amending Directives 2009/125/EC and 2010/30/EC, and repealing Directives 2004/8/EC and 2006/32/EC Article 7: Energy efficiency obligation schemes Accompanying the document COMMUNICATION FROM THE COMMISSION TO THE EUROPEAN PARLIAMENT AND THE COUNCIL Implementing the Energy Efficiency Directive – Commission Guidance /* SWD/2013/0451 final */









Table
of contents
A.    Introduction.. 2
B.    How to calculate
the required amount of energy savings?. 2
C.    What policy
instruments and what criteria?. 9
D.    Which sectors
and individual actions are to be targeted.. 14
E.    How to calculate
the energy savings from each individual action?. 18
F.    What
measurement, control, quality, monitoring and verification requirements?  21
G.    What reporting
requirements?. 22
H.    List of studies
and papers. 24
Article 7: Energy Efficiency Obligation Schemes

A.    
Introduction

1.                 
Article
7 of the Energy Efficiency Directive[1]
(hereafter 'the EED' or 'the Directive') can be implemented by having in place
or establishing one or a combination of the following policy measures: (i)
energy efficiency obligation schemes or (ii) alternative policy measures. 
In doing so, certain steps need to be followed
by each Member State:
1.    Establish the
total quantity of energy savings that has to be achieved and its spread
over the obligation period (see Section B);
2.    Decide
whether to use energy efficiency obligation schemes or alternative
policy measures, or both, and, while designing the schemes or measures,
ensure that certain criteria are met (see Section C);
3.    Establish
which sectors and individual actions are to be targeted so that
the required amount of energy savings is achieved (see Section D);Establish how
energy savings from individual actions are to be calculated (see section
E);
4.    Ensure control,
verification, monitoring and transparency of the scheme or alternative
policy measures (see Section F); and
5.    Report and publish
the results (see Section G).
2.                 
There
are differences in some of these steps depending on the policy measure(s) to be
used. These differences, when applicable, are indicated in the text.
3.                 
The
document also includes a list of various reports and studies in Section H,
which could support the setting of national policy measures. This list is
indicative, of guiding nature and non-exhaustive. 
4.                 
This
note aims to provide guidance to Member States on how to apply Article 7 of the
EED. The note states the views of the Commission, does not alter the legal
effects of the Directive and is without prejudice to the binding interpretation
of Article 7 as provided by the Court of Justice.

B.    
How to calculate the required amount of energy savings?

5.                 
The
quantity of energy savings that is to be achieved over the seven-year
obligation period (1 January 2014 to 31 December 2020) is calculated in the
same way regardless of the methods that will be used to achieve it. To this
end, the following questions are relevant: 
1.      Which
datasets are to be used in the calculation? 
2.      How is the
overall amount of energy savings to be achieved over the seven-year obligation
period to be calculated? 
3.      How do the
energy savings required have to be spread over the seven-year obligation
period?
4.      Which options
from Article 7, paragraph 2, can be used and to what extent?

B1.      Which datasets are to be used in the calculation?

6.                 
Article
7, paragraph 1 states:
              'Each Member State shall set up an energy
efficiency obligation scheme. That scheme shall ensure that energy distributors
and/or retail energy sales companies that are designated as obligated parties
under paragraph 4 operating in each Member State's territory achieve a
cumulative end-use energy savings target by 31 December 2020, without prejudice
to paragraph 2.
              That target shall be at least equivalent to
achieving new savings each year from 1 January 2014 to 31 December 2020 of
1,5 % of the annual energy sales to final customers of all energy
distributors or all retail energy sales companies by volume, averaged over the
most recent three-year period prior to 1 January 2013. The sales of energy, by
volume, used in transport may be partially or fully excluded from this
calculation…'.
7.                 
It
follows that to calculate the overall amount of savings required, the average
of the annual energy sales, by volume, to final customers of all energy
distributors or all retail energy sales companies for the three years before 1
January 2013, i.e. for 2010, 2011 and 2012 needs first to be calculated.
Energy sales for the transport sector can be partially or fully excluded from
this calculation. To establish the statistical datasets to be used, the
following definitions in Article 2 should be considered:
'(20)       ‘energy distributor’ means a natural or legal
person, including a distribution system operator, responsible for transporting
energy with a view to its delivery to final customers or to distribution
stations that sell energy to final customers;
(21)        ‘distribution system operator’ means
‘distribution system operator’ as defined in Directive 2009/72/EC and Directive
2009/73/EC respectively;
(22)        ‘retail energy sales company’ means a natural or
legal person who sells energy to final customers;
(23)        ‘final customer’ means a natural or legal person
who purchases energy for own end use;'.
Thus the Directive prescribes
that all final energy (with the possible exception of energy used
in the transport sector) that is sold to a natural or legal person is included in the calculations. By contrast,
energy volumes transformed on site and used for own-use, and those that are used for
the production of other energy forms for non-energy use, are excluded. The definitions include both grid-bound and off-grid
energy (e.g. heating oil, biomass for heating). For grid-bound electricity the text does not make a
distinction between electricity
passed thought the low-, medium- or high- voltage network. All these are to be included as far as there is a purchase. These data
are collected by Eurostat according to Regulation (EC) No 1099/2008.
8.                 
In
terms of statistical datasets to be used in the
calculation of the required amount of savings, the Commission services consider
that the Eurostat categories "Final energy consumption" (Code
B_101700) and possibly partially or fully excluding "Final energy
consumption – transport" (Code B_101900) contain the elements
that are required in Article 7, paragraph 1 (see the box below). Using Eurostat
categories would mean that any possible double counting is avoided.
Relevant Eurostat
definitions
Final energy consumption
(Code B_101700) covers energy supplied to the final consumer's door for all
energy uses. It is the sum of final energy consumption – industry (Code
B_101800), final energy consumption - transport (Code B_101900) and final
energy consumption - household, commerce etc. (Code B_102000).
Final energy consumption
– industry (Code B_101800) covers the consumption in all industrial sectors
with the exception of the "Energy sector" (see Code B_101300). The
fuel quantities transformed in the electrical power stations of industrial
auto-producers and the quantities of coke transformed into blast-furnace gas
are not entered under overall industrial consumption but under transformation
input, (see Codes B_101022, Input to auto-producers thermal power stations and
Code B_101006, Input to blast-furnace plants). 
Final energy consumption
– transport (Code B_101900) covers the consumption in all types of
transportation, i.e., rail, road, air transport and inland navigation.
Final energy consumption
– households, commerce, etc. (Code B_102000)
covers quantities consumed by private households (Code B_102010), services
(Code B_102035), agriculture/forestry (Code B_102030), fishing (Code B_102040)
and non-specified (Code B_102040).
In addition, for
information final non-energy consumption (Code B_101600) covers the use of
energy products for non-energy purposes. It is the sum of final non-energy
consumption in the chemical industry (Code B_101601) and in non-chemical
industries (Code B_101602).
9.                 
In
this way, for instance, the following categories are automatically excluded
from the calculation:
·        
Final
non-energy consumption (Code B_101600);
·        
Input
to auto-producers thermal power stations (Code B_101022);
·        
Input
to blast-furnace plants (Code B_101006);
·        
Electricity
used for purposes of balancing of energy system that has not occurred at final
energy user level.
10.             
The
use of electricity for electric cars and energy generated by households for
their own use can be excluded from this calculation. However, Member States
would need to develop a methodology and justify this in the notification to the
Commission (as described in Annex V, part 4, point (c)).
11.             
Other
national data sources can also be used, including data from energy providers,
as far as these contain the same elements and lead to similar quantities. The
use of alternative statistical sources and any difference of the resulting
quantities needs to be explained and justified in the notification to the
Commission (as described in Annex V, part 4, point (c)). 
12.             
If
the data for 2012 are not available when the Member States must notify  the
Commission on Article 7 is to be submitted (i.e. end 2013), expert
estimations can be used and justified in the notification to the Commission (as
described in Annex V, part 4, point (c)). However, if at the time when the
official data are available there are significant discrepancies between the
estimated and real numbers, then the amount of savings required would need to
be readjusted to the real recorded numbers. 

