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Experience in the Czech Republic in implementing the Green Investment Scheme and using cohesion policy for energy efficiency in buildings 30 November ppt download
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Presentation on theme: "Experience in the Czech Republic in implementing the Green Investment Scheme and using cohesion policy for energy efficiency in buildings 30 November 2011."— Presentation transcript:
1 Experience in the Czech Republic in implementing the Green Investment Scheme and using cohesion policy for energy efficiency in buildings 30 November 2011 Ministry of the Environment of the Czech Republic
2 Background of Green Investment Scheme Programme Panel The Operational Programme Environment The Operational Programme Enterprise and Innovations Feed-in tariff Governmental Programme etc.
3 Programme Panel Programme of The Ministry for Regional Development (The State Housing Development Plan)
4 Programme Panel Programme Panel (100 – 120 kWh/m2/y), Programme New Panel (70 – 80 kWh/m2/y) – from May 2009, panel and non-panel technology, Programme Panel was especially focus for renovation and energy savigs were additional benefits, Programme New Panel is focus for renovation and energy savings as well, In the Czech Republic is totally around 4 million flats, more than 1,1 million flats in the panel buildings, around 0,75 mil. flats in non-panel buildings, 1st April – 27th May 2011 – additional subsidy around 1 billion CZK
5 The Operational Programme Environment The Suitable Use of Energy To use energy sources in a sustainable manner and to promote energy savings. To use renewable energy sources for generating electricity and producing heat and to use waste heat more efficiently. 3.1 The construction of new facilities and the modernisation of the existing facilities with the aim to increase the use of renewable energy sources for heat generation, electric energy generation and for combined heat and electric energy generation 3.2 The realisation of energy savings and the use of waste heat in the non- business carrying sector
6 The Operational Programme Environment 17th and 28th Call of Proposals – combination 3.1 + 3.2 In 2011 was increased allocation in 3.2 – 2,5 billion CZK (due to lack of finance in GIS, but based on majority of AAUPAs were possible to finance)
7 The Operational Programme Environment
8 The evaluation and selection criteria of projects The following types of selection (evaluation) criteria have been chosen: technical criteria weighing 50%, environmental criteria weighing 50%, Amount of point: 25/12,5/12,5/30/20: Specific financial intensity for insulation of house, Energy savings, The achievement of energy standard of building after realization, Specific financial intensity for reduction of greenhouse gases emissions, Specific intensity relative to energy savings Projects implemented in structurally disadvantaged or weak regions or regions with an above-average unemployment rate awarded an extra 10% of points.
9 The Operational Programme Enterprise and Inovation ECO – ENERGY (Priority axis 3 – Effective Energy) Small/medium sized or large sized (above 250 employees) 3rd Call of Proposal: 1. Improved efficiency in energy generation and consumption, the use of secondary energy sources – energy savings, 2. RES – small hydroelectric power plants – electricity generation, 3. Heat from RES (heating plants), 4. Combined electricity and heat generation from RES (biomass, biogas) and/or the use of landfill gas, 5. Heat pumps and solar thermal collectors (not photovoltaic), 6. Electricity generation from biomass and landfill gas without waste heat recovery
10 The Operational Programme Enterprise and Inovation ECO – ENERGY (Priority axis 3 – Effective Energy) Total allocation 10,4 billion CZK (depends about exchange rate, later reallocation etc.) For example – 1st Call of Proposal (Energy Savings) subsidy 0,4 billion CZK and greening calculated based on in GIS rules was approximately 1:2 (ex-ante evaluation), Approximately 40-50% of applications is combine with insulation of building and totally around 10% share of subsidy could be allocated for these purposes (roughly 1 billion CZK)
11 GIS - Legal and Policy Framework 14 November 2007 – Czech Government made decision about the further GIS implementation steps 24 February 2008 – Czech Republic is fully eligible to AAUs sales under the Kyoto Protocol 1 September 2008 - amendment of law No. 695/2004 Coll. came into force: revenues from selling AAUs are the income of the State Environmental Fund and should be used for additional GHG emissions reductions 1 December 2008 – adaption of updated conception of credit selling in IET/GIS in CR
