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Energy Performance Contracting: An opportunity for the private service building sector or a tool for public buildings only?

Panel: Panel 2. Making buildings more energy efficient

Author:
Margot Grim, Austrian Energy Agency

Abstract

Since 1997, Energy Performance Contracting (EPC) has become a frequently used tool in optimising and modernising federal and municipal buildings in Austria. More than 1 000 buildings have been energy-optimised using this tool. Most of the contracts are still active and successful. One remarkable point, however, is that most of these buildings belong to the public sector.

Private service building owners seem to lack either knowledge of, or confidence in EPC as an useful and convincing tool for the optimisation, modernisation or renovation of their buildings, despite the huge energy saving potential in this building sector. Up to 50% of the operating costs are energy-related, and, on average, 20% of these costs can be saved by using EPC.

This paper describes the current situation in the Austrian EPC market, especially in the tertiary sector, where the implementation of EPC seems to be much more complex than in the public building sector. It discusses the barriers that prevent building owners from using EPC as a tool, as well as the barriers for Energy Saving Companies (ESCOs) and financial institutions. Finally, the means Austria is developing to overcome these barriers are presented as basis for discussion.

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