B2.      How to calculate the overall amount of energy savings to be
achieved over the seven-year obligation period

13.             
The
next step is to multiply by 1.5% the average figure established for 2010, 2011
and 2012 so as to calculate the 'new' yearly amount to be saved. In addition,
under the concept of lifetimes in Annex V, part 2, point (e), each individual
energy-saving action is considered to deliver savings not only in the year of
implementation, but in also in future years up to 2020. For this reason, the
required amount of savings has to be 'cumulated' year-on-year (if not, one
year's actions could be considered enough to fulfil the entire requirement).
The overall amount to be reached over the whole period is therefore a sum of
the following cumulative percentages: 2014 – 1.5%; 2015 – 3%; 2016 – 4.5%; 2017
– 6%; 2018 – 7.5%; 2019 – 9%; 2020 – 10.5%.
14.             
For
example, a Member State could have an energy use of 102 million tons of oil
equivalent (Mtoe) in 2010, 98 Mtoe in 2011 and 100 Mtoe in 2012 – giving an
average of 100 Mtoe for the three years before 1 January 2013. 
The total amount of savings required in this
Member State in relation to 2014 through the implementation of Article 7 would
therefore be (100 x 1.5% x 1 year) = 1.5 Mtoe. The total amount required in
relation to 2015 would be (100 x 1.5% x 2 years) = a cumulative 3 Mtoe. Similar
calculations can be performed for each of the subsequent years, up to 2020 in
relation to which the total amount required would be (100 x 1.5% x 7 years) =
10.5 Mtoe. This implies that the total amount of energy savings required over
the whole seven-year period would be 42.0 Mtoe, i.e.:
 Year || Energy savings [Mtoe] || Total 
 2014 || 1.5 ||   ||   ||   ||   ||   ||   || 1.5 
 2015 || 1.5 || 1.5 ||   ||   ||   ||   ||   || 3.0 
 2016 || 1.5 || 1.5 || 1.5 ||   ||   ||   ||   || 4.5 
 2017 || 1.5 || 1.5 || 1.5 || 1.5 ||   ||   ||   || 6.0 
 2018 || 1.5 || 1.5 || 1.5 || 1.5 || 1.5 ||   ||   || 7.5 
 2019 || 1.5 || 1.5 || 1.5 || 1.5 || 1.5 || 1.5 ||   || 9.0 
 2020 || 1.5 || 1.5 || 1.5 || 1.5 || 1.5 || 1.5 || 1.5 || 10.5 
 Total || 42.0 Mtoe 

B3.      How to spread the energy savings
required over the seven-year obligation period

15.             
If
energy efficiency obligation schemes are used, there is no obligation  to
report how the effort is spread over the obligation period, as the last
sentence of Article 7, paragraph 1, states only that: 
'Member
States shall decide how the calculated quantity of new savings referred to in
the second subparagraph is to be phased over the period'.
However, Member States should establish how the
savings are to be phased over the period. For example, one Member State might choose a linear increase of the savings over time; another might decide to
start later but to require higher savings towards the middle/end of the period.

16.             
If
alternative policy measures (under Article 7(9)) and/or national energy
efficiency fund (under Article 20(6)) are used, at least two intermediate
periods need
to be introduced, as required in Article 7(10) (a):
              'Without prejudice to paragraph 11, the
criteria for the policy measures taken pursuant to the second subparagraph of
paragraph 9 and Article 20(6) shall be as follows:
              (a)     the policy measures
provide for at least two intermediate periods by 31 December 2020 and lead to
the achievement of the level of ambition set out in paragraph 1;'
The length of these periods and savings to be
achieved are to be reported as required in Annex V, part 4, points (c) and (d):
'4.           Notification of methodology
              Member States shall by 5 December
2013
notify the Commission of their proposed detailed methodology for operation of
the energy efficiency obligation schemes and for the purposes of Article 7(9)
and Article 20(6). Except in the case of taxes, such notification shall
include details of: …..
              (c)     the level of the
energy saving target or expected savings to be achieved over the whole and
intermediate periods'.
There are no requirements for
how long these intermediate periods should be and what levels
of savings must be achieved. 

B4.      What possibilities from Article 7,
paragraph 2 can be used and to what extent