12 Selling of AAUs through GIS Expected emission surplus ~ approx. 165 000 000 AAUs (2008-2012) International Emissions Trading (IET – GIS) ~ approx. 130 000 000 AAUs (2008-2012) (prediction before selling started 100 M AAUs) Volume of AAUs sold (IET – GIS) 90 070 000 AAUs (2009-2011) NEDO; Mitsui & Co., Ltd.; Spain; Austria; IBRD + new AAUPAs in progress …
13 13 Basic information on the Programme Unique programme in the Czech Republic subsidized buildings Family houses Apartment buildings (non-panel technology) Apartment buildings (panel technology) - to a limited extent All types of the above mentioned buildings must be used mainly (i.e. at least 50 % of the floor area) for the purpose of living Entitled applicants Natural persons Legal persons (such as associations of flat owners, municipalities etc.) All applicants must be owners of the buildings, who either live there or rent them to other people for the purpose of living
14 14 Areas of Subsidy – subsidy area A A Energy savings for heating A1 Complete enveloping (degreasing of the annual specific energy demand for heating about 40 % on 70/55 (A1a), 40/30 (A1b) kWh/m2.year) A2 Partial enveloping (degreasing of the annual specific energy demand for heating about min. 30 % (A2a) or 20 % (A2b)) A.2.1 outside walls enveloping A.2.2 roof enveloping or the top floor ceilings enveloping A.2.3 insulation of the lowest floor or enveloping of the unheated cellar ceiling A.2.4 Windows and doors replacing A.2.5 Recuperation installing Just one measure and also change of glassing can be subsidized
15 15 Areas of Subsidy – subsidy area B B Buildings in passive energy standard (PES) B1 – new construction B2 – reconstruction Criteria to achieve PES - annual specific demand for heating max. 20 (15) kWh/m2.year - average coefficient of the heat transfer through the shell max. 0,22 (0,30) W/(m2.K) -air permeability of the building shell n50 0,6 h-1 Detailed conditions to achieve PES for family (apartment) houses are included in annex of the directive No.9/2009 MoE.
16 16 Areas of Subsidy – subsidy area C Area C: Use of Renewable Energy Sources for Heating and Hot Water Preparation C.1: Replacement of environment unfriendly heating for low-emission biomass-fired sources and efficient heat pumps C.2: Installation of low-emission biomass-fired sources and efficient heat pumps in new buildings C.3: Installation of solar-thermal collectors Subsidy bonus Bonuses are added to the measures C (C.1 or C.3). It was decided due to the fact that C have generally better greening. Subsidy of project preparation
17 17 Main organizations involved in the Programme Ministry of the Environment: umbrella organization (announced the Programme, determines the Programme conditions) State Environmental Fund (SEF): main administrator (administrates the information system of the Programme, prepares the background documents for the approval process, is in charge of the project inspections - at least 5 % of the projects) Regional offices of SEF, selected banks: main contact points for applicants (accept and assess the applications) Consultation points (members of the Czech Chamber of Authorised Engineers - ČKAIT and Technicians Engaged in Construction)
18 List of Qualified Suppliers - LQS (SOD) List of Products and technologies - LPT (SVT) Only products, equipment and technologies listed in the List of Products and technologies and services listed in the List of Qualified Suppliers are eligible for the programme subsidy. Number of products and technologies that can be subsidized from the GIS programme is around 10 thousands Number of companies and qualified suppliers to realize the measures within the GIS programme is around 15 thousands
19 Key dates and main changes Main changes: panel apartment buildings can apply for complex insulation (A.1) from Sept. 2009 onwards modification of the requirements for projects in sub-area A.2 new segment of the Programme – subsidy for preparation of the project documentation financial ceiling expressed as a percentage of the total investment costs was cancelled
20 Key dates: duration April 2009 – December 2012 April 2009, directive n.5/2009 ME August 2009, directive n.9/2009 ME (amendment of the programme on the basis of analysis of its progress during the first months) directive n.7/2010 (amendment of the programme, buildings of public sector can apply) 24. 8. 2010 the end of possibility to apply for panel apartment buildings 29. 10. 2010 the end of possibility to apply for all applications 20. 4. 2011 – Minister of the MoE presented future of the applications