17.             
Article
7, paragraphs 2 and 3, states that:
'2.           Subject to paragraph 3, each Member State may:
              (a)     carry out the calculation required by
the second subparagraph of paragraph 1 using values of 1 % in 2014 and
2015; 1,25 % in 2016 and 2017; and 1,5 % in 2018, 2019 and 2020;
              (b)     exclude from the calculation all or
part of the sales, by volume, of energy used in industrial activities listed in
Annex I to Directive 2003/87/EC;     
              (c)     allow energy savings achieved in the
energy transformation, distribution and transmission sectors, including
efficient district heating and cooling infrastructure, as a result of the
implementation of the requirements set out in Article 14(4), Article 14(5)(b)
and Article 15(1) to (6) and (9) to be counted towards the amount of energy
savings required under paragraph 1; and
(d)     count energy savings resulting from individual actions
newly implemented since 31 December 2008 that continue to have an impact in
2020 and that can be measured and verified,  towards the amount of energy
savings referred to in paragraph 1.
3.           The application of paragraph 2 shall not lead
to a reduction of more than 25 % of the amount of energy savings referred
to in paragraph 1. Member States making use of paragraph 2 shall notify that
fact to the Commission by 5 June 2014, including the elements
listed under paragraph 2 to be applied and a calculation showing their impact
on the amount of energy savings referred to in paragraph 1'.
It follows that there are certain possibilities
that allow for certain national circumstances to be taken into account and can
lead to a lower amount of end-use energy savings required to be achieved over
the seven-year period. 
18.             
The
following four possibilities are included in the text: 
a.      
Calculation
based on a lower annual saving rate;
b.     
Full
or partial ETS industry exclusion;
c.      
Counting
certain energy savings from energy transformation and transmission sectors;
and/or 
d.     
Early
actions after end-2008 that still deliver savings in 2020. 
Possibilities (a) and (b) are related to the
overall amount of energy savings to be achieved – see the examples below. 
The latter two possibilities – (c) and (d) – are
related to the question of which energy savings can be counted towards the
achievement of the required amount of energy savings. 
As examples:
·       
If
a Member State used only the possibility provided in Article 7( 2) (a), of
carrying out the calculation with lower rates (1.0% for 2014 and 2015, 1.25%
for 2016 and 2017, and 1.5% for 2018, 2019 and 2020), then the overall amount
of savings to be reached over the period is the sum of the following cumulative
percentages: for 2014 – 1.0%, 2015 – 2.0%, 2016 – 3.25%, 2017 – 4.5%, 2018 –
6.0%, 2019 – 7.5%, 2020 – 9.0%. Continuing with the example used in section B2
above, the amount of savings required over the seven-year period would be 33.25
Mtoe (and not 42.0 Mtoe).
·       
If
a Member State  used only the possibility provided in Article 7(2)(b), and
fully or partially exclude EU Emissions Trading Scheme (ETS) industry from the
calculation under Article 7(1), then the Member State would need to establish
what volumes of delivered or retailed energy are used for these industrial
activities. This calculation takes as its starting point the energy that is
used for the activities listed under Annex I of the ETS Directive[2] and that is
accounted for under the Eurostat definition of final energy consumption
(Code B_101700). From this amount must be deducted the energy used for the
three 'energy activities' that are listed in Annex I of the ETS
Directive: combustion installations with a rated thermal input exceeding 20 MW
(except hazardous or municipal waste installations); mineral oil refineries;
and coke ovens and the energy used in aviation[3].
Next, the Member State will need to exclude this calculated amount of final
energy partially or fully from the calculation, ensuring that the result after
the deduction is no lower than 75% of what would have it been as calculated
under section B2 (i.e., in the example given there, the reduction could
not be of more than 10.5 Mtoe and the required amount of savings must be no
less than 31.5 Mtoe).
·       
If
a Member State used only the possibility provided in Article 7(2)(c), and count
certain energy savings from energy transformation and transmission sectors
towards the required amount of savings to be reached over the period, then this
amount must not be more than 25% - thus, in the example in section B2, not more
than 10.5 Mtoe (the individual actions allowed under point (c) are analysed in
section D2 below).
·       
If
a Member State used only the possibility provided in Article 7(2)(d), and
counted 'early action' towards the required amount of savings to be reached
over the period, then it could count savings from individual actions carried
out after the end of 2008 that still continue to deliver energy savings in
2020. This amount must not be more than 25% thus, in the example in section B2,
not more than 10.5 Mtoe.
19.             
There
is no limitation on Member States' choice or combination of these four
possibilities except that, according to Article 7(3), all the selected
possibilities taken together must amount to no more than 25% of the savings
required under Article 7(1). 
For example, a Member State might reduce the
required amount of savings to be achieved by 5.25 Mtoe because of partial
exclusion of ETS industries and require savings of 36.75 Mtoe over the period.
It might at the same time decide to count up to 5.25 Mtoe savings from
individual actions after the end of 2008 that still continue to deliver energy
savings in 2020.

C.    
What policy instruments and what criteria? 

20.             
The
following questions need to be considered when establishing which policy
measures are to be used to comply with the requirements of Article 7:
1.      What policy
measures or combinations are to be applied?
2.      What criteria
should be fulfilled in the design of the policy measures?
3.      Is double
counting of energy savings allowed for the purposes of Article 7?

C1.      What policy measures or combinations are to be applied?

21.             
Article
7 sets out that the required amount of energy
savings is achieved through national energy efficiency obligation schemes or
other "policy measures". These policy measures need to be designed to
achieve 'end-use energy savings' which are 'among final customers'
(as set out in Article 7(1) and (9); and are defined as 'a regulatory,
financial, fiscal, voluntary or information provision instrument formally
established and implemented in a Member State to create a supportive framework,
requirement or incentive for market actors to provide and purchase energy
services and to undertake other energy efficiency improvement measures' (Article 2,(18)).

This wording excludes policy measures that are
primarily intended to support policy objectives other than energy efficiency or
energy services as well as policies that trigger end-use savings that are not achieved
among final consumers.
Examples
of such policy measures would be construction of new roads to ease traffic
congestion, various energy grid networks charges, or feed-in tariffs.
22.             
As
regards the choice of policy measures, the Directive speaks of energy
efficiency obligation schemes (described in Article 7(1) to (8)) or 'other'
policy measures (described in Article 7(9) to (11) and Article 20(6)).
Article
7(9) first and second paragraphs state that any combinations of policy measures
are possible provided 'equivalence' is maintained.
              
23.             
The
energy efficiency obligation schemes, are mandatory schemes, established
by a Member State, that place an obligation on energy providers to achieve
savings amongst final consumers. Requirements relevant to the establishment and
operation of obligation schemes are found in Article 2, definitions 14, 18 to
22, and 24; Article 7(1), (4) to 8; and Annex V, parts 1, 2 and 4. Relevant
provisions are also found in Article 18 (3). The energy providers subject to
obligations under these schemes are 'obligated parties' and are to be
designated by each Member State, on the basis of objective and
non-discriminatory criteria, amongst the energy distributors and/or retail energy
sales companies operating on its territory (Article 7(4). Transport fuel
distributors or transport fuel retailers operating on a Member State's territory may also be included, irrespective of whether the energy used in the
transport sector is included in the calculation in Article 7(1) and
irrespective of whether individual actions in the transport sector are allowed
to be counted within the schemes. 
As
explained in section B3, Member States must establish how the calculated amount
of energy savings is to be phased over the obligation period. 
To
allow obligated parties flexibility in how they reach the required savings,
Member States may permit them to obtain energy savings from energy service
providers or third parties, provided there is in place a process of approving
these savings (Article 7, (7)(b)). 
Energy
efficiency obligation schemes can also be used to promote social aims, such as
tackling energy poverty (Article 7(7) (a)). 
Member
States may allow, following Article 20(6), parties obligated under an energy
efficiency obligation scheme to fulfil their obligations by contributing to the
Energy Efficiency National Fund. The contributed amount should be equal to the
investments which obligated parties would otherwise have to make to achieve the
amount of savings they would be required to achieve.  
24.             
The
'other' or 'alternative' policy measures could take different forms. The
following possibilities are mentioned in Article 7(9) and in Article 20(6) (the
list is not exhaustive):
·       
Energy
or CO2 taxes 
These
are taxes established by a Member State that have the effect of reducing
end-use energy consumption. Requirements relevant to this measure are found in
Article 2 (17), (18) and (19), Article 7(9) to( 11) and Annex V, parts 3 and 4.
The party under these schemes is an 'implementing public authority',
which 'is a body governed by public law which is responsible for the
carrying out or monitoring of energy or carbon taxation, financial schemes and
instruments, fiscal incentives, standards and norms, energy labelling schemes,
training or education' 
·       
Financing
schemes and instruments, and fiscal incentives
These
are policy measures established by a Member State that lead through a monetary and
fiscal incentive to the application of energy-efficient technology or
techniques and have the effect of reducing end-use energy consumption. Requirements
relevant to their establishment and implementation are found in Article 2(15),(17)
and (19), Article 7(9) to (11) and Annex V, parts 1, 2 and 4. The monitoring of
this policy measure must be carried out by an 'implementing public authority'
or 'entrusted party'. An 'entrusted party' is a legal entity with
delegated power from a government or other public body to develop, manage or
operate a financing scheme on behalf of the government or other public body. In
case of the financing schemes or instruments the funding ought to come either
only from public sources (European or national) or from a combination of both
public (European or national) and private (e.g. banks, investment funds,
pension funds) sources explicitly targeting the realisation of individual
actions that lead to end-use energy savings[4].   
·       
Energy
Efficiency National Fund
This
can be any fund established by a Member State with the purpose of supporting
national energy efficiency initiatives. Requirements relevant to the
establishment and operation of these funds are found in Article 2 (15),(17) and
(19), Article 7(9) to (11), Article 20(6) and Annex V, parts 1, 2 and 4. The
monitoring of this policy measure must be carried out by an 'implementing
public authority' or 'entrusted party'. To count for the purposes of
Article 7, the funding ought to come either only from public sources (European
or national) or from a combination of both public (European or national) and
private (e.g. banks, investment funds, pension funds, obligated parties)
sources explicitly targeting the realisation of individual actions that lead to
end-use energy savings[5]. 
·       
Regulations
and voluntary agreements
These
are policy measures established by a Member State that lead to the application
of energy-efficient technology or techniques and have the effect of reducing
end-use energy consumption. These could be legally binding measures that impose
specific energy efficiency technologies or techniques or voluntary agreements
where actors - industry or local authorities - commit to certain actions.  Requirements
relevant to the establishment and operation of these policy measures are found
in Article 2(16) and (18) to (19), Article 7(9) to (11) and Annex V, parts 1, 2
and 4. Those participating in these policy instruments are called 'participating
parties' and include 'enterprises or public bodies that have committed
themselves to reaching certain objectives under a voluntary agreement, or are
covered by a national regulatory policy instrument'. 
·       
Standards
and norms
These
are policy measures (such as building codes, minimum performance requirements
for processes) established by a Member State that aim to improve the energy
efficiency of, for example, products, services, buildings and vehicles.
Standards and norms that are 'mandatory and applicable in Member States
under Union law' do not count; this is explained further in points 34 and 36
below. Requirements relevant to this measure are found in Article 2(17), (18)
and (19), Article 7(9) to (11) and Annex V, parts 1, 2 and 4. The parties under
these schemes are 'implementing public authority'.
·       
Energy
labelling schemes
These
are labelling schemes established by a Member State, with the exception of
those that are mandatory and applicable in that Member States under Union law
(e.g. savings coming from the pure introduction of an Energy Label as required
under Energy Labelling Directive[6] cannot be
counted[7]).
Requirements relevant to their establishment and implementation are found in
Article 2(17),(18) and (19), Article 7(9) to (11) and Annex V, parts 1, 2 and 4.
It should be noted that careful consideration of the impact of such labels is
required so as to establish the link between the label and the individual
actions attributable to it.
·       
Training
and education, including energy advisory programmes
These
are policy measures established by a Member State that lead to the application
of energy-efficient technology or techniques and have the effect of reducing
end-use energy consumption through, for example, training programmes for energy
auditors, education programmes for energy managers or energy advisory
programmes for households. Requirements regarding their establishment and
implementation are found in Article 2, (17), (18) and (19), Article 7(9) to
(11) and Annex V, parts 1, 2 and 4. The monitoring of this policy measure must
be carried out by an 'implementing public authority'. It should be noted
that careful consideration of the impact of such measures is required so to
establish the link between the training or education activity and the
individual actions attributable to it.
·       
Other
alternative policy measures 
The
list provided in Article 7(9) is not exhaustive and other policy measures may
be applied. However, following the requirements of the third sentence of the
last subparagraph of paragraph 9, Member States must explain in their
notification to the Commission how an equivalent level of savings, monitoring
and verification is achieved.
25.             
To
reduce the administrative burden and provide for a comprehensive policy
framework a Member State may group all individual policy measures to implement
Article 7 into a comprehensive national energy efficiency programme (Article 7(9)
and recital 23).
26.             
Any combination
of the policy instruments mentioned above may be used. Because of the diverse
nature of the challenges for the different end-use sectors, there could be
different policy instruments that target each of these sectors. For example, a
Member State could achieve part of the required savings through a new or
existing energy efficiency obligation scheme; part through new or existing
financial policy instruments for the residential sector; part through agreements
with industrial sectors; part through fiscal policies (such as CO2
taxes); and part through the implementation of the energy audit provisions in
Article 8; and part through local programmes for the promotion of more
efficient urban transport. The impact of all these measures would need to be
quantified as described in the various sections of this note.

C2.      What criteria should be fulfilled in the design of the
policy measures?

27.             
The
concrete design of the policy measures to comply with Article
7 is
to
be established by Member States in compliance with the basic requirements
and criteria set out in Article 7 and Annex V. These are summarised in the
table below.
               Policy measure      Criteria to be met by the policy measure ||   Relevant articles || EE obligation schemes || Energy and CO2 taxes || Regulations or voluntary agreements || Financing schemes & fiscal instruments, standards and norms, energy label., training and education 
 Relevant articles ||   || A7 (1) || A7 (9) (a) || A7 (9) (c) || A7 (9) (b), (d), (e), (f) and A20(6) 
 Lead to the achievement of the level of ambition set out in A7 (1) || A7 (1) and (10) (a) || √ || √ || √ || √ 
 Provide for at least 2 intermediate periods || A7 (10) (a) || X || √ || √ || √ 
 Clearly defined responsibility of: Obligated party (OP), Entrusted Party (EP), Participating party (PP), Implementing Public Authority (IPA) || A7 (4), (10) (b) || √ OP || √ IPA || √ PP || √ IPA or EP 
 Savings determined in a transparent manner || A7 (4),  (10) (c) || √ || √ || √ || √ 
 Savings expressed in final or primary energy using Annex IV conversion factors || A7 (10) (d) || √ || √ || √ || √ 
 Savings calculated based on Annex V points (1) and (2) || A7 (10) (e) || √ || X || √ || √ 
 Savings calculated based on Annex V point (3) || A7 (10) (f) || X || √ || X || X 
 Annual report by PP, unless not feasible || A7 (10) (g) || X || X || √ || X 
 Data to be provided by OP, if required || A7 (8) || √ || X || X || X 
 Monitoring of the results || A7 (6), (10) (h) || √ || √ || √ || √ 
 Control system || A7 (6), (10) (i) || √ || √ || √ || √ 
 Data on annual trends published annually || A7 (8), (10) (j) || √ || √ || √ || √ 
Note: √ - indicates that the criterion is
required for the particular policy measure, X – indicates that the criterion is
not required for the particular policy measure. ''A'' means Article.

C3.      Is double counting of energy savings allowed for the
purposes of Article 7? 