21 Financial support FH (family houses)Subsidy unitSubsidy amount A.1 – Complex thermal insulation (at least 40 % savings) specific heat use 40 kWh/m 2 /rokCZK/m 2 2 200 1 550 specific heat use 70 kWh/m 2 /rokCZK/m 2 A.2 - Partial thermal insulation at least 30 % savingsCZK/m 2 850 at least 20 % savingsCZK/m 2 650 B. Construction in passive energy standard B : Construction in passive energy standardCZK250 000 C : Use of Renewable Energy Sources for Heating and Hot Water Preparation Biomass-fired source with manual fuel supply without storage tankCZK50 000 Biomass-fired source with manual fuel supply with storage tank of required volumeCZK80 000 Biomass-fired source with automatic fuel supply CZK95 000 Heat pump - soil to water or water to water without inverterCZK75 000 Heat pump - air to water without inverterCZK50 000 Heat pump - soil to water, water to water with inverter or accumulation container (20l/kW)CZK85 000 Heat pump - air to water with inverter or with accumulation container (20 l/kW)CZK55 000 Heat pump - air to water, water with refrigerant of CO2CZK75 000 Heat pump - air to air with inverterCZK45 000 Solar-thermal collectors - hot water preparation onlyCZK55 000 Solar-thermal collectors - pre-heating and water preparation CZK80 000 D – Subsidy bonus for selected combinations of FH measuresCZK 20 000
22 Financial support - Apartment buildingsSubsidy unitSubsidy amount A.1 – Complex thermal insulation (at least 40 % savings) Panel buildings can only apply in sub-area A.1. Subsidy of panel houses was stopped on 24.8.2010. Attainment of specidfic annual heat demand for heating 30kWh/m²/rokCZK/m²1 500 Attainment of specidfic annual heat demand for heating 55kWh/m²/rokCZK/m²1 050 A.2 – Partial thermal insulation 30 % reduction in specific annual heat demand for heatingCZK/m²600 20 % reduction in specific annual heat demand for heatingCZK/m²450 B – passive standard Apartment houses in passive standard (per 1 apartmentCZK / apart.150 000 C - Use of Renewable Energy Sources for Heating and Hot Water Preparation Biomass fired sourcesCZK/apart.25 000 Heat pump - soil to water, water to water without inverterCZK /apart.20 000 Heat pump - soil to water, water to water with inverter or accumulation container (20 l/kW)CZK /apart.24 000 Heat pump - air to water with inverter or with accumulation container (20 l/kW)CZK /apart.17 000 Heat pump - air to water without inverterCZK/apart.15 000 Heat pump air to water, water with refrigerant of CO2CZK/apart.23 000 Heat pump air to air with inverterCZK/apart15 000 Solar thermal collectors - hot water preparation onlyCZK/apart.25 000 Solar thermal collectors - pre heating and water preparationCZK/apart35 000 Subsidy bonus for selected combinations of apart. housesCZK / house50 000
23 Subsidy of project preparation – FH Subsidy unitSubsidy amount A - Complex thermal insulation CZK10 000 B – passive energy houses CZK40 000 C - Use of Renewable Energy Sources for Heating and Hot Water Preparation Energetic evaluation of buildingCZK10 000 ProjectCZK5 000
24 Subsidy of project preparation – Apartment houses Subsidy unitSubsidy amount A - Complex thermal insulation CZK/flat15 000 B - passive energy houses CZK40 000 C - - Use of Renewable Energy Sources for Heating and Hot Water Preparation Energetic evaluation of buildingCZK15 000 ProjectCZK15 000
25 Economic results of the GIS Total number of applications and amount of subsidy (at the beginning of November 2011) Total number of applications, where the successful administration could be expected, is 79 442 (including application out of IS) Approved by Minister and buyers: 64 137 applications Not approved yet: 15 305 applications The total expected subsidy is 22,7 billion CZK Investment subsidy: 21,3 billion CZK Project preparation subsidy: 1,3 billion CZK Subsidy bonus: 111 million CZK Total Programme resources: 19,3 billion CZK (without TA) (by beginning of November 2011 was disbursed 8,8 billion CZK)
26 Utilization of resources from National funds Amendment to § 37e of Act No.185/2001 Coll., on waste will bring the possibility to use 1,5 bill. CZK from National funds. National funds are currently not able to be utilized for the previously intended purpose. High availability of national funds should be effectively used in reallocation of the applications before the ending of the Programme.