28.             
The
combination of several policy measures may result in the realisation of a
single individual action. Article 7(12) is explicit that, in this case, no
double counting of energy savings coming from this individual action is to be
made.: 
'12.         Member States shall ensure that when the impact
of policy measures or individual actions overlaps, no double counting of energy
savings is made'.
The method to ensure this is to be decided at
national level and must be reported in accordance with Annex V, part 4, point
(f) on calculation methodology. 

D.   
Which sectors and individual actions are to be
targeted

29.             
In
establishing from which sectors and from which individual actions carried out
as a result of policy measures energy savings can be counted, the following
questions may arise: 
1.      Are there
limitations as regards the choice of sectors?
2.      From which
individual actions can savings be counted?
3.      When should
the individual actions take place?

D1.      Are
there limitations as regards the choice of sectors?

30.             
Article
7 aims to trigger energy savings at energy 'end-use' (paragraph 1,
second sentence) and there are no limitations as to which final energy use
sectors can be targeted with the national policy measures put in place to
implement this Article. Savings from policy measures in the transport sector
and ETS industries may be counted, even if these sectors' energy use
has been excluded from the calculation of the overall amount of energy savings
as described in section B1 of this note. 
31.             
In
addition to end-use energy savings, some Member States may, as described in
section B4 above, decide to target - within the 25% limit set out in Article 7(2)
and (3) - certain 'supply side' savings from the energy transformation,
distribution and transmission sectors, including efficient district heating and
cooling infrastructure (for details see point 38 below).

D2.      From which individual actions can savings be counted?

32.             
To
quantify the impact of policy measures, only energy savings that are a result
of real 'individual actions' that result from the implementation of these
policy measures are to be taken into account. Savings can be counted from any
individual actions that (i) save energy and (ii) are undertaken as a result of
a policy measure of a Member State. This follows from the following definitions
in Article 2:
'(18)       'policy measure' means a regulatory, financial,
fiscal, voluntary or information provision instrument formally established and
implemented in a Member State to create a supportive framework, requirement or
incentive for market actors to provide and purchase energy services and to
undertake other energy efficiency improvement measures;
(19)        'individual action' means an action that leads
to verifiable, and measurable or estimable, energy efficiency improvements and
is undertaken as a result of a policy measure;'
33.             
Annex
V, part 2, point (c) states that in order to be taken into account,
''(c)         the activities of the obligated, participating
or entrusted party must be demonstrably material to the achievement of the
claimed savings;''.
It follows from this 'materiality test' that the
automatic rolling out of EU legislation, or autonomous improvements because of,
for example, market forces or technological developments, cannot be taken into
account. Member States may not count actions that would have happened anyway.
The activities of the national public sector parties that are implementing the
policy measure must be 'material' to the carrying out of the action. The
term 'material' means that the party in question must have contributed
to the realisation of the specific individual action in question, and that the
subsidy or involvement of the obligated, participating or entrusted party must
not have had what is clearly only a minimal effect in the end user’s decision
to undertake the energy efficiency investment. The term 'demonstrably'
means that the Member State must be able to show that this is so.
34.             
In
addition to this materiality test, Annex V, part 2, point
(a) and part 3, point (a) set out that in some cases, only savings that go
beyond the minimum requirements originating from EU legislation can count. This
is relevant for individual actions that are a result of energy efficiency
obligation schemes, alternative policy measures and a national energy
efficiency fund, are related to, for example, the following EU laws :
·                        
For
products – the requirements established by implementing measures under the 
Ecodesign Directive[8];
·                        
For
new passenger cars and light commercial vehicles – the emission performance
standards established by Regulations 443/2009[9]
and 510/2011[10];
·                        
For
taxes – the minimum levels of taxation applicable to fuels as required in
Council Directive 2003/96/EC on restructuring the Community framework for the
taxation of energy products and electricity[11]
or in Council Directive 2006/112/EC on the common system of value added tax[12].
When these legal texts are modified or new
implementing measures are adopted the new levels will apply.
35.             
By
contrast, where the required energy performance is determined by national policy
choices which are not a result of mandatory and applicable EU requirements,
then for the individual actions that are a result of these policy measures all
of the resulting energy savings can be attributed to these individual actions. 
36.             
In
addition to the limitations referred to in point 34, the Directive imposes
additional limitations as regards the possibility to count savings from certain
alternative policy measures. For alternative policy measures (other than
taxation), these – as set out in Article 7(9)(d) and (e) –  are: 
'(d)         standards and norms that aim at improving the
energy efficiency of products and services, including buildings and vehicles,
except where these are mandatory and applicable in Member States under Union
law; 
(e)          energy labelling schemes, with the exception of
those that are mandatory and applicable in the Member States under Union law;'
The qualification related to 'mandatory and
applicable in Member States under Union law' means that, when concrete energy
performance levels or labelling schemes are laid down in EU legislation, then
the energy savings stemming from individual actions that result from automatic
transposition of these levels cannot be counted as an alternative policy
measure. It is only if the nationally established levels are more ambitious than
those required at EU level – as far as this is legally possible – that the
difference between the mandatory EU levels and the concretely established
levels can be counted. 
When there are other alternative policies (such
as financing, fiscal, voluntary agreements) that accelerate the uptake of, for
example, more efficient products, buildings, vehicles, or services, then the
full credit of the savings coming from the individual action can be counted for
all but for those listed in Annex V, part 2, point (a), and part 3, point (a).
For them the levels set out as a result of the implementation of the EU
legislation listed in Annex V, part 2, point (a), and part 3, point (a), apply
as minimum starting points for calculation of the energy savings from all
individual actions.
37.             
There
are no limitations on the type of end-use energy saving measures that can be
counted.
38.             
By
contrast, only limited savings from individual actions that save energy in energy
generation, transformation and transmission can be counted. First, the amount
of energy savings coming from such measures is limited by Article 7 (3) (as
explained in section B4). Second, these individual actions must result from the
implementation of the requirements in Article 14(4), Article 14(5)(b) and
Article 15(1) to (6) and (9) of the Directive. In summary, supply-side energy
savings can be counted within the '25% bundle', if they come  from individual
actions realised as a result of:
·                        
Policy
measures by Member States to develop efficient district heating and cooling
infrastructure and/or to accommodate the development of high-efficiency
cogeneration and the use of
heating and cooling from waste heat and renewable energy sources;
·                        
The
energy savings achieved when following a cost-benefit analysis a conversion is
carried out, during a substantial refurbishment, to high-efficiency
cogeneration of an existing thermal electricity generation installation with a
total thermal input exceeding 20 MW;
·                        
Policy
measures by Member States to increase the efficiency of transmission and
distribution; or
·                        
Policy
measures by Member States that encourage operators of installations undertaking the
combustion of fuels with total rated thermal input of 50 MW or more to improve
their annual average net operational rates.

D3.      When should the individual actions take place?