27 Economic results of the GIS (at the beginning of November 2011)
28 Economic results of the GIS (at the end of October 2011, exchange rate 24,8 CZK/EUR)
29 Economic results of the GIS (at the end of October 2011, exchange rate 24,8 CZK/EUR)
30 Economic results of the GIS (at the end of October 2011, exchange rate 24,8 CZK/EUR)
31 Economic results of the GIS Number of applications by real-estate location (at the end of 2010)
32 Monitoring internationally renowned auditing firm (Deloitte Advisory s.r.o.) - audit the investments and appropriation of the Total Contract Price validation is done by DetNorske Veritas and verification by The Energy Efficiency Center SEVEn Annual Report and Final Report (cooperation for example with Accenture) on-site inspections of at least 5% of Greening Activities (more than 4000 on-site inspections are planned – internal directive SM25 Methodology of inspections execution, some of them as Public administration inspection – Act. No. 320/2011 Coll., on financial control, Act No. 552/1991 Coll., on state control)
33 The role of sub-contractor DET NORSKE VERITAS Validation of the CO2 calculation methodology for the individual measures supported in the framework of the GIS Programme, Validation of the sampling approach supported by in the framework of the GIS Programme, Validation of the changes/revisions in the CO2 calculation methodology in case of the modifications of the Greening Programme.
34 The terms of reference of Technical Auditor Annual verification of the achieved CO2 reductions according to CO2 calculation methodology for supported projects in the framework of the GIS Programme, Verification of the implementation of the changes in the CO2 calculation methodology in case of the modifications of the Greening Programme, Verification of the final reports for the GIS Programme. The final reports will include the final annual verifications of CO2 reduction according to CO2 calculation methodology and greening for supported projects, description of the implementation of the CO2 calculation methododology and the results of the site visits in compliance with the validated sampling approach.
35 Estimated benefits of the program Reduction of CO 2 : – 1.100.000 t / year (compare 2013 / 2008) Reduction of local dust pollution: – 2.200 t / year (compare 2013 /2008) Increase heat production from RES: + 3.700 TJ creation or maintaing jobs, limiting the energy import dependence, reduction of emissions of other local pollutants (SO 2, NO x )
36 Verification – Annual Report 2010 Summary: Approved projects until 11th November 2011 - reduction 405 293 t CO2 per year - greening 1:6,30 = +7% higher then presumption - 37 636 projects, - 9 580 000 000 CZK Registered projects in IS GIS until 31st December 2010 (approved and prepared for the approval) - reduction 581 513 t CO2 per year - greening 1:6,33 = +8% higher then presumption - 54 881 projects, - 13 860 000 000 CZK
37 Greenings of completely disbursed projects in 2010
38 Greening - calculation The Greening Effect is defined as the ratio between 1 ton of GHG reduced and the number of AAUs needed (granted in a form of GIS grant) to achieve the given average reduction over the 15 year greening period for each Greening Activity For the Greening Effect calculation purpose, income from the sale of 1 AAU is fixed at 10 EUR/AAU and exchange rate at 25 CZK/EUR. It is expressed by the 1 : x ratio. X = (A*B) * (1/C 10 ) or X = (A*B) * (C 10 /C buyerxy * 0,95) A = grant fixed for sub-area of support or their combination in CZK (investment grant, project documentation, bonus where relevant B = emission reductions by sub-area of support or their combination during 15 years in t CO2. C = income from the sale of 1 AAU which is fixed 250 CZK/AAU C buyerxy … real unit price, real exchange rate in timing of transaction, (interest etc. …) 0,95 … administration and promotion of the Programme
39 Before and After
40 THANK YOU! Martin Fiala Department of Energy and Climate Protection Martin.Fiala@mzp.cz +420 267 122 378 +420 725 786 400
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