39.             
As
"new" savings are required, not everything that Member States
have done at any time in the field of end-use energy efficiency can count for
the purposes of Article 7. The Article contains rules to define when actions
need to take place in order to be counted towards the energy savings required.
40.             
Two
broad approaches could have been taken:
(a)        The
requirements of the Article could have had to be fulfilled by new policy
measures. Savings from policy measures that existed before a given cut-off
date could have been excluded; or
(b)        The
requirements of the Article could have had to be fulfilled by new individual
actions. Savings from individual actions undertaken after the cut-off date
could have been counted, even if the policy measure that had given rise to the
actions – for example, a funding scheme – had been introduced before that date.
The text takes the second approach, i.e.
savings from individual actions carried out within the obligation period (after
1 January 2014 and until 31 December 2020) can be counted, even if the policy
measure that gave rise to the actions was introduced before that date.
For example, if a Member State established a
funding scheme for window replacements in 2005, which continues to be in place
in 2014, financing 100 000 window replacements per year, the savings from
individual actions – windows replaced – in 2014 and onwards can be counted. If
this Member States has decided to use the possibilities of Article 7(2)(d) (see
section B4 above), savings from windows replaced from end-2008 until
end-2013 can also be counted.
41.             
Article
7, paragraph 7, point (c) states that: 
'7.           'Within the energy efficiency obligation
scheme, Member States may: 
              [….]
              (c)     allow obligated parties to count
savings obtained in a given year as if they had instead been obtained in any of
the four previous or three following years'.
This provision, in the case of energy efficiency
obligation schemes, stipulates that Member States may give additional
flexibility to obligated parties to count, towards the required amount of
energy savings they have to achieve, energy savings from individual actions
obtained four years before or three years after the year in which they are
actually realised. 
In considering this provision, Member States
should bear in mind that the temporal scope for this Article is established in
its first paragraph, under which obligated parties must achieve an energy
efficiency target equivalent to new savings of 1.5% each year from January 2014
to 31 December 2020. A limited derogation to this temporal scope is provided in
Article 7(2) and (3), and the legislator has made this subject to specific
conditions being satisfied such as a cap of 25% and prior notification to the
Commission. 

E.     How to calculate the energy savings from each individual action?

42.             
The
methodology for Article 7 has to answer the following questions:
1.      What quantity
of energy saving can be attributed to each action? 
2.      How should
the "lifetime" of energy efficiency improvements be accounted for?

E1.       What
quantity of energy savings can be attributed to each action?

43.             
The
rules on what quantity of energy savings can be attributed to each individual action are to be established
by Member States in accordance with the framework set in Article 7 and Annex V.
44.             
For
all policy measures (including those stemming from energy efficiency obligation
schemes and all alternative policy measures except taxation) the principles in
Annex V, parts 1 and 2, must be followed. In part 1, four methods for
calculating the savings for different types of action are mentioned: 'deemed
savings' (standard values for each measure), 'metered savings'
(before-and-after measurement), 'scaled savings' (based on engineering
estimates) and 'surveyed savings' (based on consumer response). When
applying these four methods the levels that are set out in Annex V, part 2,
points (b) and (c) need to be respected. 
For energy efficiency obligations, deemed and
scaled savings have to date been the most commonly used methodologies.
Member States will need to determine the
eligible energy efficiency measures for which there are independently proven or
well established energy saving norms. For these measures, deemed or engineering
savings can be used. It is recommended that Member States publish information
on how the deemed or scaled savings are determined and what quantity of savings
is attributed to different individual measures and to ensure that this
information is openly accessible. In particular the scaled savings ought to be
defined on the 'basis of nationally established methodologies and benchmarks
by qualified or accredited experts that are independent of the obligated,
participating or entrusted parties involved'. Other measures will have to
have their energy savings metered or surveyed to determine their values.   
45.             
For
policy measures that are taxes, the principles in Annex V, part 3, point (a)
need to be followed. To calculate energy savings from taxes, elasticities of
demand with respect to price are to be used to estimate how the price increases caused by
the tax only (i.e. not from inflation or other policies) would
lead to changes in consumers' behaviour. 
For fiscal incentives which, for example,
provide tax reduction to consumers if they apply certain energy savings measure
or are part of a voluntary agreement, the rules set out in Annex V, parts 1 and
2 apply. 
46.             
If
several types of policy measures are used in combination, e.g. an energy
efficiency obligation scheme and fiscal incentives or fiscal incentives,
training and education and labelling, double counting must be avoided and it
must be clear which of the achieved savings are to be attributed to each of
these measures, as stated in Article 7(12).

E2.       How should the "lifetime" of energy efficiency
improvements be accounted for?

47.             
Having
decided what amount of energy savings is to be attributed to each individual
action, the next step is to establish over what period this action will
continue to deliver energy savings. Article 7 focuses on the quantity of
savings that must be achieved by 2020 and the text of Annex V, part 2, point (e)
states that:
'(e)         calculation of energy savings shall take into
account the lifetime of savings. This may be done by counting the savings each
individual action will achieve between its implementation date and 31 December
2020. Alternatively, Member States may adopt another method that is estimated
to achieve at least the same total quantity of savings. When using
other methods, Member States shall ensure that the total amount of energy
savings calculated with these other methods does not exceed the amount of
energy savings that would have been the result of their calculation when
counting the savings each individual action will achieve between its
implementation date and 31 December 2020. Member States shall describe in
detail in their first National Energy Efficiency Action Plan according to Annex
XIV to this Directive, which other methods they have used and which provisions
have been made to ensure this binding calculation requirement;'
Therefore, a Member State may choose to
attribute to each individual action the 'real' savings that this action will
achieve between the year of its implementation and 2020. This method is called
hereafter the "straightforward" method. 
48.             
Alternatively,
and in particular to promote long-term energy efficiency improvements, Member
States may deviate from this method - provided that their choice still leads to
the required quantity of energy savings, calculated as described in points 52
to 55 below, actually being achieved by 2020. 
49.             
To
illustrate the 'straightforward' method,  an individual action – say a window
replacement – could be envisaged that saves 1 tonne of oil equivalent (toe) of
energy consumption per year, and that goes on delivering this saving year after
year. Under the straightforward method, if the action is carried out in 2014,
it will save 1 toe in 2014 and 1 toe in each subsequent year up to 2020, for a
total of 7 toe. If the action is carried out in 2015, it will save 1 toe each
year from 2015 to 2020, for a total of 6 toe. If it is carried out in 2020, it
will contribute to the requirement only during that single year, for a total of
1 toe.
50.             
By
contrast, a shorter-lived action – e.g. an information campaign – may save 1
toe in the year of implementation and nothing thereafter. Again, under the
'straightforward' method whatever the year of implementation between 2014 and
2020, its contribution will be 1 toe. It should be noted that Member States
need to ensure that the overall amount of energy savings as explained in
Section B2 is reached. For example, if a Member State introduces predominantly
individual actions with short-term lifetimes at the beginning of the seven-year
obligation period, then it would need to do additional measures so to reach the
required savings.
51.             
The
'straightforward' method clearly fulfils the condition that the calculation
method must lead to the required quantity of savings actually being achieved by
2020. But it has two disadvantages. First, as shown in point 49, this method
can give different values to the same action, depending on the year it is
implemented. Second, because it aims to calculate savings up
to 2020,  it allows a maximum of 7 years' worth of savings to be taken into
account – yet some actions deliver savings over a much longer period (new
windows, for example, can last 25 years). The straightforward method may not
give enough incentive for these long-lived actions.
52.             
Member
States that have
savings schemes in place have addressed this problem in different ways – all
more complicated than the 'straightforward' approach. 
53.             
One
alternative
to the 'straightforward method' is
to give each action an 'index value' that reflects its expected lifetime. Under
this method, an information campaign could be given an 'index value' of 0.25,
while a window replacement could be given an 'index value' of 6. If each of
these actions saves 1 toe per year, then the saving attributed to an
information campaign would be (1 x 0.25) = 0.25 toe. The saving attributed to a
window replacement, whatever the year of implementation, would be (1 x 6) = 6
toe. A
  Member State using this method must ensure that the result is not higher than
the one given by the 'straightforward' approach[13].
54.             
A
second alternative is to 'cap' the lifetimes attributed to
individual actions. For example, a 'cap' of 5 years could be chosen. Under this
method, the saving attributed to an information campaign would be 1 toe. The
saving attributed to a window replacement, whatever the year of implementation,
would be (1 x 5) = 5 toe. Again, a Member State using this method must
ensure that the result is not higher that one given by the "straightforward"
approach.
55.             
A
third alternative is to use full lifetimes, but to 'discount'
future-year savings. For example, a discount rate of 10% per year could be
chosen. Under this method, the saving attributed to an information campaign
would be 1 toe. The saving attributed to an individual action with a lifetime
of 4 years, saving 1 toe each year, would be:
Year 1                                                  1.0
toe
Year 2                          (1.0
x 0.9) =     0.9
Year 3                          (0.9x0.9)
=       0.81
Year 4                          (0.81x0.9)
=     0.73
Total                                                    3.44
toe
The saving attributed to a window replacement
with a lifetime of 25 years, whatever the year of implementation, would be 9.28
toe. Again,
a Member State using this method must ensure that the result is not higher than
the one given by the 'straightforward' approach.

F.     
What measurement, control, quality, monitoring and
verification requirements?

56.             
Proper
measurement, control, quality, monitoring and verification of savings is to be
ensured following the provisions of Article 7, paragraphs 6 and 10:
'6.           Member States shall ensure that the savings
stemming from paragraphs 1, 2 and 9 of this Article and Article 20(6) are
calculated in accordance with points (1) and (2) of Annex V. They shall put in
place measurement, control and verification systems under which at least a
statistically significant proportion and representative sample of the energy
efficiency improvement measures put in place by the obligated parties is
verified. That measurement, control and verification shall be conducted
independently of the obligated parties.
              […]
10.         Without prejudice to paragraph 11, the criteria
for the policy measures taken pursuant to the second subparagraph of paragraph
9 and Article 20(6) shall be as follows: 
              […]
              (h)     monitoring of the results is ensured
and appropriate measures are envisaged if the progress is not satisfactory;
              (i)      a control system is put in place that
also includes independent verification of a statistically significant
proportion of the energy efficiency improvement measures;'
and of Annex V, part 2:
'2.           In determining the energy saving for an energy
efficiency measure for the purposes of Article 7(1) and (2), and points (b),
(c), (d), (e) and (f) of Article 7(9), and Article 20(6) the following
principles shall apply: 
              […]
              (g)     in promoting the uptake of energy efficiency
measures, Member States shall ensure that quality standards for products,
services and installation of measures are maintained.  Where such
standards do not exist, Member States shall work with obligated, participating
or entrusted parties to introduce them.''
57.             
The
following relevant elements are required to be reported in accordance with
Annex V, part 4, 
'              (i)      quality standards;
              (j)      monitoring and verification protocols
and how the independence of these from the obligated, participating or entrusted
parties is ensured;
              (k)     audit protocols'.
58.  Member States have to
lay down rules on effective, proportionate and dissuasive penalties applicable
in case of non-compliance with the national provisions adopted pursuant to
Articles 7 and 18(3) and must take the necessary measures to ensure that they
are implemented.

G.    What reporting requirements?

59.             
Article
7 and Annex V require that: 
·         
By
5 December 2013, each Member State has to report:
1.   
The
amount of energy savings to be achieved over the obligation period and how this
is to be calculated. This may include an explanation of whether the
possibilities in Article 7(2) are to be used.
2.   
Their
proposed detailed methodology for the operation of energy efficiency obligation
schemes and, for the purposes of Article 7(9) and Article 20(6). This report
has to be based on the details provided in Annex V, part 4. 
3.   
The
policy measures that Member States plan to adopt for the purposes of Article 7(9)
last subparagraph, and Article 20(6), following the framework provided in Annex
V, point 4, and showing how they would achieve the required amount of savings.
In the case of the policy measures referred to in the second subparagraph of
paragraph 9 and in Article 20(6) this notification must demonstrate how the
criteria in Article 7(10) are met. In the case of policy measures other than
those referred to in the second subparagraph or in Article 20(6) the Member State must explain how an equivalent level of savings, monitoring and verification
is achieved. 
The
Commission may make suggestions for modifications in the three months following
notification.
In both cases
the Member State can send planned or proposed policy measures and methodology,
or 'finalised' versions.
·         
By
30 April 2014 and every three years thereafter as part of its National Energy
Efficiency Action Plans, each Member State has to report:
A number of
issues as provided in the Commission implementing decision of 22 May 2013 (2013/242/EU)
establishing a template for National Energy Efficiency Action Plans and the
related guidance document (SWD(2013) 180).
·         
By
5 June 2014, each Member State has to report:
Article 28 of
the EED sets out the general transposition deadline of 5 June 2014, by when
Member States must formally notify the legislation by which they transpose the
Directive into national law. Therefore, each Member State needs to send all
finalised measures for the transposition of Article 7 and Article 20(6) by that
date. 
In addition,
if a Member State makes use of the exceptions under Article 7(2), it must
notify that fact to the Commission by 5 June 2014 and how this is taken into
account in the notified legislative framework. This should include which of the
possibilities listed under Article 7(2) are to be applied and how the
requirements of Annex V on the calculation of energy savings and of Article
7(3) on maximum reduction possible are met. A calculation showing their impact
on the amount of energy savings referred to in Article 7(1) should also be
included. 
If a Member
State decides to modify the policy framework implementing Article 7 after its
June 2014 notification, it should ensure that a coherent policy framework,
which safeguards meeting the overall target of Article 7, is retained and
safeguarded and that all related changes are notified to the Commission. 
·         
Notification
methods:
Member States
should notify their legal provisions transposing the Directive into national
law using the 'NIF' database. To ensure an efficient transfer of information
the use of the 'NIF' database for the other notifications required under the
Directive, such as Article 7(3) and (9) and Annex V (4) is to be encouraged. 
60.             
Each
  Member State must also:
·         
For
energy efficiency obligation schemes – publish, once a year starting from
2014 where data are available, the energy savings achieved by each
obligated party, or each sub-category of obligated party, and in total under
the scheme, as required under Article 7(6); and
·         
For
alternative policies – publish annually starting from 2014 where data are
available, data on the annual trend of energy savings, as required under
Article 7(10)(f).
61.             
For
participating and obligated parties the following requirements are set out:
·         
Participating
parties – they must provide on an annual basis a report of the energy
savings achieved, unless not feasible and made publicly available, as required
under Article 7(10)(g);
·         
Obligated
parties – they must provide, at a Member State's request which may not be more
than once per year, specific (aggregate) information on their final consumers,
as required under Article 7(8).

H.   
List of studies and
papers

62.             
The
following studies provide additional non-mandatory guidance on energy
efficiency obligation schemes and alternative policies:
Eoin
Lees. 2012. Energy efficiency obligations - the EU experience. Cited at:
http://www.eceee.org/press/2012/energy-efficiency-obligations-the-EU-experience/resolveuid/bf45556b241774005c8e990bb7ce36ca

Joint
European Commission and eceee seminar on Energy Efficiency Obligations. 2011.
Seminar materials available at: http://www.eceee.org/eceee_events/energy-efficiency-obligations

Joint
Research Centre (JRC).    2010. Voluntary agreements in the fields of Energy
Efficiency and emission reduction: review and analysis of the experience in
member states of the European Union. Cited at:
http://ec.europa.eu/energy/efficiency/studies/doc/2010_05_jrc_va_study.pdf 
JRC.
2010. Financing Energy Efficiency: Forging the Link between Financing and
Project Implementation. Cited at:
http://ec.europa.eu/energy/efficiency/doc/financing_energy_efficiency.pdf 
JRC.  2009.
Energy Saving obligations and tradable white certificates. Cited at: 
http://ec.europa.eu/energy/efficiency/studies/doc/2009_12_jrc_white_certificates.pdf

63.             
On
monitoring and verification of energy savings the following reports may be
useful:
eceee
and RAP. 2012. Determining Energy Savings for Energy Efficiency Obligation
Schemes. Cited at: http://www.eceee.org/EED/Rap-ESO-report 
Energy
Efficiency Programs,” Proceedings of the 2010 International Energy Program
Evaluation Conference, Paris, France: IEPEC. Cited at:  http://www.iepec.org/2010PapersTOC/2010TOC.htm
Energy
Efficiency Services Club (ClubS2E). Energy Efficiency Services Measurement and
Verification Guide 2009 (in French).  Cited at: http://www.clubs2e.org/Content/Default.asp?PageiD=285
International
Performance Measurement and Verification Protocol (IPMVP). 2012. Cited at: http://www.evo-world.org/index.php 
Vine,
E., N. Hall, K. Keating. M. Kushler and R. Prahl. 2010. “Emerging Issues in the
Evaluation of Energy Efficiency Programmes
[1] Directive
2012/27/EU of the European Parliament and of the Council of 25 October 2012 on
energy efficiency, amending Directives 2009/125/EC and 2010/30/EU and repealing
Directives 2004/8/EC and 2006/32/EC, OJ L 315, 14.11.2012, p. 1.
[2] Directive
2003/87/EC of the European Parliament and of the Council of 13 October 2003
establishing a scheme for greenhouse gas emission allowance trading within the
Community as amended by Directive 2009/29/EC of the European Parliament and of
the Council of 23 April 2009 and amending Council Directive 96/61/EC, OJ L 275,
25.10.2003, p. 32.
[3] Alternatively
to establish the quantities of energy use in the non-ETS industries, the
reported final energy use figure for the corresponding industrial sector could
be multiplied by ETS / non-ETS ratio of greenhouse gas emissions as reported in
the greenhouse gas inventories.
[4] In terms of European funding,
it is to be noted that Member States shall devote at least 20% of the European
Regional Development Fund allocation for 2014-2020 in more developed regions,
15% in transition regions and 10 to 12% in less developed regions, to renewable
energy and energy efficiency.
[5] Ibid 4.
[6] Directive
2010/30/EU of the European Parliament and of the Council of 19 May 2010 on the
indication by labelling and standard product information of the consumption of
energy and other resources by energy-related products, OJ L 153, 18.6.2010, p.
1.
[7] Energy labelling of products
based on the Energy Labelling Directive can be used as an element of the other
alternative policy measures (e.g. financing or fiscal incentives, energy
efficiency obligations, voluntary agreements). The impact of these alternative
policy measures is to be counted following the requirements of Article 7 and
Annex V. 
[8] Directive 2009/125/EC of the
European Parliament and of the Council of 21 October 2009 establishing a
framework for the setting of ecodesign requirements for energy-related products
(recast), OJ L 285, 31.10.2009, p. 10.
[9] Regulation (EC) No 443/2009
of the European Parliament and of the Council of 23 April 2009 setting emission
performance standards for new passenger cars as part of the Community’s
integrated approach to reduce CO2 emissions from light-duty vehicles, OJ L 140,
5.6.2009, p. 1.
[10] Regulation (EU) No 510/2011
of the European Parliament and of the Council of 11 May 2011 setting emission
performance standards for new light commercial vehicles as part of the Union's
integrated approach to reduce CO2 emissions from light-duty
vehicles, OJ L 145, 31.5.2011, p. 1.
[11] Council Directive 2003/96/EC
of 27 October 2003 restructuring the Community framework for the taxation of
energy products and electricity, OJ L 283, 31.10.2003, p. 51.
[12] Council Directive 2006/112/EC
of 28 November 2006 on the common system of value added tax, OJ L347,
11.12.2006, p. 1.
[13]
Imagine a Member State has to save 35 Mtoe over the period and expects to achieve this by 1
information campaign per year delivering, e.g. 1 million actions (the
effectiveness of each action is 1 toe as demonstrated by a survey), and 1
million windows replacements per year (the deemed value of each is estimated to
be 1 toe).
Under the 'straightforward method', each of the information
campaigns would deliver 1 Mtoe in the year in which it is conducted or 7 Mtoe
in total for the seven campaigns over the 7 years by 2020. The 1 million window
replacements will deliver savings equal to 7 Mtoe for the 1 million windows
replaced the first year, 6 Mtoe for the 1 million windows replaced the second
year, 5 Mtoe for the third, 4 Mtoe for the fourth, 3 Mtoe for the fifth, 2 Mtoe
for the sixth, 1 Mtoe for the seventh, or in total 28 Mtoe by 2020. The savings
from information campaigns and windows replacements thus give 7 Mtoe plus 28
Mtoe or in total 35 Mtoe.
Under the 'index value' method, a Member State might choose to apply an index value of 0.25 for information campaigns and 4.75 for
window replacements. The information campaigns would then count as delivering 0.25
Mtoe in the year in which they are conducted, or 1.75 Mtoe in total for the
seven campaigns over the 7 years by 2020. The 7 million window replacements
done over the period will deliver savings of 7 Mtoe multiplied by the factor of
4.75, giving 33.25 Mtoe. The savings from information campaigns and window
replacements would then be counted as 1.75 Mtoe plus 33.25 Mtoe or in total 35
Mtoe.